Eternal Love Savings Insurance Plan

Notes:

1. Terminal dividend is a one-off dividend and is non-guaranteed. Amount of terminal dividend shown in proposal illustration is just an indicative figure. Declared terminal dividend is not perpetually attached to the policy. It may be reduced or increased at subsequent declarations. Its actual amount will only be determined when it becomes payable. The actual amount may be lower or higher than the projected figure. Under some circumstances, actual amount of terminal dividend may be zero. The amount of the terminal dividend is affected by various factors including but not limited to the performance of the underlying investments, so the amount is relatively volatile and will move up and down over time. China Life (Overseas) reserves the right to revise the terminal dividend from time to time. Past record is not necessarily indicative of future result. For more information, please refer to clause 5 and clause 6 under “Important information” and “Non-guaranteed benefit” risk of the product brochure of the Plan.
   Provided that no premium holiday has been exercised under the policy (if applicable), starting from the 2nd policy anniversary (start date of terminal dividend*), terminal dividend (if any) shall be paid upon the earliest occurrence of the following situations:
   (i)when the Company pays the death benefit (only applicable if the sum of guaranteed cash value and non-guaranteed terminal dividend (if any) of the basic plan at the date of death of the insured is higher than 101% of accumulated premium due and paid (will be pro rated if basic amount has been amended) of the basic plan);
   (ii)when the policy is partially surrendered;
   (iii)when the Company pays the incapacity benefit option;
   (iv)when the policy is terminated for any reason other than the policy split option is exercised or the Company pays the death benefit; or
   (v)when the annuity conversion option is exercised.
   If the policyholder has applied for premium holiday before the start date of terminal dividend (applicable to 5-, 10- or 15-year premium payment term), the Company will defer the start date of terminal dividend according to the premium holiday period as designated by the policyholder. Whilst the premium holiday is in effect, the amount of terminal dividend may be adjusted accordingly at the Company’s sole discretion.
   ^*Start date of terminal dividend is only applicable to 5-, 10- or 15-year premium payment term. For 2-year premium payment term, terminal dividend is also payable from the 2nd policy anniversary upon certain events.
2. For application to exercise the “terminal dividend management option”, such application must be received by the Company within 30 days from the relevant policy anniversary (including the date of policy anniversary). The option will only be exercised provided that the application fulfills the application requirement and is confirmed by the Company. There is no limitation on the number of times of exercising this option when the policy is in force, but the policyholder can apply to exercise this option in writing only once for each policy year. The Company will process the exercise of this option only once for each written application. There must be no indebtedness in the policy during application to exercise this option. The amount of locked-in terminal dividend is guaranteed after the Company’s approval of the application. Once the application is approved by the Company, the terminal dividend which is applied to lock in will be transferred to the terminal dividend management account as soon as practicable. The locked-in terminal dividend will be deposited with the Company to accumulate interest (if any) and the interest (if any) will be accrued annually at a rate to be determined by the Company at its sole discretion from time to time. You can submit request to the Company to withdraw part or all of the locked-in terminal dividend and accumulated interest (if any) from terminal dividend management account in a lump sum without surrendering the policy. The withdrawal amount is subject to minimum requirement imposed by the Company from time to time.
   The actual amount of the locked-in terminal dividend will only be determined after the application has been approved by the Company. The total amount of terminal dividend management account is equivalent to locked-in terminal dividend and accumulated interest (if any) less withdrawal amount (if any) from the terminal dividend management account. Upon the completion of transferring the terminal dividend to the terminal dividend management account by the Company as per application, the terminal dividend (if any) of the relevant policy year and subsequent policy years will be adjusted proportionally. Locked-in terminal dividend will not be allowed to be reset or reversed to terminal dividend. For details, please refer to the policy provision.
3. The interest is not guaranteed. The actual benefits and/or returns may be lower or higher than estimates. China Life (Overseas) reserves the right to revise the interest from time to time.
4. There is no limitation on the number of split policies for exercising the “policy split option” while the policy is in force. For the policy year in which the policy split option is exercised under the policy, the policyholder cannot apply for policy split option for the split policy(ies) in the same policy year. Application for exercising the policy split option is subject to the following:
   (i)the basic amount of each split policy must not be less than the minimum basic amount of the basic plan determined by the Company at the time;
   (ii)the sum of split percentages of all split policies equals to 100%;
   (iii)there is no indebtedness under the policy (if any);
   (iv)the policy is not in the status of premium holiday (not applicable to 2-year premium payment term);
   (v)there is no claim pending for approval under the policy; and
   (vi)no change, cancellation, withdrawal or termination by the policyholder will be allowed once the application is submitted to the Company for exercising the policy split option.
   Upon the Company’s approval of the application for exercising the policy split option, the following will apply:
   (i)the policy split option will be effective provided that the application is approved by the Company with remarks duly signed by the Company’s authorized signatory(ies) or endorsements. The effective date of policy split option will be the date of the Company’s approval for such application (according to the Company’s records);
   (ii)the policy will be terminated immediately and the split policies will take effect immediately when the policy split option is effective;
   (iii)the policy year, policy date, policy effective date, start date of terminal dividend (if any) (not applicable to 2-year premium payment term) and the latest date of reinstatement (if any) of each split policy will be the same as the policy year, policy date, policy effective date, start date of terminal dividend (if any) (not applicable to 2-year premium payment term) and the latest date of reinstatement (if any) of the policy as of the policy split option effective date;
   (iv)the policyholder, insured and beneficiary(ies) (with the respective designated percentage) of the split policies will be the same as the policyholder, insured and beneficiary(ies) (with the respective designated percentage) of the policy as of the policy split option effective date;
   (v)the settlement option of death benefit, contingent insured(s), sequence of contingent insured(s) and contingent policyholder of the split policies will be the same as the settlement option of death benefit, contingent insured(s), sequence of contingent insured(s) and contingent policyholder of the policy as of the policy split option effective date;
   (vi)cooling-off period will not be applicable to the split policies;
   (vii)all rider(s) under the policy (if any) will be terminated immediately on the policy split option effective date;
   (viii)the basic amount, guaranteed cash value, and terminal dividend (if any) of the basic plan as of the policy split option effective date will be allocated to each split policy according to the corresponding split percentage;
   (ix)the accumulated premium due and paid of the policy as of the policy split option effective date will be allocated to each split policy according to the corresponding split percentage;
   (x)the total amount of terminal dividend management account (if any) of the basic plan as of the policy split option effective date will be allocated to each split policy according to the corresponding split percentage and interest (if any) will accrue annually on the total amount of terminal dividend management account (if any) of each split policy at a rate to be determined by the Company at its sole discretion from time to time;
   (xi)similar terminal dividend management option will also be applicable to each split policy but if the terminal dividend management option has been exercised under the policy, the aggregate percentage of the declared terminal dividend designated by the policyholder in all applications under the policy will be included in the calculation for determining whether the maximum limit for the aggregate percentages of the declared terminal dividend designated by the policyholder in all applications for exercising the terminal dividend management option under each split policy will be exceeded;
   (xii)similar policy split option will also be applicable to each split policy starting from the policy year immediately after the policy year in which the policy split option becomes effective; and
   (xiii)unless otherwise specified above, all benefits, terms and conditions of each split policy will be the same as those of the policy.
5. When the Company receives the application for “change of insured”, the age of the new insured shall meet the following requirements:
   (a) If the new insured’s attained age exceeds the first insured’s attained age, the attained age of the new insured shall not exceed age 65; or
   (b) If the new insured’s attained age is equal to or below the first insured’s attained age, the attained age of the new insured shall not exceed age 80 (applicable to 2- or 5-year premium payment term), age 75 (applicable to 10-year premium payment term) or age 70 (applicable to 15-year premium payment term).
   The Company must be satisfied with the insurable interest between the new insured and the policyholder. Both the current insured and the new insured must be alive at the time when the Company approves the change of insured application. Such application must fulfill the related administration procedure of the Company. The policy’s basic amount, guaranteed cash value, policy date, policy year, premium expiry date, start date of terminal dividend (not applicable to 2-year premium payment term), the latest date of reinstatement of the policy (if any), accumulated premium due and paid, death benefit, settlement option of death benefit, terminal dividend (if any), terminal dividend management option (if any), total amount of terminal dividend management account (if any), policy split option (if any), premium holiday (if any) (not applicable to 2-year premium payment term), annuity conversion option, indebtedness (if any) and contingent policyholder will not be changed due to the change of insured.
6. When the Company receives the written application for “designated interim policyholder”, the relevant application is subject to the following:
   (a) the attained age of the insured is below age 18 at the time of application; (b) the designated interim policyholder is a natural person; (c) the attained age of the designated interim policyholder shall be age 18 or above at the time of application; (d) the Company is satisfied with the relationship between the designated interim policyholder and the current policyholder; and (e) the application for designated interim policyholder fulfills the related administrative rules and procedures of the Company.
   The designation of current designated interim policyholder shall be automatically terminated upon the occurrence of the earliest of the following situation: (a) any change of policyholder or insured; (b) any designation of a new designated interim policyholder; (c) any appointment of a contingent policyholder or contingent insured; (d) the insured reaches the attained age of 18; (e) the designated interim policyholder predeceased the current policyholder; (f) any policy assignment; or (g) the policyholder has submitted a written notice to the Company to terminate the designation of the designated interim policyholder.
   Upon the approval of the application for interim policyholder, any proceeds or benefit to be paid out from the policy will not be paid to the interim policyholder but accumulates in the policy. Subject to the Company’s related administrative rules and procedures, the interim policyholder shall only exercise the restricted rights and is not authorized to exercise any of the following non-exhaustive list of changes to the policy: (a) change of any concerned person(s) named under the policy, including but not limited to policyholder, insured and beneficiary; (b) change in policy value, including but not limited to withdrawal of any policy deposit or any cash value, exercise of policy split option and applying for policy loan; (c) assignment of the policy; and (d) application to terminate and/or surrender the policy.
   If the Company has not received application and related documents of designated interim policyholder within 90 days after the death of the current policyholder, such designation of the designated interim policyholder will be automatically revoked. Besides, the appointment of interim policyholder shall terminate automatically upon the earliest of: (a) the insured has reached the attained age of 18; (b) the interim policyholder dies before the insured reaches the attained age of 18; or (c) the interim policyholder submits written notice to the Company to decline to be or continue to be the interim policyholder.
7. When the Company receives the application for “contingent insured”, the age of the contingent insured(s) shall meet the following requirements: (a) If the contingent insured(s)’ attained age (on an individual basis if more than 1 contingent insured) exceeds the first insured’s attained age, the attained age of the contingent insured(s) shall not exceed age 65; or
   (b) If the contingent insured(s)’ attained age (on an individual basis if more than 1 contingent insured) is equal to or below the first insured’s attained age, the attained age of the contingent insured(s) shall not exceed age 80 (applicable to 2- or 5-year premium payment term), age 75 (applicable to 10-year premium payment term) or age 70 (applicable to 15-year premium payment term).
   The Company must be satisfied with the insurable interest between the contingent insured(s) and the policyholder. Such application must fulfill the related administration procedure of the Company. The policy’s basic amount, guaranteed cash value, policy date, policy year, premium expiry date, start date of terminal dividend (not applicable to 2-year premium payment term), the latest date of reinstatement of the policy (if any), accumulated premium due and paid, death benefit, settlement option of death benefit, terminal dividend (if any), terminal dividend management option (if any), total amount of terminal dividend management account (if any), policy split option (if any), premium holiday (if any) (not applicable to 2-year premium payment term), annuity conversion option, indebtedness (if any) and contingent policyholder will not change after the contingent insured becomes the insured.
8. When the Company receives the application for “contingent policyholder”, the application shall meet the following requirements:
   (i) the contingent policyholder is a natural person;
   (ii) the attained age of the contingent policyholder shall be age 18 or above at the time of application;
   (iii) the Company is satisfied with the insurable interest between the contingent policyholder and the insured; and
   (iv) the application fulfills the related administrative rules and procedure of the Company.
   If the Company is unable to arrange that contingent policyholder to be the policyholder of the policy due to any reasons, the ownership of the policy will vest in the estate of the deceased policyholder. Once the Company arranges the transfer of ownership of the policy to the estate of the deceased policyholder, the contingent policyholder shall then cease to have any right or interest in respect of the policy under any circumstances.
9. For the instalment option (i.e. options 2 to 5), starting from the payment date of the first instalment until the total amount of death benefit have been paid, interest (if any) will be accrued monthly on the remaining balance of death benefit at a rate to be determined by the Company at its sole discretion from time to time. The accumulated interest (if any) will be paid together with the last instalment of death benefit. If any of the beneficiary(ies) dies any time before the Company has fully paid the death benefit, the Company shall pay the remaining balance of the death benefit he/she is entitled to with accumulated interest (if any) in a lump sum payment to the personal representative for the estate of the deceased beneficiary(ies). In cases where any beneficiary(ies) survive the other beneficiary(ies), the settlement option of death benefit designated by the policyholder in relation to the surviving beneficiary(ies) shall remain in force and continue to apply by the Company to pay the death benefit to such surviving beneficiary(ies).The policy shall terminate when the death benefit is paid in full.
   (i) If the total amount of death benefit at the date of death of the insured is less than HKD400,000/USD50,000; or (ii) the annualized amount of instalment(s) of death benefit is less than HKD20,000/USD2,500 (applicable to options 2 to 5); or (iii) the policyholder does not specify any settlement option; or (iv) any of the beneficiary(ies) of the policy is not a natural person; or (v) any policy assignment or change of policyholder, we will apply option 1 and pay out the benefit amount to the beneficiary in a lump sum.
10. “Basic amount” means the amount shown on the policy information page or endorsement as the “basic amount”. The basic amount is used to calculate the premium and relevant values of the policy, but is not applicable to the calculation of the death benefit. If the basic amount has been amended while the policy is in force, the said premium and relevant values of the policy will be adjusted accordingly.
11. The “incapacity benefit option” is only applicable and payable if all following conditions are met: (i) the policyholder has not created any will or enduring power of attorney over the policy; (ii) there is no guardian or committee appointed in respect of the policyholder under the Mental Health Ordinance over the policy or officer(s) of similar or alike functions appointed under similar laws in the place where the policy is issued; (iii) the policyholder is not adjudged bankrupt by the court of competent jurisdiction or no bankruptcy proceedings have been initiated against the policyholder; and (iv) the policy has not been assigned.
    The incapacity benefit option is only payable once while the policy is in force. Once incapacity benefit option payment has been made under the policy, the incapacity benefit option will no longer be available to the policy and all policies which are split from the policy.
    The designation of the designated person will be automatically revoked and any application of incapacity benefit option payment will be rejected in any of the following circumstances: (i) upon the death of insured or policyholder or approval by the Company on any change of insured or policyholder of the policy; (ii) the Company has been notified or become aware that there is a guardian or committee appointed in respect of the policyholder under the Mental Health Ordinance over the policy or officer(s) of similar or alike functions as appointed under similar laws in the place where the policy is issued, or there is a committee or guardianship order taking effect; (iii) the Company is notified or become aware that the policyholder has created any will or appointed an attorney pursuant to an enduring power of attorney (as defined under the Enduring Power of Attorney Ordinance Cap 501 of the Laws of Hong Kong) covering the policy; (iv) the Company has reasonable doubt that the policyholder has been adjudged bankrupt by the court of competent jurisdiction or bankruptcy proceedings have been initiated against the policyholder; (v) the policy has been assigned; or (vi) the policyholder has submitted request or exercised any options of the policy which results in reduction of basic amount, including but not limited to policy split option and partial surrender unless such partial surrender has been made as a result of incapacity benefit option payment.
    If any potential or actual dispute arises from the policy between the designated person and any other person with regards to the policy (including but not limited to the policyholder, the policyholder’s estate, guardian or committee of the estate of the policyholder, attorney, irrevocable beneficiary, beneficiary or assignee), the Company reserves the rights to withhold the payment of the incapacity benefit option until such dispute or matter is resolved to the Company’s satisfaction. If the Company has already paid the incapacity benefit option to the designated person, such payment shall not be cancelled or reversed, and the Company shall not be liable to the policyholder, the policyholder’s estate, guardian or committee of the estate of the policyholder, attorney, irrevocable beneficiary, beneficiary, assignee and/or any other person as a result of the payment made. Once the incapacity benefit option is paid, the Company will not be liable to any contention, claim, suit or dispute related to such payment. The Company reserves the right to require the designated person to forthwith fully indemnify the Company by returning the payment of the incapacity benefit option to the Company in the case that the Company faces any legal challenges against the Company in relation to the Company’s payment of the incapacity benefit option.
    The Company reserves the right to revoke the designation of the designated person or withhold the payment of the incapacity benefit option at any time without prior notice if the nomination or change of the designated person or the payment of the incapacity benefit option appears to the Company to be in conflict with any applicable laws, regulations, court orders or its equivalent.
12. For the lump sum option, the policy will be terminated after the surrender value is paid in full.
13. For the instalment option (i.e. exercising “annuity conversion option”), once the application for annuity conversion option is approved by the Company, the relevant amount will be transferred to the annuity conversion account as soon as practicable and will become total annuity amount, while the remaining policy deposit (if any) will be paid as a lump sum payment to the policyholder. The actual amount to be converted will only be determined after the application has been approved by the Company. No change, cancellation, withdrawal or termination will be allowed once policyholder submits the application for exercising the option. The total annuity amount cannot be restored or reversed to policy value.
    After exercising the annuity conversion option and on the date of the Company approving such application, the Company shall only be responsible for the payment under such option and any other provision of the policy shall no longer be applicable. Interest (if any) will be accrued annually on annuity conversion account at a rate to be determined by the Company at its sole discretion from time to time starting from the date of the first annuity payment until the total annuity amount is fully paid. Accumulated interest (if any) will be paid together with the last annuity payment. At any time before the date of first annuity payment or during the annuity period, the policyholder can submit an application to the Company to withdraw in full (not partial) from the annuity conversion account together with accumulated interest (if any). In the event the policyholder (as the annuitant) is a natural person and dies during the annuity period, we will pay the total annuity amount together with accumulated interest (if any) in a lump sum to the personal representative for the estate of the deceased policyholder. The policy shall terminate when the surrender value is paid in full.
    If the amount mentioned above is less than HKD400,000/USD50,000, or you have not selected any settlement option, you will receive the relevant amount in a lump sum.
14. The amount you will receive for policy surrender may be less than the total amount of premiums paid regardless of the settlement option selected.
15. “Premium holiday” is applicable to 5-, 10- and 15-year premium payment term policy(ies) only. Between 60 days and 90 days (both days inclusive) before the 2nd policy anniversary and before every policy anniversary thereafter, the policyholder can apply for premium holiday to suspend payment of premium from the next policy anniversary for a specified period. Such application must be submitted and approved by the Company within the aforesaid period and the requirements below must be satisfied: (i) premium holiday period for each application must be in multiples of 1; (ii) the maximum aggregate premium holiday period is 2 years (applicable to 5-year premium payment term) or 3 years (applicable to 10- or 15-year premium payment term); (iii) premium holiday is not applicable to any policy which is currently paying premium by prepayment; and (iv) the policy has no indebtedness at the time of application.
    After the premium holiday, you should pay the required renewal premium within the grace period so that the policy shall continue to be in force. For more information, please refer to clause 4 under “Important Information”.
    During the period which the premium holiday is in effect, the premium of the Plan will be suspended in the period(s) designated by the policyholder and the policy will remain in force. The Company will defer the premium due date, premium expiry date and start date of terminal dividend of the Plan according to the premium holiday period as designated by the policyholder. The current basic amount, guaranteed cash value, accumulated premium due and paid, and policy date of the Plan will remain unchanged after exercising premium holiday. Terminal dividend (if any) may be subject to adjustment.
    In addition, all riders (if any) under the policy will be terminated on the effective date of the first premium holiday and no riders can be further added to the policy during the period which the premium holiday is in effect. Change of insured, contingent insured and contingent policyholder are still applicable, whereas any policy loan will not be accepted in the policy when premium holiday is in effect.
16. 24-hour worldwide emergency assistance service is provided by a third party service provider and is not part of the policy. China Life (Overseas) will not make any representation, warranty or undertaking with regards to the service quality and shall not be responsible for any matter arising out of or in connection with the services provided by the service provider. China Life (Overseas) reserves the right at its sole discretion, including but not limited to (a) change the scope of services; (b) change the service provider; and/or (c) cease to provide such services, without any prior notice.
17. If the required renewal premium is paid by you within the grace period, the policy shall continue to be in force. For details, please refer to the policy provisions issued by China Life (Overseas). If the policy is lapsed or surrendered early, the policy cash value received by you may be considerably less than the total amount of the premiums paid.
18. If you choose the annual and premium prepayment option, you can withdraw the unused prepaid premium (including interest, if any) at one time. China Life (Overseas) will charge 3% of the withdrawal amount, at a minimum amount of HKD200/USD25. You can withdraw the unused prepaid premiums once only. The interest rate of prepaid premium is (i) 4.5% p.a. (applicable to 2-year premium payment term); or (ii) 3.5% p.a. (applicable to 5-year premium payment term) and the interest rate is guaranteed.

Important Information