Prudential Income Choice Annuity FAQs

Thanks for choosing us to provide your annuity - you're alongside more than one million people around the UK who also have their annuity with us.

If you're thinking about changing your income on your Income Choice Annuity then please read this information before making any income change decision.

Change your income on your Income Choice Annuity.

If your annuity income is due to change, we'll notify you in advance of this happening (approximately seven weeks before your plan anniversary). If you've not received your annuity statement or weren't expecting any change in income, please contact us.

If you weren’t expecting your income to change, it could be due to a change in tax code. If you have any questions about tax, please contact HM Revenue & Customs on 0300 200 3300 (from the UK) or +44 135 535 9022 (if calling from abroad). We will only write to let you know if the payment amount changes by more than £10.00. Please note that you may receive a notification letter before your payment date.

We review your income each year and any change to your income will be made on your plan anniversary. Any income change will be dependent on the most recent Smoothed Returns we have declared and your chosen Required Smoothed Return. Full details are in your annual statement that's issued approximately 7 weeks before your plan anniversary.

Yes - you can switch your Income Choice Annuity to a Prudential Guaranteed Pension Annuity (GPA) on any policy anniversary. Once you switch, you can't change back. Your Prudential GPA income may be higher or lower than the income you are receiving through the Income Choice Annuity, so you need to think about this carefully.

When you set up the plan we sent you a Key Features Document along with your terms and conditions. These are a good source of information. If you can't find these documents then please call us and we can send out a duplicate copy to you.

You can also find information on how we manage the With-Profits Fund and how this is linked to your annuity by reading Prudential's Principles and Practices of Financial Management and Your With-Profits Plan – a guide to how we manage the Fund.

2018 was a difficult year for financial markets, which experienced lots of ups and downs. These impacted our With-Profits Fund because it invests globally in many different investments. Despite this we’ve been able to provide some protection to our customers from the extremes of market volatility through the smoothed returns that we’ve announced at the 2019 declaration.

We’ll continue to manage the Fund prudently. We’ll aim to secure the highest total return for the Fund (after any tax and investment expenses) while maintaining an acceptable level of risk and protecting our planholders. We’ll also continue to smooth some of the extreme highs and lows of investment performance.

The table below shows our With-Profits Fund returns for this year and over the last 10 years.

Bonus Declaration Year

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

Gross Fund Return in preceding year

18.8%

12.7%

2.1%

10.5%

10.3%

8.3%

3.6%

14.5%

10.3%

-2.8%


Source: Prudential. 'Gross' refers to before tax, charges and the effects of smoothing.

The Income Choice Annuity Smoothed Return flyer shows the Smoothed Returns we've announced this year (along with the Smoothed Returns announced in previous years). The effect this has on your income will be shown in your annual statement.

Bonus Dec 2019 Income Choice Annuity Smoothed Return Flyer

Your annual statement is issued each year, approximately 7 weeks before your plan anniversary. This will show the details of any income changes as a result of the most recent Smoothed Return announcements. It will also show you your income range and information regarding switching to a Prudential Guaranteed Pension Annuity if these options are available to you.

What you may be looking to do:

If you have a query or question that's not covered in the information provided then please contact us and we'll be happy to help.

Contact us

How to get in touch with us

We recommend that you contact your adviser in the first instance. If you don't have one, please contact us. You will need your annuity reference number to hand when contacting us.

MyPru

By accessing MyPru, our secure online portal, you may be able to manage your product enquiry yourself or alternatively send us a secure email to deal with your product query.

Within MyPru you can change bank details, change personal details, view key documents online and send us secure messages.

If you have not yet registered for MyPru registration only takes a few minutes - register for MyPru.

Call us

0345 640 0000 0345 640 0000

or +44 118 964 5024 if phoning from abroad

Our lines are open 8:30am-6pm, Monday to Friday.

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Write to us

Prudential Customer Services
Lancing,
BN15 8GB