Frequently Asked Questions

Gro Annuity Pro

Product Coverage

• Q:What is Gro Annuity Pro?

  A:

  Gro Annuity Pro is a participating single premium insurance plan that provides lifetime annuity payments and protection in the event of death.

  It is ideal for those seeking financial security in their golden years.

• Q:When does the annuity payout start?

  A:

  This is an immediate annuity plan. Upon commencement of the annuity, the policy pays a regular income over the lifetime of the annuitant.

Death Benefit

• Q:What is the death benefit payable?

  A:

  If the person taking the annuity dies, we will pay the single premium less the total annuity payments, provided the total annuity payments made is less than the single premium.

  The policy will end when we make this payment. We will not pay any further benefits.

Cash Value & Bonuses

• Q:Is there any cash value for this policy?

  A:

  Yes, you may cash in this policy for its cash value.
  
  We will pay the cash value shown in the Table below, provided the total annuity payments made is less than the single premium.

  When policy is cash in	Cash value
  One year from cover start date	85% of the following: Single premium less the total annuity payments and conversion bonus
  Two years from cover start date	90% of the following: Single premium less the total annuity payments and conversion bonus
  Three years from cover start date	93% of the following: Single premium less the total annuity payments
  Four years from cover start date	95% of the following: Single premium less the total annuity payments
  Five years or later from cover start date	Single premium less the total annuity payments

  Conversion bonus means the additional cash value provided, if applicable, when you exercise the annuity option to buy this policy.

  The policy will end after you cash in this policy fully.

• Q:Is this policy eligible for any bonus?

  A:

  Yes, annual bonuses are declared yearly. Once declared, they shall be added to the annuity payouts.

  Bonuses are not guaranteed. They are recommended by our Appointed Actuary and approved by our Board of Directors.

  Bonus pay-outs to policyholders are primarily influenced by the performance of the Life Participating Fund (Par Fund). The Fund’s performance is predominantly driven by factors such as the investment returns of the Par Fund, its expenses and claims experience. Aligned to industry practice, Income is safeguarding policyholders’ interest by allocating 90% of Par Fund surpluses to them. This means for every $9 distributed to policyholders, only a maximum of $1 is allocated to shareholders.

Eligibility

• Q:What is the minimum and maximum entry age?

  A:

  The minimum entry age of the insured is 40 age last birthday and maximum entry age is 85 age last birthday.

• Q:Can I buy Gro Annuity Pro using Cash, Central Provident Fund (CPF) and/or Supplementary Retirement Scheme (SRS)?

  A:

  No. Gro Annuity Pro is only available to policyholders who want to exercise the annuity option in their policies (if applicable).

• Q:Can I backdate my policy?

  A:

  No, backdating is not allowed for this policy. 

Policy Loan

• Q:Can I take a policy loan?

  A:

  Yes, we may grant the loan from this policy depending on our terms and conditions. 

  We will take all loans and their interest from any amount we may be due to pay under this policy. If at any time the amount of the loans and interest is more than the cash value, this policy will end.

• Q:What happens to my annuity payout when I take a loan on my annuity?

  A:

  The loan repayment amount will be deducted from each annuity payout you are receiving. You will therefore have to make other provisions if you are depending on your annuity payouts as your regular income.

  You will receive nothing if the full annuity payout is used to repay the loan. This happens when the loan amount exceeds the cash value of your policy after factoring in the interest charged on your loan.