You have options regarding how you take your pension benefits from your Rothesay policy.
You can:
a) Take your benefits directly from Rothesay
OR
b) Transfer the value of your benefits from your Rothesay policy (your 'transfer value') to another pension arrangement
Please click on the links below for some helpful background information.
a) Taking your pension benefits directly from Rothesay
Although most people take their benefits with effect from their normal retirement date (NRD), you can usually take your benefits earlier or later if you want to. The three most common options are shown below. You may have additional options.
The options available to you will depend on your policy. For more information on the options available to you, please see your policy document.
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OPTION 1 Full pension
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OPTION 2 Reduced pension and a tax-free lump sum
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OPTION 3 Lump sum only (in special cases)
Considering your options
When considering which option best suits your own personal and financial circumstances, we strongly recommend you consider taking financial advice from an adviser authorised by the FCA.
To find a suitable adviser you can use MoneyHelper's 'Find a retirement adviser' tool by clicking on the link below.
Thinking about taking a lump-sum?
Exchanging pension payments for life for a one-off lump sum is a big decision and one that needs to be considered carefully.
What happens next if you have not yet reached your NRD
We will send you an options pack about 6 months before your NRD. This pack provides details of all your options regarding your pension benefits from your Rothesay policy. The figures in this pack are based on you taking your benefits on your NRD and are only estimates at this stage.
We will send you another options pack about 3 months before your NRD. Usually the figures in this pack, with the exception of an estimated transfer value, are guaranteed. This pack will also include all the forms that you need to take your benefits from Rothesay at your NRD.
If you are over your minimum pension age (MPA)* and wish to start taking your benefits in the next few months, please contact us to request a pack.
If you wish to delay taking your benefits please contact us to let us know.
*For most people the MPA will increase from 55 to 57 in 2028. Some people have a lower MPA.
Our process
Please click on the link below to see our process from the time you receive an estimated options pack 6 months before your NRD.
Taking your benefits directly from Rothesay
Already past your NRD?
We will write to you once a year to remind you that you have not yet taken your pension benefits from your Rothesay policy. Please contact us at least 3 months before you want to take your benefits. We will send you an options pack including figures at your chosen retirement date and the forms you need to take your benefits directly from Rothesay.
Please be aware that if you take your benefits after age 75, no further increases to take into account late retirement will be applied.
b) Transferring to another pension arrangement
For the majority of our policyholders, taking pension benefits directly from Rothesay is likely to be the right approach. However, if you are under 65 and have not started taking your benefits, you may be able to access additional choice and flexibility by transferring to another pension arrangement.
Why do this?
If you transfer the value of your policy to a defined contribution (DC) arrangement, you could gain access to additional options that may suit your personal and financial circumstances.
Please bear in mind that the Financial Conduct Authority (FCA) and The Pensions Regulator advise that keeping a stable pension income is the best approach for most people.
Know your options
The additional options available to people in a DC pension arrangement are known as the 'Pension Freedoms'. They were introduced by the government to give more choice over how people can take their pension benefits.
Consider taking financial advice
We strongly recommend you consider taking financial advice from an adviser authorised by the FCA. If you do not have a financial adviser, MoneyHelper's 'Find a retirement adviser' tool can help you find one.
Find a financial adviser
Click on the links below for information for your financial adviser:
Advisers' webpage
If you are interested in transferring to another pension arrangement, please click below for more information.
Expression of Wish
In certain circumstances, there may be a lump sum payable from your policy when you die. If so, Rothesay has discretion regarding who to pay this to but will always take your latest 'Expression of Wish' into account. To let us know who you would like to receive any lump sum payable on your death, you can complete an ‘Expression of Wish’ declaration via our online service or a paper form.