Index Payout calculation at policy year 20

Description

• The Company invests in call options with returns referenced to the level of the Citi-QuantCube Multi-Asset Regime VT8 Index. For more information, please visit  https://www.citivelocity.com/investmentstrategies/indices/cimara82
• As Citi-QuantCube Multi-Asset Regime VT8 Index calculated using base currency in US Dollar, the performance of the underlying index level will be converted into Thai Baht using the foreign exchange rate at the midpoint between the bid and offer rates at the time the Company executes the currency conversion. This reference rate will be sourced from Bloomberg Page BFIX at approximately 3:30 PM Bangkok time.
• The date when the policy is issued is the date your insurance application is approved by underwriting.
• Underlying index level on the initial valuation date is the level of the index on the investment start date (calculated within 45 days from the policy issue date).
• The exchange rate on the initial valuation date is the exchange rate on the investment start date (calculated within 45 days from the policy issue date).
• The Company has a policy to invest in the underlying index within 45 days from the policy issue date. And the underlying index value will be calculated on the final valuation date within 45 days before policy year 20.
• If final index valuation date falls on a fund weekend or a fund holiday, the valuation will be made on the next business day.
• Because the underlying index invests in US dollars, index-referenced returns from the Citi-QuantCube Multi-Asset Regime VT8 Index are subject to foreign exchange risk and any risks from exchange rate fluctuations between the Thai Baht and the US Dollar. However, the policyholder will still receive fully guaranteed benefits upon maturity since the benefits are not related to the exchange rate risk.
• However, the Index-Linked Benefit under this Policy is a non-guaranteed benefit. The actual benefit payable depends on the performance of the Citi-QuantCube Multi-Asset Regime VT8 Index and the applicable exchange rate (currency name), or any other reference index approved under the premium rate filing. The return is subject to the terms, conditions, and calculation methodology for the Index-Linked Benefit as determined by the Company. Policyholders may obtain further details regarding the Index-Linked Benefit at https://www.prudential.co.th/th/about-us/about-prudential-thailand/our-financial-performance/indexprice4/
• In the event that the underlying index calculator of the Citi-QuantCube Multi-Asset Regime VT8 Index discontinues the calculation of the Index during the Policy Term, or if any event occurs that may adversely affect its credibility or ability to meet its financial obligations, including but not limited to breach of contract, payment default, bankruptcy proceedings, regulatory intervention, or any other event that may materially affect the interests of the Policyholder, the Company reserves the right to substitute the existing Reference Index with an alternative reference index as deemed appropriate. The Company shall bear all costs and expenses incurred in connection with such substitution, and the replacement Reference Index shall not materially adversely affect the benefits payable to the Policyholder. If the Company is unable to identify a suitable replacement Reference Index in accordance with the foregoing paragraph, the Company shall, as soon as reasonably practicable, make a cash settlement based on the latest market value of the assets under the relevant index-linked reference contract received by the Company as a result of the discontinuation of the Index calculation. Upon such cash settlement, all terms and conditions relating to the payment of Index-Linked Benefits shall automatically terminate. The Company shall notify the Policyholder of such change in writing by issuing an endorsement to the Policy.
• The Company undertakes the risk under an insurance policy and has obligations to fulfill the promises specified in your contract.