Hanwha Life Launches 'VVIP Whole Life Insurance' for High-Net-Worth Individuals with 1% Assets

Hanwha Life announced on the 17th that it has launched the 'VVIP Whole Life Insurance' targeting the top 1% ultra-high-net-worth customers (VVIP).

[Asia Economy Reporter Oh Hyung-gil] Hanwha Life announced on the 17th that it has launched the 'VVIP Whole Life Insurance' targeting the top 1% ultra-high-net-worth customers (VVIP).

The maximum subscription amount limit is up to 3 billion KRW, and it is a whole life insurance designed for high-net-worth individuals who want to prepare inheritance funds and their bereaved families. Customers can choose between the increasing benefit type, which helps prepare funds for inheritance tax, and the income protection type, which provides guaranteed assets for the bereaved family in case of early death.

The increasing benefit type increases the death benefit by 3% annually for up to 20 years starting from the increasing age of 71. For example, if a 60-year-old male subscribes with a monthly premium of 3 million KRW for 10 years (death benefit of 260 million KRW), the basic death benefit is guaranteed until age 70, and from age 71 to 90, the death benefit increases annually by 3%, which is 7.8 million KRW.

If death occurs at age 90, the guaranteed amount is finally confirmed at 416 million KRW, and the death benefit increases up to 1.6 times.

The income protection type is suitable for customers who want to guarantee monthly benefits to their bereaved families in case of early death. If the customer dies before the retirement age of 65, the bereaved family will receive a monthly benefit equal to 2% of the main contract subscription amount until the retirement point. In addition, the bereaved family will receive 50% of the subscription amount as the death benefit.

The minimum subscription criteria are a main contract monthly premium of 3 million KRW or more, or a single premium of 150 million KRW or more. The subscription age is 15 to 70 years for Type 1 (increasing benefit type) and 31 to 59 years for Type 2 (income protection type). For example, if a 40-year-old male subscribes to Type 2 (income protection type, surrender value guaranteed type) with a subscription amount of 1 billion KRW and a payment period of 20 years, the monthly premium is 3.91 million KRW.

Sung Yun-ho, head of product development at Hanwha Life, said, "In an ultra-low interest rate environment, with rising real estate prices causing inheritance tax burdens, the needs of ultra-high-net-worth customers who are increasingly interested in preparing cash resources have been reflected." He added, "This insurance is suitable for VVIPs who want differentiated coverage as it can be used for inheritance tax funds, purpose funds, and retirement funds."

This content was produced with the assistance of AI translation services.