The Smart Wealth Renminbi five-year endowment plan has a guaranteed maturity benefit after five years of 113.24% of the total premiums due and paid in RMB, equivalent to an annualised return of 2.8%.
Premiums only need to be paid for two years to obtain a five year life benefit with a guaranteed maturity benefit in RMB, and the Plan also allows for the potential appreciation of CNY in combination with a basic level of life cover and additional accidental death benefit.
An option is available to prepay the second year’s premium at the same time as the first year’s premium. The pre-paid second year’s premium will accumulate at 3.5% pa during the first policy year and will be used to pay for the second year’s premium in full when it is due.
Roy Halliday, chief executive – Hong Kong, said he believed the new product would help to diversify Standard Life’s product offerings.
Product features
- Issue age: Life Insured : Age 1 to 80
- (age last birthday): Policy Owner : Age 18 or above
- Policy Term: 5 years
- Premium Term: 2 years
- Payment Frequency: Annual
- Policy Currency : CNY
- Minimum Annual Premium : CNY 40,000 per policy
- Maximum Annual Premium : CNY 2,500,000 per life insured
- Death Benefit: Equals to any balance of pre-paid premium (if applicable) without interest plus the higher of:
- (a) 100% of guaranteed cash value; or
- (b) 101% of the net amount derived by deducting all withdrawals (if any) from the total premiums due and paid.
- Additional Accidental Death Benefit: Equals to the lower of:
- (a) CNY 100,000; or
- (b) 10% of the net amount derived by deducting all withdrawals (if any) from the total premiums due and paid.
