We are living longer – but are we living better?

Many people view the general retirement age2 of 65 as a distant horizon. But the gift of longer lives is diminished if our longevity outpaces our ability to enjoy the lifestyle we have come to cherish. 

As that special day draws closer, now is the right time to plan ahead for a worry-free retirement. To help you maintain the lifestyle you deserve, HSBC EarlyIncome Deferred Annuity Plan (“Deferred EarlyIncome”) and EarlyIncome Annuity Plan (“EarlyIncome”) allow you to realise benefits today and tomorrow.  

Key features

With Deferred EarlyIncome and EarlyIncome, you can receive the following benefits: 

  • The projected breakeven period can be as early as the 8th policy year* taking into account the plan’s projected cash value, accumulated non-guaranteed dividend and accumulated monthly annuity payments3.
  • While you can receive a monthly income after just 5 years of payments, you can also opt to leave your proceeds in your plan to accumulate with interest during the annuity period.

* Breakeven means that the Net Cash Value5 which is contributed by both guaranteed and non-guaranteed benefits to total premium paid6 at a particular policy year is 100%. For the details of non-guaranteed benefits, please refer to section “Key risks - Non-guaranteed benefits” in respective Product Brochures.

More about Deferred EarlyIncome

Deferred EarlyIncome is a deferred annuity insurance policy offering features certified by the Insurance Authority (“IA”) to be compliant with its Guideline on Qualifying Deferred Annuity Policy4.

  • If you are a taxpayer in Hong Kong, you can apply for tax deduction under salaries tax and personal assessment with Inland Revenue Department from your premiums paid with an allowance of up to HKD60,000 for a particular fiscal year4.  For details, please refer to the “Important information for Qualifying Deferred Annuity Policy” section.
Couple is celebrating in a party; image used for Deferred Income Goal page

Enjoy tax deduction benefit while you save for your retirement. Learn more 

Deferred EarlyIncome / EarlyIncome are both long-term participating life insurance products with a savings element and is not equivalent or similar to any kind of deposit. Deferred EarlyIncome is a deferred annuity insurance policy offering features certified by the IA to be compliant with its Guideline on Qualifying Deferred Annuity Policy.

Product video

See how EarlyIncome works

EarlyIncome Annuity Plan

Product Discount Offer

Enjoy up to 7% discount off first year premium upon successful application for HSBC EarlyIncome Deferred Annuity Plan / EarlyIncome Annuity Plan.

This offer is valid until 30 June 2019. Promotional terms and conditions apply. Please visit branch for details.

Need to make a claim?

Fax us with the completed claim form.

Summary of cover

What’s included?

Below shows the key difference in features between the two plans including the range of Premium payment period, accumulation and annuity period / annuity payment option available in Deferred EarlyIncome and EarlyIncome to suit your varied needs and situation:
 

HSBC EarlyIncome Deferred Annuity Plan

(Qualifying Deferred Annuity Policy Certified by the Insurance Authority)

EarlyIncome Annuity Plan
Eligibility8
  • 20-year Annuity period:

         Life Insured from age 46 to 70 can apply

  • To age 992 Annuity period:

         Life Insured  from age 55 to 70 can apply

  • 3-year Premium payment period with 20-year Annuity period: 

         Life Insured from age 35 to 75 can apply

  • 5-year Premium payment period with 20-year Annuity period:

         Life Insured from age 35 to 70 can apply

  • 3-year or 5-year Premium payment period with to age 992 Annuity period:

         Life Insured from age 55 to 70 can apply

Life Insured Life Insured and Policyholder is the same person Life Insured and Policyholder can be the same person or different persons
Premium payment period 5 years 3 or 5 years, or in Aggregate premium7
Accumulation period 5 years 1 or 3 or 5 years
Annuity period 20 years or to age2 99 20 years or to age2 99
Dividend payment method
  • Accumulate in your policy 
  • Take out as cash after premium payment period, before which all dividends declared (if any) will be accumulated in your policy with interest (if any)
  • Accumulate in your policy  
  • Take out as cash at any time during the policy term
Below shows the key difference in features between the two plans including the range of Premium payment period, accumulation and annuity period / annuity payment option available in Deferred EarlyIncome and EarlyIncome to suit your varied needs and situation:
  Eligibility8

HSBC EarlyIncome Deferred Annuity Plan

(Qualifying Deferred Annuity Policy Certified by the Insurance Authority)

  • 20-year Annuity period:

         Life Insured from age 46 to 70 can apply

  • To age 992 Annuity period:

         Life Insured  from age 55 to 70 can apply

EarlyIncome Annuity Plan
  • 3-year Premium payment period with 20-year Annuity period: 

         Life Insured from age 35 to 75 can apply

  • 5-year Premium payment period with 20-year Annuity period:

         Life Insured from age 35 to 70 can apply

  • 3-year or 5-year Premium payment period with to age 992 Annuity period:

         Life Insured from age 55 to 70 can apply

  Life Insured

HSBC EarlyIncome Deferred Annuity Plan

(Qualifying Deferred Annuity Policy Certified by the Insurance Authority)

Life Insured and Policyholder is the same person
EarlyIncome Annuity Plan Life Insured and Policyholder can be the same person or different persons
  Premium payment period

HSBC EarlyIncome Deferred Annuity Plan

(Qualifying Deferred Annuity Policy Certified by the Insurance Authority)

5 years
EarlyIncome Annuity Plan 3 or 5 years, or in Aggregate premium7
  Accumulation period

HSBC EarlyIncome Deferred Annuity Plan

(Qualifying Deferred Annuity Policy Certified by the Insurance Authority)

5 years
EarlyIncome Annuity Plan 1 or 3 or 5 years
  Annuity period

HSBC EarlyIncome Deferred Annuity Plan

(Qualifying Deferred Annuity Policy Certified by the Insurance Authority)

20 years or to age2 99
EarlyIncome Annuity Plan 20 years or to age2 99
  Dividend payment method

HSBC EarlyIncome Deferred Annuity Plan

(Qualifying Deferred Annuity Policy Certified by the Insurance Authority)

  • Accumulate in your policy 
  • Take out as cash after premium payment period, before which all dividends declared (if any) will be accumulated in your policy with interest (if any)
EarlyIncome Annuity Plan
  • Accumulate in your policy  
  • Take out as cash at any time during the policy term

Your savings is made up of:

  • Guaranteed cash value in your  policy that builds up gradually throughout the accumulation period
  • Non-guaranteed annual dividends and interest rate (earned on any accumulated dividends and interest and any accumulated Monthly Annuity Payment3)

The dividend scale for distributing any dividends is determined by HSBC Life (International) Limited ("the Company") and may vary from time to time at the Company’s absolute discretion. If you withdraw any accumulated dividends and interest under your policy or if any adjustment affecting the dividends occurs during the policy term, the amount of future Monthly Non-guaranteed Annuity Payment may be adjusted accordingly. 

See more about our policy dividends.

 

Annuity payment option:

Payment at monthly interval - Receive Monthly Annuity Payment3 on each Monthiversary during the annuity period; or

Rollover - Accumulate all paid Monthly Annuity Payment3 to earn interests (if any, the interest rate which will be determined by our discretion from time to time) until the end of the annuity period.

Note: You can opt to switch between these two annuity payment options anytime during policy term at your choice.

 

Life cover:

Ensure your loved ones are looked after with a Death Benefit in case the unexpected happens. You can choose how the death benefit will be paid while the life insured is still alive. Your beneficiary(ies) will receive

  • Option 1: The death benefit in one lump sum payment, or;
  • Option 2: Accumulated Monthly Annuity Payment3 (if any) before your death in one lump sum; plus the unpaid Monthly Annuity Payment3 until the end of the Annuity Period (Note: This option is only applicable if it is elected when the Life Insured is alive and the Life Insured’s death occurs during the Annuity Period)

 

Please refer to the respective Product Brochures of Deferred EarlyIncome and EarlyIncome for detailed product features and risks.

Additional benefits

More benefits from Deferred EarlyIncome and EarlyIncome

When life surprises you, these plans provide you the following supplementary benefits9 (also known as “rider”) during the policy term, subject to eligibility, with no additional premiums. It’s our way to help you experience a hassle-free life journey. 

  1. Additional accidental death cover10
  2. Terminal illness benefit10
  3. Unemployment benefit11

Please refer to the respective Policy Provisions of the Supplementary Benefits9 for their detailed terms and conditions and relevant exclusions.

Product brochure

All the information you need in one place

HSBC EarlyIncome Deferred Annuity Plan Product Brochure

(Qualifying Deferred Annuity Policy Certified by the Insurance Authority)

Manage your policy

Manage your policy online

At HSBC, we understand life never stands still. Which is why you can make changes to your policy online anytime.

 

It's easy to:

- check or review your policy details

- change premium payment instructions, including your premium payment account, payment method or payment frequency

Make a claim

Sometimes life doesn’t go according to plan and you’ll want to make an insurance claim as soon as possible.

 

Simply call our Tele-Consultants at (852) 31280122 who will assist you in preparing your relevant claim request(s). 

Have you considered

 

Saving up for your retirement whilst apply for tax deduction on premium paid for the plan under salaries tax and personal assessment with Inland Revenue Department.

 

Note: Tax deduction is at Inland Revenue Department’s discretion. HSBC Income Goal Deferred Annuity Plan is a long-term participating life insurance product with a savings element and is not equivalent or similar to any kind of deposit.

 

Business to fund? School fees to pay? Perhaps you are simply looking forward to a comfortable retirement.

 

Note: Income Goal Insurance Plan is not equivalent or similar to any kind of deposit.

Important information for Qualifying Deferred Annuity Policy:

  • Tax implication of Qualifying Deferred Annuity Insurance Policy - The Qualifying Deferred Annuity Policy (“QDAP”) status of Deferred Income Goal does not guarantee that you will be eligible for a tax deduction for QDAP premiums you have paid. Deferred Income Goal’s QDAP status is based on the features of the product as well as its certification by the Insurance Authority (“IA”); not necessarily matters regarding your personal situation. Before claiming any tax deductions, you must meet all eligibility requirements set out under the Inland Revenue Ordinance, while following the guidance issued by the Inland Revenue Department of the Hong Kong SAR. Any general tax information provided is for your reference only, and you should not make any tax-related decisions based on such information alone. Please note that the actual tax benefits of this policy would depend on your personal tax position and there might not be tax deductions benefits if you are not subject to salaries tax and personal assessment in the relevant year of assessment. You should always consult with a professional tax advisor if you have any questions or doubts. Please note that the tax law, regulations and / or interpretations are subject to change and may affect any related tax benefits including the eligibility criteria for a tax deduction. The Company is not responsible for informing you about any changes in laws, regulations or interpretations, and how they may affect you. Further information regarding tax concessions applicable to QDAP may be found at the webpage of the IA: www.ia.org.hk.
  • Certification of QDAP – Please note that IA’s certification is not a recommendation or endorsement of the policy nor does it guarantee the commercial merits of the policy or its performance.  It does not mean the policy is suitable for all policyholders nor is it an endorsement of its suitability for any particular policyholder or class of policyholders.  The policy has been certified by the IA but such certification does not imply official recommendation.  The IA does not take any responsibility for the contents of the product brochure of the policy, makes no representation as to its accuracy or completeness, expressly disclaims any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of the product brochure of the policy.
  1. Application for Deferred EarlyIncome and EarlyIncome is subject to our relevant requirements on your nationality and/or addresses and/or residency as determined by us from time to time.
  2. We consider your age to be how old you are on your next birthday. So, if you are 54 with a birthday in 6 months’ time, we consider you to be 55.
  3. Monthly Annuity Payment means Monthly Guaranteed Annuity Payment plus Monthly Non-guaranteed Annuity Payment, if any. Monthly Non-guaranteed Annuity Payment is not guaranteed and is determined by the Company from time to time.
  4. Tax deduction under salaries tax and personal assessment with Inland Revenue Department from premiums paid under Deferred EarlyIncome shall be subject to your individual circumstances. It is also at Inland Revenue Department’s discretion when your premiums are paid over the premium payment period. Please refer to the “Key Risks - Tax implication of Qualifying Deferred Annuity Insurance Policy” section in respective Product Brochure for details regarding key risk factors.
  5. Net Cash Value means before the commencement of the Annuity Period, an amount equal to the sum of Guaranteed Cash Value plus accumulated dividends and interest, less any outstanding policy loans, interest and premiums. On or after commencement of the Annuity Period, Net Cash Value means sum of the Guaranteed Cash Value and any accumulated Monthly Annuity Payment3, plus any accumulated dividends and interest, less any outstanding policy loans, interest and premiums.
  6. Total premium paid refers to the total amount of premiums due under the Basic Plan (whether or not actually paid) as of the date of death of the Life Insured. Please refer to the Policy Provisions for detailed terms and conditions.
  7. As the aggregate premium option allows you to pre-pay all the required premiums at a discount, the balance of the aggregate premium after deducting the annual premium on the relevant premium due dates will be accumulated with interest at such interest rate which is not guaranteed and may change from time to time at our discretion. No withdrawal from the balance of the aggregate premium together with interests accumulated is allowed once paid except in the event of death or surrender. If the aggregate premium together with interests accumulated exceed the total premiums required under the Policy, any balance amount will be refunded to you as soon as all premiums due under the Policy have been settled. If the aggregate premium together with interests accumulated are not sufficient to cover the total premiums required under the Policy, you will then be requested to settle the premium shortfall upon receiving our written notification for the premiums due. Any failure to pay for the premium shortfall may result in lapsation of the Policy. If you surrender the policy in full or partially through reduction of sum insured, a surrender charge which is subject to change by us from time to time will be imposed on the balance of aggregate premium together with interests accumulated.
  8. For the same Life Insured, if the total premiums of all the pending Guaranteed Approval / Simplified Underwriting Applications and in-force policies of RetireEnrich Protection Plus, RetireIncome Annuity Plan, HSBC Wealth Goal Insurance Plan, EarlyIncome Annuity Plan, HSBC EarlyIncome Deferred Annuity Plan, Income Goal Insurance Plan and HSBC Income Goal Deferred Annuity Plan are:
    1. more than the “guaranteed approval” limit of HKD40,000,000 / USD5,000,000, the Life Insured is required to complete a number of simple health questions; or
    2. more than the simplified underwriting limit of HKD70,000,000 / USD8,750,000, the application will be further reviewed by the Company, and the acceptance of the application will be subject to the company’s discretion. 
  9. An amendment to an insurance policy that becomes a part of the insurance contract which expands or limits the benefits payable.
  10. Additional Accidental Death Benefit and Terminal Illness Benefit will terminate when the Life Insured attains the age2 of 80 or payout of the relevant benefits or the Policy is terminated (whichever is earlier). Your policy will terminate once we pay this benefit.
  11. Unemployment Benefit is applicable to policyholder aged between 192 and 642 who is the holder of the Hong Kong Identity Card. The benefit will terminate on the policy anniversary at which the policyholder attains the age2 of 65 or all due premiums have been paid or your policy is terminated (whichever is the earliest).

 

Disclaimer

The policyholder is subject to the credit risk of HSBC Life (International) Limited.

If the policyholder discontinues and / or surrenders the insurance plan in the early policy years, the amount of the benefit he / she will get back may be considerably less than the amount of the premium he / she has paid.

Past, current, projected and / or potential benefits and / or returns (e.g. bonuses, dividends and interest) presented herein are not guaranteed and are for illustrative purposes only.

The actual future amounts of benefits and / or returns may be lower than or higher than the currently quoted benefits and / or returns.

EarlyIncome Insurance Plan/HSBC EarlyIncome Deferred Annuity Plan are both underwritten by the Company which is authorised and regulated by the Insurance Authority (IA). The Hongkong and Shanghai Banking Corporation Limited (referred to as "HSBC") is an insurance agent authorised by the Company. Your benefit is subject to the credit risk of the Company. Your premiums paid will form part of the Company's assets. You do not have any rights or ownership over any of those assets. Your recourse is against the Company only. This product is a product of the Company but not HSBC and it is intended only for sale in the Hong Kong SAR.

Please refer to the respective product brochure for detailed features and the policy provisions for the detailed terms and conditions.

In the event of any inconsistency between the English version and the Chinese version, the English version shall prevail.

HSBC Life (International) Limited is incorporated in Bermuda with limited liability, and is one of the HSBC Group's insurance underwriting subsidiaries.