HSBC Insurance unveils EarlyIncome Annuity Plan

The product to provide savings, protection and a stream of income for retirement as it offers regular monthly annuity payment as early as one year after the plan starts.

HSBC Insurance is offering a new annuity insurance, EarlyIncome Annuity Plan, to help customers who are approaching retirement to prepare for their retirement life, according to an HSBC report.

HSBC’s EarlyIncome Annuity Plan is a comprehensive insurance plan that enables customers to enjoy savings, protection and a stream of income to fund their retirement. The new product provides customers with flexibility to choose different options for premium payment, accumulation period and annuity period to suit their retirement plan. 

Robert Lang, Managing Director of HSBC Insurance Businesses Hong Kong, said: “According to our recent survey, unstable income, substantial investment losses and unexpected medical expenses are some of the key financial uncertainties Hong Kong people are facing. To give people peace of mind in planning ahead for their retirement, we are happy to announce the launch of EarlyIncome Annuity Plan, which offers a guaranteed lifelong income stream as early as one year after the policy is issued. With the new annuity product, customers who are approaching retirement will be able to receive a stable and regular monthly income after retirement, while those who have retired with a pension or MPF fund can make their retirement dollars go a bit further." 

HSBC’s EarlyIncome Annuity Plan offers the following flexibilities in annuity payment: 

• accumulate for one year or three years before starting to get monthly annuity payment 
• receive monthly annuity payment for 20 years or to age 99 as early as one year after policy
• commencement receive annuity payment at monthly interval or leave all the payable monthly annuity payments to earn interest
• issue age ranging from 50 to 75.

With EarlyIncome Annuity Plan, customers can also enjoy life cover and protection against accidental death, terminal illness and unemployment.

Bruno Lee, Regional Head of Wealth Management Personal Financial Services Asia-Pacific said: “We see a growing trend on awareness and popularity of annuity products in recent years. With the offering of guaranteed return and monthly annuity payment under the plan regardless of investment market changes, I believe the latest addition of EarlyIncome Annuity Plan to our suite of Wealth Management products will be welcomed by our retail banking customers as a good choice for balancing their investment portfolio in order to meet their retirement needs.”

Until 30 April 2011, successful applications will receive 4 per cent discount off the first-year annual premium.
HSBC is the number one new individual life insurance provider (regular premium) in Hong Kong in 2010 with 18.1 per cent market share.