If you're considering making a change to your income, we'll be happy to help. It's important to understand your options and the effects of any changes you make. There are a few things you should think about before you make any decisions.
Your With-Profits Annuity pays you a regular income for life and is linked to the performance of our With-Profits Fund. You anticipate a rate of future bonus (within limits) when you start your annuity. This is known as the Anticipated Bonus Rate (ABR) - it determines your starting income level and affects your future income. Your future income will depend on the bonuses we declare. This means your income could change every year and could go down as well as up, as shown in your annual statement. Your income will never fall below a minimum amount, regardless of future bonuses. This is known as the minimum income guarantee. The amount we guarantee depends on your chosen ABR.
You may have the option to change your income by amending your ABR on your policy anniversary and then once every three years. Your annual statement will tell you if you have this option and how to do this.
According to Action Fraud, the UK’s fraud and internet crime reporting centre, an estimated £1.2bn is lost to scams every year. So if you’re thinking of reinvesting the money from your plan, take a minute to find out more, and stay ahead of the scammers. There is also some very useful information available from The Pensions Regulator.
Give us a call on 0345 640 0000 or +44 178 644 8844 if you’re calling from abroad. We can’t give you advice or make your decision for you, but we’ll be happy to help you understand your plan and talk you through all your available options and their possible implications.
We’re here 8am - 6pm Monday to Friday and happy to help in any way we can. Please make sure you have your plan number to hand when you call.
Alternatively, speak with a financial adviser - if you don’t have one, you can get details of financial advisers from pru.co.uk and selecting ‘contact a financial adviser’. You may be charged for their services.