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For annuity insurance , regular annuities can be divided into radical and stable types according to the characteristics of product annuity distribution. The radical type distributes a lot in the early stage and very little at maturity, while the stable type mainly distributes savings and distributes in the early stage. There are relatively few, and more will be distributed later.
If you have more requirements for the early cash flow , you can choose the radical . For example, most insurance companies currently on the market launch annuities. Such products are basically equipped with universal accounts. The benefits of the main insurance itself are relatively low, and they mainly rely on the higher universal Settlement rate driven, less final certainty of savings !
and . Customers who just want to save and do not have high cash flow requirements before maturity can choose the robust . There are still relatively few such products, especially the 4.025% regular annuity. There are few equipped with a universal account because it does not have a universal account. It is not necessary to be omnipotent, has a strong final certainty of savings, and has a strong ability to lock in interest rates ! html Funds around 2005 can be deposited in a universal account that can be purchased independently. For around 10 to 20 years, it is recommended to deposit the following top-notch 4.025% regular annuities!
: Basic overview
The above 5 models are 4.205% regular annuities that Data Jun can still find in the market, and the others are basically discontinued. The benefits of this kind of regular annuity have little to do with the age and gender of the insured..
Among them, Bohai Life's Joyful Life and Everbright Sun Life Diamond can be added with universal, with a minimum guarantee of 3%, but it is not of great significance.
: Benefit comparison (single payment)
3 models with 10-year maturity: Hongfu has the highest benefit in this life, IRR 3.87%, and Yuexiang has the lowest 3.50%. If we follow the simple compound interest conversion formula, we can get that Hongfu's life will last for 10 years at 4.62%.
However, in , any annuity insurance with annuity distribution before maturity cannot theoretically be converted into simple compound interest. compound interest only looks at the gain during the investment cycle and can only be calculated in the three dimensions of principal, future value, and deposit period. Interest rates make it impossible to estimate complex cash flow situations, especially when annuity insurance is paid out in installments.
There is only one situation in which IRR and compound interest are the same: a one-time investment and a one-time return of principal and interest. The one-time return of principal and interest in can only be withdrawn once the annuity distributed in each period is not collected and entered into the universal account to accrue interest and the insurance company accumulates interest upon maturity. Only in these two cases can we use the simple compound interest formula to directly convert IRR.
Although the above four models are all single-payment one-time investments, we cannot predict the insurance company’s cumulative interest rate and universal account settlement rate in the next 10 to 20 years. However, since the above four models except Rui Nian A, the other three models have very few annuities distributed before maturity, the impact on the single compound interest conversion value is not great, so we can directly convert it and get a relatively accurate value, but This value is only slightly overestimated, and it is already very accurate!
html With a maturity of 310 years, the highest simple interest is Hongfu Jinsheng's 4.62%, the highest simple interest is Fuyou Jinsheng's 5.12% with a maturity of 15 years, and the highest simple interest is 5.12% with a maturity of 20 years. It's Hongfu's life 5.85%! can also be said that Hongfu Jinsheng has achieved a sustained lock-in of 4.62% annualized simple interest for 10 years and 5.85% for 20 years, which is quite remarkable!
: Benefit comparison (paid in 3 years)
10 years of maturity: html has paid a total of 300,000 yuan in 43 years. Hongfu will receive 2,000 yuan every year after 5 years of this life. At the end of the 10th year, a one-time distribution of 412,600 yuan will be given, IRR3.91% Highest.
html expires in 315 years: Fuyoujinsheng will distribute 60,000 yuan at the end of the 5th year, 10,000 yuan every year from 6 to 14 years, and 308,990 yuan at the end of the 15th year. IRR3.78% is the highest.
html Maturity in 320 years: Hongfu will receive 2,000 yuan every year after 5 years in this life, and a one-time distribution of 588,000 yuan on the expiration of the 20th year, with the highest IRR of 3.98%.
If we convert it to simple interest, it will not be as accurate as single-interest, and it will be more likely to be overvalued. However, the smaller the annuity distributed before maturity, the smaller the risk of overestimation. is still the highest in Hongfu's life.
: Hongfu Jinsheng
From the plan, we can find that the death benefit of the product is MAX (premium paid, current price), and the current price in the first year is 86%. After 4 years, the current price exceeds the premium, so the product does not have any death benefit. Assure.
Then we can directly calculate the predetermined expense rate of the product:
Single payment 10 years maturity, under the predetermined interest rate of 4.025% discount, calculates the predetermined expense rate as 1.51%. You should know that before the development of this product, the maximum fee rate for single-payment annuity reservations was 10%. 1.51% greatly reduces the cost of products, which is completely beneficial to customers.
Single payment with a 20-year maturity date is discounted at a predetermined interest rate of 4.025%, and the calculated predetermined cost rate of is 1.40%. Even lower than the expiry date of 10 years, as low as dust!
And just on November 20, China Banking and Insurance Regulatory Commission stated at the second China Life Insurance Industry Chief Actuaries Forum: In the global low interest rate environment and the downward trend of interest rates. Amid multiple factors such as the spread of the epidemic and the global spread of the epidemic, it is becoming more difficult for investment income to cover policy costs. The interest rate risks faced by insurance companies and the reinvestment risks faced by asset duration mismatches are rising, and the spread loss risk of the personal insurance industry is increasing.
In 2019, Hongkang’s investment return rate was as high as 6.43%, ranking 8th among all life insurance companies. Hongkang's investment ability has always been good, and Hongkang has always been selling dividend-paying products with low guaranteed returns. Even if the future investment returns are not good, lowering the dividend can guarantee the payment of fixed-return products like Hongfu Jinsheng!
Finally, if you add soundness and security, you can deposit it in the bank within 5 years, there is an independent universal account that can be bought in about 5 to 10 years, you can deposit the above ones with maturity in 10 to 20 years, and you have to look at the ones with more than 20 years. The specific insurance age is specified.
See you next time!
