Union Health Deposit Plan
What is unique about Union Health Deposit?
Union Health Deposit is the only health insurance plan in the market that pays interest on premiums paid, while providing coverage for surgical and hospitalization expenses.
Union Health Deposit is a blend of life/health insurance and fund accumulation. This plan provides cover for a 10 year period and you could choose from 3 options according to your individual needs.
The plan offers you.....
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Cover for surgeries
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Payment of a daily benefit in case of hospitalization
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A fund to meet additional medical commitments
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A financial safety net in case of total and permanent disability or death
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A lump sum at maturity
Benefit details of Union Health Deposit
| Surgery Benefit | Covers 203 surgeries for which payment is based on the sum insured regardless of the actual costs incurred. Policyholders are entitled to claim for multiple surgeries up to 3 times the sum assured during the term of the plan. |
| Hospital Cash Benefit | Provides a daily benefit from the first day onwards up to a maximum of 180 days per annum, if the policyholder is hospitalized for over 3 days. This sum is doubled if admitted to the intensive care unit. |
| Medical Assistance Benefit | The policyholder could utilize the Medical Assistance Account to cover additional surgical and hospitalization related expenses. The policyholder has an option to withdraw funds soon after completing the first year, subject to minimum fund requirements. If the entitlement is not claimed in a particular year, the entitlement will be accumulated to the following years. |
| Total and Permanent Bisability Benefit arising from accident or sickness | The sum insured will be paid in five equal annual installments and the requirement to pay basic premium will be waived off. The policyholder will continue to enjoy the death cover and the benefit of Medical Assistance Account, which will grow with regular dividend payments. |
| Death Benefit | Provides a lump sum benefit based on sum insured or the value of the Medical Assistance Account, whichever is higher. |
| Maturity Benefit | At the end of the policy period, the fund available in the Medical Assistance Account will be paid back to the policyholder. |
Options of Union Health Deposit
The following table provides a summary of benefits from the 3 Union Health Deposit options available i.e HD100, HD250 and HD500.
The following table provides an illustration of annual premiums and projected balances in an individual policyholder's Medical Assistance Account, based on sample age groups as well as the three plan options available.
Notes:
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The illustrated maturity value of the Medical Assistance Account above assumes that there are no withdrawals made from the fund
- The actual maturity value will depend on the actual dividends declared each year
Policyholder dividends and Individual Medical Assistance Account
The basic premium paid by a policyholder is allocated to an individual Medical Assistance Account (MAA) according to the allocation rules set by the company. The dividend is guaranteed to be 100% of the distributable investment earnings arising from the proportion of the company's Life Fund attributable to the MAA as determined by the company's actuary.
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2005
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2006
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2007
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2008
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2009
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| Average life fund yield |
11.40%
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13.28%
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13.02%
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14.47%
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15.57%
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| Distributable dividend rate |
N/A
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N/A
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12.00%
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13.00%
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13.50%
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A guaranteed minimum dividend will be declared at the beginning of each calendar year by the company. The actual declared dividend at the end of year will not fall below this guaranteed rate.
The guaranteed minimum interim dividend rate for 2010 is 11.5%
