Core Viewpoint - The Hong Kong insurance market is experiencing a surge in demand from mainland customers as they rush to purchase high-yield insurance products before the upcoming regulatory changes that will limit the demonstration of returns to 6% and 6.5% for different currency products [1][6]. Group 1: Market Trends - The Hong Kong insurance market is witnessing a peak in customer visits, particularly from mainland clients, who are traveling specifically to secure insurance policies with a projected return of over 7% before the end of June [3][4]. - In 2024, the total premium for new insurance policies in Hong Kong reached HKD 219.8 billion, marking a 22% year-on-year increase and the highest in a decade [9]. - Mainland visitors contributed HKD 62.8 billion in premiums, a 6.5% increase from the previous year, accounting for 29% of all new premiums in Hong Kong [9]. Group 2: Product Preferences - Savings-type insurance remains the most popular category, with a market share of 62.1% in new policies, where whole life insurance constitutes 58.5% [10]. - Approximately 91% of new policy premiums are derived from savings-type products, with an average annual premium of HKD 409,000 per policy [10]. - The shift in motivation for mainland customers purchasing Hong Kong insurance has transitioned from seeking protection to focusing on investment opportunities, driven by lower interest rates and unsatisfactory returns from domestic investments [6][7]. Group 3: Regulatory Changes and Risks - The Hong Kong Insurance Authority has set new guidelines that will limit the demonstration of returns on insurance products, effective July 1, which has prompted a rush among customers to purchase before the changes take effect [1][6]. - There are concerns regarding the sales practices of unlicensed agents promoting Hong Kong insurance to mainland clients, which could lead to regulatory issues and potential consumer harm [12][13]. - The Insurance Authority has initiated reforms on the commission structure for intermediaries to address the issues related to unlicensed sales and high commission rates [14].