Affluent Life Guaranteed Annuity Plan
We understand that your hard work is motivated by dreams of a comfortable retirement with your loved ones. The Affluent Life Guaranteed Annuity Plan (“the Plan”) is a whole-life insurance plan that offers lifetime protection with a savings element, accumulating your wealth to provide for a financially flexible future.Once the Premium becomes fully paid up, you can enjoy guaranteed annuity payments that is payable until you reach the age of 100, meeting your retirement needs with ease.
Guaranteed Annuity Payments up to Age 100
The Plan offers you a guaranteed annuity payment equivalent to 100% of the Basic Amount on every Policy Anniversary before Policy maturity and at the Policy maturity, until you reach the age of 100, securing a stable income to fund your dream retirement. The number of guaranteed annuity payments you are eligible to receive is equivalent to 100 less the issue age of the Insured.
“Basic Amount” means the amount shown on the Policy Information Page or endorsement as the “Basic Amount”. The “Basic Amount” is used to calculate Premium, guaranteed Cash Value and guaranteed annuity payments, but it is not applicable to the calculation of the death benefit. If the Basic Amount has been amended while this Policy is in force, the said Premium, guaranteed Cash Value and guaranteed annuity payments will be adjusted accordingly.
Life Protection for Enhanced Legacy Planning
In the unfortunate event of the death of the Insured during the Premium payment term, a death benefit that is equivalent to 101% of the Premium received (excluding the guaranteed annuity payments paid) or the guaranteed Cash Value at the date of death of the Insured, whichever is higher, will be payable to the Beneficiary. If there are any accumulated guaranteed annuity payments with interest, accumulated dividends with interest will also be paid in full, less all Indebtedness (if any). Once the death benefit has been paid out, the Policy will be terminated.
In the event that the Insured passes away after the Premium payment term, the remaining guaranteed annuity payments will continue be paid to the Beneficiary1 , enabling you to meet your family's financial needs through your legacy. The guaranteed annuity payments that the Beneficiary is eligible to receive will be 100 less the issue age of the Insured and number of instalments of guaranteed annuity payments paid until the death of the Beneficiary. In case the Beneficiary passes away during the annuity period, a lump sum of accumulated Premium received less the accumulated guaranteed annuity payments paid or the guaranteed Cash Value at the date of death of the Beneficiary, whichever is higher, and also the accumulated guaranteed annuity payments with interest (if any) less all Indebtedness (if any) will be paid to the inheritor of the beneficiary, and the Policy will be terminated thereafter.
Different Payment Terms to Suit Your Needs
You may choose from a range of Premium payment term to suit your financial plans. Besides our 3-Year and 10-Year Pay options, you can also choose to prepay the Premium1 (for the 3-Year Pay option only).
Accumulate Interest to Maximise Your Returns
You can withdraw guaranteed annuity payments that have been declared anytime during the Policy term, or allow them to accumulate in your Policy to earn interest and boost your returns. The accumulation interest rate is not guaranteed. China Life Insurance (Overseas) Company Limited (“China Life (Overseas)”) reserves the right to revise the rate from time to time.
Simplified Underwriting Procedures
No medical underwriting is required, allowing your protection to commence immediately.
Affluent Life Guaranteed Annuity Plan
|Issue Age||From 15 days after birth to 70 years old (for 3-Year Pay)
From 15 days after birth to 55 years old (for 10-Year Pay)
|Policy Currency||HKD or USD|
|Premium Payment Term||3 years or 10 years|
|Benefit Term||To age 100 of the Insured|
|Premium Payment Method||Annual or Annual & Prepayment of Premium2(for 3-Year Pay only)|
|Basic Amount (Guaranteed Annuity Payment)||HKD10,000 to HKD1,600,000 or USD1,250 or USD200,000|
1 Only one Beneficiary can be assigned in any time while the Policy is effective.
2 If customers opt for the Annual & Prepayment of Premium option, they can withdraw the unused prepaid Premium (including interest, if any) at one time and China Life (Overseas) will charge 3% of the withdrawal amount as withdrawal fee. Customers can withdraw the unused prepaid Premium once only. The interest rate of Prepayment of Premium is not guaranteed.
Please refer to the Policy documents for the complete definitions of the capitalized terms, as well as all the terms and conditions of this product. You are reminded to review all of the relevant product materials provided to you and to seek independent professional advice if necessary.
- The Policy is underwritten by China Life Insurance (Overseas) Company Limited (“China Life (Overseas)” or "us/we/our"). China Life (Overseas) is responsible for the features, underwriting and benefit payments under the Policy. You should fully understand all of the risks involved in this product and consider whether this product is affordable and suitable to you before making your application.
- China Life (Overseas) shall make the final decisions on the underwriting and claims.We shall rely on your submitted information to assess whether to accept or decline your application, and shall refund any Premium paid without interest for declined cases.
- No dividend will be paid in the Policy and therefore dividends are not available to the Plan.
- Exclusions and Limitations - The information stated in this product brochure is for reference only. Please refer to the General Provisions for the exact terms and conditions and limitations such as incontestability, suicide and fraud etc. or all exclusions.
- Non-Payment of Premium / Automatic Premium Loan - You should pay Premiums on time according to the selected Premium payment schedule. If the due Premium remains unpaid upon the expiry of the Grace Period, an Automatic Premium Loan will be taken out against the Policy to settle the unpaid Premium automatically. All Policy Loans are interest-bearing and calculated at a rate (as stated on our corporate website www.chinalife.com.hk) to be declared by us from time to time. Interest accrued shall become a part of the Indebtedness. When the loan balance exceeds the guaranteed Cash Value of the basic plan of the Policy, the Policy will be lapsed and you will lose the related insurance coverage and suffer a financial loss. Under these circumstances, the Surrender Value of the Policy will be deducted to repay the outstanding loan balance (including interest), and the remaining value will be refunded to you.
- Cooling-off Right - You have the right to cancel the Policy within the Cooling-off Period and obtain a refund of any Premiums paid by giving written notice to us provided that you have not made any claims under the Policy. Such notice must be signed by you and submitted to China Life (Overseas) at 22/F, CLI Building, 313 Hennessy Road, Wan Chai, Hong Kong within 21 days after the delivery of the Policy or issue of a Notice to you or your representative informing you that the Policy is available, whichever is earlier.
|What are the key product risks?|
|Credit risk||This product is a life insurance Policy issued by China Life (Overseas). Any Premium paid will become part of our assets and our financial strength will affect our ability to meet our contractual obligations to you under the Policy. Therefore this product is subject to our credit risk.|
|Early surrender risk||The savings component of the Plan is subject to risks and possible losses. Should you surrender the Policy early, you may receive an amount considerably less than the total amount of Premiums paid.|
|Exchange rate and Currency risks||Any Policy with foreign currencies involves risks, such as potential changes in political or economic conditions that may substantially affect the price or liquidity of a currency. The fluctuations in exchange rates may also cause financial losses to you during currency conversions. You should consider the potential currency and exchange rate risks before deciding which Policy currency you should take.|
|Inflation risk||The cost of living in the future may be higher than expected due to the effects of inflation. Therefore, your current planned benefits and/or returns maybe insufficient to meet your future needs even if we fulfill all of our contractual terms and obligations.|
|Liquidity and Withdrawal risk||You are obliged to hold the Policy and pay the Premium for the designated period of time. If you terminate the Policy prior to the Policy Maturity Date, you will suffer a financial loss. In case you make partial withdrawals from the Policy, your account value, death benefit and other Policy values will be reduced, and you may need to pay the relevant handling fee or charges (if any).|
|Non-guaranteed Benefit||This Plan consists of non-guaranteed benefits and/or returns. The actual amounts of benefits and/or returns in the future may be different from the benefits and/or returns which project on the product materials.The product materials are for illustrative purposes only.|
|Policy Termination||The Policy will be terminated if (a) the Policy lapses or is surrendered, (b) the Maturity benefit are fully paid, (c) the death benefit are paid, (d) you do not pay the Premium within 31 days of the due date and the Policy has no Cash Value, or (e) the Indebtedness is equal to or exceeds the guaranteed Cash Value of the Policy.|
The information and descriptions contained herein are not intended to be complete descriptions of all terms, exclusions and conditions applicable to the products and services, but are provided solely for general informational purposes. For complete details please refer to the actual policy or the relevant product or services agreement.