Can I get an enhanced annuity?

In the current market of low annuity rates, retirees are looking for ways to get the most for their pension fund. Annuity rates were at an all time low in June 2012 and have recovered only marginally. So what options are there for you and how can you boost your retirement income? Well, one such way is by taking out an enhanced annuity.

What is an enhanced annuity?

An enhanced annuity is applicable for those people who have one of a number of medical conditions. In fact, there are over 1,500 such conditions that could help boost your rate. Some of the conditions are as follows:

  • High cholesterol
  • Diabetes
  • Angina
  • Heart attack
  • High blood pressure
  • Cancer
  • Stroke
  • And many more…

How much more retirement income might I expect to get?

Below is an image taken from the HL Annuity Supermarket and Just Retirement, correct as at February 1st, 2013. The chart illustrates what a male, aged 65 with a pension fund of £25,000 and an average rated postcode would get. The enhancement is based on a single life and level, with a 5 year guarantee that is paid monthly in arrears.

Comparison of enhanced annuity rates


Enhanced annuities aren’t for everyone but it is worth talking to an annuity specialist to ascertain if it is the best approach for you.