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Financial advisory
RES5Financial Advisory Services✓A 38-year-old sole breadwinner with two young children and no life insurance asks his adviser to put most of his savings into a life annuity for retirement. What is the most appropriate advice?
An annuity cannot provide death protection (nor major-illness protection) and should be bought only after provision for premature death is in place. For a young sole breadwinner with dependants, securing life cover comes first.
Annuities carry no death or major-illness benefit; a temporary annuity does not pay dependants on death either. The gap to close first is premature-death cover.
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