Pensions - Articles - Angelina Jolie, DNA analysis and annuity providers

 Angelina Jolie has recently spoken out about undergoing preventative surgery to remove her ovaries; this is in addition to the preventative double mastectomy she underwent in 2013. Angelina made the decision after DNA analysis revealed that she carries a genetic mutation that increases her risk of breast and ovarian cancer. The awareness created by her decision to have a mastectomy in 2013 alone prompted an increase in the number of women undergoing genetic screening for breast cancer by up to 250%.
 Is it possible to go further?

  

 With the cost of DNA analysis to screen for a variety of diseases now below £1,000 are we getting closer to fully understanding the ‘code of life’; eliminating health risks before they even develop? What impact could this have on annuity providers?

  

 Commenting on the implications for annuity providers, Kim Durniat, Partner and head of Life Insurance Consulting at Barnett Waddingham says:
 “The impact that DNA analysis could have on the annuity market is potentially huge. From this year British retirees have for the first time true freedom in how they elect to take their pension. With DNA analysis getting cheaper every year people could effectively play the system – purchasing annuities only when they know themselves to be in excellent health and otherwise opting for drawdown products or cash.

  

 “Annuity providers should already be thinking very carefully about the effects that increased awareness of cancer prevention will be having, and if DNA analysis becomes commonplace their whole approach to pricing may have to change.”