【HKD Short-term Savings Insurance Comparison 2025】Which offers the best guaranteed returns? Some 3-year products offer returns of up to 4.75%!

HKD Short-term Savings Insurance policy terms are generally 3 or 5 years, and currently there is a 3-year product guaranteeing an Internal Rate of Return (IRR) of up to 4.75%. It is fairly attractive to investors who don’t want to endure the volatility of Hong Kong stocks and who seek stable returns. There are many similar products on the market; if you want to know which one offers higher returns, compare them now.

The U.S. federal funds rate is very likely to peak this year, and some investors may worry that high-interest time deposits will no longer be available. However, through short-term savings insurance, policyholders can lock in the rate of return for the coming years. In the short-term savings insurance comparison table above, the products are all HKD-denominated policies, and the vast majority can be purchased online; premium payment periods range from 1 to 2 years, policy terms are 3 or 5 years, and upon maturity the insurer will pay the guaranteed cash value.

10Life calculates the product's annualized guaranteed internal rate of return (IRR) using the entire cash flow. Among the 3-year savings insurance products listed in the table above, the guaranteed IRR is at least 2.38%; the highest is 立橋人壽 喜盈於「息」三年儲蓄守護保2, whose 3-year guaranteed return reaches 4.75%.

It is worth noting that if a short-term savings insurance policy is surrendered early, you will usually incur some loss. For example, surrendering after one year will result in negative returns for most products; in the most extreme case the guaranteed IRR on a first-year surrender is as low as −13.46%. Certain policies, such as 立橋人壽喜盈於「息」三年儲蓄守護保2, 眾安人壽ZA 儲蓄保, and 富邦人壽3年儲蓄易網上保險計劃, do not charge a penalty for first-year surrenders and even offer a certain return.

In addition, short-term savings insurance is different from bank deposits and is not covered by the Deposit Protection Scheme, so the insurer’s operational and financial condition is extremely important. If the insurer unfortunately fails to meet the policy’s financial and contractual obligations, policyholders may lose all premiums paid and their coverage.

Finally, if consumers want to compare short-term savings insurance products in different currencies, they can visit 10Life’s product decoder:

• Compare short-term savings insurance (RMB)
• Compare short-term savings insurance (USD)
• Compare short-term savings insurance (HKD)

Further reading:
[Internal Rate of Return] What does the IRR of savings insurance and annuities mean? How is it calculated?

Note: This article was last updated on January 11, 2024.

This English version of this article has been generated by machine translation powered by AI. It is provided solely for reference purposes. In the event of any discrepancy or inconsistency between this translation and the original Chinese version, the Chinese version shall prevail.