What is an impaired life annuity?
• An impaired life annuity pays an income for life in the same way as a lifetime annuity. However, it pays a higher income to those suffering with certain medical conditions on the basis that they have a reduced life expectancy. Medical conditions include, but are not limited to, high blood pressure, diabetes, heart conditions, kidney failure, certain types of cancer, multiple sclerosis and chronic asthma. This is not a comprehensive list. • An annuity provider will normally ask for a report from your doctor. They do this to make sure that the details in your application form are correct. • If you are accepted for an impaired life annuity, your income will be higher than from a conventional annuity because the annuity provider expects to pay your income for a shorter period of time. This can make a substantial difference. • The following is a list of providers offering impaired life annuities. They will only accept business through an IFA.
