The Bank of East Asia

Insurance, MPF & Trust

Life Insurance - Life Protection

Underwritten by AIA International Limited (Incorporated in Bermuda with limited liability)

Enjoy utmost flexibility in the fulfilment of your legacy.

Your wealth can form the page on which future generations write their own success stories. By making the suitable arrangements for transferring your legacy, you can support your loved ones with greater efficiency, while avoiding extra cost and delay.

AIA understands your need to conveniently pass your wealth to future generations according to your wishes. That is why we introduced Wealth Preserver 5, a universal life insurance plan that offers whole-life insurance protection as well as flexible control of your financial legacy. Your policy can be designed to suit your estate planning arrangements, so you can continue nurturing your family even beyond your lifetime.

Pay your premium according to your schedule

Because opportunity can be fleeting, we understand your need for flexibility when it comes to your premium payments. That’s why we offer a flexible arrangement whereby you can choose the amount of premium you wish to pay and how often you pay it, enabling you to build your legacy without compromising your other plans for the future.

Enjoy stability with a guaranteed crediting interest rate

Beyond protection and preservation, Wealth Preserver 5 provides the opportunity to enhance the value of your wealth by guaranteeing a minimum crediting interest rate of 2.00% per annum for the duration of your policy. We help you build a legacy for those most precious to you.

Preservation, growth and more

For the stability and comfort that your loved ones deserve, Wealth Preserver 5 simplifies your legacy in the following ways.

I. Flexible premium payments

You can choose to pay your premium either in one lump sum or over a set period annually, or you can pay additional premiums anytime, provided that you satisfy the minimum and maximum premium requirements.

The minimum premium requirement is checked annually for the first five policy years. The total premiums paid, less any withdrawals you make, must be more than the minimum premium amount to ensure there is sufficient value to maintain your policy. The maximum premium requirement is based on underwriting requirements determined by us from time to time.

II. Wealth preservation

Your premiums will accumulate in your policy as Account Value, which is subject to charges that will support the maintenance of your policy. Net of these charges, your Account Value will earn interest throughout the duration of your policy.

Policy maintenance

Each premium payment is subject to a one-time premium charge of 6.5% at the time of payment. Other policy charges will be deducted from your Account Value on a monthly basis. These are the administration charge, which is based on the Current Sum Assured and is payable for the first 15 years of each cover layer, and the cost of insurance (COI), which is based on the Sum at Risk and is payable until the insured, who is the person protected under the policy, reaches the age of 120. The first cover layer of your policy is the sum assured at policy issue, and any subsequent increase in Current Sum Assured will create a new cover layer under your policy. The Sum at Risk, subject to a minimum of zero, is equal to the Current Sum Assured less the Account Value. As long as the Sum at Risk is equal to zero, the COI is waived.

Cash accumulation

The Account Value will be accumulated at a non-guaranteed crediting interest rate declared by us from time to time, but at any time will not be less than 2.00% per annum. In addition, the policy offers an interest rate lock for premiums paid during the first policy year, enabling you to enjoy a guaranteed crediting interest rate until the end of the first policy year based on the crediting interest rate declared by us at the time of premium payment.

III. Life insurance protection

Death Benefit

Upon the death of the insured, the death benefit will allow your legacy to be quickly and reliably transferred. This will be divided among individual beneficiaries, and is calculated as follows:

Death Benefit  
If the insured passes away before the age of 120 

The higher of:

  1. the Current Sum Assured; and
  2. the Account Value

minus outstanding debt (if any) 

If the insured passes away at or after the age of 120  The Surrender Value 

Settlement Option

Apart from a lump sum payment, if you wish your beneficiary to take the amount of death benefit in regular instalments, the plan provides a settlement option available to you.

You can select specific amounts of benefit to be paid to your beneficiary at regular intervals chosen by you, provided that the total annual payment is at least equal to 2% of the death benefit. Remaining amount of benefit will be left in our company to accumulate at the non-guaranteed interest rate determined by us, until the full amount of benefits has been paid to the beneficiary.

The death benefit settlement option is not available if the death benefit payable is less than US$50,000.

Terminal Illness Benefit

In the unfortunate event that the insured is expected to pass away within 12 months due to a terminal illness, as confirmed by both the registered medical practitioner in the appropriate medical specialty and our appointed registered medical practitioner, a one-off advance payment will be paid as Terminal Illness Benefit.

The maximum aggregate amount of the payment made by us under the Terminal Illness Benefit is US$2 million Sum at Risk for the same insured. If the Sum at Risk exceeds US$2 million, this benefit will equal US$2 million, and the cover will continue with US$2 million deducted from the Current Sum Assured. Otherwise, if the Sum at Risk is less than or equal to US$2 million, this benefit will equal the death benefit, and the cover will terminate since the death benefit is fully paid in advance.

IV. Accessible cash

Wealth Preserver 5 offers several ways to address immediate financial needs.


One option is a withdrawal, which allows you to withdraw part of the Account Value from your policy after the first policy year (or, in relation to additional premiums, one year following the date of payment of the additional premium). The withdrawal amount must be at least US$1,000.

In general, withdrawals will reduce the Account Value and Current Sum Assured. A surrender charge will also be deducted from the Account Value for any withdrawals made during the first 15 years of each cover layer. However, from the 11th policy year onwards, if the total withdrawal amount made in the relevant policy year is less than 4.5% of your Account Value as of the preceding policy anniversary, no surrender charge will apply and the Current Sum Assured will not be reduced.

Following a withdrawal, the Account Value remaining must be sufficient to cover three months of policy charges, plus any applicable surrender charge and any outstanding debt. If the withdrawal triggers a reduction in Current Sum Assured, the minimum Current Sum Assured must be met. Moreover, if the withdrawal is made within the first five policy years, the minimum premium requirement must be satisfied.

Policy Loan

A second option is to take a loan against your policy, available after the first policy year. The loan amount must be at least US$1,000, but cannot exceed 80% of your Account Value less any applicable surrender charge and any outstanding debt under your policy. Interest on a policy loan will be charged at a rate solely determined by us from time to time.

V. Adjustable protection

To ensure that your policy continues to meet your needs, you have the option of adjusting your policy cover after the second policy year.

Increasing the sum assured

You can top up your existing protection without purchasing a new policy by increasing the Current Sum Assured of the policy, subject to our prevailing rules and regulations. This additional cover will create a new cover layer that is underwritten separately. Moreover, this new cover layer will be subject to a separate administration charge and surrender charge for the first 15 years of its duration. The COI will also be deducted from the policy monthly based on the increased Sum at Risk until the insured reaches the age of 120.

Decreasing the sum assured

You may also reduce the Current Sum Assured of your policy, subject to the minimum Current Sum Assured; a surrender charge will apply for the first 15 years of each cover layer.

Product Features

Insured’s Age at Policy Issue

Age 18-75



Benefit Terms

Whole Life   

Minimum Current Sum Assured


Death Benefit

If the insured passes away before the age of 120: Current Sum Assured or the Account Value (whichever is higher) minus outstanding debt (if any)

If the insured passes away at or after the age of 120: Surrender Value

Premium Type

Flexible premium (subject to the minimum and maximum premium requirement)

Interest Rate Lock

First Policy Year

Guaranteed Crediting Interest Rate

2.00% per annum for the duration of the policy

Free-of-Charge Withdrawal Limit after the 10th Policy Year

After the 10th Policy Year, free-of-charge withdrawal limit is 4.5% per annum of the Account Value as of the preceding policy anniversary

Terminal Illness Benefits 

Advance payment of the death benefit upon diagnosis of terminal illness, with a limit of US$2,000,000 Sum at Risk for the same insured 

Premium Charge 

6.5% of each premium payment 

Administration Charge 

Based on the Current Sum Assured and deducted monthly for the first 15 years of each cover layer; charge varies according to the insured’s age at issue, gender, usual residence and health status

Cost of Insurance 

Based on the Sum at Risk and deducted monthly until the insured reaches the age of 120; charge varies according to the insured’s attained age, sum assured, gender, usual residence, health status and smoking status 

Surrender Charge 

Based on the Current Sum Assured and applicable in the first 15 years of each cover layer upon:

  1. Policy lapse and surrender
  2. Decrease in Current Sum Assured
  3. Withdrawals

Charge varies according to the insured’s age at issue, gender, usual residence, health status and the number of years that the cover layer has been in force 

Surrender Value

Account Value minus any applicable surrender charge and outstanding debt (if any). 

Important Information

The brochure does not contain the full terms and conditions of the policy. It is not, and does not form part of, a contract of insurance and is designed to provide an overview of the key features of this product. The precise terms and conditions of this plan are specified in the policy contract. Please refer to the policy contract for the definitions of capitalised terms, and the exact and complete terms and conditions of cover. In case you want to read policy contract sample before making an application, you can obtain a copy from AIA. The brochure should be read along with the illustrative document (if any) and other relevant marketing materials, which include additional information and important considerations about this product. We would like to remind you to review the relevant product materials provided to you and seek independent professional advice if necessary.

This plan can be only purchased through Bank of East Asia as a basic plan.

The brochure is for distribution in Hong Kong / Macau only.

“AIA”, “the Company”, “We”, “our” or “us” herein refers to AIA International Limited (Incorporated in Bermuda with limited liability).

Effective from 1 January 2018, all policy owners are required to pay a levy on each premium payment made for both new and in-force Hong Kong policies to the Insurance Authority (IA). For levy details, please visit our website at or IA’s website at

Crediting Interest Rate, Fees and Charges Philosophy

This is a universal life insurance plan designed to be held long term. Your premiums, after applicable charges of the product, will be deposited to a cash accumulation account. The account value will be invested in a variety of assets according to our investment strategy and will accrue interest at a declared interest rate determined by us. The account value of your policy is subject to the applicable fees and charges of the product. We aim to ensure a fair interest determined from the underlying investment and among different groups of policy owners.

Future investment performance is unpredictable. Through our smoothing process, we aim to deliver more stable crediting interest rate by spreading out the gains and losses over a longer period of time. Stable interest will ease your financial planning.

We will review and determine the crediting interest rate to be declared to policy owners at least annually, or more frequently, and we reserve the right to declare such crediting interest rate from time to time. The actual crediting interest rate declared may be different from the crediting interest rates illustrated in any product information provided (e.g. benefit illustrations). If there are any changes in the actual crediting interest rate against the illustration or in the assumed future crediting interest rate, such changes will be reflected in the policy anniversary statement.

A committee has been set up to provide independent advice on the determination of crediting interest rates and other non-guaranteed benefits and policy charges to the Board of the Company. The committee is comprised of members from different control functions or departments within the organisation both at AIA Group level as well as Hong Kong local level, such as office of the Chief Executive, legal, compliance, finance and risk management. Each member of the committee will exercise due care, diligence and skill in the performance of his or her duties as a member. The committee will utilise the knowledge, experience, and perspectives of each individual member to assist the Board in the discharge of its duty to make independent decision and to manage the risk of conflict of interests, in order to ensure a fair interest determined from the underlying investment and among different groups of policy owners. The actual crediting interest rate, other non-guaranteed benefits and policy charges, which are recommended by the Appointed Actuary, will be decided upon the deliberation of the committee and finally approved by the Board of Directors of the Company, including one or more Independent Non-Executive Directors.

To determine the crediting interest rate of the policy, we consider both past experiences and the future outlook for all the factors including, but not limited to, the following:

Investment returns: include interest earnings, dividends and any changes in the market value of the product’s backing assets. Depending on the asset allocation adopted for the product, investment returns could be affected by fluctuations in interest income (both interest earnings and the outlook for interest rates) and various market risks, including credit spread and default risk, fluctuations in equity prices, property prices and foreign exchange currency fluctuation of the backing asset against the policy currency.

Surrenders: include policy surrenders, partial surrenders and policy lapses; and the corresponding impact on the investments backing the product(s).

This product also has policy charges and fees which will be reviewed regularly and may be adjusted if necessary. In addition to the conditions stated in the schedule of policy charges, and the above-mentioned investment returns and surrenders factors, the review of policy charges and fees may also be subject to the following factors:

Claims: include the cost of providing the death benefits and other insured benefits under the product(s).

Expenses: include both expenses directly related to the policy (e.g. commission, underwriting, issue and premium collection expenses) and indirect expenses allocated to the product group (e.g. general administrative costs).

For further information, please visit AIA website at

For the historical crediting interest rate, please visit AIA website at

Investment Philosophy, Policy and Strategy

Our investment philosophy is to deliver stable returns in line with the product’s investment objectives and AIA’s business and financial objectives.

Our investment policy aims to achieve the targeted long-term investment results and minimise volatility in investment returns over time. It also aims to control and diversify risk exposures, maintain adequate liquidity and manage the assets with respect to the liabilities.

Our current long-term target strategy is to allocate assets attributed to this product as follows:

Asset Class Target Asset Mix
Bonds and other fixed income instruments 80% - 100% 
Equity-like assets 0% - 20%

The bonds and other fixed income instruments predominantly include government and corporate bonds, and are mainly invested in the geographic region of the United States and Asia-Pacific (excluding Japan). Equity-like assets may include listed equity, mutual funds and direct / indirect investment in commercial / residential properties, and are mainly invested in Asia. Returns of equity-like assets are generally more volatile than bonds and other fixed income instruments. Subject to our investment policy, derivatives may be utilised to manage our investment risk exposure and for matching between assets and liabilities.

Our currency strategy is to minimise currency mismatches. For bonds or other fixed income instruments, our current practice is to currency-match their bond purchases with the underlying policy denomination on best-efforts basis (i.e.: US Dollar assets will be used to support US Dollar liabilities). Subject to market availability and opportunity, bonds may be invested in currency other than the underlying policy denomination and currency swap will be used to minimise the currency risks. Currently assets are mainly invested in US Dollar. For equity-like assets, currency exposure depends on the geographic location of the underlying investment where the selection is done according to our investment philosophy, investment policy and mandate.

We will pool the investment returns from other long term insurance products (excluding investment linked assurance schemes and pension schemes) together with this universal life insurance plan for determining the actual investment and the return will subsequently be allocated with reference to the target asset mix of the respective universal life products. Actual investments (e.g. geographical mix, currency mix) would depend on market opportunities at the time of purchase. Hence it may differ from the target asset mix.

The investment strategy may be subject to change depending on the market conditions and economic outlook. Should there be any material changes in the investment strategy, we will inform policy owners of the changes, with underlying reasons and impact to the policies.

Key Product Risks

  1. The plan may make certain portion of its investment in equity-like assets. Returns of equity-like assets are generally more volatile than bonds and other fixed income instruments, you should note the target asset mix of the product as disclosed in this product brochure, which will affect the crediting interest rate on the product. The savings component of the plan is subject to risks and possible loss. Should you surrender the policy early, you may receive an amount considerably less than the total amount of premiums paid.
  2. We will terminate your policy and you / the insured will lose the cover when one of the following happens:
    • the insured passes away; or
    • the Terminal Illness Benefit is paid (where the maximum aggregate amount of Sum at Risk is less than or equal to US$2 million) and the death benefit under this policy is fully paid in advance; or
    • you do not pay the required premium amount within 60 days starting from the monthly deduction day on which the total projected policy charges for 3 months exceeds
    - the Account Value less any outstanding debt during the first 5 policy years; and
    - the Account Value less any applicable surrender charge and any outstanding debt after the 5th policy year; or
    • you do not pay the required premium amount to meet the minimum premium requirement within 31 days from the relevant policy anniversary in the first 5 policy years.
  3. We underwrite the plan and you are subject to our credit risk. If we are unable to satisfy the financial obligations of the policy, you may lose your premium paid and benefits.
  4. You are subject to exchange rate risks for plans denominated in currencies other than the local currency. Exchange rates fluctuate from time to time. You may suffer a loss of your benefit values and the subsequent premium payments (if any) may be higher than your initial premium payment as a result of exchange rate fluctuations. You should consider the exchange rate risks and decide whether to take such risks.
  5. Your current planned benefit may not be sufficient to meet your future needs since the future cost of living may become higher than they are today due to inflation. Where the actual rate of inflation is higher than expected, you may receive less in real terms even if we meet all of our contractual obligations.

Key Exclusions to Terminal Illness Benefit

No Terminal Illness Benefit will be paid if:

  1. the signs or symptoms of the medical condition of the insured first occur or commence on or before 90 days from the issue date of the policy; or
  2. the 12-month period within which the insured is expected to pass away due to the terminal illness falls on or after the Policy Anniversary immediately following the insured’s 120th birthday; or
  3. the terminal illness is a pre-existing illness, disease, impairment or condition from which the insured was suffering prior to the policy being issued or being reinstated (if applicable), whichever is better, unless the insured makes a declaration in the application for the policy or in the application for reinstatement of the policy (if applicable), and such application is specifically accepted by us; or
  4. the terminal illness is the result of or is related (directly or indirectly) to Acquired Immunodeficiency Syndrome (AIDS) or Human Immunodeficiency Virus (HIV) according to AIA’s opinion; or
  5. the terminal illness is due (directly or indirectly) to a congenital defect or disease which manifests or is diagnosed before the insured attains the age of 17; or
  6. the terminal illness is the result of self-inflicted injury or injuries; or
  7. the terminal illness is the result of any physical or mental condition existing before the policy was issued, and which was not disclosed in any application or in any health statement relating to the policy before the commencement of cover.


If the insured commits suicide within one year from the date on which the policy takes effect, our liability will be limited to the refund of premiums paid (without interest) less any outstanding debt and withdrawals.


Except for fraud, we will not contest the validity of the policy after it has been in force during the lifetime of the insured for a continuous period of two years from the date on which the policy takes effect. For any increase in the Current Sum Assured, such 2-year incontestability period will separately apply to the sum assured of each cover layer created starting from the date on which the new cover layer takes effect. This provision does not apply to any add-on plan.

Warning Statement and Cancellation Right

Wealth Preserver 5 is a universal life insurance plan. Part of the premium pays for the insurance and related costs. If you are not happy with your policy, you have a right to cancel it within the cooling-off period and obtain a refund of any premiums and levy paid. A written notice signed by you should be received by the Customer Service Centre of AIA International Limited at 12/F, AIA Tower, 183 Electric Road, North Point, Hong Kong within the cooling-off period (that is, 21 calendar days immediately following either the day of delivery of the policy or cooling-off notice (informing you / your nominated representative about the availability of the policy and expiry date of the cooling-off period, whichever is earlier)). After the expiration of the cooling-off period, if you cancel the policy before the end of the term, the projected surrender value may be substantially less than the total premium you have paid.

Important Notes from the Insurance Agent of The Bank of East Asia, Limited