Global Insurance Solutions June 21, 2006

1. Global Insurance Solutions June 21, 2006

2. Simple and Effective Sales Concepts to Increase Your Sales

3. Client reactions to insurance: “I know I need the insurance, but to keep paying and paying and sure my family gets the benefit when I die…but other than paying for it…WHATS IN THIS FOR ME!!!!” 20 IN 20 OUT

4. Advisor’s Response: If I could show you a way where you could pay for this coverage, and in 20 years I will give you all of your money back, and your insurance would be paid up….would you be interested??? 20 IN 20 OUT

5. OBJECTIVES To increase UL sales with over funding To RETURN clients premium deposits in the form of FUTURE INCOME And to provide client with increasing insurance protection 20 IN 20 OUT

6. CONCEPT: Clients will make deposits for 20 years Policy will be “paid up” at the end of the deposit period Illustrations generally run at 5% or 6% 2O IN 20 OUT

7. Level COI recommended At the the end of the deposit period illustrate “return of premium/deposit” to the client Still maintain death benefit for estate purposes 20 IN 2O OUT

8. Case Study Male 40 Non smoker Face Amount $200,000 Level Cost of Insurance, Face plus Fund Illustrate using Low Fee Version at 6% 20 IN 20 OUT

9. How do my clients get their “money back?” Taxable Withdrawal Collateral Bank Loan 20 IN 20 OUT

10. Can always use this method UL with “Living Benefits” All premiums returned Policy in-force…no further deposits Face amount retained Note: may affect client’s government pension benefits Taxable Withdrawal

14. Provides “tax free income” Potential to capitalize principal and interest Doesn’t affect/interfere with government pension benefits Still maintain death benefit for estate Collateral Bank Loan

17. Can also be used with larger deposits: Male 45 NS Deposits $10,000 per year for 20 years 20 IN 20 OUT

21. Joint Last to Die Legacy Concept

22. Couple – age 60 MNS/FNS Mutual Fund client with $500,000 in open account with you Will need to spend all of the money during retirement, but want to leave a legacy to their children. JLTD Legacy Case Study

23. They decide they want to leave at least $500,000 to their children Solution: Wanted safe and secure investment Minimum Annual deposit into Life Dimensions UL All money in GIA at 3.5% (fully guaranteed) Level Cost of Insurance JLTD Legacy Case Study

24. Result: $500,000 Face plus Fund Death Benefit Annual cost = $5,510 or approximately 1.1% of their mutual fund holdings Internal Rate of Return of death benefit at age 85 = 9.51% Equivalent to 17.6% before tax in GIC @ 46% marginal tax rate JLTD Legacy Case Study

25. Age 85

26. If you don’t have clients with $500,000, it will work just as well with lower amounts Remember the rule of thumb is 1% to 3% of desired legacy. JLTD Legacy Case Study

27. Financial and Medical Underwriting The AIG Advantage

28. AIG Advantage Financial Underwriting Guide on Wave CD Clear, concise, easy to follow (pgs. 10-12) AIG offers higher limits, more lenient Strong synergy between financial and medical u/w Financial Underwriting

29. Case Study (Mar 06) Female, age 34 Company A offered $1.5M Income $30,000 Net Worth Joint Property $250,000 (50%) Leveraged Account (joint) $150,000 L/A Profit (joint) $ 50,000 Total Net Worth $450,000 Financial Underwriting

30. How much coverage would an underwriter consider based upon this information? Financial Underwriting

31. Calculations Income ($30K x 20 times) $ 600,000 Net Worth ($450K x 7.9 times) $3,555,000 Plus additional $1,000,000 Total eligible face amount $ 5,155,000 Financial Underwriting

35. Medical Underwriting The AIG Advantage

36. You asked…We listened Term Life “If you want to be in the Term market – you need to remain a consistent player”

37. Our Product Line - Term Life Term Life Policy Fee reduced to $50

49. Family Term Market Term Life • $500,000 PT20 Family Term Market • Do more for your clients! • Sell more permanent insurance! • Paid up policy for your clients! • Earn more commissions!!!