【Multi-currency Savings Insurance】Build your future with foresight and start your wealth succession plan now

For many people, wealth inheritance is something that is “very important” yet often regarded as “not urgent”. Most people are usually very averse to making arrangements for matters after death, and often neglect to plan for asset inheritance and wealth distribution. There are many ways to pass on wealth, and some savvy parents believe that savings insurance is a more convenient and efficient option. The earlier you start planning, the more you can preserve and grow your wealth while passing it on, helping the next generation safeguard their prosperity and creating different life choices.

Sun Life 永明’s萬年青．星河傳承計劃is a savings insurance product that offers long-term savings and growth potential, with four policy currency options and a currency conversion option¹, as well as up to six death benefit settlement options, helping you prepare for your legacy planning.  

As everyone knows, the longer the term of a savings policy, the higher its projected total surrender value will be if no policy value is withdrawn during the policy term. Therefore, the best time for legacy planning is “now”. As the saying goes, many a little makes a mickle: a policy taken out today, after a long period of accumulation, can help wealth continue to grow. 萬年青．星河傳承計劃 features a “guaranteed cash value” that begins to grow steadily from the 3rd policy year until the insured person reaches age 120, or the policy ends, whichever is earlier, helping the policy owner build wealth steadily.

At the same time, the policy also includes a “non-guaranteed portion” made up of reversionary bonuses and terminal bonuses², offering long-term growth potential. Once declared, the reversionary bonus becomes guaranteed return and will accumulate within the policy, which is rare in the market. Assuming a policy term of up to 60 years, based on the current assumed investment return, the product’s projected internal rate of return (IRR) could be as high as 6.8%³. It allows you to plan your legacy while your wealth grows steadily at the same time.

When parents pass on, deciding how to distribute their wealth is also an art. If you wish to pass on your abundant wealth to different family members, it is actually not difficult.

萬年青．星河傳承計劃 offers a wealth inheritance feature and provides 6 death benefit payment options. The policyowner can choose different death benefit payment options for each beneficiary, including a full lump-sum payment, full instalment payments, partial instalment payments, the market-first⁴ partial instalment payments until the beneficiary reaches a specified age, full increasing instalment payments, and a continuation option. With the continuation option, the beneficiary can automatically inherit the policy and become the policyowner or insured person, and the policy can even be converted into a policy in a different currency. This offers flexibility, allowing wealth to be distributed truly according to personal wishes and the different needs of different family members.

萬年青．星河傳承計劃 offers a seamless wealth transfer option with no additional charges. For example, the existing policy can be split into two or more new policies⁵, enabling the policyowner’s assets to be passed on seamlessly to different family members. From the third policy anniversary onwards, the policyowner may exercise the policy split option once in each policy year, giving the policyowner the flexibility to choose how to express “love” to different family members.

Parents always hope to bring a better life to their families. In middle age, if they have already accumulated a certain level of assets, they may begin planning for wealth succession, giving the next generation greater flexibility and room to realise their dreams, such as developing a career in Mainland China or overseas. If the policyholder chooses 萬年青．星河傳承計劃, they may exercise the currency conversion option to choose between and freely switch among USD, CAD, GBP or RMB policy currencies. Even after the currency conversion, the features of the savings insurance plan remain unchanged, so it can still suit the needs of family members should they move to different places in future.

Generally speaking, overseas remittances are not as convenient as local transfers and involve handling fees. To help policyholders manage their wealth flexibly, 萬年青．星河傳承計劃 offers a transfer service, allowing the policyholder to withdraw funds from the policy⁶ and transfer them to an overseas bank account in their own name, with one annual waiver of the relevant bank transfer fee⁷.

Society increasingly values environmental, social and corporate governance (ESG) investing, with the aim of achieving sustainable social development; this also aligns closely with the philosophy behind legacy planning, which seeks to pass wealth on to future generations. 萬年青．星河傳承計劃 focuses on investing in assets with strong ESG performance, including green bonds, sustainable buildings and renewable energy, enabling policyholders to pursue their financial goals while also contributing to environmental protection and social development.

萬年青．星河傳承計劃 offers premium payment terms of 2 or 5 years, with minimum annual premiums of US$15,000 and US$3,000 respectively. The entry age is 0 to 80 for the 2-year premium payment term, and 0 to 75 for the 5-year premium payment term, making it suitable for applicants of different financial means and ages.

From now until 30 June 2024, if you successfully enrol in the Evergreen Series, the policyholder, insured person and their direct family members can enjoy free medical services, including premium medical services, medical consultation and review services, and prestigious mainland China companion medical escort services for VIP clients. This offer is subject to terms and conditions. For details, please refer to the promotional leaflet.

The product information mentioned in this article is only a product summary. For details of the interpretation, full terms and conditions, benefits and exclusions, and product risks, please refer to the product brochure and sample policy document. This article is intended for display/distribution in Hong Kong only and does not constitute an offer to sell, a solicitation to buy, or the provision of any product of Sun Life Hong Kong outside Hong Kong. If there is any discrepancy between this article and the policy document, the policy document shall prevail.

Remarks:
1. Upon approval of currency conversion, the policy year, policy maturity date, policy owner and insured person will remain unchanged. After exercising the currency conversion option, the notional amount of the policy must not be less than the minimum amount required under the then-current administrative rules of Sun Life Hong Kong Limited (“Sun Life Hong Kong”).
2. Reversionary bonuses and terminal bonuses may change, with investment return generally regarded as the main determining factor. Other factors include, but are not limited to, claims experience, policy expenses, taxes and policyholder lapse experience.
3. The projected returns of the product include guaranteed and non-guaranteed portions. The main determining factor of non-guaranteed bonuses is investment return (including the impact of asset defaults and investment costs). Other factors include, but are not limited to, claims experience, taxes, expenses and policy persistency rate. The projected withdrawal amount and return are non-guaranteed and calculated based on Sun Life Hong Kong’s current assumed investment return. The actual cash value and face value of the accumulated reversionary bonuses and the cash value and face value of the terminal bonus payable may be higher or lower than the projected amounts above.
4. “Market first” is based on a comparison as at 31 July 2022 of savings plans for new policies offered by insurers carrying on both general business and long term business in the register of authorised insurers authorised by the Insurance Authority.
5. Upon approval of policy split, the policy year, policy maturity date, policy currency, policy owner and insured person of the split policy will be the same as those of the original policy. The split policy is not subject to a cooling-off period. The notional amount of the split policy must not be less than the minimum amount required by Sun Life Hong Kong. Once the policy split application is approved, it cannot be withdrawn or amended.
6. Any withdrawal exceeding the total of the accumulated reversionary bonuses’ cash value balance and the value in the value lock account will be deducted from the guaranteed cash value and the cash value of the terminal bonus. This will reduce the policy’s notional amount and be regarded as a partial surrender, thereby reducing the policy’s long-term value.
7. The overseas transfer service is an administrative service provided by third-party banks/service providers. This service is not guaranteed, and Sun Life Hong Kong may amend or terminate this service without prior notice. The overseas transfer service is subject to applicable laws, regulations and the guidance issued by the regulatory authorities of the relevant jurisdictions. Sun Life Hong Kong shall not be responsible for any acts, omissions or negligence of the relevant third-party banks/service providers, nor shall it be liable for any loss or damage, costs or other expenses arising directly or indirectly from or caused by this service.

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.