AIA Hong Kong Launches Brand-new AIA "Brighter Tomorrow" Savings Plan

25 April 2022

Provides Rare in Market High Projected Medium-Term Returns
and Available as a Limited Offer
Short Premium Payment Term of Only Two Years
Up to 5% Total Internal Rate of Return at Maturity over a 12-Year Term
Equivalent to 1.75 Times of Total Premiums Paid

AIA Hong Kong announces the launch of the new AIA "Brighter Tomorrow"1. Customers only need to pay premiums for two years to reap an up to 5% Total Internal Rate of Return (IRR) at maturity2 over a 12-year benefit term, which is equivalent to 1.75 times of the total premiums paid. Such a high projected return is rare for medium-term savings products3 in the market under the prevalent low interest rate environment. The plan also offers life protection, Unemployment Benefit4 and flexible settlement options for death benefit. Application for the policy is simple and easy as no medical examinations5 are required. It helps customers accumulate their wealth and achieve their respective life plans, such as planning for a carefree retirement or overseas education for their children, at ease. AIA "Brighter Tomorrow" is available as a limited offer1 while applications are still open.
The average life expectancy of Hong Kong people is getting longer and longer, reaching 83 years for men and 88 years for women6. People are increasingly concerned about the need of doing protection planning. According to a recent survey by AIA Hong Kong, the average desired retirement age of Hong Kong people is 62 years old7, implying a longer retirement and requiring more savings as reserves. Another survey revealed that 39% of parents plan to send their children abroad for education8, which usually entails over HK$1 million in expenses9, pointing to a need to plan for their education fund as early as possible.
Mr. Felix Fung, Director, Product Innovation, Development & Delivery at AIA Hong Kong & Macau, said: "While quite a few whole life and long-term savings insurance plans were launched in the market in recent years, there is only a limited choice of medium-term savings insurance products, hardly able to satisfy the demand of customers in planning for retirement or education for their children. Considering the difference in investment strategies, long-term savings insurance products may not be able to address customers' need for medium-term returns. We have tailored the product structure and investment strategy of the new AIA 'Brighter Tomorrow' to optimise medium-term returns for customers. As a trusted partner on their life journey, we enable customers to achieve their financial goals at different stages, helping them to live Healthier, Longer, Better Lives."
AIA "Brighter Tomorrow" is a participating insurance plan that provides 12 years of life protection, combining protection and savings to cater for customers' different financial objectives. Its key features include:
  1. Rare in market: High projected returns for medium-term savings insurance products
    The plan offers an up to 5% Total IRR2 over a 12-year benefit term, with a projected total surrender value equivalent to 1.75 times of the total premiums paid. A medium-term savings insurance product with such a high projected return is rare in the market3 under the prevalent low interest rate environment. Customers only need to pay premiums for two years to enjoy 12 years of cover. The plan also provides guaranteed cash value, non-guaranteed Annual Dividends and non-guaranteed Terminal Dividend, helping customers accumulate wealth to achieve their financial goals.

  2. Flexible settlement options for death benefit
    If the insured passes away, the plan will pay the death benefit to the designated policy beneficiary. Apart from a lump-sum payment, the death benefit and accidental death benefit can alternatively be paid to the beneficiary in regular instalments at a designated amount as a settlement option as decided by the customer, enabling greater flexibility in legacy planning.

  3. Application is simple and easy
    Application for the policy is easy as it requires no medical examinations5 but only the submission of necessary documents.

  4. Unemployment Benefit4
    To help ease the financial impact brought about by unemployment while keeping the wealth accumulation plan unaffected, customers may apply to delay premium payments through the Unemployment Benefit if they become involuntarily unemployed during the premium payment term of the basic plan. The grace period for late premium payment can be extended to up to 365 days.
Case Sharing
Take David, a 48-year-old interior designer, as an example10. He hopes to maintain the quality of life that he currently has when he retires early. He looks forward to a comfortable retirement where he can realise his dream of travelling around the world whilst having sufficient reserves for home maintenance and renovation in future.
David decides to apply for AIA "Brighter Tomorrow" with an annual premium of US$100,000 for two years at a total of US$200,000. When he turns 60 after 12 years, he expects to receive a projected total surrender value at maturity of US$350,00010, enabling him to retire early. The projected total return is 1.75 times of the total premiums he paid, that is, a Total IRR of 5% at maturity.

All information above is for reference only and does not constitute any offer and/or insurance product recommendation. The product information in this material does not contain the full terms of the product, for the details of the product features, terms and conditions, exclusions and key product risks, please refer to the product brochure and policy contract of relevant products or visit the website. In case you want to read policy contract sample before making an application, you can obtain a copy from AIA. Should you surrender the policy early, you may receive an amount considerably less than the total amount of premiums paid.
  1. AIA reserves the right to close the plan for application without prior notice. Prior to acceptance of policy application, AIA reserves the right to withdraw the product offer. If AIA withdraws the product offer, AIA will refund the premium paid and any levy without any interest.
  2. The total IRR at maturity is rounded to the nearest percentage and is not guaranteed. The actual total IRR at maturity may be higher or lower than that illustrated. The total IRR at maturity assumes that (i) all premiums are paid in full when due and as planned; (ii) the total premiums paid excludes the levy collected by the Insurance Authority; (iii) no death benefit or surrender value has been paid before or becomes payable; (iv) no withdrawal has been made before and no indebtedness under the policy; and (v) the principal amount of the policy remains unchanged throughout the policy term. The calculation of the total IRR at maturity takes into account: (i) the total premiums paid during the premium payment term for the basic plan; and (ii) the total surrender value at the end of the 12th policy year.
  3. Compared with major savings insurance plans of similar type in the market as of April 2022.
  4. Customers must be employed under a continuous contract for not less than 24 months and be eligible for a severance payment upon termination under the employment or labour laws of Hong Kong or Macau (according to the place of policy issuance) prior to the involuntary unemployment. Further, such employment cannot be self-employment, employment by a family member (including spouse, parent, grandparent, child or grandchild) or employment as a domestic servant. The Unemployment Benefit starts on the premium due date at the time when AIA approves their claim and continues for up to 365 days. Proof of continuous unemployment is required by customers upon our request. The Unemployment Benefit is not available if customers were informed of their pending involuntary unemployment on or before the issue date or commencement date of the policy, whichever is later.
  5. Subject to terms and conditions. No medical examination is required for the application as long as the total annual premiums payment does not exceed the aggregate limit set for each insured, subject to AIA's prevailing rules and regulations.
  6. Census and Statistics Department,
  7. The 13th AIA Desired Retirement Tracker.
  8. AIA's "Hong Kong and Macau Segmentation Study 2021" conducted by KANTAR, a market research company.
  9. Source: and media news. A survey on overseas education expenditure conducted by GfK, which was commissioned by AIA (data collection date: April 2022).
  10. The above example assumes that David is the policyholder and the insured, and the premium amount in the example does not include the premium levy payable to the Insurance Authority. The exact projected total surrender value at maturity is US$350,647. The above example is a hypothetical case, and the information is for reference only. The projected total surrender value at maturity illustrated is the sum of the policy's guaranteed cash value plus the accumulated non-guaranteed Annual Dividends with interest and non-guaranteed Terminal Dividend. The projected policy values are based on the current dividend scales and accumulation interest rate of 3.5% p.a. on Annual Dividends. The current dividend scales and interest rates are neither indicative of future performance nor guaranteed. Past or current business performance should not be interpreted as a guide for future performance. The actual Annual Dividends, accumulation interest rates and Terminal Dividend payable throughout the duration of the policy may vary at AIA's sole discretion, which may be more or less favourable than those illustrated. The above example assumes that no policy loans are taken throughout the term of the policy, and that all premiums are paid in full when due. This policy will be terminated when the projected total surrender value at maturity is paid.
About AIA Hong Kong & Macau
AIA Group Limited established its operations in Hong Kong in 1931. To date, AIA Hong Kong and AIA Macau have close to 19,000 financial planners1, as well as an extensive network of brokerage and bancassurance partners. We serve over 3.4 million customers2, offering them a wide selection of professional services and products ranging from individual life, group life, accident, medical and health, pension, personal lines insurance to investment-linked assurance schemes with numerous investment options. We are also dedicated to providing superb product solutions to meet the financial needs of high net worth customers.

1 as at 31 December 2021
2 Including AIA Hong Kong and AIA Macau's individual life, group insurance and pension customers (as at 31 December 2021)
AIA Hong Kong
Ms. Deronie Tan
+852 2881 4413
Bentley Communications Limited
Mr. Ian Li
+852 3960 1905

AIA Group Limited is incorporated in Hong Kong with limited liability.
"AIA Hong Kong & Macau", "AIA Hong Kong", "AIA Macau", "AIA" or "the Company" herein refers to the Hong Kong Branch and/or Macau Branch of AIA International Limited (Incorporated in Bermuda with limited liability).
"Hong Kong" and "Macau" herein refer to "Hong Kong Special Administrative Region" and "Macao Special Administrative Region", respectively.