Applications could take 14 fewer days to process
Legal & General (L&G) has launched a digital application process for annuity applications which it says could trim a fortnight off the time it takes an average case to complete.
The provider said it had launched the digital process with a select number of firms and would roll it out in the second half of the year.
It said the streamlined process – L&G Apply – meant wet signatures were no longer required. However, paper-based applications will still be available for those who want them, L&G said.
Digitisation should also reduce the possibility of mistakes on applications.
L&G distribution director – retail retirement Cecilia Furner said: “L&G Apply is set to revolutionise the intermediary annuity experience with a faster, more efficient, and digitally integrated solution for annuity applications. This innovative system demonstrates L&G’s commitment to enhancing customer and intermediary experiences through cutting-edge technology and digital transformation, reflecting how financial planners work in today’s digital age.
“The time saved using L&G Apply enables intermediaries to do their job to the best of their ability and add the most value for their clients. We’re therefore delighted that we’re able to offer this solution and significantly reimagine the way the industry approaches annuity applications.”
Annuity boom
Earlier this month, the provider released its full year results which showed record new business sales of annuity contracts in 2024 totalling £2.1bn, an increase of 48%.
Its total annuity portfolio, including retail annuities, stood at £92bn for 2024 and “acts as a valuable source of capital to cornerstone new investment strategies”, the Furner said.
“We expect the thriving retail annuities market to continue, with increased competition, as higher interest rates and increased awareness around the benefits of guaranteed income, continue to make these products more attractive to customers. We are well positioned in this market,” the Furner said.
Jenna Brown (Professional Adviser)