The Hong Kong Federation of Insurers (HKFI) today (12 June 2020) announces the survey results of the utilization of insurers’ autonomous alleviation measures and additional benefits for the insuring public.

On general insurance business (excluding medical), over 32,000 travel insurance policies have been granted refund, representing premiums of over HK$9.6 million. Around 14,500 claims involving a total amount of over HK$3 million have been lodged for travel insurance benefits relating to COVID-19, such as quarantine cash allowance.

On long term and medical insurance businesses, nearly 140,000 applications on premium grace period extension were handled. Together with those insurers who automatically extended the grace period without requiring prior application, the industry has altogether offered to defer the receipt of payment of annualized premiums exceeding HK$8.4 billion. It reflects the industry’s resolute commitment in easing the immediate financial burden of the insuring public and ensuring their protections remain unaffected by the economic hardship.

“COVID-19 has caused severe adverse impact to the society, bringing unparalleled challenges to us all. To alleviate the burden of policyholders, insurers have introduced various proactive and innovative measures as far back as January 2020 right after the first confirmed case of COVID-19 was reported,” said Mr Eric Hui, Chairman of the Hong Kong Federation of Insurers. “We are glad to see that insurers’ helpful and innovative offers have been put into substantial use. It once again demonstrates the pivotal functions of insurance in trying time and Hong Kong insurers would go the extra miles to provide that peace of mind for the insuring public.”

"The Insurance Authority (IA) appreciates the voluntary relief measures introduced spontaneously by the industry,” said Dr Moses Cheng, Chairman of the IA. “This caring gesture showcases a firm commitment to protecting and supporting the community of Hong Kong through thick and thin in the face of adversity, which is conducive to reinforcing public confidence and trust in the value of insurance.”

One noteworthy point is that most of the insurers have already extended the premium grace period. For the latest / updated information relating to the alleviation measures taken by insurers, please visit the HKFI’s Insurance Dashboard on COVID-19 (https://www.hkfi.org.hk/covid19/).

Encl: Data at a Glance