Effective from 12:00 AM on June 8, Fosun Prudential Life Insurance will discontinue three of its products.
These include one increasing-term life insurance product and two participating life insurance products: – Xing Ying Jia (Phoenix Edition) – Xing Fu Jia Long Teng Edition Whole Life Insurance (Participating) – Xing Fu Jia 2024 Whole Life Insurance (Participating) The first product offers a yield of 2.3%, while the second has an expected yield of 3.2%. Compared to the products listed on the “Deep Blue Insurance Gold List,” neither holds a significant advantage. However, the last product is worth noting. Based on calculations for a 30-year-old female with a 5-year payment term, the overall yields are as follows: Its guaranteed yield is only 1.5%, which is relatively low compared to the current market average of around 1.7%. However, its projected yield is more impressive, exceeding 3% by the 30th year and reaching approximately 3.4% in the long term. This yield surpasses some products on the Deep Blue Insurance Gold List, such as China Life’s Fu Man Ying 3.0 and Generali China’s Yi Sheng Zhong Yi Zun Xiang Edition, which have projected yields capped at around 3.2%. For those open to products with “low guarantees + high projections,” this one is worth considering. When selecting participating life insurance, it’s also important to evaluate the insurance company. Fosun Prudential Life Insurance may not be as well-known as China Life or Generali China, but it has notable strengths: – Strong shareholder backing: A Sino-foreign joint venture, with Fosun Group as the Chinese partner and Prudential Financial Group, one of the largest financial groups in the U.S., as the foreign partner. – Solid investment performance: An average comprehensive investment yield of 6.07% over the past three years, placing it in the top tier. – High historical dividend performance: Over the past 11 years (excluding the capped 2023), the dividend realization rate has consistently been 100% or higher. In summary, their participating life insurance products are also worth considering. However, the discontinuation of these products is not the main issue; the underlying trend is more concerning. For example, in May, China Life discontinued several of its savings insurance products with same-day notice and removal. This time, Fosun Prudential Life Insurance has given less than four days’ notice… It’s foreseeable that more insurance products may be discontinued with little to no advance notice in the future. By the time you start looking for a product, you might find that the one you “really liked” is already gone… This is particularly relevant for those interested in critical illness or savings insurance. If the predetermined interest rates are further adjusted in the third quarter, the impact could be significant. If you have needs, it’s advisable to start researching sooner rather than later.
