Samsung Life Insurance revamps Golden Whole Life policy with earlier withdrawal window, new cancer coverage

Samsung Life Insurance said Tuesday it will launch a revised version of its Samsung Golden Whole Life Insurance policy starting Wednesday, featuring enhanced withdrawal options and new cancer coverage. The insurer is also releasing a simplified version of the product for people with pre-existing conditions who have had difficulty qualifying for whole life insurance.

First launched in September last year, the Samsung Golden Whole Life Insurance is designed to provide the core death benefit of a whole life policy while allowing policyholders to withdraw an amount equivalent to the premiums they have paid and use the funds as needed. Death coverage is maintained at or above the original insured amount even after a withdrawal is made.

The key changes in this revision are a lower entry barrier, an earlier window for accessing funds, and the addition of cancer coverage to broaden the product's utility.

The new Samsung Simple Golden Whole Life Insurance extends eligibility to people with pre-existing conditions. Anyone who does not fall under three simplified health-disclosure criteria can apply.

The withdrawal window has also been moved up. Once the premium payment period ends and a set amount of time has passed, policyholders can withdraw the premiums they paid and use the funds for purposes such as marriage, retirement or inheritance planning. Under the previous terms, policyholders on a seven-year payment plan had to wait 12 years from the contract date before making a withdrawal; the revision shortens that to 10 years. For the 10-year payment plan, the waiting period drops from 14 years to 12 years — a two-year reduction in both cases.

The product is structured so that the death benefit grows in line with premiums paid. Type 1 (the standard plan) provides coverage equal to 100 percent of cumulative premiums paid, while Type 2 (the plus plan) scales up to between 110 and 140 percent. The rate and duration of the increase vary depending on the payment period chosen.

The newly introduced cancer coverage option waives all remaining premium payments if the policyholder is diagnosed with cancer during the payment period. Upon such a diagnosis, a cancer diagnosis addition service kicks in, allowing the policyholder to withdraw up to an additional 100 percent of cumulative premiums paid on top of the standard withdrawal amount of 100 percent. The annual withdrawal limit rises to a maximum of 20 percent of cumulative premiums paid, enabling withdrawals of up to 200 percent over 10 years. For the Simple Golden Whole Life Insurance, the additional withdrawal cap is set at 50 percent, for a maximum of 150 percent over 10 years.

For example, a policyholder on a seven-year payment plan with cancer coverage who is diagnosed with cancer five years in would be exempt from the remaining two years of premiums. Starting at the 10-year mark of the contract, the standard annual withdrawal of 10 percent of cumulative premiums paid would be supplemented by an additional 10 percent under the cancer diagnosis addition service, allowing the policyholder to withdraw 20 percent of cumulative premiums each year for 10 years.

The product is open to applicants between the ages of 15 and 65, with payment periods of seven, 10, 15 or 20 years available.

"The Samsung Golden Whole Life Insurance was developed so customers can enjoy the product's benefits while keeping their death coverage intact, and it has drawn strong attention in the field since its launch," a Samsung Life Insurance official said. "This revision lowers the entry barrier, brings forward the point at which funds can be accessed, and adds cancer coverage — all to provide broader support for customers' life planning."