About Life Insurance

Philosophy in Deciding Dividends

Participating insurance plans provide policy owners with an opportunity to receive a share of profits attributable to the participating life insurance business of our company by means of dividends, with the potential prospect of long-term rates of return. To accomplish the purpose, we invest in a wide range of asset portfolios that are prudently chosen by our company to balance the risk. In general, the asset portfolios mainly consist of fixed income securities and equity investments.

The actual amount of dividends is determined by the stipulated surplus sharing approach in our company’s policy, which is based on the past experience of our company and the long-term expectation of the participating life insurance business in the future. Dividends amount mainly depends on the overall performance of the participating life insurance business of our company, taking into account of the factors including investment returns, claim experience, persistency and operating expense. The actual amount of dividends payable is recommended by our Appointed Actuary according to the aforementioned company’s policy and approved by the Board of Directors of our company.

Annual dividends paid can be left with the company and accumulate with interest. The interest rate (Dividends Accumulation Rate) is determined based on market conditions and expected investment return of our company. Please click here to view the fulfillment ratios of participating products.

In light of the above factors, dividends and Dividend Accumulation Rate are not guaranteed and may be higher or lower than the values illustrated in the benefit illustration provided at point of sale.

Crediting Interest Rate of Universal Life Policies

For universal life insurance business, the asset portfolio is constructed to support the crediting interest rate for the policy. It also allows policy owners to receive a share of profits attributable to the universal life insurance business of our company by means of crediting of interest. To accomplish the purpose, we invest in a wide range of asset portfolios that are prudently chosen by our company to balance the risk. In general, the asset portfolios mainly consist of fixed income investment securities and equity investments.

The actual crediting interest rate is determined by the stipulated approach in our company’s policy, which is based on a number of factors, including but not limited to, market conditions, actual investment return in the past and long-term expectation of investment return in the future. Future crediting interest rate may vary from time to time over the policy term, but will not be less than the minimum crediting interest rate as specified in the policy provisions, endorsements and/ or amendments. The actual crediting interest rate is recommended by our Appointed Actuary according to the aforementioned company’s policy and approved by the Board of Directors of our company. Please click here to view the historical crediting interest rates of universal life.

In light of the above factors, crediting interest rate is not guaranteed and may be higher or lower than the values illustrated in the benefit illustration provided at point of sale.

Emergency Assistance Services

Inter Partner Assistance Hong Kong Limited provides these 24-hour Worldwide Emergency Assistance Services to the Insured of BOC Group Life Assurance Company Limited. As long as connected to the Emergency Hotline, you will get this emergency services.

Emergency Hotline (852) 28619286

Inter Partner Assistance Hong Kong Limited was the first assistance company to be established in the world. Its network consists of 39 alarm centres and 8,000 agents worldwide. The services are available at any place and any time.

Emergency Assistance Services provide:

  • Medical Attention, Telephone Medical Advice - Evaluation and Referral Appointment
  • Medical Evacuation
  • Repatriation After Treatment
  • Repatriation of Mortal Remains / Ashes
  • Medical Monitoring
  • Travel Information
  • Compassionate Visit
  • Return of Unattended Child(ren) to Country of Residence
  • Deposit Guaranteeing of Hospital Admission
  • Hotel Room Accommodation for Convalescence
  • Unexpected Return to the Country of Residence
  • Luggage Retrieval
  • Emergency Rerouting Arrangements
  • Assistance on Loss of Travelling Document
  • Legal Referral

Glossary

A

Annuity

Annuity is usually being used as pension. Policy owner will make a lump-sum payment or series of payments to the insurance company which charges the policy owner such amount for the disbursement of annuity.

B

Beneficiary

The individual or individuals who is/are designated by the policy owner to receive the claim benefits.

C

Cash value

The cash amount that a policy owner is entitled to receive when terminating a policy. Not all policies will have a cash value, e.g. term insurances.

Claim

A request for payment of insurance policy benefits following the occurrence of a covered loss.

Cooling-off period

An element in the self-regulation process, initiated by the Hong Kong Federation of Insurers to grant certain privileges to life insurance policyowners regarding the retroactive cancellation of arranged contracts, within a permitted period.

E

Endowment insurance

A type of life insurance policy that specifies a period of coverage. Policy benefit will be paid out if the insured person dies during that period or the insured person is still living at maturity.

Exclusion

An insurance policy provision that describe circumstances under which the insurer will not pay policy benefit that otherwise would be payable.

I

Initial Premium

When purchasing a life insurance policy, the first premium paid for that policy.

L

Lapse

Termination of policy due to non-payment of renewal premium by the end of the grace period.

M

Maturity

The end of the term of an endownment policy and the life insured is still living.

P

Paid-up

insurance When purchasing a life insurance policy, the first premium paid for that policy.

Policy

A document that includes the terms and provisions of an insurance contract.

Premium

The fee paid to insurance company that is specified in the insurance policy, in order to be entitled to specific protection.

R

Rider

A life insurance rider provides additional coverage for specific risks that are not covered with a primary policy. The rider is added to the primary policy and the policy owner pays an extra fee for the additional coverage.

S

Sum insured

When purchasing a life insurance policy, the first premium paid for that policy.

Surrender charge

The charges imposed when surrendering an investment-linked insurance policy or a life insurance policy within a specific period.

T

Term life insurance

A kind of life insurance that offers death benefit only if the insured dies during the stated specific period.

U

Underwriting

The process of risk assessment on a proposed insured to determine whether or not to accept the application or under what conditions the application could be accepted.

W

Whole life insurance

Life insurance that provides lifetime insurance coverage at a level premium rate that does not increase as the insured ages