Insurance policies and investment-linked insurance policies
16.—(1) A member who wishes to use the whole or part of the available amount in his ordinary account to purchase an insurance policy or investment-linked insurance policy for himself from an approved insurer shall apply to the Board to withdraw the amount required.
(2) Where a member has, before 1st October 1993, purchased an insurance policy or investment-linked insurance policy with moneys other than his CPF contributions, the member may apply to the Board to use the whole or part of the available amount in his ordinary account to pay the future premiums in respect of the policy.
(3) Where a member has at any time purchased an insurance policy or investment-linked insurance policy with his CPF contributions, the member may apply to the Board to use the whole or part of the available amount in his ordinary account to pay the future premiums in respect of the policy, notwithstanding that the member has applied for a loan, or is receiving moneys, from the Government pursuant to any approved loan scheme under section 14A of the Act.
(4) An application made by a member under paragraph (1), (2) or (3) may be approved subject to such terms, conditions and procedures as the Board may impose.
(5) Subject to paragraph (6), upon the maturity or surrender of an insurance policy or investment-linked insurance policy purchased or maintained by a member under this regulation —
(a)
if the whole of every premium in respect of the policy was paid with the member’s CPF contributions, all moneys payable to the member; or
(b)
if the whole or any part of any premium in respect of the policy was paid with moneys other than the member’s CPF contributions, the percentage of the moneys payable to the member which corresponds to the percentage of all premiums in respect of the policy paid with the member’s CPF contributions,
shall be transferred forthwith by the approved insurer to the CPF Investment Account of the member.
[S 44/2011 wef 01/02/2011]
(6) When the Board approves an insurance policy or investment‑linked insurance policy purchased or maintained by a member under this regulation for the purposes of section 15AA(3)(b) of the Act or a former provision, the following apply:
(a)
the insurance policy or investment‑linked insurance policy is withdrawn from the investment scheme introduced under this regulation, and is to be dealt with in accordance with the applicable regulations;
(b)
the approved insurer ceases to be liable under paragraph (5) to transfer the moneys payable to the member under that insurance policy or investment‑linked insurance policy to the CPF Investment Account of the member;
(c)
subject to the applicable regulations, the member ceases to be obliged to repay to the Fund any proceeds or benefits of that insurance policy or investment‑linked insurance policy.
[S 595/2018 wef 01/10/2018]
[S 122/2022 wef 01/03/2022]
(7) For the purposes of paragraph (6), “applicable regulations” means such of the following regulations as may be applicable to the member referred to in that paragraph:
(a)
the Central Provident Fund (Retirement Sum Scheme) Regulations (Rg 16);
[S 652/2016 wef 01/01/2017]
(b)
the Central Provident Fund (Revised Retirement Sum Scheme) Regulations (Rg 2);
[S 652/2016 wef 01/01/2017]
(c)
the Central Provident Fund (New Retirement Sum Scheme) Regulations (Rg 31).