Annuity Hound

This form of UK annuity protection provides a lump sum payment on the death of the annuitant prior to age 75.The death benefit is calculated as the original pension cost (purchase price of the annuity) less the gross income payments made and is subject to tax at 35%.

This type of protection is in contrast to the protection afforded under a UK guaranteed annuity, which provides an income benefit that continues the annuity payments even if the annuitant is over the age of 75 at the time of death.