Hana Bank will join hands with Mirae Asset Life Insurance to sell a guaranteed performance-linked insurance product to individual retirement pension (IRP) customers.

Hana Bank said it signed a business agreement with Mirae Asset Life Insurance on Aug. 28 to sell the product and will start offering it at branches nationwide from Sept. 1. It is the first time a Korean bank has sold guaranteed performance-linked insurance.

The product invests IRP contributions across global stocks, bonds and other assets while combining investment performance with guaranteed pension payments.

Eligible customers are aged 50 and older. Customers can start receiving pension payments from any point they choose after turning 55.

A key feature is a guarantee of a fixed monthly pension amount for 20 years, based on the pension reference amount confirmed at the start of payments. Even if the special-account balance is fully exhausted during the guarantee period, the agreed pension amount will continue to be paid for 20 years.

If funds remain after the 20-year guarantee period due to investment performance, customers can continue receiving pension payments until the balance is depleted.

Hana Bank plans to broaden product choices for retirement pension customers by adding performance-linked insurance to IRP products that previously focused on deposits, savings and funds.

An official at Hana Bank's Retirement Pension Group said, "It was designed to pursue long-term management performance of retirement pension assets while also preparing for stable pension payments after retirement."