Multifund Life Insurance
Due to the needs of our clients and the always changing insurance market, AEGON continuously develops a variety of products, of which Multifund life insurance is one of the newest products. Multifund provides insurance protection and a great variety of investment funds, while being a reliable financial partner for you.
Multifund life insurance is a multipart investment:
- It is very attractive because of the great variety of investment funds.
- It is an alternative possibility compared to other savings products.
- It provides life insurance protection that cannot be lower than the amount of the sum assured of the total premium payment that has been paid prior to the insurance event.
- It provides for yield tax optimization, since benefits paid out after an insurance event are free of yield tax.
Investments can be adjusted to the changes of the money market
Multifund offers you the ability to choose among several investment funds, ranging from: investment funds in shares or bonds to the investment funds in the money-market to mixed equities. With so many options, you will surely find the best funds for your needs. (*)
You can change the allocation of your portfolio from time to time during the term. In this way, you can manage your investment portfolio by your own yield expectations. The reallocation of your portfolio is free of yield tax.
The active portfolio-management of the client is supported by the insurer. Our customers can reallocate their funds free of charge through AEGON Online Customer Service.
You have the option to pay a minimum of 1 million HUF on top of the premium of the policy at any time during the term. With the top-up payment, you can allocate your additional investment into the best investment funds of your preference, independent of the allocation of the premium to date.
In expert hands
Features of the product:
Minimum premium: 3 million HUF
Payment frequency: Single premium and additional top-up premium is payable at any time (minimum 1 million HUF)
Payment method: transfer from bank account
Term: 10-25 years
Surrender, partial surrender: If you get into a situation before the maturity date and you need all or a certain part of your investment in Multifund, you may totally or partially surrender your policy from the second month of the policy term, only subject to the loss defined in the policy terms and conditions.
Age at entry of the insured: 18-80 years (the age of the insured person at maturity may not exceed 100 years)
Insurance benefit: any kind of death (except for exclusions and exemptions in the policy conditions)
Sum assured will be paid out for the defined beneficiaries:
- In case of death, in 10 years of the term: the present value of the sum of the investment funds OR the amount of the total premium decreased by the amount of the partial surrender. The higher amount is paid out by the insurer.
- In case of death, after 10 years of the term: the present value of the sum of the investment funds multiplied by 101% OR the amount of the total premium decreased by the amount of the partial surrender and the periodical maturity benefit. The higher amount is paid out by the insurer.
Periodical maturity benefit: Due to the conditions of this product, you have the option to take out the formerly defined amount of money from the investment funds at every policy anniversary, without paying yield tax.
Can you avoid paying yield tax with Multifund? – Of course!
The law of taxation created a rule for the yield income in the past, but the percentage of the yield tax was 0%. From 1st of September 2006, the percentage of yield tax changed to 20%. It has had a serious effect on the yield income of the individual policyholders.
Yield tax must be paid because of the yields which yield-period started after the 31st of August 2006. The savings life insurance products signed after this time are in a better position compared with other investment products because the laws on the personal income tax mentions yield tax only in special cases. As a main rule, it is true the benefits paid out for an insurance event are free of yield tax, and so are the maturity benefits at a minimum of a 10-year-long term policy.
The conditions of Multifund life insurance are very favorable in accordance with the laws of taxation:
- On the one hand, the term of the policy is at least for 10 years; on the other hand, the policy can only be signed by individual policyholders. Therefore, this product fulfils one of the requirements of both prosperous taxation and tax rebates.
- Further advantage of the Matrix Value is the option for a periodical maturity benefit. It means that at the 10th policy anniversary or at any anniversary of the policy, there is an option for the beneficiary, who can also be the policyholder, to withdraw some money from the policy under certain circumstances. The periodical maturity benefit, as well as the maturity benefit at the end of the term, is free of yield tax, since these benefits are due to insurance events. Accordingly, our client does not have any liability to pay taxes on the sum, but the total amount of resorted tax rebates are not paid back, either.
Flexible investment
Our clients can closely follow the price of investment funds and the value of his or her investments using the Online Customer Service or by calling our Information Line: 06-40-204-204.
- Our company offers flexible investment options in order that our clients can maximize their capital.
- The policy-holders can choose among any of the offered investment funds.
- The investment units can be reallocated from the second month of the term of the policy.
- The clients can decide to modify the allocation of the premium payment anytime. The premium paid after the modification is invested by the new allocation claims.
Only Citibank clients are allowed to make the Multifund single premium unit-linked endowment life insurance!
* The policy-holder takes the risks of the investments, since there is no capital-guarantee or yield-guarantee. Buying the units of the investment funds includes the risk for losing or decreasing the value of the units, as well as the value of the savings, mainly on the short run. The yields of the investment funds during the previous years do not mean any guarantee in terms of the yields in the following years.