Kyobo Life has launched Kyobo All-Protected Jongshin Insurance, a product is designed to use 100% of the insurance premiums paid by customers as living funds after a certain period of time after payment of insurance premiums.
Products are divided into basic and premium types.
The basic type can receive 50% of the pre-payment insurance premium for five years as a life plan fund, and the remaining 50% as a contractor's reserve withdrawal method for the next five years.
The premium type is structured to receive 70% of the life plan funds for seven years and 30% of the contractor's reserves for the next three years.
There is also a benefit of increasing the amount of death guarantees if the contract is maintained without receiving funds. For the basic type, death guarantees will be added up to 50% of the paid insurance premium and up to 70% for the premium type.
It also includes a premium payment exemption function. If you are more than 50% disabled by a disease or disaster during the payment period, or are diagnosed with cancer or certain brain and heart diseases, you will be exempted from paying insurance premiums afterward.
Options such as pension conversion using cancellation refunds, accumulation conversion using some of the death insurance benefits in advance, and long-term care funds conversion will also be provided.
In the insurance industry, it is evaluated that life insurance has recently been transformed from a simple death guarantee to a means of raising funds for retirement. A typical case is a death insurance securitisation system that can use death insurance as a pension asset during life.
The launch is a response to an ageing population, a growing interest in cash flows in old age, and the trend of life insurance companies combining refund, pension, and nursing functions with life insurance is spreading, reported Maeil Business.