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cc-by (c)  Andrés-Sánchez, J. de et al., 2025
Si us plau utilitzeu sempre aquest identificador per citar o enllaçar aquest document: https://hdl.handle.net/2445/219070

Longevity Risk and Annuitisation Decisions in the Absence of Special-Rate Life Annuities

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Longevity risk affecting older adults can be transferred to the insurance market by purchasing a lifetime annuity. Special-rate life annuities, which are priced, among other factors, on the basis of health and lifestyle factors, go beyond traditional considerations of age and sex by using modified mortality tables. However, they are not available in many countries. In regions where life annuities are priced solely via standard mortality tables, retirees with below-average life expectancy may face unfair pricing. This study aims to quantify this actuarial unfairness and proposes an alternative annuitisation strategy for these retirees. The strategy allows them to transfer longevity risk by acquiring a life annuity on the basis of their actual mortality probabilities, thereby mitigating actuarial inequities. Additionally, the paper examines how tax incentives can exacerbate actuarial unfairness and, specifically for Spanish tax regulations, compares different alternatives under two scenarios related to the sources used for purchasing life annuities

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ANDRÉS SÁNCHEZ, Jorge de, GONZÁLEZ-VILA PUCHADES, Laura. Longevity Risk and Annuitisation Decisions in the Absence of Special-Rate Life Annuities. _Risks_. 2025. Vol. 13(2), núm. 37. [consulta: 28 de desembre de 2025]. ISSN: 2227-9091. [Disponible a: https://hdl.handle.net/2445/219070]

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