Single / Joint Life

A further important decision is whether you want payments to be based on Single Life or Joint Life.

A Single Life contract pays during your own lifetime only, whereas Joint Life contracts continue to pay an income to your spouse after your death. The percentage the surviving partner receives can be determined at the outset ie 100%, 50% or 66%, naturally the higher the figure the lower the initial income, however, you do have the peace of mind that the surviving partner is taken care of financially.

This aspect is particularly relevant if your partner has not built up a pension in their own right.

Conversely, should your spouse die before you, the money used to purchase this additional pension would be wasted, as the contract cannot be changed once it has been set up.