FWD responds to Insurance Authority’s new arrangement enabling insurance applications without face-to-face meetings

Offers premium discounts for VHIS and QDAP plan on top of tax deduction benefits

In response to the set of temporary facilitative measures introduced by Insurance Authority (IA), FWD Hong Kong (“FWD”) announced that from now until 31 March, 2020, customers may apply for FWD’s series of Voluntary Health Insurance Scheme (“VHIS”) and Qualifying Deferred Annuity Policy (“QDAP”) plans by phone without attending face-to-face meetings. The measures were introduced to address the general public’s need for insurance protection while minimising the risk of COVID-19 infection.

In order to alleviate the economic pressure of Hong Kong people in this challenging time, FWD is offering special premiums discounts to applicants for its VHIS plans for up to 5 months of first-year premiums, and for its QDAP for a maximum of 8% of first-year premium. With the total premium paid for VHIS and QDAP, together with MPF’s Tax Deductible Voluntary Contributions (“TVC”), each taxpayer can enjoy a tax deduction of up to HK$68,000 for each tax year. We hope that our premium discounts offers provide customers with the financial assistance they need to protect themselves and their families.  

High market demands for tax deductible insurance plans
Ken Lau, Chief Executive Office of FWD Hong Kong said, " We have received an overwhelming market response since the launch of our QDAP and VHIS plans last year. The new QDAP contributed more than 80% of Annual Premium Equivalent (APE) among our annuity products; while our VHIS plans led to about 40% of APE growth from our suite of medical insurance plans. The strong public demand for related products is quite obvious."

Series of preferential measures in response to the current economic situation
In addition to the Special Protection, Exemption and Express Claim measures for novel coronavirus1 implemented earlier, FWD launched a series of application offers to encourage and help people of different age groups to get protected with suitable insurance plans and take the chance to enjoy tax deductions for the 2019/20 assessment year with their insurance premiums paid. 

Measure (1): Up to 5 months of premium discounts from now till 31 March, 2020
FWD offers new applicants up to 5 months of first year premium discounts for its designated VHIS plans. What’s more, applicants for its QDAP plan will also enjoy first year premium discounts. Details are as follows:

Measure (2):  Maximum issue age of FWD’s Annuity Plan will be extended from age 61 to 76 with immediate effect
Journey Deferred Annuity Plan has been well received by the market since its launch in October 2019. Some of its competitive features include a relatively short premium payment term and breakeven period (guaranteed and projected total), with each taxpayer entitled to a tax deduction of up to HK$60,000 for premium paid per assessment year. 

With immediate effect the maximum issue age for Journey Deferred Annuity Plan will be extended from age 61 to 76 (next birthday). This extension will allow individuals who are at retiring age and paying salaries tax, property tax or profits tax to benefit from the tax deduction of up to HK$60,000 per assessment year.  

Ken Lau added, "At FWD we always believe insurance should help alleviate people’s worry while answering to their protection needs. We’ll keep monitoring the situation closely and provide timely measures to help people of Hong Kong fortify their protection.” 

For details of the above preferential measures customers can contact their FWD Financial Advisors.  FWD reserves the right of final decision on all preferential measures and special arrangements.

Remarks:
1. For the latest information on the Special Protection, Exemption and Express Claim measures for novel coronavirus (COVID-19), please visit: https://www.fwd.com.hk/~/media/Files/FWDHK/pdf/urgent-announcement/FWD_NovelCoronavirusMeasure_TC.PDF?la=zh-HK

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About FWD Hong Kong & Macau

FWD Hong Kong offers life and medical insurance, general insurance, employee benefits, and financial planning. Its life insurance and general insurance operating entities have been assigned strong financial strength ratings by international rating agencies — FWD Life Insurance Company (Bermuda) Limited (incorporated in Bermuda with limited liability) is rated “A3” by Moody’s and “A” by Fitch; and FWD General Insurance Company Limited is rated “A” by Fitch. FWD Macau provides a suite of life and medical insurance.

FWD Hong Kong & Macau is a part of the FWD Group, the insurance business of investment group, Pacific Century Group. FWD Group spans Hong Kong & Macau, Thailand, Indonesia, the Philippines, Singapore, Vietnam, Japan and Malaysia.

By creating fresh customer experiences with easy-to-understand products supported by digital technology, FWD aims to become a leading pan-Asian insurer that changes the way people feel about insurance.

For more information about FWD Hong Kong & Macau please visit WWW.FWD.COM.HK and WWW.FWD.COM.MO.