Prudential sees windfall from Hong Kong’s cash-for-residency scheme, Greater Bay Area opportunities, CEO says
- The revamped Capital Investment Entrant Scheme is sparking interest from wealthy would-be Hongkongers
- The insurer is teaming up with bay area partners to offer Hong Kong clients cross-border access to healthcare services
Hong Kong’s revamped investment-migration programme is paying off for insurers such as Prudential Hong Kong, which is planning to expand its product line to appeal to the wealthy would-be Hongkongers taking advantage of the scheme, according to its top boss.
Like peers Manulife and AIA, as well as major banks such as HSBC and Bank of China (Hong Kong), Prudential has seen growing interest in investment products from prospective clients under the revamped Capital Investment Entrant Scheme (CIES).
The scheme allows wealthy individuals and their families to gain fast-track residency when they make investments of at least HK$30 million (US$3.8 million) in Hong Kong-listed stocks, bonds, deposits, funds, investment-linked insurance policies or non-residential properties.
Visitors from mainland China spent HK$59 billion on insurance policies in Hong Kong last year, representing about 33 per cent of all industry sales, according to data compiled by the Insurance Authority. The total topped sales of HK$43.4 billion in 2019 and HK$47.6 billion 2018.
“We have received many inquiries from customers about our insurance policies in relation to the CIES since its launch on March 1,” said Lawrence Lam, CEO of Prudential Hong Kong.
