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Republic of the Philippines

Department of Finance
I 071 United Nations Avenue
Circular Letter (CL) No.: 2a15-2C
Date: 27 AprU zt'I,
Supersedes: None


TO All lnsurance Companies, Entities and Persons Concerned

SUBJECT Rules lmplementing Title g, Chapter lV of the Amended

lnsurance Code on Bancassurance

Pursuant to the provisions of Sections 375 to 377, Title g, Chapter lV (Bancassurance)

of Republic Act No. 10607, otherwise known as the Amended lnsurance Code, and in
addition to the rules and regulations contained in the "Guidelines on Vaiable Life
lnsurance Contracts" previously issued by the lnsurance Commission in July 2002,
and any of its amendments, the following directives and requirements shall be
observed, implemented and complied with by insurance companies in the conduct of
Bancassurance activities and the offering and sale of insurance products, including
Variable Life lnsurance policies, in bank premises.


As used herein, and unless the context otherwise requires, the following terms
have the respective meanings hereinafier set forth or indicated:

a) Bancassurance activities.- The presentation and sale to bank customers by

an insurance company of its insurance products within the premises of the head
office of such bank duly licensed by the Bangko Sentral ng Pilipinas (BSP) or
any of its branches under such rules and regulations which the lnsurance
Commissioner and the BSP may prornulgate. For purposes of clarity, the terms
'bancasurance" and "cross-selling" can be used interchangeably.

b) Bancassurance Arrangements or Agreements.- The written and duly signed

contract entered into by and between the insurance company and the
counterpart bank embodying the terms and conditions agreed upon by them
relating to the conduct of Bancassurance activities and transactions as herein

c) Fund.- The type of underlying investment chosen by the VUL policyholder upon
which the separate investment accounts are placed, and may include a Bond
Fund, Equity Fund, Money Market Fund, Balanced Fund, or such other
lnsurance Commission-approved Funds.

Head OIIice: P.O. Box 3J89 Manila FAX No.522-14-34 Tel. Nos. 523.84-61 to 70 Wcbsite: *r*'
d) Market Conduct Guidelines (MCG).- The rules adopted and implemented by
the lnsurance Commission through Circular Letter No. 2013-33 dated 04
November 2013 which governs the performance of the functions of agents and
the agency leaders in the selling of life insurance products.

e) Managers.- Such persons or entities authorized by the insurance company or

as approved by the lnsurance Commission, as the case may be, to manage the
separate Fund relating to the investment portion of VUL policies.

Variable Life or Variable Unit-Linked (VUL) lnsurance Contractor Policy.-

Any insurance policy or contract on either a group or on an individual basis
issued by an insurance company providing for benefits or other contractual
payments or values there under to vary so as to reflect investment results of
any segregated portfolio of investments or of a designated separate account in
which amounts received in connection with such contracts shall have been
placed and accounted for separately and apart from other investments and
accounts. This contract may also provide benefits or values incidental thereto
payable in fixed or variable amounts, or both. lt shall not be deemed to be a
security or securities as defined in The Securities Act, as amended, or in the
lnvestment Company Act, as amended, nor subject to regulations under said


a) Requirements to Conduct Bancassurance.- Bancassurance or cross-selling

of insurance products by insurance companies may be conducted only in
premises of banks having secured prior Monetary Board (MB) approval to
engage in the said activities. The conduct by the concerned insurance
companies of Bancassurance activities, including the execution of such written
arrangements or agreements relevant thereto, shall be approved or ratified by
its Board of Directors.

lnsurance companies cannot offer, for cross-selling at any bank, insurance

products which do not bear the prior approval of the lnsurance Commissioner.

b) Role of Bank Employees.- As a general rule, unless specifically trained and

qualified for the purpose, the role of bank employees in bancassurance shall
be limited to the referral of bank clients to the representatives of insurance
company. Clients should give prior consent before any such referral.

c) When Bank Employees Can Make Preliminary Presentation.- As an

exception, bank employees who have been specifically trained and qualified by
lhe insurance company to make presentation of its insurance products and
discuss the financial needs of the bank clients, may preliminarily present and
discuss product features of insurance products with bank clients as part of
his/her tasks of presenting product option,to bank clients. Bank empioyees
should be duly certified as having undergone such training. The lnsurance
commission shall prescribe and approve such training pr-ograms for bank
employees. Being merely incidental to their duties as bank employees, such
bank employees taking part in bancassurance shall no longer be required to
obtain an insurance agents' license. Provided, however, the Commissioner
may, should he deem it proper, require bank employees to obtain a license to
acl as insurance agent from the lnsurance Commission and issue appropriate
guidelines therefor.

d) Acts Allowed for Bank Employees.- These trained and qualified bank
employees may perform the following activities:

i. Assessing their banking client's financial needs against the banking or

other financial products that said client already has;

ii. Based on such initial assessment, presenling preliminarily insurance

and oiher financial products that are available from the insurance
company that may better meet the customer's financial needs without
. making any final recommendations;

iii. Presenting preliminaily general or generic descriptions of the products

of the insurance company;

iv. Presenting preliminaily a history, background or profile of the insurance


v. Presenting preliminaily the historical returns of particular insurance

products with an appropriate disclaimer statement that emphasize that
returns are not guaranteed and that performance depends on various
market conditions;

and such other activities thal may be required to obtain the clients' consent to
be referred to the insurance company's licensed representatives for further
discussion, without the same being deemed as "selling" or "solicitation"
requiring a license from the lnsurance Commission under Chapter lV, Title I of
the revised lnsurance Code and may therefore receive referral incentives for
such activities.

Without the required training and qualification, bancassurance activities of bank

employees shall be limited to the referral of bank customers to the sales
representatives of the insurance company.

e) Acts not Allowed for Bank Employees.- Bank employees are not allowed to
conduct substantial presentation of insurance products, which involves
discussion on the details and particularities of insurance products. The bank
employees may not conclude any contract and must refer such conclusion to
the insurance agent. The conclusion of a contract shall refer to any agreement
or the amount of investment or premium to be paid.

Proper ldehtification of lnsurance Agents and Bank Employees.- There

shall be clear distinction between representatives of financial product providers
who sell insurance products and bank employees. Bank employees authorized
to market and/or sell insurance products shall be clearly identified.

g) Distinct Areas.- The presentation and/or sale of insurance products shall be

conducted in an area distinct from areas where own-bank products are sold.


a) Submission and Approval of Bancaisurance Agreements.- Pursuant to
Sections 3751 and 3772 of the Amended lnsurance Code, Bancassurance
Arrangements or Agreements entered into by and behveen the insurance
company and the bank shall be submitted to the lnsurance Commission for its
approval. The contracting parties shall be
authorized conduct to
Bancassurance activities only upon the review and approval by the lnsurance
Commission of the Bancassurance Arrangements or Agreements.

Any and all amendment of the Bancassurance Arrangements or Agreements

shall likewise be submitted for the prior approval of the lnsurance Commission.

b) Mandatory provisions of
Bancassurance Agreements.- The
Bancassurance Arrangements or Agreements shall contain, among others, the
following provisions:

i) That the insurance company must comply with all requirements of the
lnsurance Commission regarding bancassurance activities;
ii) That a mechanism will be in place to address any complaints that may
arise from bancassurance transactions;
iii) That aread within the bank premises where bancassurance activities are
conducted must be distinct and clearly marked to differentiate them from
areas where bank products are being sold;

c) Omission of Provisions to be Submitted to the lnsurance Commission.-

The insurance company may omit in the Bancassurance Arrangement or
Agreement provisions that may be commercially sensitive before submission to
the lnsurance Commission, in order to maintain the confidentiality of
computations of certain fees, such as, but not limited to, (1) the formula or
computation of pre-termination fee or buy-out option fee and (2) schedule and
computation of termination fee. Should the insurance company deemed that
other provisions should also be kept confidential, it should seek prior approval
frorn the lnsurance Commission to omit such items from the Bancassurance
Arrangement or Agreement to be submitted to the Commission.

Deleted provisions should be divulged to the lnsurance Commission if

warranted and when so directed by the lnsurance Commission. But these

Section 375. x x x No insurance company shall enter into a bancassurance arrangement unless tt
possesses all the requirements as may be prescrrbed by the Commissioner x x x.
2 Section 377. The
Commissioner x x x shall promulgate rules and regulations to effectively supervtse
the business of bancassurance.
provisions shall not be divulged to other persons other than the concerned
officers of the lnsurance Commission.

d) Approval by Board of Directors.- The conduct of cross-selling activities and

the negotiation and subsequent execution of the corresponding Bancassurance
Arrangement or Agreement shall have been approved or ratified by the Board
of Directors of the concerned insurance company.

e) Grievance Mechanism.- To further protect the interests of the insuring public,

both the bank and the insurance company shall provide in the Bancassurance
Arrangement or Agreement written mechanisms that are specifically designed
to address any and all complaints that may arise from the conduct of
Bancassurance or cross-selling activities. The role of insurance companies
and bank personnel in addressing all queries and resolving problems, claims
and other concerns of the insuring public should likewise be clearly provided

f) Jurisdiction of lnsurance Commission. Pursuant to Section 437 ,438 and 439

of the Amended lnsurance Code, the lnsurance Commission shall exercise
jurisdiction over claims and complaints involving any loss, damage or liability
for which an insurance company may be answerable under any kind of policy
or contract of insurance subject of bancassurance activity.



a) PromotionalMaterials.- Brochures, newsletters, leaflets, pamphlets, product

illustrations and such other sales and marketing aids prepared for the purposes
of promoting insurance products or the conduct of Bancassurance activities in
bank premises must provide information that are reasonably accurate, made in
good faith and without apparent showing of any misrepresentation or deception.

b) Conduct of Bancassurance activities.- lnsurance companies engaged in

Bancassurance activities shall ensure that the activities relative thereto shall be
conducted or performed by their authorized representatives in an honest and
orderly manner, and in full observance of the following minimum guidelines:

i) The client's rights to product choice or to refuse bundled or tiered

financial products or services under the cross-selling arrangements
shall, at all times, be recognized.

ii) No actual presentation of insurance products shall be initiated and

conducted by the authorized representative of the insurance company
in bank premises, unless prior consent is given by the client.

iii) No person', including bank personnel, shall be allowed to conduct the

actual presentation and/or selling of insurance products to bank clients
without securing the necessary license or authority from the lnsurance
Commission. However, bank employees may make preliminary
presentation of insurance products, discuss the financial needs of the
bank clients, and may pretiminarily present and discuss productfeatures
of insurance products with bank clients when trained and qualified by
the insurance company to do so pursuant to Section 2 of this Circular

iv) Any and all insurance products offered or cross-sold in bank premises
by duly licensed persons shall always bear the prior approval of the
lnsurance Commissioner.

v) The insurance company must reasonably ensure that their authorized

representatives should properly inform and make appropriate
disclosures to the bank clients that the products being offered for sale to
the public are not bank products and are neither guaranteed by the bank
nor insured with the Philippine Deposit lnsurance Corporation (PDIC).

vi) ln the presentation of the insurance products, the authorized

representatives of the concerned insurance company must consider the
bank client's financial objectives, financial condition and protection
needs. The personal and financial inlerests of the insurance company
representative must always be secondary to that of the client's interests.

vii) lnsofar as pertinent and relevant to the conduct of Bancassurance

activities, the provisions of the 2013 Market Conduct Guidelines
issued by the lnsurance Commission shall be observed by the
authorized representatives of life insurance companies and, only as far
as applicable, by non-life insurance company representatives.

c) Violation of Rules.- Violation of laws, rules and regulations, issuances and

circulars issued by the lnsurance Commission and the BSP, including other
cornpetent government authorities, shall likewise cause the suspension of the
conduct of Bancassurance activities and the imposition of such allowable
amount of fines against the erring insurance company, subject to due notice
and hearing.

d) Suspension of Bancassurance Activities.- The lnsurance Commission may

order the immediate suspension of
Bancassurance activities pending
compliance by the insurance company of the mandatory requirements provided
herein within such allowable period of time, as determined by the lnsurance
Commission, and as embodied in the suspension order so issued.

The power of the lnsurance Commission, as provided herein, shall in no case

extend to cover the relationship between the insurance company and its
agents/brokers as provided under the second paragraph of Section 439 of R.A.
No. 10607.

e) Binding Effect of Bancassurance Agreements.- Notwithstanding the

exercise of the lnsurance commission of the foregoing powers and the
occurrence of any of the said instances, the provisions contained in the validly
executed Bancassurance Arrangements or Agreements, previously entered
into by and between the conceined insurance company and the bank, shall
remain valid and binding upon the parties thereto, unless clearly in conflict with
this Circular, and other rules 'and regulalions issued by the lnsurance
Commission at the Bangko Sentral ng Pilipinas.



ln addition to such applicable provisions contained in the "Guidelines on Variable

Life lnsurance Contracts" and the MCG previously issued by the lnsurance
Commission, all insurance companies and its concerned representatives
conducting Bancassurance activities involving VUL policies shall likewise be
required to observe the following minimum practices:

a) Product Highlight Sheet.- All potential clients shall be provided with a Product
Highlight Sheet (PHS) that summarizes the key information of the Variable Life
lnsurance product which will be material to the proper understanding by the
client of the product, its features and the risks the client is exposed to. The PHS
should at least be a separate document but shall be deemed to form part of the
product proposal and the policy contract.

Among the kef questions that must be covered in the PHS are:

i) What are you investing in and who are you investing with?
ii) What are the key risks of this investment?
iii) What are the fees and charges for this investment?
iv) How often the valuations of the product are made available?
v) How can you exit from this investment and what are the risks and
costs in doing so?
vi) How do you contact us?
vii)What other important information should you know before you

Copies of the sample PHS and the Definitions of Risks page are provided in
ANNEXES A and A-1, respectively.

b) Client Suatabilaty Assessment.- A Client Suitability Assessment (CSA), Client

Profile Questionnaire (CPO) or Risk Profile Questionnaire (RPa) for each client
shall be undertaken prior to the acquisition of a variable life insurance contract.
The CSA/CPQ/RPQ should determine the client's understanding of, tolerance
for and capacity in managing various risks.

A copy of a sample CPQ is provided in ANNEX B.

c) lnvestment Policy Statement.- As a

mandatory complement to the
CSA/CPQ/RPQ, the lnvestment'Policy Statement (tPS) must have been
geneiated for a client. The IPS formalizes the investment philosophy of the
client as well as an investment directive of the client with respect to the
handlings of his investible funds. The IPS may be a portion of a product
proposal that contains the fund allocation chosen by the client and the
description of the funds together with the client's signature. The fund allocation
indicated in the IPS may be different from the risk profile of the client as shown
in the CSA/CPQ/RPQ as long as the client's signature is affixed.

ln the event that the insurance company conducting Bancassurance activities

has readily available pro forma IPS to be filled-up by prospective VUL
policyholders, the same must be with the prior approval of the lnsurance

d) Disclosure of Conflict of lnterest.- The insurance company shall disclose

any material information which may give rise to an actual or potential conflict of
interest to the client. The insurance company should take all reasonable steps
to ensure fair dealings with client.

Below is a sample of a Disclosure of Conflict of lnterest statement thai may be

adopted by the insurance company:

"The Manager makes investment decisions for the Funds based on

the circumsfances of each Fund and independently of decisions
made for other funds. There are times when the Manager may take
the same investments for a Fund and one or more other funds. This
may create a conflict of interest if there is only a limited amount of
the investment available, or if the investmenf is purchased at
different times or at different pices for different funds. lf this
happens, the Manager will aftempt to allocate the investment fairly
between the Fund and other funds. Facfors the Manager consrders'
in allocations include the size and timing of previous allocations,
whetherthe security meets the objectives of the respective portfolios,
the relative portfolio size and the rate of grovvth of the portfolios."

The Disclosure of Conflict of lnterest statement should be included in the

product proposal and the policy contract and subject to the prior approval
of the lnsurance Commission.

e) Standard Disclosure Statement.- All promotional materials, PHS and VUL

policies, should contain a standard disclosure statement which must
substantially declare the following :

'Ihisls not a deposit product. Eamings are nof assured and pincipal
amount invested is exposed fo nsk of /oss. This product cannot be
sold to you unless ifs beneffs and risks have been thoroughly
explained. lf you do not fully understand this product, do not
purchase or invest in it."


"This is not a deposit product. Eamings are notassured and pincipat

amount invested is exposed to isk of /oss. For you to make an
informed decision, the features, beneffs, and associafed n'sks of the
product MUST be thoroughly explained to you by a licensed
representative of (name of insurance com . Make sure you fully
understand this product before you purchase or invest in it. Should
you need furlher information, please contact the lnsurancei
Commission or (name of insurance co

This Disclosure Statement shall be placed in the front cover of any material
used within bank premises for tlre purposes of cross-selling VUL policies. The
text should be in bold print with a minimum font size of 12. The insurance
company may prescribe an alternate wording to the above disclosure statement
as long as it is consistent with the above-quoted statements, and subject to the
review and approval of the lnsurance Commission.


a) Complaint Resolution Mechanism.- The insurance company shall solely, or

. as may be applicable, jointly with the concerned bank be responsible in the
resolution of any complaint arising from Bancassurance transactions. An
effective consumer protection framework, which shall specifically include,
among others, processes and procedures for handling any complaint arising
from cross-selling transactions, including after-sale claims, shall be established
by every insurance company engaged in Bancassurance activities and

The lnsurance Gommission shall be provided with the necessary documents

showing that such consumer protection framework exists.

b) Compliance with Existing Laws.- The written processes and procedures for
handling claims and complaints arising from insurance products sold or being
offered for sale under Bancassurance or cross-selling shall be consistent with
the provisions of R.A. No. 10607 and all existing and pertinent issuances of the
I nsurance Corhmission.


a) Annual Summary Report.- ln addition to the other reports required under such
peftinent lnsurance Commission rules and issuances, all insurance companies
engaged in Bancassurance activities shall provide annually not later than the
30 April of the ensuing year, a Summary Report covering the year ending 31
December, showing the list of the banks, including branches, with duly
executed Bancassurance Arrangements or Agreements entered into by the
concerned insurance company.

b) contents of the summary Report.- The summary Report shall indicate the

i) The addresses of the respective bank offices and branches;

ii) The names of the bank personnel and the authorized representatives of the
insurance company who are engaged in the presentation and selling of
insurance products therein ;
iii) The list of all complaints and claims filed at the concerned bank and its
branches relative to the conduct of the Bancassurance activities
contemplated herein;
iv) The names of the complainants and the nature of their claims;
v) The actions taken by the concerned insurance company, shall also be
stated in the said list.

Copies of the sample Summary Reports of Bancassurance Arrangements or

Agreements and the Claims and Complaints are provided herein as ANNEXES
C and C-l, respectively.

c) Other Regulaiory Requirements.- The insurance company shall submit other

regulatory requirements that the lnsurance Commission may require to be
submitted pursuant to subsequent administrative issuances.


Nothing in this Circular Letter shall be construed as to amend or repeal the

provisions relative to the grant of authority to the rural, cooperative or thrift banks
to market, sell and service Microinsurance products as previously provided under
BSP Circular No. 683 dated 23 February 2010.

Section 9. EFFECTIVIW.

This Circular Letter shall take effect immediately. All existing Bancassurance
Arrangements or Agreements must comply with the provisions of this issuance.

All concerned should be'guided accordingly.

lnsura Comm rssroner



Irl r?
lC Bancassurance Sample Form No. 1

ANNI:X A -.Sample Product Highlight




<N.ame_gLEl@ is a Variable Life'or Variable Unit-Linked (VUL) lnsurance

pni,Ouct wnicn proviOes the policyholder insurance protection and coverage over his
iife and at the same time allows hinr to invest in <prwide description d
furlds ava!!ab!e>.

<Name oL-Prpducb likewise provides the policyholder the following additional

benefits, <prwtde descriPtion d
This product is being offered by <name of lnsurance Co .

You may refer to Page/s of the product Proposal document for details on
the product features and benefits, as well as information on your chosen investment

No'twithstanding ine investment aspect forming an integral part thereof, this VUL
policy remains essentially to be an insurance product.

Pursuant to the provisions of the R.A. No. 10607 (the lnsurance Code, as amended),
<Da4e-sfJn$,urance_CompgDP is under the supervision and regulation of the
warranty or'endorsement, shall be approved by the lC before being offered to the


This VUL product is an insurance policy with an inseparable inveslment component

which allows the policyholder to invest in certain Fund/s of his choice. Like all other
finirncial products, VULs have their advantages and trade-offs.
realize that the product is subject to certain risks, such as, but not limited to
investment, credit, currencyr interest rate, liquidity, mark-to-market,
regulatory, and taxation risks which could affect the account or fund value of the
whole VUL policy.

The insurance iompany is guided by the investment policies approved by the lC,
inclqding the lC-issueO "OuiOetines on Variable Life lnsurance Contracts". The
supervis-ion and regulation by the lC, however, does not guarantee the investment
returns nor protection of the VUL policy against capital loss.

For a better understanding of the nature of these aforementioned risks, a table'of

Definition of Risks is provided in the succeeding Annex B-1'


This VUL product is subject to

You may refer to the details of the charges on Page/s of the Product
PrrLposal Documents.


The performance of the investment funds associated with this insurance product is
valued every <Drovide frequencv of fu >.

Net Asset Values Per Unit (NAVPUs) are published in <provide name of
hpadsLe* or wehsite where= PUs every <provide.



The VUL policy can be sunendered at the discietion of the policyholder which will
result to the termination of the said VUL policy.

Please be notified, however, that corresponding surrender charges may be applied,

on'the policv vear when the surrender transaction occurs.
The VUL policy may also terminate in the event that the available Fund values are
no longer sufficienf to cover for the applicable policy charges. Depending on the
provisi6ns contained in the VUL policy, the policyholder may reinstate the same
wltt',in g years, provided that the poticy's fund value has not been fully withdrawn, the
reinstatement documents have been submitted, and the necessary charges are fully
paid,.including such other requirements as may be provided in the insurance policy'

NOTE: Surrendering the poticy may be more disadvantageous than beneficial

to the policyholderl as tie policyhotder not only incur surrender bharges but
Iose pot-.niial inyestment'earnings and, more impoftantly, the benefits of
having life insurance protection.

ffiATtoN AND coNTAa, oElAlLS

<NaasdW is a life insurance product and not a depqsit product. Earnings-

ailii-asEffind the principal amount of investment may be exposed to risk of

For an informed and conscientious purchase decision, it is important that you fully
understand the features, benefits and accompanying risks of this product.

Should you need further information, you may contact <provide contact defails
(3"1g. who to contact, location and contact numbeil>.


lnvestment Risk ThElEk refers to the probability or likelihood of occurrence of

lbsses relative to the expected return on any particular investment.

Credit Risk fnis risf refers to the probabili$ that a counterparty to an

investment may not be able to fulfill its'obligations accordingly,
resulting to an adverse effect on the value of a money market or
debt security such as a boncl.

Currency Risk (or ffrislisfEters to the probability that the value of investments held
Foreign Exchange in foreign currencies, such as the US Dollar, may fluctuate against
Risk) the local currency or Philippine Peso due to changing interest rates
and inflation rates. This risk may also occur when foreign
governments restrict . currency exchange' impeding cash
distributions br processing of fund redemptions.

lnterest Rato Risk fnis to the possibility that the value of an investments
rist< reters
with holding in fixed-income securities such as bonds may rise and
fall rates contrary, when interest rate rise, the value of an existing
bond generally falls.

'Liquidity Risk ftrElisk reters to the possibility that assets or securities may not
be bought or sold within a desired time and at fair value, which in
turn may itfect'the value of an investment or satisfy investment
purchase and redemption services of the Company to its policy

Mark-to-Market This risk refers to the probability that the market value of an
Risk investment will rise or fall based on overall market conditions. The
value of the market can vary with changes in the general economic
and financial conditions as well as political, social and
envirbnmental factors.

Rogulatory Risk This risk refers to the probability that certain laws and regulations
applicable to investments, including income tax and securities law,
and the administrative policies and practices of regulatory
authorities may. change in a manner that adversely affects the
value of an investment.

Taxatiorr Risk This risk refers to the probability that the application of tax on
investment may differ from lurisdiction to jurisdiction and tax
treatment may change before the maturity or redemption date of
an investment. For more infoimation on the effects of tax on the
acquisition, ownership or liquidation of investment funds, it is best
for the consult a personal, independent tax adviser.
lC Bancassurance Sample Form No. 2

,{NNEX B - Sample Client Profile

Questionnaire ,


What kind of investor are you?

Answer this questionnaire to find out.

This questionnaire helps you determine your peisonal investment style.

I t s ives *' .,I','li:,.:tJ,',T,,'iXTHiliII TiJ'i[?;

sta s es or ire'

There are no right or wrong answers.

The ,Iuesiionnaire is designed to help us recommend an asset allocation strategy

based on your stated needs.

It is intended to be a general recommendation only and should not be

treated as specific investment advice.

While your agent may provide you with factual information,

You should make your fund allocation based on your own judgment and personal
(:r'en era I I nformation

flame ol'proposed Client (Last, First, Middle)

Contact Number/s E-mail address:

lvlailing Address (No. Street, Town/City, province, Country, Zip Code)

Approxirnate Net Worth

ri )UnderlMillion ( )P1-10 Million ( ) over 1 Million
Approxirnate Annual lncome
J ) Under P500,000. ( ) P500,000.00 to t fUlttion ( ) Over 1 to 3 Million,, or.r3 Million
@ )Retirement ( ) Education ( t BuvinqAHor.lse
Otheis, please specify
_DvestmentObjective () lncome ) lncome & Growth
FliskTolerance ( ) Hign
@ HiSh () Averase ( ) Litfle ( ) None
Itt what age would you like to retire? How much do you think you will need to retire
at this age?

l'low much have you set aside today lor your retirernent fund?

F lease I currently I used to

check all have . have
that applv
Life lnsurance
Pre- Need Plan
Government Securities
Time Deposit
Foreig4 Cqqency and Bank Deposit
Comment or Private Trust Funds
Mutual Funds
Corporate Bonds
Own Business
Real Estate
Commodities/ Futures/ Options

Do you lrave a plan for saving regularly? please choose orre.

[ ]No [] Yes, but I only save regularly if I have a

definite project to pursue
[ ] Yes, I save a part of my income t1 Yes, I save a part of my income whenever I
every month/ quarterl year can

Bancassurance Sample Form No. 2
Client Profi le Questionnaire
Pag e 12 of 7
Your Profile

To complete this questionnaire, please choose the statement that most closely defines your
needs or best describes.your situation. Check the circle in the left hand margin that
corresponds to your choice.

IMPORTANT: lf some of your choices bear. an asterisk* please note that a VUL policy may
ncrt be an appropriate investment for they are designed for long-term investing.

Section 'l - Financial Goals

1. What is your prlmary goal in making this investment?

(O) ( ) | am saving to buy a car, make a downpayment on a house, or to achieve some

other goals within the next 7 years.*

(2) ( ) I am investing for the long-ierm (more than 7 years) but I need this investment
to generate cash flow to supplement my income

(6) ( ) I want an investment that will generate both income and long term capital
growth without specific emphasis on either

(8) ( ) | am looking primarily for long term growth. Although I have no need for income
from this investment now or over the next 10 years, I might appreciate that a small
portion be invested in fixed-income sbcurities for stability.

(10) ( ) I am looking for long-term growth only. I want to maximize my potential


2. - What percentage of this investment do you plan to spend in the next 7 years?

(0) I More than 50 o/o (4) I Less than 30%

(2) I 30% to 50Yo' (6) I I don't plan to spend any of it

3. - ln how many years will you withdraw all or majority of this investment?

(0) I Less than 7 years (8) t ] Between 11 and 20 years

(5) I Between 7 and 10years (10) t i lrltore than 20 years )

) Please add your score for this section.

Section il - Background information [Please choose only one (l)t

' 4. When are you planning to retire?

Bancassurance Sample Form No. 2

Clienl Profile Ouestionnaire
Page 13of 7
(2) I am retired (8) t I ln 11 to 20 years
(4) ln less than 7 years (10) tI More than 20 years
(6) ln 7 to 10 years

5. - How old are you?

(2) tI Over65 (8) il 36 to 50

(4) t1 5'1 to65 (10) I] 20 to 35

6. - which of the following statements best describes your employment situation?

(2) My employment situation is somewhat unstable.

(2) I am either a homemaker, retired or unemployed and I will rely on this
investment for current income and emergency cash needs.
(4) My employment situation is currenily stable but this could change
(5) I am either a homemaker, retired or unemployed and I have other sources of
income that are sufficient to meet my normal requirements.
(8) My employment situation is stable and I don't expect this to change in the near
(10) My employment situation is completely secure,

7. - Which of the following statements best describes your financial situation? please
consider your regular expenses and your ability to repay outstanding loans as well as
a saving for retirement and emergencies.

(2) t I My financial situation is somewhat unstable.

(2) t ] I need this investment to supplement my income.
(4) t1 I clo not currently need this investment to supplement my income however this
could change
[ ] I don't expect to use this investment to meet current income requirements.
However, should an expected situation arise, may I need to access these
income that are sufficient to meet my normal requirements.
(E) [ ] My flnancial situation is stable and I have sufficient cash flow to meet most of
my requirements.
(10) t I My financial situation is completely secure and I can meet emergency
requirements without withdrawing these funds.

8. - Which of the following statements best describes your investment situation? (lf you do
not currently have any investments, choose the response that best describes how do you
think you would manage your investment.)

(2) t I All of my investment to date have been in Treasury Bill because I need the
. security of capital.

Bancassurance Sample Form No. 2

Clienl Profile Questionnaire
Page l4of7
(5) [
] Most of my investment were made to generate income and preserve capital but
I now need some capital groMh.
(6) [ ] Most of my investment tend to be mutual funds or common trust funds,
although they are generally not aggressive fund.
(8) [ ] Most of my investment tend to be moderately aggressive. My objectives are
long term, therefore I don't often make changes unless my reason for
investing have change.
(10) t I I tend to choose aggressive investment.funds for long term growth.

( ) Please add your score for this section

Section 3 - Risk Toterance

9. - Which of the following statements best describes your attitude towards the level of risk
or volatility that you are prepared to live with during the time these assets will be invested?

(2) tI I am aware that the value of an investment fund fluctuates daily and to varying
degrees depending on the type of fund. I would feel most comfortable investing
in funds that tend to generate a more stable retum year-to-year, as opposed to
funds that fluctuate widely.
(5) t ] I am comfortable with the fact that the value of my investment will fluctuate daily.
However, I would prefer that roughly half of my assets be invested in less volatile
fixed income securities and that the balance be invested in equities, which tend
to be more volatile.
(8) t ] I am comfortable with volatility and seek more aggressive investments knowing
that in the short term, this strategy may result in declines in value, but that in thL
long term, I have a better chanbe of realizing capital gains. Nevertheless, I do
wony when the stock market drops significanfly
(10) t I I fully accept volatility and seek more aggressive investments knowing that in the
' short-term, this strategy may result in declines in value but in the long term, I
have a better chance of realizing capital gains.

10. - How much of a temporary decline ( year) in the value of your investment could
you tolerate?

(0)[]Nodecline (2)1, l% decline (5) t l% to 10o/o dectine (S) t l% to 11o/a

(10)tlMorethan a 1570 decline

11. - which of the following statements best describes your investment philosophy?

(2) t I I am not comfortable taking risks with my capittat nut I am prepared to do so

with a small portion of my assets as I need some capital appreciation to offset

Bancassuranco Sample Form No. 2

Clienl Profile Queslionnaire
Pag e l5 of 7
. , .I I I understand that the opportunity for greater returns comes witn tafing
rist<s, but l am only prepared to do so with less than half my assets.
(6) I understand ttrai ine'opportunity for greater returns comes with taking
''t 1
risks, and I am prepared to do so with more than half my assets
for the long term,
(10) t I I have an aggressivb investment approach and I am investing
therefore, iivant to invest the majority or even all of my assets in the stock
markets, as this is the best way to ensure higher returns over the long term.

( ) Please add your score for this section.

Urrderstanding Your Score

please transfer your score for each section to the corresponding space and then carefully
acld up your total score.

FinancialGoals [] + Background lnformation [ ] + Risk Tolerance [ ]

) - Total[ 1

Your Total Score Your Profile Recomm6nded Fund

Less than 61 conservative Bond Fund

61 to 84 moderate Balanced Fund
85 or more Growth oriented Equity Fund

Note: We strongly recommend you review your view point about investment risk at least
once a y,:ar or when major change occurs in your personal situation to make sure your
investment decision continues to match your attitude to investment risk profile.


A Score of 60 points and less indicates that you are comfortable having your assets
managed conservatively with'an emphasis on the stability that comes from fixed-income
investirents, while generating some capital appreciation over time. Your investment
horizons is short to moderate and your tolerance towards volatility is moderate. You seek
capital preservation.


Scoring Detween 61 and 84 points indicates that you are seeking long term capital
appreclation and to a lesser extent, the stability that comes from fixed-income investments.
You are rnost comfortable with relatively stable year-to-year returns but will accept some
volatility as you understand that the capital growth you require cannot be achieved without
serme element of risk.

Growth -Oriented:

Bancassurance Sample Form No. 2

Client Profi le Questionnaire
. Page lSof 7

Scoring between 85 and 120 points indicates that you are seeking long{erm capital
appreciation with little or no requirement from additional income. You can tolerate greater
year-to-year volatility, as well as some moderate to strong fluctuations in the capital value
of your investment. You realize that oveitime, equity markets usually outperform other

By signing below, I acknowledge that (1) this questionnaire does not constitute abvice from
the company, as it only intended as reference to help me assess my risk appetite and
investment objectives based on the information I have provided; (2) I am responsible for my
investment decision, including my choice of fund, event if such varies with the results of
this questionnaire (3) my financial needs may change over time depending on my personal
situation and ob.lectives; and (4) he Company makes no guarantee as to the accuracy or
completeness of the results or recommendations provided above.

Signature of the Proposed Clients Date (Day/MonthA/ear)

To be accomplished by your Agent

Name ofAgent Agent Code Signature of Agent Date(day/month/year)

Bancassurance Sample Form No. 2

Clienl Profi le Queslionnaire
Pag e l7 of 7
lC Bancassuranee Sample Form No.3

ANNEX C - Sample Summary Report of

Bancassurance Arrangements or
reements entered into with Banks




1) ABC Bank Main Office Makati City 1) Juan Dela Cruz 1) Juana Dela Cruz

Agreement 2) Pedro Santos 2) Pedro Reyes

executed on
<date of

UN Branch UN Ave., Manila 1) Juan Reyes 1) Juan Cruz

2) Pedro Cruz 2l Maria Santos

2) XYZ Bank Quezon Avenue No. 123Quezon 1) Juan Reyes 1) Juan Santos
Branch Ave., Quezon
Agreement City 2) Pedro Cruz 2) Maria Reyes
executed on
<date of



lC Bancassurance Samole Form No. 3 -A

ANNEX C-1 - Sample Summary Report of

Claims or Complaints Filed at Banks




1) ABC Bank - 1) Pedro Dela Cruz lnsufficient disclosure of lnvestigation conducted by the
UN Branch product features by the insurance company
UN Avenue, authorized
Manila representative of the
insurance company

2) XYZ Bank- 1) Pete Dela Cruz Copy of Policy not yet Signed Policy sent to address
Quezon provided of Mr. Pete Dela Cruz on
Ave. Branch
Quezon Ave.,
Quezon City


[Name and Signature of the lnsurance Company Officer]