Standard Life is adding “Temporary Annuities” to its line of annuity products.

“Although annuities are most commonly used to ensure an income at retirement, they can address short-term needs as well,” said Alain Brunet, senior vice president, marketing, Standard Life. “For example, someone taking a sabbatical may find it useful to buy a temporary annuity with the money that they have saved to fund their break. This way they receive a steady source of income and regulate their income so that their capital does not dwindle too fast”.

The temporary annuities are available as non-registered contracts that provide level or increasing payments for a specific period as long as the owner is alive. A temporary annuity can be purchased with or without a guaranteed period.

“Temporary annuities can also be useful for people retiring early,” stated Mark McCloskey, vice president, sales – individual market, Standard Life. “For instance, someone retiring at 62 could purchase a three-year temporary annuity to bridge their income gap until their government pension starts when they reach 65”

Other annuity offerings from Standard Life include single life annuities, joint life annuities, term certain annuities, lump sum annuities and impaired annuities.