Health insurance

Insurance is a risk treatment option which involves risk sharing from an economic perspective and a contractual agreement that one party will be compensated for loss under the terms of the insurance contract. Socially speaking, insurance is an important composition of the socio-economic security system. From a risk management perspective, insurance helps mitigate risk. 

Insurance comes after risk. Everything you do in life involves some sort of risk. Every day you take potential risks on your life or health by crossing roads, walking past construction sites or breathing polluted air. The possibilities for risk are endless so it's wise to have insurance as a tool to transfer the risks and to provide protection for your family. 

Life Insurance (in a general sense) includes Life Insurance, Critical Illness Insurance, Medical Insurance, Annuity and Endowment Insurance. In addition to the protection coverage available to you and your family upon the occurrence of unexpected accidents, Life Insurance (in a general sense) can also offer plans for the future of you and your family.

• Life Insurance Products provide dependable and solid protection for you and your family.
• Critical Illness Insurance products offer coverage for medical expenses and protection when you suffer from critical illness.
  
• Medical Insurance products provide reimbursement for medical expenses incurred during medical treatment and some allowance (if applicable).
  
• Annuity and Endowment Insurance products act as a relatively stable and guaranteed income under the terms of insurance contract.
  

The major risks in insurance products include but not limited to as following:

The insurance company is not liable for damages caused by exception clause.

Insurance validity of the contract may be suspended/terminated due to your failure to make timely premium payment. 

If you purchase the participating insurance, the policy’s dividend will be determined according to the insurance company’s business performance. The insurance company will only distribute part of its profit to you when its business performance is better than the respective pricing assumptions. The insurance company does not have to distribute a dividend to you if its business performance is worse than the pricing assumptions. The future interest prediction of an insurance contract that is included in the product specification or in the insurance benefits illustration letter is an estimation based on the company’s actuarial assumption, and cannot be deemed as an expectation for future returns. And the dividend distribution is uncertain and thus not guaranteed.

If you purchase unit-linked insurance, we advise you to develop a detailed understanding of the fees that are deducted for the unit-linked insurance including but not limited to the premium charges, the price spread between the bid and offer, insurance charges, policy charges, asset charges, charges charged of capital switches between investment account, and surrender charges. You can refer to our sales or the insurance company for the detailed calculation basis for the policy’s account value. A unit-linked insurance product’s return on investment is uncertain. You bear all of the product’s investment risks. The future interest of the insurance product included in the product specification or in the insurance benefits illustration letter is an estimation based on the company’s actuarial assumption, which cannot be deemed as an expectation for future returns. You may suffer losses or make profits from your investment of unit-linked insurance. If you choose a flexible payment method, we advise that you request the sales to explain the possible risks and adverse effects that may occur in case you stop making your payments.

If you purchase universal insurance product, there is generally an agreed minimum guaranteed interest rate, which is only applicable for funds in your investment accounts. We advise that you develop a detailed understanding of the charges that are deducted for universal insurance products including but not limited to premium charges, insurance charges, policy charges, surrender charges and other charges. We advise that you request the sales to explain the detailed calculation basis for the policy’s account value. A universal insurance product’s return on investment is uncertain. You will bear a part of the universal insurance product’s investment risks. The insurance company’s published crediting interest rate does not represent any expectation of the interest rate for the current year; it represents only the result on investment for a specific month. The crediting interest rate is not set for the entire premium sum; it only applies to the funds in the investment accounts. The future interest of insurance product included in the product specification or in the insurance benefits illustration letter is an estimation based on the company’s actuarial assumption. Return on investment that is higher than the minimum guaranteed interest rate is uncertain, and it cannot be considered as an expectation for the future returns. If you choose flexible payments method, we advise that you request the sales to explain the possible risks and adverse effects that may occur in case you stop making your payments.

Payment term varies from product to product and you can agree on the payment term with the insurance company at policy application based on the options provided by the insurance company.

You can submit surrender application to insurance company after your subscription for an insurance product. Insurance company will refund all your paid premiums if you surrender the policy during the cooling-off period (the cooling-off period varies from product to product, please refer to detailed terms agreed in the insurance contract). If you cancel the policy after the cooling-off period, you can take back the cash value or unearned premium as agreed in the policy, but you may suffer loss.

If you buy an insurance product with over one-year coverage period, it will not lapse or terminate immediately if premium payment due is missed. For missed premiums, there is a 60-day grace period, within which your policy will still be effective. You can also opt for the automatic policy loan or reduced paid-up option as agreed in the policy to avoid lapse of your policy in case of your failure to make timely premium payment.

If you buy an insurance product with one-year coverage period, it will terminate immediately if you fail to pay the premium by the end of any grace period.