Beware Pension Company Introduced Annuity Deals

Prudential customers with guaranteed annuity rates will be introduced to Legal & General from the 1^st November 2019.

Legal & General will honour all guaranteed benefits passed to them as part of the introducer deal with Prudential but will also compare the whole market for annuity rates to see if they can improve existing customers current rate.

This new business introducer deal will increase Legal & General's annuity business by 15% in the first year.

Comment

It is honourable that L&G suggest they will compare the whole market as well but in our experience you cannot compare the whole market adequately without completing a full health questionnaire with a client and submit that information to ill health/impaired life annuity providers so we suggest if you have a Prudential pension and the annuity is offered by Legal and General, you still talk to an independent financial adviser.

It is interesting that L&G suggest they will compare the market rather than refer to independent financial advisers to compare the market.  Surely a conflict of interest i.e. 'if we find you a better rate, we lose all the money'.

Beware all pension companies and what annuity terms you are offered.  Always talk to an IFA to compare the whole market.