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Paris, 7 November 2008
Crédit Agricole is pleased to announce Vers l'Avenir, a new savings contract for the under-18s. Launched on 6 November 2008, the new product from Crédit Agricole Assurances gives parents and grandparents a chance to build up a nest-egg for their children or grandchildren. Until 31 December 2009, the euro denominated fund carries a special interest rate of 4.5 per cent.
The scheme works as follows :
- Parents or grandparents pay into a life insurance contract taken out in the name of the child or grandchild. They have a choice between two safe and simple investment vehicles, Avenir Sécurité (100 per cent euro denominated) for maximum security, or Avenir Guidé (75 per cent euro and 25 per cent socially responsible investments) for a more dynamic approach. When the child reaches 18, he or she can also opt for a third investment vehicle, Avenir Majeur. For a minimum 20 euros per month, Vers l'Avenir offers a flexible management approach plus the combined tax advantages of a life insurance product with gift status (which does not have to be declared and is not liable to tax).
- A death and disability guarantee backed by the life insurance contract to which the parents or grandparents have subscribed, which, in the event of their death, guarantees a lump sum for the child when he or she reaches 18.
This new product for the under-18s rounds out the Crédit Agricole Assurances life insurance range. It is also key for Crédit Agricole, which aims to provide insurance covers to one young customer in three by 2014.
From 24 November 2008 to 10 January 2009, Vers l'Avenir will be promoted in Crédit Agricole's national “Comptes de Noël” (Christmas Tales) campaign and from 3 January 2009, it will be included in another nationwide Crédit Agricole advertising drive on the theme of savings.
Vers l'Avenir life insurance - contract details
- Launch date: 6 November 2008
- Type of contract: investment-linked life insurance with an optional death and disability guarantee contract
- Insurer: Predica - Crédit Agricole Assurances
- Distribution: Crédit Agricole branches
- Interest rate at launch: 4.5% net of management fees for the euro fund, valid until 31/12/2009
- Minimum premium: €20 per month. A premium holiday is possible at all times on request
- Front-end fee: degressive from 3% to 2% (-0.10% p.a.)
- Management fee: 0.85% per year for the unit-linked vehicle and 0.70% for the euro denominated fund
- Switching fee: 0.5% of the amount switched
- Investment vehicles: 2 possibilities: Avenir Sécurité (100% euro) and Avenir Guidé (75% euro/25% Atout sustainable development). A third option, Avenir Majeur, is available when the child reaches 18.
- Partial surrender: starting from €100
- Automatic revaluation (optional) of the regular premium (staring from €1)
Vers l'Avenir death and disability guarantee contract details
- Subscription between the ages of 18 and 69 inclusive, without a medical examination.
- Premium: starting from €1.5 /month for every €20 in regular premiums on the life insurance contract. Fixed rate premium throughout the term of the death and disability contract.
- Capital paid out on the child's life insurance contract (maximum €15,000) in the event of the parents' or grandparents' death.
About Crédit Agricole Assurances
Insurance is now Crédit Agricole Group's second business. The Group is already the French leader in bancassurance and ranks No. 2 for insurance in terms of premium income. By bringing all its insurance activities together in the same business segment, Crédit Agricole has enhanced its bancassurance model and provided greater visibility for the business. Crédit Agricole Assurances was established in January 2006, and includes Predica, a life insurance company, Pacifica, specialised in non-life insurance, and Crédit Agricole Creditor Insurance (CACI) for creditor and international insurance.
Crédit Agricole Assurances in figures (France and International, life insurance, non-life and credit, at 31 December 2007)
- 24.3 billion euros in premium income
- 182 billion euros in the book of business
- 25 million policies outstanding
- 941 million euros in net income Group share
- 2,300 employees