Pension term assurance

Pension term assurance

 Although available before April 2006, from this date pension term assurance became widely available in the UK. Most insurance companies in the United Kingdom adopted the name "life insurance with tax relief" for the product. Pension term assurance is effectively normal life warranty duration with tax relief on the premiums. All premiums are paid net of tax to a basic rate to 22%, and higher rate taxpayers can get additional tax relief of 18% through your tax return. Although not suitable for all, PTA briefly became one of the most common forms of life assurance sold in the UK until, Gordon Brown, announced the withdrawal of the scheme in pre-budget announcement on 6 December 2006.