[Essential for Families] Whole-life life cover with high protection to support every milestone in life

Starting a family is a major milestone in life. With the change in status to becoming the financial backbone of the family, one also has to care for parents and the next generation, and the responsibilities borne individually continue to grow. As the head of the family, protecting oneself is equivalent to protecting the family, and planning ahead for the future is urgently needed. A high-protection life insurance policy can greatly ease the pressure on the family’s future, both financially and psychologically.

FWD’s 家．年華壽險計劃 (“家．年華”) provides comprehensive protection for you and your family at a reasonable premium. Even when faced with different life challenges, the insured can flexibly increase the sum insured. Moreover, 家．年華壽險計劃 is an eligible life insurance plan under the Hong Kong Mortgage Corporation Limited (“HKMC”)’s reverse mortgage scheme¹, under which the policy can be converted into a stable lifelong cash flow to continuously support retirement expenses, further enhancing the life protection function of insurance. 

FWD’s 家．年華壽險計劃, after professional review by 10Life, has achieved a 5-star rating in lifelong life insurance (5-year premium payment plan). The premium payment term is flexible: policy owners can choose to pay premiums in one lump sum or over 5, 10 or 20 years according to their needs. Taking a 30-year-old non-smoking male as an example, premiums start from as low as HK$41 per day², providing flexible and comprehensive life protection with a sum insured of HK$1 million, at an affordable premium.

In addition to the flexible premium payment term, policy owners may even use the premium reserve account to prepay premiums³. If the policy owner becomes involuntarily unemployed and faces sudden financial pressure, they may also apply to defer premium payments for up to 365 days⁴, easing the financial burden and getting through difficult times. If the insured is unfortunately certified by a registered professional doctor as being highly likely to pass away within 12 months, the death benefit may be advanced immediately⁵, allowing early arrangements for themselves and their family;

Under the “Death Benefit Payment Option Arrangement”, the policy owner may preset the instalment form and amount for payment of the death benefit, etc., to suit the family’s needs and carry out estate planning flexibly. After the insured’s death, beneficiaries may receive the claim as a lump sum, in instalments (annually/monthly), or a combination of both.

From the moment you start planning a family, the major milestones of life arrive one after another — marriage, buying a home, having children — along with greater responsibilities.“Life Gala” features the “Enjoy Life Extra Protection Option”⁶, designed to align with each person’s life milestones and give the insured the flexibility to increase protection, so they can meet greater responsibilities and challenges.

As the head of the household, facing major expenses such as mortgage repayments and raising children, increasing life protection appropriately is equivalent to strengthening your commitment to your family. The “Enjoy Life Extra Protection Option” covers 8 specified life events, the most in the market⁷. When any one of the following life events happens to the insured, the policyholder may purchase FWD’s designated plan to increase protection at a crucial moment in life, without the need to submit evidence of insurability. After the policy has been in force for 1 year, and up to the insured’s 55th birthday (next birthday age) or earlier, the “Enjoy Life Extra Protection Option”⁶ may be exercised an unlimited number of times, giving your family peace of mind.

Many people take out whole life insurance to ease the burden left to their families when the insured unfortunately passes away. 家．年華壽險計劃, as an eligible life insurance plan under the policy reverse mortgage scheme¹, can also be converted into a stable, lifelong cash flow, enhancing the quality of retirement life.

See the example:
Peter, aged 30, has just got married and wishes to provide protection for his family, so he takes out 家．年華壽險計劃. Later, in response to buying a home and the birth of his daughter, he increases the insured amount through the “Enjoy Life Value Enhancement Option”⁶. Upon retirement at age 65, he uses the life insurance policy as collateral to draw a policy reverse mortgage loan from the lending institution, enabling him to receive lifelong annuity payments and create his own retirement income; after he passes away, there is also a chance to leave a meaningful gift to his loved ones⁹.

For yourself and your beloved family, a highly flexible life insurance plan can provide suitable and flexible protection for the family. Take advantage of the offer and act early. Successful enrolment on or before 31 March 2024 will enjoy the following offers:
For single-premium payment, enjoy a single-premium discount of up to 5%.
For annual-premium payment, enjoy a premium discount¹⁴ of up to 20% of the premium for the second policy year.

Notes:
•    The Home. A New Chapter Life Insurance Plan is underwritten by FWD Life Insurance (Bermuda) Limited (incorporated in Bermuda with limited liability) (“FWD”).
•    Unless otherwise stated, the ages mentioned above refer to the life insured’s age at last birthday.
1. “Home. A New Chapter Life Insurance Plan” is an eligible life insurance plan under the Reverse Mortgage Programme, but this does not mean that any application submitted by customers under the Reverse Mortgage Programme will be approved. Eligibility for the product depends on its features. Therefore, when applying for a reverse mortgage loan, the customer and the life insurance policy held by the customer must still meet all eligibility requirements under the Reverse Mortgage Programme. The Reverse Mortgage Programme is operated by HKMC Insurance Limited, a wholly owned subsidiary of The Hong Kong Mortgage Corporation Limited. For details of the programme, please refer to the website of The Hong Kong Mortgage Corporation Limited: www.hkmc.com.hk.
2. The daily premium shown above assumes that the annual premium of the Home. A New Chapter Life Insurance Plan is divided by 365 days, and does not reflect any premium discount offers.
3. If you wish to deposit funds into the premium reserve account, please complete and sign the designated form and return it to FWD. You may obtain the designated form from your financial adviser or FWD. For more information about the premium reserve account, please contact your financial adviser or FWD.
4. When the policy has been continuously in force for 2 policy years, if the policy owner becomes involuntarily unemployed during the premium payment term, they may apply for the Unemployment Benefit to extend the premium grace period to a maximum of 365 days starting from the next premium due date (including the original 30-day premium grace period). The policy owner may exercise this benefit only once for the policy. The policy will remain in force during the extended premium grace period. During the extended premium grace period, the insured amount of the policy cannot be reduced, the Enjoy Life Upgrade Option cannot be exercised, and no policy loan may be applied for. For details, please refer to the policy provisions.
5. Once this benefit is paid to the policy owner, the basic plan together with all riders attached to the basic plan will be terminated. The advance death benefit is not applicable in certain circumstances. Please refer to the exclusions and policy provisions for details.
6. To exercise the Enjoy Life Upgrade Option, the policy owner must submit a written application to FWD within 90 days after the occurrence of the specified life event and provide proof of the life event. The Enjoy Life Upgrade Option is subject to FWD’s prevailing rules and procedures. Please refer to the policy provisions for details.
The Designated Plan (“Designated Plan”) is subject to FWD’s prevailing rules and requirements, including but not limited to:
(i) The sum insured of the Designated Plan must not exceed (i) 100% of the sum insured of the Home. A New Chapter Life Insurance Plan or (ii) HK$1,500,000/US$187,500 in aggregate for all Home. A New Chapter Life Insurance Plan series policies issued by FWD per life insured, whichever is lower. The initial minimum sum insured of the Designated Plan is HK$50,000/US$6,250;
(ii) The premium for the Designated Plan will be determined according to FWD’s applicable premium rates (as determined at our absolute discretion) and the life insured’s age at next birthday at the time the Designated Plan is issued;
(iii) If the sum insured of the Home. A New Chapter Life Insurance Plan has been changed, FWD will determine the maximum sum insured of the Designated Plan based on the latest sum insured;
(iv) The Enjoy Life Upgrade Option cannot be exercised during the extended premium grace period.
7. Product comparison is based on product brochures and policy provisions printed in the market as of October 2023.
8. The list of the top 10 universities is based on the list published on our website at the time of claim submission. The list of the top 10 universities may change from time to time, and FWD reserves the absolute discretion to do so.
9. If the death benefit amount exceeds the borrower’s total outstanding reverse mortgage loan balance, the lending institution will refund the balance remaining after repayment of the reverse mortgage loan in full to the borrower (or the borrower’s estate executor). Any shortfall will be borne by HKMC Insurance Company under the insurance arrangement with the lending institution.
10. The New Plan is assumed to be the Home. A New Chapter Life Insurance Plan under the Enjoy Life Upgrade Option, and the premium will be determined according to FWD’s applicable premium rates (as determined at FWD’s absolute discretion) at the time the New Plan is issued and the age of the life insured at the time the New Plan is issued.
11. The Reverse Mortgage Programme does not restrict the number of reverse mortgage loan withdrawals made by the borrower, but each reverse mortgage loan accepts only one life insurance policy as collateral. The aggregate death benefit of all pledged and intended-to-be-pledged life insurance policies that may be used for annuity calculation is capped at HK$15 million.
12. Monthly annuity amount under the Reverse Mortgage Programme:
•    The monthly annuity amount of the above fixed-rate mortgage plan is calculated based on an annual interest rate of 4% for the first 25 years and Hong Kong Prime Rate minus 2.5% for the subsequent period, for reference only. The fixed interest rate and Hong Kong Prime Rate are determined by HKMC Insurance Limited and The Hong Kong Mortgage Corporation Limited from time to time respectively.
•    The above data are taken from the reverse mortgage calculator provided by The Hong Kong Mortgage Corporation Limited. The information and figures are for reference and illustration only, and should not be used as an indication of the exact annuity amount. Please refer to the website of The Hong Kong Mortgage Corporation Limited for details.
13. The death benefit amount for the Home. A New Chapter Life Insurance Plan and the New Plan is calculated based on the total death benefit amount of the policy:
•    The total death benefit amount shown above refers to the proposal prepared by FWD as at December 2023.
•    Assumptions: (1) premiums are paid on an annual basis, and all premiums due and the applicable premium levy are fully paid; (2) no withdrawals have been made from accumulated annual dividends and interest (if any); (3) no claims have been paid; (4) there are no outstanding amounts under the policy; (5) the sum insured of the basic plan remains unchanged throughout the protection term; (6) no policy changes have been exercised during the protection term; and (7) dividends are left to accumulate at interest.
•    The total death benefit amount is the sum of the following: (1) 100% of the total premiums paid or the latest sum insured, whichever is higher; (2) accumulated annual dividends and interest (if any); and (3) special dividends (if any), less any policy liabilities (such as outstanding policy loans and interest thereon, and any unpaid premium levy) (if any). The total death benefit amount and the above dividends and interest are not guaranteed and are calculated based on FWD’s current assumptions on investment returns. The actual total death benefit amount payable may be higher or lower than the figures shown above. In some cases, the non-guaranteed amount may be zero.
14. The premium discount is calculated based on the premium for the second policy year, and the amount of the premium discount may only be used to offset the premium for the second policy year of the eligible policy.

Disclaimer 
This advertisement is sponsored and provided by FWD and is for general reference only. The above product information does not constitute the full policy terms and is subject to the terms and conditions of the relevant plan. For details of the above product features, benefits, full terms, exclusions and key product risks, please refer to the FWD website, the relevant product brochure and the policy provisions. Any promotional offer or marketing material should be read together with the relevant product brochure. Customers must successfully complete a financial needs analysis to determine whether the recommended insurance product meets their insurance needs. 

Note: This article was last updated on 8 February 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.