T&D Financial Life Launched New Whole Life Insurance. Shougai Premium Japan

Transcription

1 August 18, 2011 T&D Financial Life Insurance Company Kazuyoshi Shimada, President T&D Financial Life Launched New Whole Life Insurance Shougai Premium Japan T&D Financial Life Insurance Company, a subsidiary of T&D Holdings, Inc., launched non-participating whole life insurance (accumulation rate selecting type I), which is called Shougai Premium Japan. This new product Shougai Premium Japan is a whole life insurance which the predefined of bonus is added to the Accumulated bonus every year and the whole of Accumulated bonus can be withdrawn any time. Features of Shougai Premium Japan are as follows; 1. (predefined ) added every year for a lifetime - is added to the Accumulated bonus every year on the anniversary date for the lifetime. - The of bonus is given as the following: basic (single premium) x bonus rate according to the type. - The whole of Accumulated bonus can be withdrawn all through the lifetime. 2. Accumulation rate based on the market interest rate - The accumulation rate is provided based on the market interest rate according to the type. - As for the fixed accumulation rate type of this product, the accumulation rate at the contract date is fixed through the lifetime. The accumulation rate for the unfixed accumulation rate type of this product is renewed every 10 years on the anniversary date. 3. Death benefit for a lifetime - Death benefit is provided in the death of the insured. - Cancer ex-gratia payment provision can be applied to the fixed accumulation rate type at the time of the contract. When the insured is diagnosed as the Company s predefined cancer for the first time in his/her life, cancer ex-gratia payment (basic x 0.5%) will be paid every year. Note: Unfixed accumulation rate type and cancer ex-gratia payment may not be provided at all of the financial institutions. 1

2 These features fulfill customer needs such as saving for post-retirement years and providing financial securities for the bereaved family. T&D Financial Life aims to establish a strong brand as a specialized company in OTC sales at financial institution agents, offering products and services that satisfy customers. Please see the attachments for more details. For inquiries regarding the above, please contact: Investor Relations, T&D Holdings, Inc. Tel:

3 1. Structure of the fixed accumulation rate type of the product Basic x rate (1.0%) B Accumulated bonus Initial cost (Single premium x 4.5%) Basic (Single premium) Accumulated Accumulated Whole life benefit (Policy period: whole life) Basic Basic surrender A Death benefit = The largest of the following: Basic Accumulated Basic surrender A + B Contract date Cancer ex-gratia payment provision - Cancer ex-gratia payment provision can be applied to the fixed accumulation rate type of this product on the time of the contract. - On and after the inception date of the provision (91 days after the contract), cancer ex-gratia payment will be paid when the insured is diagnosed as the Company s predefined cancer for the first time in his/her life. - The of the cancer ex-gratia payment is given as the following: basic x 0.5% - After applying this provision to the contract, it cannot be surrendered alone. * Above structure is an image concept and does not reflect the case of the reduction of basic. T&D Financial Life does not guarantee the future of death benefit and others. 3

4 2. Features (certain ) added every year for a lifetime - is added to the Accumulated bonus every year for the lifetime. - The of bonus is given as the following: basic (as of day before the anniversary date) x bonus rate according to the type. The bonus is added to the Accumulated bonus on the anniversary date. Type of rate Fixed accumulation rate type 1.0% Unfixed accumulation rate type 0.3% - The whole of Accumulated bonus can be withdrawn all through the lifetime. Accumulation rate using the market interest rate - The accumulation rate is provided based on the market interest rate according to the type Type of *1 Market interest rate Fixed accumulation rate type 20-year JGB Accumulation rate at the contract date is fixed through the life time Unfixed accumulation rate type *2 10-year JGB Accumulation rate is renewed every 10 years on the anniversary date (Note) 1. Please be aware that the type of above cannot be changed after the contract. 2. The renewed accumulation rate may be lower than the accumulation rate applied before the renewal or become 0%. Death benefit for a lifetime -Death benefit is provided in the death of the insured -The of the death benefit is given as the following: The largest of (i), (ii) or (iii) + Accumulated bonus. Death benefit will be larger than the basic (single premium). (i) Basic (single premium), (ii)accumulated, (iii) Basic surrender 4

5 3. Policy Eligibility Age Basic Policy Amount (Single premium ) Premium Payment Policy Period Accumulated bonus Death Benefit Cancer ex-gratia payment Surrender Payment Riders and others Cooling-off System 50 to 75 Fixed accumulation rate type (50 to 70 when cancer ex-gratia payment provision applied) Unfixed accumulation rate type 20 to 80 3 million yen to 500 million yen (3 million yen to 100 million yen when cancer ex-gratia payment provision applied) Single premium only Whole life Basic (as of day before the anniversary date) x bonus rate * *Fixed accumulation rate type: 1.0%, Unfixed accumulation rate type: 0.3% Accumulated of bonus calculated according to the Company s predefined rate and lapse period The largest of (i), (ii) or (iii) as of the date of death+ Accumulated bonus (i) Basic (single premium) (ii) Accumulated (iii) Basic surrender Basic (as of the day before the diagnosed date and the every corresponding date of the year ) x 0.5% Total of the surrender + Accumulated bonus Cancer ex-gratia payment provision (Note): Cancer ex-gratia payment provision cannot be applied when the insured and the holder is different. Annuity payment transition rider (type I) Survivors annuity payment rider Designated proxy claimant rider The cooling-off system, which allows consumers to terminate a specific contract or revoke an offer unconditionally for a certain period following the effective date, has been applied to this product. 5

6 4. Costs Initial cost and maintenance cost are included in holder s expenses. The of the expense is the total of the following: Costs At the time of the contract Initial cost Single premium x 4.5% The accumulation rate is given by deducting the following costs in During the period Maintenance cost advance: maintenance costs, cost relating to death benefit, cost relating to accumulated bonus, and cost when the cancer ex-gratia payment provision is applied. Thus there is no additional cost to be incurred When receiving annuity payment by annuity payment transition rider (type I) and survivors annuity payment rider Cost for managing annuity payment during the period. Amount of annuity payment x 1.0% (The above cost is deducted on every annuity payment date) (Note): The current cost may change in the future. 6