Main banks and insurers in Hong Kong together with HSBC, Manulife and BOC Life are lining up plans to develop their companies to aged residents, a sizeable section of the town’s inhabitants.
Folks aged 65 and above made up 22 per cent of the town’s 7.5 million residents final yr, in keeping with the statistics division. Since 1971, life expectancy in Hong Kong has elevated to 82.5 years from 67.8 for males and to 88.1 from 75.3 for ladies in 2023.
BOC Life goals to widen its “RetireCation” programme launched final month, which permits policyholders to make use of the money worth of their retirement plans to pay for his or her keep in properties offered by its companions in main mainland cities. The insurer plans to widen its protection to Southeast Asia and Japan subsequent yr.
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“Previously, insurance coverage corporations centered on providing safety to households when the breadwinners immediately handed away,” Wilson Tang, CEO of BOC Life, stated in an interview. “Now, there may be rising demand for retirement safety as persons are dwelling for much longer. They should begin early on retirement planning.”
BOC Life CEO Wilson Tang on December 12, 2024. Picture: Jonathan Wong alt=BOC Life CEO Wilson Tang on December 12, 2024. Picture: Jonathan Wong>
Tang stated the agency may also work on merchandise for high-net-worth clients, particularly involving property planning.
Edward Moncreiffe, CEO of worldwide insurance coverage at HSBC, stated there was sturdy demand for merchandise that enable households to go on wealth to the subsequent technology.
“In Hong Kong, there’s a rising acceptance among the many rich first technology in utilizing insurance coverage as a device for property planning, with flexibility as certainly one of their prime priorities,” he stated. “Our financial savings merchandise present even larger flexibility to our shoppers in tailoring how their demise advantages are paid to their family members, in addition to the power to nominate a trusted particular person to handle their coverage within the occasion of unexpected circumstances.”
HSBC Life in January bought a world file US$250 million coverage. This helped the group’s new insurance coverage worth develop 77 per cent within the first half to US$1.3 billion. Moncreiffe stated there was sturdy demand from rich people for such jumbo property planning insurance policies.
Edward Moncreiffe, CEO of International Insurance coverage of HSBC, at HSBC Primary Constructing in Central on August 26, 2024. Picture: Dickson Lee alt=Edward Moncreiffe, CEO of International Insurance coverage of HSBC, at HSBC Primary Constructing in Central on August 26, 2024. Picture: Dickson Lee>
