HK Insurance Authority launches new QDAP selection tool

Users can choose and compare any available QDAP policies using the search tool.

The Hong Kong Insurance Authority (IA) announced that it launched the “QDAP Selection Made Easy” search tool.

This new one-stop search tool allows its users to choose and compare the available Qualifying Deferred Annuity Policy (QDAP) options based on their needs and preferences.

QDAP is defined by IA as “a retirement planning tool that enables policy holders to receive a stable stream of income against longevity risk.”

The search tool has a QDAP list that has been uploaded with more comprehensive product information and a sorting function to identify any particular QDAP by its features.

Users will be guided by the search tool based on their age, preferred policy currency, the duration of their premium payment period, the annuity commencement age, and the duration of the annuity payment option.

They can also sort the available QDAP options by other criteria, such as guaranteed and total internal rates of return and first-year surrender value as a percentage of the annual premium paid.

According to Carol Hui, IA’s Executive Director for Long-Term Business, the search tool helps its users assess their needs, make a detailed comparison of the products available in the market, and choose the most suitable and affordable option before taking out a QDAP.

She added that it will be a ”useful tool to help potential policy holders compare products and make smart, informed purchase decisions.”