IIQE Paper 1 Structure of Hong Kong Insurance Industry question: insurer issues a group retirement scheme contract

IIQE Paper 1Structure of Hong Kong Insurance Industry

An insurer issues a group retirement scheme contract that provides a guaranteed capital or return. Under Schedule 1, this is:

A class C, linked long term
B class G, retirement scheme management category I
C class H, retirement scheme management category II
D class I, retirement scheme management category III

Show the answer and explanation

Answer: B. class G, retirement scheme management category I

Answer: class G, retirement scheme management category I. Class G covers retirement scheme contracts that provide for a guaranteed capital or return.Why not the others:• class C, linked long term: class C covers unit-linked life and annuity contracts.• class H, retirement scheme management category II: class H contracts do not provide a guarantee.• class I, retirement scheme management category III: class I covers insurance benefits under schemes, excluding G and H.Watch out: Swapping categories I and II.Rule: G: guaranteed capital or return. H: no guarantee. I: insurance benefits under retirement schemes.Source: IA P1 Study Notes 2024 Ed. §5.1.1(a), p.5/2; Insurance Ordinance (Cap. 41) Sch. 1, Parts 2-3 (e-Legislation, checked 31 Oct 2026)