Risk Disclosure of RMB and USD Insurance

RMB and USD policies are subject to exchange rate risk. The exchange rate between RMB and HKD or USD and HKD may rise as well as fall. Therefore, if calculated in HKD, premiums, fees and charges (where applicable), account value / surrender value and other benefits payable under RMB or USD policy will vary with the exchange rate. The exchange rate between RMB and HKD or USD and HKD will be the market-based prevailing exchange rate determined by BOC Life from time to time, which may not be the same as the spot rate of banks. The fluctuation in exchange rate may result in losses if a customer chooses to pay premiums in HKD, or requests the insurer to pay the account value / surrender value or other benefits payable in HKD, for RMB or USD policy.

RMB Conversion Limitation Risk - RMB Insurance are subject to exchange rate fluctuations which may provide both opportunities and risks. The fluctuation in the exchange rate of RMB may result in losses in the event that the customer converts RMB into HKD or other foreign currencies.

(Only applicable to Individual Customers) RMB is currently not fully freely convertible.  Individual customers can be offered CNH rate to conduct conversion of RMB through bank accounts and may occasionally not be able to do so fully or immediately, for which it is subject to the RMB position of the banks and their commercial decisions at that moment. Customers should consider and understand the possible impact on their liquidity of RMB funds in advance.

(Only applicable to Corporate Customers) RMB is currently not fully freely convertible. Corporate customers that intend to conduct conversion of RMB through banks may occasionally not be able to do so fully or immediately, for which it is subject to the RMB position of the banks and their commercial decisions at that moment. Customers should consider and understand the possible impact on their liquidity of RMB funds in advance. 

Remarks: 

1. The Plan is a participating policy. Nevertheless, Annual Dividend (if any) and the annual interest rate for dividend accumulation, and Terminal Dividend (if any) are not guaranteed and may be changed from time to time. Past performance is not indicative of future performance. The actual amount received may be higher or lower than the estimated amount. BOC Life reserves the right to change them from time to time. If the Policy Owner chooses to withdraw the Annual Dividend (if any) and/or interest accumulated (if any), the Annual Dividend (if any) and/or interest (if any) withdrawn will no longer be accumulated as part of the total cash value and the total Death Benefit² of the policy. The cash value, the surrender value and the total Death Benefit² of the policy will be reduced accordingly. Annual Dividend accruing on the 1^st Policy Anniversary (if any) shall be credited after the 2^nd Policy Year’s premium has been paid in full. Terminal Dividend (if any) may be payable from the 3^rd Policy Anniversary upon the death of the Insured (if applicable)² or surrender of the policy; or upon policy maturity. For details, please contact the branch staff of Bank of China (Hong Kong) Limited.
   
   
2. The Death Benefit of the Plan is equivalent to 100% of Guaranteed Cash Value plus Terminal Dividend¹ (if any) as at the date of the Insured’s death or 100% of Total Premiums Paid as at the date of Insured’s death plus RMB20,000 / USD3,000 (whichever is higher); plus the accumulated Annual Dividend¹ and interest accrued thereon¹ (if any) at the relevant time; less all indebtedness⁷ (if any) and outstanding premiums (if any). “Total Premiums Paid” means the total premiums paid for the Basic Plan. Any Premium Deposit Account balance or rider premiums (if applicable) shall be excluded. Premium discount (if any) will not be taken into account when calculating the Death Benefit. The Sum Insured of the Plan is used for projecting the premiums, dividends¹ and other policy values only, the Death Benefit amount payable upon the Insured’s death may be less than the Sum Insured.
   
   
3. Upon encashment of total cash value, the policy and corresponding protection including life protection will be terminated, and the total cash value received may be lower than the amount of premium paid. Once the policy is terminated, customer may opt to have a new arrangement with BOC Life where such arrangement (including but not limited to the death benefit of the new arrangement) can only be exercised subject to the conditions imposed by BOC Life and upon approval by BOC Life in writing, and shall be subject to the formal policy documents and provisions issued by BOC Life. In addition, the interest rate for the accumulated account of such new arrangement is not guaranteed. BOC Life reserves the right to amend at any time at its sole discretion.
   
   
4. Normal underwriting is required if the Plan attached with “Payor's Death Or Disability Rider” or “Waiver Of Premium Rider”.
   
   
5. Supplementary riders are subject to underwriting and corresponding issue age eligibilities. Premiums of such may be changed from time to time. For details, please contact the branch staff of Bank of China (Hong Kong) Limited.
   
    
6. i) Premium Deposit Account is applicable to the policy with premium payment period of 5 years and premium payable made in annual mode and pre-payment must be made in lump sum upon application whereas further pre-payment will not be accepted thereafter. Pre-payment of premium for policy with other premium payment period is not accepted. ii) If “Waiver Of Premium Rider” or “Payor’s Death Or Disability Rider” is attached to the policy, Premium Deposit Account is not applicable. iii) Annual premiums will be deducted automatically from the Premium Deposit Account on each Policy Anniversary when due. The balance of Premium Deposit Account should be sufficient to pay the entire amount of annual premiums of the policy, and cannot be used for partial settlement of annual premiums. iv) Special accumulation interest rates of the prepaid premium for RMB and USD policies are not the same, and this interest rate is non-guaranteed. BOC Life may change the special accumulation interest rate and the premiums for some supplementary riders (if applicable) from time to time. Therefore, the Premium Deposit Account balance is not guaranteed to be sufficient to cover all premiums for the whole premium payment period. When the balance of the Premium Deposit Account is insufficient to pay the annual premium payable, BOC Life will issue a premium notice to customer, and interest will not be accrued on the residual value. v) In the event of partial or full withdrawal of Premium Deposit Account balance or surrender of the policy, a premium deposit withdrawal fee will be deducted from the amount withdrawn from the Premium Deposit Account balance (if any). There is a minimum charge for the premium deposit withdrawal fee. The calculation of premium deposit withdrawal fee and minimum requirement of the premium deposit withdrawal amount may be changed from time to time. vi) If the Insured passes away, the Premium Deposit Account balance (if any) together with the Death Benefit² will be payable to the policy Beneficiary. vii) For details, please refer to proposal and provisions issued by BOC Life.
   
   
7. Indebtedness shall include but not limited to any policy loan that has been taken by the Policy Owner and its interest (if any). Whilst the policy is in force, the Policy Owner can apply for a policy loan against Guaranteed Cash Value of the policy subject to the policy loan provision. Upon the termination of policy, if the policy loan and its interest (if any) have not been settled in full, they will be deducted from the total cash value thereupon. Once the Policy Owner is unable to repay the policy loan and interest, where the total amount of indebtedness is equal to or higher than Guaranteed Cash Value, the policy will lapse, and the life protection and supplementary riders⁵ (if any) will be terminated without providing any surrender value, and the Policy Owner may sustain a substantial loss. For details, please refer to the policy provisions issued by BOC Life.

Important Notes:

• The Plan and the supplementary riders (if any) are underwritten by BOC Life. Bank of China (Hong Kong) Limited ("BOCHK") is the major insurance agent banks appointed by BOC Life.
  
• BOC Life is authorised and regulated by Office of the Commissioner of Insurance to carry on long term business in the Hong Kong Special Administrative Region of the People’s Republic of China.
  
• BOC Life reserves the right to decide at its sole discretion to accept or decline any application for the Plan and the supplementary rider(s) (if any) according to the information provided by the proposed Insured and the applicant at the time of application.
   
• The Plan and the supplementary rider(s) (if any) are subject to the formal policy documents and provisions issued by BOC Life. Please refer to the relevant policy documents and provisions for details of the Insured items and coverage, provisions and exclusions.
  
• BOCHK is the appointed agent of BOC Life for distribution of life insurance products. The life insurance product is a product of BOC Life but not BOCHK.
  
• In respect of an eligible dispute (as defined in the Terms of Reference for the Financial Dispute Resolution Centre in relation to the Financial Dispute Resolution Scheme) arising between BOCHK and the customer out of the selling process or processing of the related transaction, BOCHK is required to enter into a Financial Dispute Resolution Scheme process with the customer; however any dispute over the contractual terms of the insurance product should be resolved between directly BOC Life and the customer.
   

This promotion material is for reference only and is intended to be distributed in Hong Kong only. It shall not be construed as an offer to sell or a solicitation of an offer or recommendation to purchase or sale or provision of any products of BOC Life outside Hong Kong. Please refer to the policy documents and provisions issued by BOC Life for details (including detailed terms, conditions, exclusions, policy costs and fees) of the Plan and the supplementary rider(s) (if any). For enquiry, please contact the branch staff of Bank of China (Hong Kong) Limited.