Marvin OnumonuResearch from LV= found consumer interest in annuities was growing, with 43% of UK adults saying certainty was the most important factor in planning retirement income.
This figure rose to over 50% for those aged 60 and over.
Flexibility was important for 31% and growth for 27%, but stability came out on top.
Only 10% of Baby Boomers (aged 61 to 70) had considered buying a lifetime annuity, and just 8% of Generation X (aged 45 to 60) had done the same.
For fixed term annuities, only 6% from both groups had considered them.
44% of UK adults had a positive view on using part of their pension to buy an annuity.
Among those who had received financial advice, this figure was 56%, compared to 26% for those who had not.
38% of adults said they had looked into their retirement income options, with lifetime annuities considered by 13% and fixed term annuities by 9%.
Gwen Haggo, savings and retirement sales director, said: “Annuities are regaining relevance as retirees seek certainty in an unpredictable market.
“Our research shows that guaranteed income is increasingly valued, and annuities, whether fixed term or lifetime, can offer that stability.
“Yet, awareness remains low, which is why education and advice are more important than ever in helping people make confident, informed retirement decisions.”
Haggo added: “Advisers are uniquely positioned to deliver this guidance and bridge the knowledge gap.
“Our top priority is to help people live financially confident lives.
“That’s why we’re proud to support National Annuity Day, to raise awareness of the security and peace of mind a steady retirement income can provide.”
Steve Butler, CEO of Pension Potential, said: “Many people approaching their retirement fear their savings won’t last.
“National Annuity Day brings the industry together to provide clear, reliable information and promote financial confidence.
“Thank you to LV= for supporting this initiative and helping more people understand the value of guaranteed income in retirement.”
