I have long been a fan of Retirement Line , Britain’s foremost independent annuity broker  that operates from the outskirts of Peterborough and sets consistent standards for annuity brokers that have made them trusted , not by their customers, but by the insurers whose rates they promote and whose offers they help underwrite.

Mark Ormston, who I first met at a Pensions Awareness event  in Peterborough Town Square has done as much for the reputation of annuities as anyone. He is perhaps the new Tom McPhail, not that the old one is out of circulation. He has Tom’s magnetism and generosity of spirit.

That Retirement Line are so damned good, has made me want to partner with them and AgeWage and Retirement Line have been working together for some years.

Pension SuperHaven partners with Retirement Line to offer ‘best price promise’

The Best Price Promise is that we will not promote Pension SuperHaven where the rate if can offer is inferior to the best rate available from the annuity market. That includes the best enhanced rate, if an enhancement for poor health or lifestyle is available

So why would a scheme offering people pensions sometimes promote annuities instead?

It’s because of the consumer duty and because there is a strong culture of “treating the customer fairly” that drives us . I have made it  clear that I would not be comfortable, were Pension SuperHaven not to be able to guarantee a pension rate that could be achieved from the open market in annuities, that Pension SuperHaven promoted itself as the most suitable pension.

Pension SuperHaven pays a guaranteed rate and pays it “with profits” on top, paid as bonuses when the pension scheme is well enough funded to be able to distribute surplus money. But we don’t believe that we should be selling the sizzle if the sausage doesn’t match the best annuity rate.

We don’t just believe in the open market option, we demand it is used , before we accept your money into Pension SuperHaven

Shopping around

What is great, is that savers, whether they intend to purchase or are just “shopping around” can use the AgeWage app to test their best annuity against their Pension SuperHaven rate to determine the lifetime income they wish to have.

We find it extraordinary that people are able to research financial products such as motor insurance online – and take decisions from year to year – and yet have no way of comparing retirement choices the impact of which last a lifetime.

While Retirement Line has an online service that allows you to compare your rate, improve your rate (through lifestyle and medical underwriting) and swap your pot for pension, those advertising other pathways – drawdown, run on and cash-out do not offer the benchmark return of an annuity.

No wonder people get confused!

We have created an app which allows decisions to be made with real time information about the choice of guaranteed income available. We hope in time we will be able to extend the choice engine to include an assessment of other pathways.

What we told the press

Thanks to all the trade press that covered this announcement. If you want the story, contact details are at the bottom of the blog

Pension SuperHaven (“PSH”), Edi Truell’s innovative solution to support individuals in turning “pots into pensions”, as well as addressing associated scheme problems, today announces a working partnership with Retirement Line, the UK’s largest independent annuity broker.

This partnership further bolsters PSH’s product offering as well as technical capabilities and will see the creation of a ‘best price promise’ for pension savers. This promise means that savers will be rejected by PSH if a higher annuity quote can be obtained via Retirement Line.

Pension SuperHaven is launching as an occupational pension scheme, which manages bulk transfers from cash balance plans. The intention is to also enable large sole-employer sponsored schemes to offer Pension SuperHaven ‘guaranteed pensions for life, with shared upsides’ to their members, as the default means to turn pots into pensions.

What is more, the Pension SuperHaven pension will also be available for individual savers transferring to master trusts where PSH is “inside”. In July, the new Labour Government announced that it was intending to mandate a “pot to pension” facility for DC schemes as a choice or by default.

Edi Truell is the Founder of Pension SuperFund Capital, which provides the financial backing for the guarantees required within PSH. Edi remains confident that PSH is on track to make a significant difference to the 700,000 savers who each year reach retirement age with no obvious optionality to get a pension.

AgeWage, a software company that helps measure value for money and supports people to make better informed decisions including the comparison referenced will continue to drive this service offering with PSH and Retirement Line respectively.

Mark Ormston, Director of Propositions & Corporate Partnerships at Retirement Line, commented:
“We have co-created and perfected software that gives savers an instant comparison reading between PSH and the best annuity available on the open market. This innovation enables savers to quickly compare the offerings, providing transparency and peace of mind. The service is designed to help the saver select the best product for them. Let the best offering (and rate) win!”

Edi Truell, Co-Founder at Pension SuperHaven, added:
“We are delighted to partner with a leading name in the industry such as Retirement Line in what is another key and exciting moment for the development of PSH. Even disregarding the investment bonuses PSH will pay savers from its surplus, the underlying guarantees and data show that for all but the later stage of life customers, PSH offers fundamentally more income for the saver’s pot. However, don’t just take our word for it, try our comparison tool.”

Henry Tapper, Chair of AgeWage, concluded:

“Our research shows that 80% of savers communicate a desire to swap their pot for a consistent income to be paid as long as they live. However, just 10% actually end up buying annuities. The market has been waiting for a solution like PSH to come along and we are delighted to launch and partner with such an impressive market leader as Retirement Line. We are proud to be able to help consumer’s make more informed choices for a better future

This news follows the announcement in August that First Actuarial were appointed to administer Pension SuperHaven. To read this announcement in full, please click here: https://cdn.roxhillmedia.com/production/email/attachment/1640001_1650000/bb9608a787b44740f2755765b9f2ed85d5464c4d.pdf.

 

For more information, please visit: www.pensionsuperhaven.com.

For general enquiries, please contact:

Pension SuperHaven

Henry Tapper (Co-Founder)
E: henry.tapper@psf.capital
T: +44 7785 377768

Edmund Truell (Co-Founder)

E: edmund.truell@psf.capital

 

For media enquiries, please contact:

EQ
James Culverhouse
E: james.culverhouse@eqcorp.co
T: +44 (0) 7912 508 322

 

Pension SuperHaven will offer a simple and straightforward benefit schedule, with options for spouses also to have a pension. Members don’t have to have retired; they can opt for a deferred pension. Those that have yet to reach retirement age keep their ‘pension freedoms’, so can essentially change their mind in the future.

 

Pension SuperHaven members would be eligible to participate in our member ‘shared outcome’ arrangements, whereby they share in the investment performance of Pension SuperHaven.

A ‘pension for life, with shared upside.’