Citi Handlowy and Towarzystwo Ubezpieczen na Zycie Metlife have launched Gold and Platinum Investment Life Insurance in Poland.

The ‘Gold and Platinum’ is an investment-linked insurance plan providing life coverage for three years and 100% premium guarantee on the expiry date of the insurance. Additionally, the product holders are able to participate in profits from investments in international markets.

The rate of return on the ‘Gold and Platinum’ product depends on the price of the basket consisting of gold and platinum. It means that after three years, at the end of the insurance term, the customers receive 100% premium increased by a bonus. The bonus at the end of the insurance term is paid in PLN.

Citi Handlowy said that the product is sold in the form of endowment insurance, the profits accruing from the investment are not subject to capital gains tax. Additionally, the capital invested is also free from inheritance and donation taxes. The minimum investment amount in the ‘Gold and Platinum’ product is PLN5,000. The subscription for the ‘Gold and Platinum’ Investment Life Insurance will last until the end of April 2008.

Piotr Kazimierski, director of the structured products bureau at Citi Handlowy, said: We have developed this product in response to the current upward price trend in the precious metals sector. We expect this trend to continue in the future.