Community Rated Premiums

No. The reason for this is because the CR loadings are fluid and may change annually. There are maximums of 10, 15 and 25% for each pool in the Community, but it is possible for those loadings to decrease, so we do not publish tables.

Not automatically. Loadings in place at the time of joining the community group will remain.

25%

Within the community, there are three pools – A, B and C. The maximum Community loading for clients in pool A is 10%, in B is 15% and in C is 25%.

Yes. Movement between pools is determined by individual claim ratios. Every person will start in pool B. At renewal, the individual’s 2-year claim history will be examined to determine which pool they will enter.

No. Normal underwriting still applies.

Other loadings and price increases would still apply. Examples are things like geographical loading, inflation, change of age band, changes in benefits or product features, etc.

No. Once a member has joined the community group they cannot go back to Experience rating.

No. Pool C is capped at a maximum of 25%

No. Moving to CR Premiums will always be the choice of the insured person.

No. They can choose to move to the CR group at first purchase or any renewal.

Yes. Commission is paid on the total premium.

The purpose of CR Premiums is to provide a way for insured persons to manage premiums costs. As a broker, try to identify clients who may be at risk of very high premiums in the future. Many factors could cause costs to increase, but in general, it is overuse of the policy, or the onset of a chronic illness which may lead to experience loadings. If you have clients who find themselves in this type of scenario, then perhaps CR premiums are right for them. Remember, these premiums are not necessarily about saving money on premium costs, but more about allowing clients to know what costs to expect down the road.

During application or underwriting, or at renewal, simply inform us via email that the insured person wishes to apply CR Premiums. You can reach us at inquiry@pacificcross.com or by contacting IAL customer service at customerservice@ialhk.com.