Happy Living Guaranteed Income Plan

Transcription

1 Happy Living Guaranteed Income Plan Retire in Comfort and Happiness Chubb Life

2 Happy Living Guaranteed Income Plan Retirement should be a happy and care-free experience especially after so many years of hard work. To maintain your quality of life well into retirement and in order to meet any unexpected expenditure, it is important for you to plan now for your future financial security. To make retirement the best time of your life, ask yourself these 3 simple questions that are crucial for a secure retirement arrangement: How much money do you need for retirement? How many years will your savings last during retirement? How much will your MPF be worth upon retirement? Happy Living Guaranteed Income Plan is an effective tool in helping to enrich your savings and enlarge your safety net when entering a new chapter in your life. This plan not only provides guaranteed benefit income for as many as 18 years, but also includes a guaranteed celebration bonus and discretionary dividends, therefore increasing the return on your savings. Guaranteed Benefit Income By accumulating regular savings with the policy, you will receive a guaranteed monthly benefit income1 during the income period, or you can opt to retain it with us for interest 2 accumulation. Option Issue Age Premium Payment Period (number of years making premium payments) Accumulation Period (number of years growing your premium payments) Income Period (number of years receiving guaranteed monthly benefit income)

3 Guaranteed Celebration Bonus A guaranteed celebration bonus 3 up to a maximum of 12 times the guaranteed monthly benefit income 1 will be given to you at the start of the income period. You can withdraw the amount in one lump sum or retain it with us for interest 2 accumulation. Total Benefit Income This plan allows you to share in the Company s divisible surplus in the form of non-guaranteed annual dividends4 to further enhance the return on savings until the end of income period. During the income period, non-guaranteed benefit income from accumulated dividends and interests, together with the guaranteed monthly benefit income1, can be paid to you monthly. Illustration: Guaranteed Celebration Bonus Payout Total Monthly Benefit Income = (i) Guaranteed Monthly Benefit Income + (ii) Non-Guaranteed Benefit Income [Accumulated Dividends and Interests (if any)] Premium Payment Period Accumulation Period Income Period 3

4 Death Benefit 5 Upon the death of the insured, the beneficiary could receive a death benefit equal to an amount of up to a maximum of 138% of the basic premiums paid (the amount varies depending on the selected plan option, duration of the policy being in force and the insured s age upon death) or 101% of the guaranteed cash value, whichever is higher. Illustrative Example Assumptions: Insured: 35-year old / non-smoking / male Plan selected: Option 4 (12-year premium payment period / 6-year accumulation period / 18-year income period) Death benefit in the event of death: i) Before age 60: A or B ii) At age 60 or above: C A 101% of B 138% of C basic basic premiums premiums paid* paid* US$20,000 or 50% of basic premiums paid, whichever is lower* Age th policy year 53 Start of income period End of income period * If this % amount payable is lower than 101% of the guaranteed cash value, then 101% of the guaranteed cash value will be paid as death benefit. Death benefit varies depending on different circumstances. Please refer to the Table of Death Benefit, proposal and illustration summary, and respective policy provisions for detailed terms and conditions. Free Medical Check-Up 6 A general feeling of well-being may mask underlying health problems. In helping you to live a healthier and happier life, we offer a FREE medical check-up every 2 years during your selected premium payment period, after the policy has been in force for 2 years. In addition to a general medical examination, we offer different programs of assessments specifically tailored for male and female clients. The program for males includes Prostate Cancer Screening, whereas females can select a Pap Smear. Simplified Underwriting 7 Application for this plan is quick and easy. You can enjoy the benefits of this plan by undergoing simplified underwriting procedures. 4

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6 Illustrative Example: What Do You Get From Happy Living Guaranteed Income Plan? Assumptions: Insured: 35-year old / non-smoking / male Plan selected: Option 4 (12-year premium payment period / 6-year accumulation period / 18-year income period) Annual premium payment: US$3,754 Income payment option: Accumulation Dividend option: Accumulation Total Premium Paid = US$45,048 Guaranteed Celebration Bonus Total Guaranteed Benefit Income Total Non-Guaranteed Benefit Income (accumulated dividends + interests) = US$4,068 = US$73,224 = US$87,563 Premium Payment Period = 12 years Accumulation Period = 6 years Income Period = 18 years Age Projected Total Benefits = US$164,855^ 366%^^ of total premium paid ^ Equal to the sum of guaranteed celebration bonus, total guaranteed benefit income and total non-guaranteed benefit income. ^^ Equal to the percentage of projected total benefits divided by the total premium paid. Important Notes: i The projected values as shown in the above illustrative example are calculated based on certain assumptions. They are for illustrative purpose only and not guaranteed. Retirement needs and planning vary among different people. Happy Living Guaranteed Income Plan offers options with different premium payment, accumulation and income periods. You are advised to select the plan option based on your own needs. ii The example assumes guaranteed monthly benefit income, non-guaranteed dividends and guaranteed celebration bonus are left with the Company for interest accumulation until the end of income period (i.e. the insured s age of 71) at the rate determined by the Company from time to time. The non-guaranteed values are calculated based on the interest rate and dividend scales, which are not guaranteed and subject to change by the Company. iii Please bear in mind that inflation will increase your cost of living in the future. Therefore, the purchasing power of the projected values shown above may be less in the future than it is today. Notes: 1. Guaranteed monthly benefit income is equal to guaranteed benefit income divided by (12 x income period). 2. Interest is accumulated at such rate as varied and determined by the Company from time to time. 3. For option 1, the guaranteed celebration bonus is equal to 6 times the guaranteed monthly benefit income. For options 2 to 6, the guaranteed celebration bonus is equal to 12 times the guaranteed monthly benefit income. 4. The amount of dividends payable may vary from time to time. 5. Death benefit is available until the end of income period. Please refer to respective policy provisions for detailed terms and conditions. 6. This service is for policy with an annualized basic premium of US$3,000 or above and the offer is at the sole discretion of the Company. 7. Only applicable to policy with an annualized first-year basic premium less than US$100,000. 6

7 U.S. Foreign Account Tax Compliance Act Under the U.S. Foreign Account Tax Compliance Act ( FATCA ), a foreign financial institution ( FFI ) is required to report to the U.S. Internal Revenue Service ( IRS ) certain information on U.S. persons that hold accounts with that FFI outside the U.S. and to obtain their consent to the FFI passing that information to the IRS. An FFI which does not sign or agree to comply with the requirements of an agreement with the IRS ( FFI Agreement ) in respect of FATCA and/or who is not otherwise exempt from doing so (referred to as a nonparticipating FFI ) will face a 30% withholding tax ( FATCA Withholding Tax ) on all withholdable payments (as defined under FATCA) derived from U.S. sources (initially including dividends, interest and certain derivative payments). The U.S. and Hong Kong have signed an inter-governmental agreement ( IGA ) to facilitate compliance by FFIs in Hong Kong with FATCA and which creates a framework for Hong Kong FFIs to rely on streamlined due diligence procedures to (i) identify U.S. indicia, (ii) seek consent for disclosure from its U.S. policyholders and (iii) report relevant tax information of those policyholders to the IRS. FATCA applies to Chubb Life Insurance Company Ltd. (the Company ) and this Product. The Company is a participating FFI. The Company is committed to complying with FATCA. To do so, the Company requires you to: (i) provide to the Company certain information and documentation including, as applicable, your U.S. identification details (e.g. name, address, the US federal taxpayer identifying numbers, etc); and (ii) consent to the Company reporting this information and documentation and your account information (such as account balances, interest and dividend income and withdrawals) to the IRS. If you fail to comply with these obligations (being a Non-Compliant Accountholder ), the Company is required to report aggregate information of account balances, payment amounts and number of nonconsenting US accounts to IRS. The Company could, in certain circumstances, be required to impose FATCA Withholding Tax on payments made to, or which it makes from, your policy. Currently the only circumstances in which the Company may be required to do so are: (i) if the Inland Revenue Department of Hong Kong fails to exchange information with the IRS under IGA (and the relevant tax information exchange agreement between Hong Kong and the U.S.), in which case the Company may be required to deduct and withhold FATCA Withholding Tax on withholdable payments made to your policy and remit this to the IRS; and (ii) if you are (or any other account holder is) a nonparticipating FFI, in which case the Company may be required to deduct and withhold FATCA Withholding Tax on withholdable payments made to your policy and remit this to the IRS. You should seek independent professional advice on the impact FATCA may have on you or your policy. 7

8 Contact Us Chubb Life Insurance Company Ltd. (Incorporated in Bermuda with Limited Liability) 33/F, Chubb Tower, Windsor House, 311 Gloucester Road, Causeway Bay, Hong Kong Customer Service Hotline: life.chubb.com/hk This leaflet is intended as a general reference and does not form part of the policy. Please refer to the policy document for the exact terms and conditions. It is intended to be distributed in Hong Kong only and shall not be construed as an offer to sell or solicitation to buy or provision of any of our products outside Hong Kong. This leaflet is printed and distributed by Chubb Life Insurance Company Ltd. (Incorporated in Bermuda with Limited Liability) which is a Chubb Company Chubb. Coverages underwritten by one or more subsidiary companies. Not all coverages available in all jurisdictions. Chubb and its respective logos, and Chubb. Insured. SM are protected trademarks of Chubb. P72/EN/0516/HD/IC