FAQ > Bonus

You can withdraw Cash Value of Reversionary Bonus, if any, at any time while the policy is inforce. It usually takes 10 working days for processing the bonus application.

It depends on which participating plan you have bought. For some plans, the policy will continue to share the bonus of our life insurance business profits after the policy is converted to RPU but not for other plans. The relevant information may refer to the policy provision, under the clause of "Converting your policy to a reduced paid up policy".

Prudential will determine and pay you bonus/dividend (if any) in accordance with the policy provision. Should your plan be with-profits by nature, you may be entitled to receive a share of the profits of PHKL's With-Profits Fund ("Fund"), in which your premiums are invested, through the addition of bonus/ dividend. The profits and the amount available for distribution among policyholders and shareholders are decided by Prudential in accordance with its Articles of Association. Divisible profit (being the amount available to divide amongst the policyholders and shareholders) is distributed so that no less than 90% is allocated to with-profits policyholders, the balance accruing to shareholders. The bonus/dividend system aims to give policyholders a fair share of profits which are put through a "smoothing" process that is applied over the course of the policy life span.

In setting the bonus/dividend, there are 3 key objectives:

(a) to give returns which reflect the investment performance of the underlying assets;
(b) to smooth out the ups and downs of investment performance;
(c) to ensure all policyholders are treated fairly.

Date updated: 1 Jan 2014