Decisions you make about your pension options are critical to your retirement and you should take advice from a qualified advisor before making any decisions.

Your pension is provided through something called an 'annuity'. In exchange for your accumulated pension fund, your pension company will offer you (and your partner, if applicable) a pre-set level of income, guaranteed for the rest of your life. An annuity can be purchased at any time from age 55 and must be purchased by the age of 75. It is a good idea to shop around the annuity market to compare the income offered before making your decision. This is particularly relevant if you have diabetes, as you may be able to benefit from a special type of annuity called an 'enhanced' annuity. This type of annuity may offer a higher level of income than conventional annuities, as the income is adjusted to reflect your lifestyle, state of health and life expectancy. Diabetes UK Insurance Services offers enhanced annuities.

Occupational pension scheme

This is a scheme organised by your employer, and often includes life insurance. This could include life insurance (usually calculated as a multiplication of your annual salary) and permanent health insurance (which pays a percentage of your salary to you if you are off work due to ill health). If you are a member of a pension scheme at work, make sure you know what its full benefits are. If you move to another job, check if you can continue with the insurance cover even at your cost – it may be very valuable to you.