A recent divorce can often be an unpleasant process especially in the event that one or both of you suffer from ill health ranging from mild to acute conditions that affect the quality of your life and your ability to carry out daily tasks. However, if this is the case then it is imperative that you receive the correct legal and financial advice regarding pensions as often these two events can coincide causing a series of added complications should the situation be left unsettled.
In most cases, the basic approach to any divorce settlement is that the couple receive equal amounts of pension income in order to treat the event without bias. However, this is not the case with impaired life annuities in relation to the event of divorce. Should you or your partner suffer from a lifelong medical condition then it may be the case that you will be entitled to purchase a slightly higher annuity than your healthy spouse for the same deposit.
If this is the case, it is crucial that you make your legal advisors aware so they can begin to tackle the situation head-on. If the advisers were not made clear of this health problem then the healthy spouse may find themselves worse off in comparison to the spouse suffering from a lifelong heath issue should the pension be divided equally.
An impaired life annuity within divorce agreements can effectively provide a partial resolution to the problem of their being too little pension to be shared between the spouses so by maximising the income for the spouse suffering from a health issue, you are therefore providing both spouses with a significantly increased fund.
When it comes to the time to purchase your impaired life annuity it is vital that both you and your former spouse shop around for the best pension annuity rates available on the market to ensure that you receive the greatest income possible.