Read the options you have for our Protected Retirement Plan that you should consider before making your decision.
At the start of the plan, if you choose capped drawdown, you can choose how much income to take between taking nothing and the maximum allowed under the Government Actuary's Department (GAD) rules. GAD drawdown tables are used to calculate how much income you can withdraw. If you choose flexible drawdown the maximum income limit doesn't apply.
The Protected Retirement Plan allows you to choose a term between 3 and 25 years.
As long as you’re alive at the end of the chosen term, a guaranteed maturity value will be available. It’s protected and isn’t at risk to changes in investment conditions over the term of the plan.
The guaranteed maturity value is fixed at the start of the plan and is determined by:
If you choose capped drawdown this lump sum payment can be used to buy a lifetime annuity, another Protected Retirement Plan or can be transferred to a drawdown pension arrangement to best fit your personal circumstances and income requirements. If you choose flexible drawdown you have the option to take the lump sum payment as a final income payment instead, subject to income tax.
Please note that if you choose capped drawdown the Guaranteed Maturity Value must be kept within a pension arrangement or used to buy an annuity, and can't be paid directly to you.
If during the term of the plan your circumstances change, you may be able to transfer to another pension or annuity product with LV= or any other registered pension scheme. The qualifying changes in circumstances are:
In order to qualify we would need to see evidence of the change in your circumstances within 12 months of the event.
You can transfer within 12 months of a change in circumstances. We'll calculate a transfer value based on current investment conditions and the remaining plan term. It'll be based on your Guaranteed Maturity Value plus remaining income payments to the end of the term less our costs to end the plan.
If you qualify for flexible drawdown, you may take this transfer value as a lump sum payment. This will be taxed as income. Your transfer value may be significantly less than your Guaranteed Maturity Value if you transfer out in the early years, or if investment conditions have worsened since the plan started.
The circumstances listed above are the only ones in which you can change or end your plan. The Protected Retirement Plan cannot be cashed in at any time.
At the start of the plan, you can choose the level of benefits that we'll pay if you die before the end of the term.
The death benefits that are available are:
You can phone us
Call our UK-based advisers for more information or a quote
0800 756 8083
Textphone: 18001 0800 756 8083
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