Taiping Elite Delight Whole Life Coupon Plan

Savings Plan

Enjoy attractive returns Achieve goals with ease

FBRO0010618E

Product FeatureWealth Accumulation for A Prosperous Future “Taiping Elite Delight Whole Life Coupon Plan” is a participating insurance plan that provides you with Guaranteed Cash Value, Guaranteed Cash Coupon, non-guaranteed Cash Dividends, as well as non-guaranteed Terminal Bonus, giving you and your loved ones the assurance of a stable and long-term income.

Guaranteed Cash Coupon1 for Stable Return While this Policy is in force and during the lifetime of the Insured, we will pay you Guaranteed Cash Coupon on each Policy Anniversary Date commencing from 2nd Policy Anniversary Date in an amount equal to 6% of the Notional Amount annually. You may choose to cash out the Guaranteed Cash Coupons according to your personal financial needs. You can also leave them with TPLHK for interest accumulation2, further boost your wealth.

Cash Dividends3 to Boost Your WealthYou will receive non-guaranteed Cash Dividends commencing from 2nd Policy Anniversary Date whilst the Policy is in force and all premiums due have been paid on or before such Policy Anniversary Date, which help you to accumulate wealth for enjoying a better future. You may either accumulate the non-guaranteed Cash Dividends in your Policy account to earn interest4, or withdraw, giving you flexibility of access to meet your needs.

Competitive Return with Terminal Bonus5

In addition, the Plan also offers you with Terminal Bonus, further enhances the financial support for you and your family. Terminal Bonus is a one-off non-guaranteed bonus payable upon occurrence of the earliest of the following event:(i)(ii)(iii)The face value of Terminal Bonus will be paid when payment is upon (i) and (ii), and the cash value of Terminal Bonus will be paid upon (iii) 6.

payment of Death Benefit; ormaturity of this Policy; orsurrender of this Policy.

Taiping Elite Delight Whole Life Coupon Plan You strive to accumulate wealth and hope your wealth can further enhance for assisting you to achieve different dreams and enjoy prosperous life with your loved family. China Taiping Life Insurance (Hong Kong) Company Limited (“TPLHK”) offers “Taiping Elite Delight Whole Life Coupon Plan” (the “Plan” or the “Policy”), which combines the benefits of ideal returns and comprehensive life insurance, enabling you to achieve different target at different life stage and live a better life.

China Taiping Insurance Group Ltd (abbreviated as “China Taiping”) is a Chinese state-owned financial and insurance group whose management headquarters is located in Hong Kong. China Taiping Life Insurance (Hong Kong) Company Limited (abbreviated as “TPLHK”) is a wholly-owned life insurance subsidiary of China Taiping Insurance Holdings Company Limited under the China Taiping (abbreviated as “China Taiping Holdings”, HK00966), which is responsible for life insurance business in Hong Kong.

About TPLHK

FBRO0010618E

Life Protection for Peace of MindThe Plan provides life protection until the Insured reaches the age of 100. To protect you and your loved ones against any unfortunate event of death of the Insured, the Plan provides the Death Benefit7 to the Beneficiary which equals to:(i)

(ii)(iii)(iv) (v) (vi) (vii)

Maturity Benefit for Insured age 100If the Insured reaches the age of 100, the Policy will mature and we will pay you a Maturity Benefit. The Maturity Benefit is equivalent to sum of:(i)

(ii)(iii)(iv)(v)(vi)

Various Payment Terms for Financial FlexibilityThe Plan offers premium payment period of 5 years, 10 years or 20 years for your selection. The premiums remain level throughout the premium payment period, which allows you to meet your financial goals and better plan for your future. Besides, you may choose to prepay premium at policy application subject to the “PREPAID PREMIUM”9 Provision, which is prepaying premiums for the remaining premium years for enjoying a non-guaranteed Prepayment Interest Rate.

Higher of• 105% Net Premium Paid8;• Guaranteed Cash Value; plus accumulated Guaranteed Cash Coupon and interest (non-guaranteed, if any);plus accumulated Cash Dividend (non-guaranteed, if any) and interest (non-guaranteed, if any);plus face value of Terminal Bonus (non-guaranteed, if any);plus Prepaid Premium (if any);plus accumulated Interest on the Prepaid Premium (non-guaranteed; if any); less any outstanding indebtedness due by you to us under this Policy.

Higher of• 105% Net Premium Paid;• Guaranteed Cash Value; plus accumulated Guaranteed Cash Coupon and interest (non-guaranteed, if any);plus accumulated Cash Dividend (non-guaranteed, if any) and interest (non-guaranteed, if any);plus face value of Terminal Bonus (non-guaranteed, if any);plus accumulated Interest on the Prepaid Premium (non-guaranteed; if any); less any outstanding indebtedness due by you to us under this Policy.

Product Information

Plan Type

Premium Payment Term

Issue Age(Age Last Birthday)

Coverage Period

Policy Currency

Minimum Notional Amount

Premium Payment Mode

Basic Plan

Up to age 100

USD / HKD

USD6,000 / HKD48,000

Annual / Semi-annual / Quarterly / Monthly(or to choose Annual and Prepayment Premium for the remaining policy years)

5 years

15 days to age 70

10 years

15 days to age 65

20 years

15 days to age 55

FBRO0010618E

The Insured

Insured Plan

Notional Amount

Annual Premium

Premium Payment Term

Mr. Wong (Age 40, non-smoker)

“Taiping Elite Delight Whole Life Coupon Plan”

USD200,000

USD34,876

20 years

Case Illustration(The following example and all figures below are hypothetical and for illustrative purposes only.)

Case 1: Retirement PlanMr. Wong is now 40 and plans to retire at 65. He would like to obtain a steady income for enjoying a relaxing retirement life through insuring a financial planning.

Age 40

Guaranteed Cash Coupon starts and is left with TPLHK for interest accumulation(i).

Guaranteed Cash Coupons distributed annually (6% of the Notional Amount) = USD12,000 per year

Age 42Age 60

Age 65-85

Mr. Wong insured “Taiping Elite Delight Whole Life Coupon Plan”.

Mr. Wong finishespaying all premiums of USD697,520.

Mr Wong’s Retirement FundCash Withdrawal(ii):Mr. Wong withdraws US$20,000 from his policy as a regular retirement income each year until age 85.

The total amount of cash withdrawal is USD420,000, which is equal to 60.21% of total premiums paid.The total cash value(iii) of the policy is USD2,283,899(iv), which is equal to 327.43% of total premiums paid.

If Mr. Wong choose to surrender his policy at 65. The total cash value (iii) of the policy is USD1,211,377(iv), which is equal to 173.67% of total premiums he paid.

Insured’s Age

FBRO0010618E

Policy Owner

The Insured

Insured Plan

National Amount

Annual Premium

Premium Payment Term

Mrs. Chan (age 30)

Daughter Susan (age 0)

“Taiping Elite Delight Whole Life Coupon Plan”

USD100,000

USD27,089

10 years

Case 2: Plan for children’s better furtureMrs. Chan hopes to give the best to her new born daughter Susan. She wants to insure a financial plan which helps her daughter to have adequate wealth for a prosperous further.

Guaranteed Cash Coupon left with TPLHK to accumulate interest at an annual interest rate which is not guaranteed and may be changed from time to time. On each Policy Anniversary, TPLHK shall credit interest at the rate it determine each year.Cash withdrawals will be deducted first from accumulated Guaranteed Cash Coupon, accumulated Cash Dividend (non-guaranteed, if any) and any interest accrued from Guaranteed Cash Coupon and Cash Dividend of this Policy (non-guaranteed, if any). Any withdrawal which exceeds the remaining balance of accumulated Guaranteed Cash Coupon, accumulated Cash Dividend and any interest accrued from Guaranteed Cash Coupon and Cash Dividend of this Policy (non-guaranteed, if any) will be deducted from the Guaranteed Cash Value, which in turn will reduce the Notional Amount of the Policy (as reflected in an endorsement to the Policy).The “total cash value” illustrated in those cases is hypothetical and not guaranteed. The “total cash value" means the sum of the Guaranteed Cash Value, Accumulated Guaranteed Cash Coupon, non-guaranteed Accumulated Cash Dividend and Accumulated Interest and non-guaranteed Terminal Bonus. The projected non-guaranteed benefits are based on the TPLHK's dividend/bonus scales determined under current assumed investment return and are not guaranteed and are subject to review and adjustment at TPLHK’s absolute discretion from time to time. The actual amount payable may change anytime with the values being higher or lower than those illustrated. Under some circumstances, the non-guaranteed benefits may be zero.The value is hypothetically based on the current dividend scales and accumulation interest rate of 4.5% p.a. on Guaranteed Cash Coupons and Cash Dividend.The two cases assumes that no advanced claim has been paid, no loans and partial withdrawals are taken out on the Policy, there is no indebtedness due by you to TPLHK under this Policy and all premiums are paid in full when due.

(i)

(ii)

(iii)

(iv)(v)

Age 0

Guaranteed Cash Coupon starts and is left with TPLHK for interest accumulation (i).

Guaranteed Cash Coupons distributed annually (6% of the Notional Amount)= USD6, 000 per year

Age 2Age 10

Age 18-21

Mrs. Chan purchased “Taiping Elite Delight Whole Life Coupon Plan” for her daughter Susan.

Mrs. Chan finishespaying all premiums of USD 270,890.

Suasn’s Education FundCash withdrawal(ii): USD10,000 per year to pay Susan’s university fees.

The total amount of cash withdrawal is USD40,000, which is equal to 14.77% of total premiums paid.

Gifts for Susan’s Wedding

Cash withdrawal(ii): USD150,000 for Susan’s purchasing of a flat and wedding expenses, which is equal to 55.37% of total premiums paid.

Age 30

Susan enjoys a prosperous lifeSusan can choose to surrender her policy at 60. The total cash value(iii) of the policy is USD2,257,175(iv), which is equal to 833.24% of total premiums paid.

Age 60

Insured’s Age

FBRO0010618E

Remarks The Guaranteed Cash Coupon shall be paid after deduction of any outstanding indebtedness owed by you to TPLHK at the time of payment. If no option is elected when Guaranteed Cash Coupon becomes payable, the option of Guaranteed Cash Coupon Accumulation shall apply automatically.Guaranteed Cash Coupon left with TPLHK to accumulate interest at an annual interest rate which is not guaranteed and may be changed from time to time. On each Policy Anniversary, TPLHK shall credit interest at the rate it determine each year. Cash Dividend will be determined annually by TPLHK and it is not guaranteed and may be changed from time to time. The actual amount of Cash Dividend is subject to the overall performance of the Company’s participating business, including investment returns, operational expenses and claims, etc. Past performance is not indicative of future performance. Cash Dividend left with TPLHK to accumulate interest at an annual interest rate which is not guaranteed and may be changed from time to time. On each Policy Anniversary, we shall credit interest at the rate we determine each year.Terminal Bonus are determined and calculated based on TPLHK’s experiences and current projections of surrender values and bonus scales in relation to a number of factors including, but not limited to claims, persistency and investment experience and/or assumptions. These values are not guaranteed and are subject to review and adjustment at TPLHK’s absolute discretion from time to time.The face value of Terminal Bonus is determined and calculated based on our experiences and current projections of surrender values and bonus scales in relation to a number of factors including, but not limited to claims, persistency and investment experience and/or assumptions. It is not guaranteed and is subject to review and adjustment at our absolute discretion from time to time.Death Benefit: Subject to the terms of this Policy, if the Insured dies before Maturity Date while this Policy is in force, we shall, upon receipt and approval of due proof of death in the form specified by us, pay the Death Benefit to the Beneficiary(ies). When the Death Benefit of this Policy becomes payable in full on the death of the Insured, we will deduct from those proceeds any unpaid balance of the Premiums outstanding or due for the full Policy Year in which that death, occurs.Net Premium Paid means total premiums paid for the Basic Plan less all Guaranteed Cash Coupons received and/or left for accumulation (calculation of Net Premium Paid does not include any interest accrued thereon) by the Owner up to the date of death of the Insured.Prepaid Premium Any premium(s) paid to us but not yet due (“Prepaid Premium”) shall, subject to any maximum amount as determined by us from time to time, accumulate interest at the Prepayment Interest Rate for any Prepaid Premium and commencing from the 1st Policy Anniversary Date. The Prepayment Interest Rate is not guaranteed.Where the Premium for the remaining years are paid in full together with the Premium of the first year, interest will accumulate for the Prepaid Premium. The amount of the Prepaid Premium for the remaining years is equal to the amount of the Premium before special discount (if any) of the first year times the number of the remaining years. The Prepayment Interest Rate of this product is not applicable to any other products unless otherwise stated. You may withdraw the Prepaid Premium and / or any interest thereon in accordance with our procedures. Any interest earned but not withdrawn will be non-interest bearing for the remaining term of the Policy. The balance of any Prepaid Premium and / or interest thereon that is not withdrawn shall be automatically used to offset any premium due and payable which is not paid within the Grace Period.

1.

2.

3.

4.

5.

6.

7.

8.

9.

Important Information This brochure is for reference only. 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 Policy are specified in the policy documents. Please refer to the policy contract for the definitions of capitalized terms, and the exact and complete terms and conditions of the cover. This 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.

Bonus ConceptTPLHK’s participating policies share the bonus from the Company's profits from the relevant group of products (as determined by the Company) by distributing different forms of bonuses, as follows:Bonus come from the share of divisible surplus (if any) determined by the Company every year. There is a fixed shareholder ratio between the Insured and the shareholders. Once declared by the Company, the amount of bonus declared for the year in question is not subject to change. Bonus left with the Company will accumulate interest at a non-guaranteed rate as may be determined by the Company from time to time.

Since the stated policy bonus distribution is based on the divisible surplus of the Company and the divisible surplus is unpredictable, the corresponding bonus is not guaranteed.The premiums paid by policyholders will be used to pay all guaranteed benefits for the product and expenses of the Company. Part of it will be invested in assets selected by the Company which suit the features of the product. Based on various long-term assumptions pertaining to that product group (including but not limited to investment yields, expenses, claims and surrender experience), the Company will project a set of bonuses in the proposal which is provided to each prospective policyholder before they apply for a life insurance policy. These bonuses are calculated with the prevailing bonus scale of the Company. When setting the long-term assumptions, the Company will take into account the past experience of similar policies and consider the likely future development. Thus, the bonuses projected in the proposal reflect the Company's reasonable estimate at the time of application and are not guaranteed. If actual results turn out to be worse than the best estimate long-term assumptions, a deficit (i.e. experience loss) is created and the amount of bonus will be adjusted downwards compared to that illustrated.The Company will review the actual experience of the products of the relevant product group (including but not limited to investment yields, expenses, claims and surrender) against the long-term assumptions it made when projecting the bonus scale at least once a year (or more frequently upon change in economic and other related factors, if applicable). If the recent actual experience turns out to be different from the long-term assumptions, the Company will decide whether any bonuses payable need to be adjusted. The adjustment will also depend on the accumulated divisible surplus from previous years on the policies of the relevant product group.Due to the different benefit and premium structure of different products, the change in bonus scale will vary for different products. Even for the same product, the change in bonus scale will vary among policies denominated in different currencies and policies of different policy classes (e.g. based on age, gender, underwriting class, in-force duration etc.).The final determination of the bonus scale of the participating policy account will first be recommended by the appointed actuary and subsequently approved and implemented by the professional committee of the board of directors of the Company.You may browse TPLHK’s website (http://tplhk.cntaiping.com/) to understand the company’s bonus history, profit sharing ratio and bonus fulfillment ratio for reference purposes. Bonus history is not an indicator of future performance of the participating products.

Investment Philosophy and StrategyOur investment philosophy is to achieve sustainable and stable returns on investments whilst maintaining moderate investment risk levels in the long term. We strive to reward our policyholders with investment returns and protect their interests and reasonable expectations. Through active portfolio management, we will invest in multiple asset classes to control and diversify investment risks and secure potential and stable returns under different economic conditions. In general, it is expected that we will, through this product, invest in a variety of asset classes, including but not limited to stocks, real estates, government bonds, corporate bonds, funds, alternative investments and cash. If needed, we may also utilize derivatives to manage our risk exposures, such as currency risk exposures. Derivatives may be utilized mainly for hedging purposes.In terms of our geographic allocation of investments, we are inclined towards allocating our assets in various geographic regions and our major investment areas are Asia, North America and Pan-European regions currently. Our present currency exposures are mainly in USD and HKD and if we invest in assets in other currencies, we will hedge the foreign exchange risk with the use of FX derivatives.The asset allocation under our long-term investment strategy for this product is as follows:

Depending on the asset allocation of the product, investment returns could be subject to fluctuations in interest income and a number of market risks including but not limited to credit spread and default risk, volatility in equity and property prices. These factors will have a significant impact on the determination of bonus.

Asset CategoryFixed Income and

Alternative InvestmentEquity and Fund

Long-Term Target Allocation (%)

60% to 100%

0% to 40%

FBRO0010618E

Key Product Risk“Taiping Elite Delight Whole Life Coupon Plan” is issued and underwritten by TPLHK. Please note the following Key Product Risks.

1. Exchange Rate RiskThe application of this insurance product with the policy currency denominated in a foreign currency is subject to that foreign currency’s exchange rate and currency risk. The foreign currency may be subject to the relevant regulatory bodies’ control (for example, exchange restrictions). If your home currency is different from the policy currency, any exchange rate fluctuation between your home currency and the policy currency of this insurance product will have a direct impact on the amount of premium required and the value of the benefit(s) to be received. For instance, if the policy currency of the insurance product depreciates substantially against your home currency, the potential loss arising from such exchange rate movement may have a negative impact on your benefits to be received from the product and your burden of the premium payment. You may browse our official website (http://tplhk.cntaiping.com/) to find out the latest prevailing exchange rate for reference. You should consider the exchange rate risks and decide whether to take such risks.

2. Early Surrender RiskThe Policy is designed for persons looking for life protection as their goal. If you terminate the Policy prior to claims, this may result in loss of all premium paid. While the Policy is in force, the policyholder may terminate the Policy by sending a written termination request. If the Policy is terminated or surrendered before claims of the Policy, the Surrender Benefit received by the policyholder may be less than the total Premiums paid.

3. Premium Term RiskThe minimum premium term of this Policy is the premium term shown on the first page of this proposal. Non-payment of premium within the premium term may result in loss of coverage and financial loss.

4. Prepaid Premium Clawback ChargePrepaid Premium clawback is permitted for the Prepaid Premium, subject to a clawback charge of USD 260, or 3.5% of claw back amount, whichever is higher. No interest would be accrued to the policyholder if the Prepaid Premium is clawed back. Partial clawback is not permitted. We reserve the right to review and adjust the clawback charge from time to time.

5. Termination ConditionsThis Plan will automatically terminate upon the following whichever is the earliest:(i)(ii)(iii)(iv)

(v)

Termination of your Policy will not affect any claim or benefit arising prior to such termination unless otherwise stated.

6. Automatic Premium Loan RiskThe premium of the Policy should be paid in full for the whole payment term. If you fail to pay the Premium due at the end of the Grace Period, the Automatic Premium Loan Option will be automatically exercised. Any Premium remaining unpaid at the end of the Grace Period will be paid by way of an automatic premium loan (“Automatic Premium Loan”) provided that the total sum of Guaranteed Cash Value, accumulated Guaranteed Cash Coupon, accumulated Cash Dividend (non-guaranteed, if any) and any interest accrued from Guaranteed Cash Coupon and Cash Dividend of this Policy (non-guaranteed, if any) is then equal to or greater than the amount of that unpaid Premium and any outstanding indebtedness due by you to us under this Policy.

upon the surrender of the Policy; orupon the death of the Insured; orupon the Maturity Date of the Policy; orif any Premium remains unpaid at the end of the Grace Period (subject to “Automatic Premium Loan” provision); orif the amount of the outstanding indebtedness under this Policy exceeds the sum of the Guaranteed Cash Value, accumulated Guaranteed Cash Coupon, accumulated Cash Dividend (non-guaranteed, if any) and any interest accrued from Guaranteed Cash Coupon and Cash Dividend of this Policy (non-guaranteed, if any).

If the total sum of Guaranteed Cash Value, accumulated Guaranteed Cash Coupon, accumulated Cash Dividend (non-guaranteed, if any) and any interest accrued from Guaranteed Cash Coupon and Cash Dividend of this Policy (non-guaranteed, if any) is insufficient to the cover the full amount of the premium in default plus any money due from you to us, no Automatic Premium Loan will be extended and the Policy will lapse and you will lose the related insurance coverage and suffer a financial loss, and we will refund to you the balance of any remaining Guaranteed Cash Value, accumulated Guaranteed Cash Coupon, accumulated Cash Dividend (non-guaranteed, if any) and any interest accrued from Guaranteed Cash Coupon and Cash Dividend of this Policy (non-guaranteed, if any). We may at any time modify or alter, in part or in whole, this Automatic Premium Loan provision by giving written notice to you. You may browse our official website (http://tplhk.cntaiping.com/) to find out the relevant Automatic Premium Loan Rate for reference.

7. Credit Risk of IssuerThe Policy is issued and underwritten by TPLHK. Your Policy is subject to the credit risk of TPLHK. Our financial strength may affect our ability to meet the ongoing obligations under the insurance policy. Under the extreme and the worst scenarios, you are at risk of losing all the premium paid and benefit amount.

8. Inflation RiskWhen reviewing the values shown in the illustrations, please note that the cost of living in the future is likely to be higher than it is today due to inflation. Your current planned benefit may not be sufficient to meet your future needs. 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.

9. Key ExclusionNo Death Benefit shall be paid if the Insured commits suicide, whether sane or insane, within one (1) year after whichever is the later of (i) the Issue Date; (ii) the Effective Date as indicated in the relevant Endorsement or Supplementary Contract and (iii) the Reinstatement Date, TPLHK’s liability under the Policy will be limited to a refund of the Basic Plan Premiums paid, without interest and after deducting any indebtedness due by you to TPLHK under the Plan. In the case of reinstatement, the refund of the Basic Plan Premiums will be calculated from the Reinstatement Date.

10. Further AssessmentIf the “accumulated sum assured of life coverage”# of Elite Delight Whole Life Coupon Plan has not exceed USD250,000， simplified underwriting is required. If “accumulated sum assured of life coverage”# exceed USD250,000 but not exceed USD500,000, when the proposed Insured is of the age of 65 or below, simplified underwriting and special quote are required; when the proposed Insured is of the age 65 above, full underwriting and special quote are required. If the “accumulated sum assured of life coverage” # exceeds USD500,000, full underwriting and special quote are required and subject to individual consideration. # definition of “sum assured of life coverage”: the maximum amount of death benefit during the coverage period calculated as below:•

•

••

For 101 product (such as Diamond Club Series): yearly premium x total payment term x 1%For 105 product (such as Elite Delight Whole Life Coupon Plan): yearly premium x total payment term x 5%For other life product: 100% of basic sum assured For critical illness product with death benefit: 100% of the basic sum assured

FBRO0010618E

11. Investment RisksOur investments are based on policy details. Professional and licensed asset management company has been appointed to manage duration, currency exposure and the return according to the characteristics of the insurance products. We have long term strategic asset allocation (SAA) and short-mid term tactical asset allocation (TAA). Portfolio manager will follow the TAA range to optimize investment return. The portfolios are built up and aimed at attaining a balanced portfolio to deliver stable return by investing in fixed return financial assets, high quality alternative debt investments, public equity, private equity and fund investments.

(i) Market Risk and Price Risk

(ii)Interest Rate Risk and Credit risk

(iii)Liquidity risk

•

•

•

•

•

•

Need more details? Get in touch with us

A customer who has purchased the life insurance plans has a right to cancel the policy within the cooling-off period and obtain a refund of any premium(s) paid less any withdrawals. Provided that no claim has been made, the customer may cancel the policy by giving written notice to TPLHK within 21 days after: (1) the delivery of the policy or (2) notification (informing the availability of the policy and expiry date of the cooling-off period) to the customer/his/her representative, whichever is earlier. The premium will be refunded in the currency of premium payment at the time of application for this policy. If the currency of premium payment is not the same as the plan currency, the refundable premium amount in plan currency under this policy will be converted to the currency of premium payment at the prevailing currency exchange rate as determined by TPLHK in its absolute discretion from time to time upon payment. After the cooling-off period expires, if a customer cancels the policy before the end of benefit term, the actual cash value may be substantially less than the total amount of premiums paid.

Cancellation Right

“Taiping Elite Delight Whole Life Coupon Plan” (the “Plan”) is underwritten by China Taiping Life Insurance (Hong Kong) Company Limited (“TPLHK” or the “the Company”).TPLHK is authorized and regulated by Insurance Authority (“IA”) to carry on long-term business in the Hong Kong Special Administrative Region of the People's Republic of China (“HKSAR”).The offer of this Plan is limited and subject to availability. TPLHK reserves the right to decide at its sole discretion whether to accept or decline any application for the Plan.The Plan is a product of TPLHK and it is intended only for sale in the HKSAR.TPLHK reserves the right to amend, suspend, terminate or amend the relevant terms of the Plan at any time at its sole discretion without prior notice. In case of any dispute, the decision of TPLHK shall be final.This promotional material is for reference only. Details of the coverage of the Plan are subject to the terms and conditions stipulated in the policy by TPLHK. Chinese version of this Policy is provided for reference only. In case of discrepancies between the Chinese and English versions of this Policy, the English version shall prevail.

Important Notes

Please contact your consultant or call our

Customer Service Hotline at (852) 800 961 589 or

visit our website at for more details.

http://tplhk.cntaiping.com

In this brochure, ’you’ and ’your’ refer to the owner of the Policy. ”TPLHK”, ‘We’, ‘us’ and ‘our’ refer to China Taiping Life Insurance (Hong Kong) Company Limited.

Market risk is the possibility for an investor to experience losses due to factors that affect the overall performance of the financial markets in which he is involved. Market risk, also called “systematic risk”, Sources of market risk include recessions, political turmoil, changes in interest rates, natural disasters and terrorist attacks.Price risk is the risk of a decline in the value of a security or a portfolio.

The investments in debt and debt-related securities are subject to interest rate risk and credit risk. Interest rate fluctuations will affect the capital value of investments. Where long term interest rates rise, the capital value of shares is likely to fall and vice versa. Interest rate risk is the chance that such movements in interest rates will negatively affect the value of a security. Securities with greater interest rate sensitivity and longer maturities tend to produce higher yields, but are subject to greater fluctuations in value. Credit risk reflects the ability of the borrower (bond issuer) to meet its obligations (pay the interest on a bond and return the capital on redemption date). Changes in the financial condition of an issuer, changes in economic and political conditions in general, or changes in economic and political conditions specific to an issuer, are all factors that may have an adverse impact on an issuer’s credit quality and security values. The credit worthiness of each issuer will be considered carefully and certain level of diversification will be pursued by the portfolio manager.

This product is a long term insurance policy. This policy of long term insurance will be made for certain determined term of years starting from the policy effective date to the policy maturity date. The policy contains value and, if you surrender your policy in the early policy years or before its maturity date, the amount you get back may be considerably less than the total premium you have paid. Application of the Plan may constitute the liquidity risk to your financial condition. You need to bear the liquidity risk associated with the Plan. Our investment manager will close monitor the duration gap between investment and insurance liabilities and will ensure to prepare sufficient fund to meet each maturity of insurance contracts. Marketable fixed income instruments can be sold to provide cash flow for policy surrender when necessary.

FBRO0010618E