【New Year, New Plan】Upgrade your savings plan — a financial plan that keeps up with change

New year, new outlook — it's time to plan for the future, so why not start with financial planning! For your wealth-growth plans for the coming year, consider beginning with an insurance product that offers asset appreciation, retirement planning, and wealth-transfer features.

The recently upgraded participating savings policy — YF Life Prosperous Infinity Saver Plan — provides a medium- to long-term solution that combines protection with the ability to grow wealth over time. It offers up to 10 policy currency options, the option to convert into 12 lifetime annuities, and a policy split feature, meeting your savings, retirement, and legacy goals all at once. Even if the future is full of uncertainty, you can prepare early with a financial plan to share with your loved ones.

As a medium- to long-term financial planning tool, a flexible savings policy can meet policyholders' needs to adapt their finances to changing circumstances. Whether for studying abroad or planning to emigrate, Prosperous Infinity Saver plan offers multiple flexible options, including up to 10 policy currency choices—the most in the market¹; in addition to the existing bonus lock option, it now adds a bonus unlock option, allowing policyholders to decide when to preserve and grow value; the Prosperous Infinity Saver plan can help policyholders’ wealth grow steadily and pursue higher potential returns.

Under globalization and increased population mobility, multi-currency products better meet clients’ timely needs. Prosperous Infinity Saver plan has upgraded its policy currency options from nine to ten, including US dollars, Hong Kong dollars, Macanese pataca², Renminbi, British pounds, Singapore dollars, Australian dollars, Canadian dollars, Swiss francs and euros; policyholders can apply to exercise the "currency conversion entitlement"³ as early as the first policy anniversary.

The existing bonus lock⁴ feature has also been upgraded, allowing policyholders to transfer the latest cash value of reversionary bonuses⁵ and terminal bonuses⁵ into the bonus-locking account earlier — changed from the 15th policy anniversary to the 10th policy anniversary — to roll up and earn interest at a non-guaranteed rate, or to withdraw for use; this plan also adds a bonus unlock feature⁶, which allows, one year after exercising the bonus lock entitlement, part or all of the latest cash value in the bonus-locking account to be converted back into reversionary bonuses and terminal bonuses to accumulate potential returns.

Under the management of a professional investment team, the Prosperous Infinity Saver plan employs a diversified investment portfolio across regions, industries and market cycles, and, in addition to guaranteed cash value⁵, offers non-guaranteed "reversionary bonuses"⁵ and "terminal bonuses"⁵, providing greater investment return potential and allowing the policy’s cash value⁷ to grow steadily.

Starting to save early — for most people the goal is to prepare for retirement. Prosperous Infinity Saver Plan can flexibly convert all or part of the policy’s cash value into a lifetime annuity⁸, and offers a market-unique⁹ selection of up to 12 lifetime annuity options, turning your savings into a worry-free retirement.

There are 12 annuity payment options to choose from, including the option to share the annuity with a spouse, or to receive double annuity payments in the event of a critical illness or severe cognitive impairment, and so on. Payments can continue regardless of how long you live, ensuring a stable source of income in retirement. From age 55 and once the policy has been in force for 10 years, you can flexibly choose to convert all or part of the cash value into an annuity.

Prosperous Infinity Saver Plan also caters to different legacy needs, offering multiple flexible succession options to help wealth continue across generations:

• Pre-arrange a new policyholder and insured: In the unfortunate event of death, the pre-designated beneficiary¹⁰ can become the new insured, or the secondary policyholder¹¹ can inherit the policy.
• Policy split¹²: You can split part of the policy’s cash value into multiple policies, in different currencies, to gift to different relatives or friends as policyholders; you can also set a pre-arranged split instruction¹³ so that upon the policyholder’s death, part of the policy’s cash value is split into another policy, allowing the wealth accumulated within the policy to be passed on.
• Change the insured and/or policyholder: During the policy term, the policyholder may change the insured¹⁴ or transfer the policy to another policyholder an unlimited number of times, enabling you to pass the policy to loved ones and share wealth with future generations with peace of mind.

As the head of the household, Roy’s financial goals were not limited to the present; he also hoped to pass wealth down through the generations. So at age 40 he took out the Prosperous Infinity Saver, contributing a total of US$100,000 over two years. After years of accumulation and growth, when his daughter Emma settled down at age 30, Roy transferred the policy into Emma’s name; at that time the policy’s cash value had reached US$608,498¹⁶.

When Emma entered her senior years, she followed her father’s example of using a savings insurance policy for wealth succession, and selected different death benefit payout options to plan ahead for the futures of her three children, passing Roy’s remaining wealth on to the third generation.

Life is full of uncertainties. By making estate‑planning arrangements early, not only can wealth be passed down through generations, but the Prosperous Infinity Saver can also, in advance, provide thoughtful arrangements for loved ones through up to 11 death benefit¹⁷ payout options.

If the insured unfortunately passes away, in addition to paying the death benefit to the designated beneficiary, the policyholder can pre‑set the method of payment, allowing the beneficiary to receive the death benefit in any of 11 ways — for example, as immediate or deferred payments, such as only payable once the beneficiary reaches a specified age.

The purpose of saving is to prepare for the days ahead. However, the future is unpredictable. A highly flexible product like the Prosperous Infinity Saver can provide tangible returns and peace-of-mind protection for you and your loved ones as your life evolves.

In line with the comprehensive upgrade of the “Prosperous Infinity Saver”, applicants who successfully apply for the plan between now and 28 February 2025 can enjoy early-bird offers including (i) a premium discount of up to 30% of the first-year premium and (ii) a first-year prepayment premium preferential annual interest rate of up to 8%. For details of the “Prosperous Infinity Saver” and the promotion, please visit  https://www.yflife.com/tc/Hong-Kong/Individual/Save/Prosperous-Infinity-Saver/
 

Note:
1. Based on comparable plans in the Hong Kong and Macau markets as at 1 December 2024.
2. Applicable only to policies issued in Macau.
3. Applicable to policies in force for at least 1 year and whose entire cash value has not been converted into an annuity (not applicable to policies with prepaid premiums or policies under a premium holiday). A written application must be submitted within 30 days from each policy anniversary. The currency conversion right may be exercised only once per policy year. If YF Life no longer offers the Prosperous Infinity Saver at the time the currency conversion right is exercised, the policy will be converted to a new plan that YF Life can offer at that time, which may differ from the existing product. Differences in benefits, features and policy provisions between products should be carefully evaluated before exercising this right, and whether the relevant product meets individual needs should be considered. The guaranteed and non-guaranteed policy values and the annual premiums of the basic plan after exercising the currency conversion right will be determined and adjusted according to various factors, including but not limited to prevailing market exchange rates at the time (as determined by YF Life at its discretion), investment returns and asset values of the old and new asset mixes and/or transactions transferring existing assets to new assets, and may be lower or higher than the corresponding values prior to conversion. The annual premium of the basic plan after exercising the currency conversion right must not be less than the plan’s required minimum premium. Any policy debt (if any) must be fully repaid before exercising the currency conversion right. For details of the currency conversion right, please refer to the Terms and Conditions.
4. After the policy has been in force for 10 years, a written request to exercise the bonus locking right may be submitted within 30 days from each policy anniversary. The minimum percentage that can be locked each time is currently 5%, and the total locked percentage may be up to 60%; YF Life may determine the minimum and maximum locked percentages from time to time. Administrative rules in force at the time must be complied with. After exercising the bonus locking right, reversionary bonuses and terminal bonuses will be reduced by the amounts transferred, and any future reversionary and terminal bonuses will also be correspondingly reduced by a ratio determined by YF Life based on the amounts converted.
5. Exercising the premium holiday and/or the currency conversion right will affect guaranteed cash values, reversionary bonuses and terminal bonuses. For details of premium holidays and currency conversion, please refer to the Terms and Conditions.
6. One year after exercising the bonus locking right, a written request may be submitted within 30 days from each policy anniversary to exercise the bonus unlocking right to transfer the latest value of the specified percentage in the locked bonus account into reversionary bonuses and terminal bonuses. Each unlocking percentage must be between 10% and 100%; the Company may determine minimum and maximum unlocking percentages from time to time. The latest value of the locked bonus account as at the date of approval will be used to determine the amount to be converted into reversionary and terminal bonuses. YF Life will adjust any reversionary and terminal bonuses declared on the relevant policy anniversary and in the future accordingly. The amount unlocked from bonuses will change the guaranteed value of the locked bonus account into the non-guaranteed value of reversionary and terminal bonuses.
7. Policy debt will be deducted.
8. The annuity commencement date must be any month-end date 10 years after the policy date and cannot be earlier than the policy anniversary on which the insured has attained age 55. At the time of exercising the annuity right, the policy must still be in force, the policy currency must be USD, RMB, HKD or MOP (policies denominated in other currencies are not eligible to exercise the annuity right), and there must be no death benefit payable under the policy. Under current rules, the cash value used to exercise the annuity right must be at least USD 10,000 / RMB 65,000 / HKD 80,000 / MOP 80,000, must not exceed the cash value available, and the remaining cash value must not fall below the minimum requirement specified by YF Life. Any riders attached to the policy will terminate on the date the full annuity becomes effective. The annuity right may be exercised only once per insured person. YF Life guarantees to provide Annuity Option 1 “Fixed Lifetime Annuity” and reserves the absolute right to revise the annuity options offered under this plan from time to time, and to determine the terms and annuity amount at the time of the first annuity payment.
9. Based on comparable plans in the Hong Kong and Macau markets as at 1 December 2024.
10. If the policyholder designates a beneficiary to become the subsequent insured while the insured is alive, that beneficiary must submit a written request to become the new insured within six months after the insured’s death. Under this arrangement, no death benefit will be paid and the policy will not be terminated. Administrative rules in force at the time must be complied with.
11. While this policy is in force, the policyholder may submit an application to nominate a subsequent policyholder. Upon the policyholder’s death and approval of the change of policy ownership, the new policyholder will be entitled to exercise all rights and assume all obligations of the policyholder under this policy. For details on policy ownership, please refer to the Terms and Conditions.
12. Applicable to policies in force for at least 1 year and whose entire cash value has not been converted into an annuity (not applicable to policies with prepaid premiums or policies under a premium holiday). A written application must be submitted within 30 days from each policy anniversary. Policy splitting may be exercised only once per policy year, but the number of new policies created in each split is unlimited. The effective date and premium payment term of the split policies will be the same as the original policy. Under current rules, for each split the cash value transferred to each new policy must be at least USD 10,000 / HKD 80,000 / MOP 80,000 / RMB 65,000 / GBP 7,500 / SGD 15,000 / AUD 15,000 / CAD 15,000 / CHF 7,500 / EUR 10,000; and the annual premium of the remaining basic plan after the split must not be less than the minimum premium requirement. Any policy debt (if any) must be fully repaid before splitting the policy. For details of the policy splitting right, please refer to the Terms and Conditions.
13. The policyholder may pre-specify the split proportions of the policy and the policyholders of the split policies upon his/her death. YF Life will process such instructions upon receipt of the policyholder’s death certificate. For details of the policy split preset instruction right, please refer to the Terms and Conditions.
14. There must be at least one year between two changes of insured. Proof of insurable interest between the new insured and the policyholder is required. The attained age of the new insured on the effective date of the change must meet the policy’s issue age requirements. YF Life reserves the right to request proof of insurability. After changing the insured, any riders attached to the policy will be terminated. For details of changing the insured, please refer to the Terms and Conditions.
15. Figures in the examples are hypothetical and for illustrative purposes only. Projected cash values assume current projected reversionary bonuses and terminal bonuses, that premiums are paid annually and on schedule to the end of the premium payment term, that no cash values are withdrawn during the policy term, no policy loans are taken, and no exercise of policy splitting, currency conversion, annuity rights or premium holidays. Projected cash values are rounded to the nearest whole number.
16. The above projected cash values are not guaranteed.
17. The death benefit applies only while the policy is in force and before the full cash value is used to exercise any annuity right. The death benefit does not include any reduced annual premium of the basic plan (i.e., partial surrender). Policy debt will be deducted.

The above information is provided for general information only and is for reference only. It does not form part of the policy contract and does not cover all terms of the policy. For details of coverage, terms, exclusions and key product risks, please refer to the policy documents and product brochure.

The above information is intended for circulation in Hong Kong / Macau only and should not be construed as YF Life providing, selling, soliciting, or recommending any insurance product outside Hong Kong / Macau. If you are not currently located in Hong Kong / Macau, YF Life will be unable to provide you with information about the product and offers.

You and the relevant parties should seek independent financial, tax and legal advice. Although YF Life has taken care in preparing the information above, in the event of any inconsistency or ambiguity between the content above and the policy contract, the policy contract shall prevail.

If you have any enquiries or wish to obtain a sample policy document, please contact YF Life’s licensed insurance agent or your licensed insurance broker; or call YF Life Customer Service Hotline: Hong Kong (852) 2533 5555 / Macau (853) 2832 2622.

Last updated: 3 February 2025

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.