The i2Live range of retirement policies from Lincoln Retirement Income are designated for those saving up for pension and those taking income from their pension. They fall within the new category of "Variable Annuities", an essential feature of which is a element of "Guaranteed Income"

Income Guarantee Option

This is exactly what it says, a guaranteed amount of income, for the life of the policy holder and their partner, if the joint life life option is chosen.

The income guarantee (IG) option is available with both the i2live drawdown and annuity option.

With drawdown the IG option is available at outset or can be added at anytime until the policyholder reaches age 75.

Different rules apply to the i2Live annuity

The amount of guaranteed income can be as high as 75% of the Maximum Supportable Income

Maximum Supportable Income

This is the maximum level of income that can be reasonably paid from the pension fund, for the rest of the policyholders life, based on a number of factors including:

• Policyholder's age and fund size
• Assumed rate of investment return
• Assumed future inflation
• Projected changes in life expectancy

The maximum supportable income will be reviewed every year - however the guaranteed minimum income will be calculated at outset and reviewed every 5 years

Investment options

The i2Live policies can be invested in a wide range of investment funds but equity based investments will be restricted to 70% of that part of the portfolio to which the guaranteed minimum income applies.

Death Benefits

On death before age 75, the normal death benefits under drawdown apply. See - Drawdown Death Benefits