The new whole life product, named ABL the Inheritance Whole Life Insurance, stands out by returning the premiums paid by the policyholder along with the death benefit upon the insured's death.
The product offers two plan types based on the death benefit payment structure:
- Type 1 returns 100% of the insured amount plus the actual premiums already paid by the policyholder; while
- Type 2 guarantees 100% of the insured amount along with the total premiums the policyholder has committed to pay over the policy term, regardless of how much has actually been paid to date.
The novel product is available under a simplified underwriting process that enables even elderly individuals and those with pre-existing conditions to apply.
Eligibility is determined by disclosure of recent medical history, such as whether the applicant has been diagnosed, suspected, hospitalised, or required surgery in the past three months, for example.
ABL states that another distinctive feature is an option, which allows policyholders to reduce their coverage after completing premium payments.
The amount corresponding to the reduced coverage is then provided as a surrender refund, offering financial flexibility tailored to one’s life stage and economic situation.
For the standard underwriting Type 1 plan, men aged 15 to 72 are eligible to apply, with a minimum main contract coverage amount of KRW5 million (US$3,400).
“This product returns the premiums paid by customers along with the death benefit. It also supports inheritance tax planning while allowing policyholders to manage insurance benefits more flexibly in the era of super-aging. We will continue to develop practical and customer-centered products that meet a variety of needs,” said ABL product chief Kim Soon-jae, reported Korea News Plus.