Can I get a better rate if I’m a smoker?
When choosing a retirement option, annuity rates are a popular way for many people to receive a regular income in the same way that they are used to receiving a wage. Each annuity income is specific to each individual and in general it is based up on the life expectancy of an individual. This means that the annuity amount takes into consideration any health issues that you have and this includes lifestyle habits such as drinking or smoking.
Smoking can lead to a range of long term illnesses and problems for an individual and accordingly it could bring down the life expectancy of an individual – thereby increasing their potential annuity income.
What is an enhanced annuity?
An enhanced annuity is an option available to a person who has long-term health issues or poor lifestyle habits which may cause them to have a shorter life expectancy than the average person. In general, in order to qualify for an enhanced annuity you will have to suffer from a long-term or terminal illness and be able to prove it accordingly with medical certificates and other supporting documentation.
There are a wide range of conditions that can qualify for an enhanced annuity and many of these are caused by smokers. Some of the common diseases that you could consider claiming for include heart attack, high blood pressure, cancer and diabetes.
What are some benefits of shopping around if I’m a smoker?
If you are a smoker and you lead poor lifestyle habits, or you have developed a serious illness as a result of your smoking then you could be eligible for an enhanced annuity and shopping around to find a provider which gives you the best plan could leave you seeing up to 40% more of your annuity income.
In most situations there will be a number of options available on the market to you which can give you a higher annuity income if you are able to prove that you suffer from poor health conditions, and these are definitely worth consideration before you take out any annuity plan.