It will offer both a quotes service and a full introductory service, creating a one-stop-shop for all its advisers.
With only one form to complete, Tenet believes this service will save advisers up to 5 hours per case, enabling them to concentrate on marketing and business planning.
Tenet recognises the opportunity in what has traditionally been quite a restricted area. Just Retirement believe that 40% of annuitants could benefit from enhanced life annuities, yet in 2004 only 8% of annuities were enhanced.
The FSA have recently stated that people can increase their pension by up to a third by simply shopping around and Tenet aspires to arm its members with the confidence that they are giving their clients robust, compliant advice in this arena. .
Stuart Fairbairn, Director of Pensions Development at Tenet said that the market size for annuities was expected to be £9.3bn in 2005, representing approximately 350,000 cases and over 1m retirees, with only 31% of clients currently using their statutory right to the Open Market Option.
He comments “The ‘At’ and ‘In’ Retirement Market is growing each year and with the opportunities arising out of Pensions Simplification we believe this service will enable advisers to provide a first rate service to their clients whilst focusing on other business areas”.
Andrew Megson, Sales Director of Just Retirement adds: "We fully support Tenet's initiative to increase awareness of the Open Market Option. This fully aligns with the FSA's desire to see clients shopping around to get a better income in retirement".
Trevor Mitchell, Head of Retirement Income at Prudential said: "It is more important than ever for consumers to achieve the best value and select the right type of annuity to suit their circumstances. The launch of the new Annuity Bureau by Tenet is fully supported by Prudential and will benefit both advisers and their clients alike."
