Income Choice Annuity

• Lets you choose how much income you start off with, within a specified range.
• After two years, you usually have the opportunity to change your income from a range we give you, at any policy anniversary. (Only one change is allowed every two years.)
• Your income is linked to the performance of our With-Profits Fund and has the potential for growth, which means it may keep pace with inflation.
• Aims to reduce the impact that any fund fluctuations have on your income, through 'smoothing'.
• Comes with a guarantee that we will never pay you less than a certain amount, known as your 'Secure Level'.
• Offers two ways to provide an income for your dependants or beneficiaries after you die:
  
  
  • Joint-life option pays an income to a dependant usually for the rest of their life if you die before them.
  • Payment guarantee period - pays beneficiaries an income for the remainder of a certain period (normally up to 10 years) if you die within that time.

Also, if you have an illness, condition or lifestyle habit that may shorten your life expectancy, you may be able to purchase an Income Choice Annuity on enhanced terms.

• While there is the potential for growth your income can go down in years of poor fund performance.
• We can't guarantee that there'll be a profit from our With-Profits Fund every year - and if there is, we can't guarantee that your share will be enough to increase or maintain your income.
• Income increases may not be enough to offset the effects of inflation.
• The higher the income you take, the less potential it has to go up, and the higher the chance it has to go down.
• If our expectations about the life expectancy of people with Income Choice Annuities change, your income may be affected.
• Once selected, you can't switch providers, but you can transfer to our Guaranteed Pension Annuity.

We are the number one provider of annuities in the UK.* Over one million people rely on us to pay their pension every year and in 2009 more than 100,000 people chose to buy their annuity with us.

Find out about the wide range of annuities we offer and why choosing an annuity with us makes sense.

*Source: Company New Business Press Releases 2010