agenda who is foresters tm foresters advantages product line-up foresters™ is the trade name and a...
TRANSCRIPT
Agenda
• Who is ForestersTM
• Foresters Advantages
• Product line-up
Foresters™ is the trade name and a trademark of The Independent Order of Foresters, a fraternal benefit society, Toronto, Canada M3C 1T9; its subsidiaries are licensed to use this mark.
407967 US (08/12) Producer Use Only
I wanta special insurance carrier
Who is Foresters
• Financial strength
• Fraternal nature
• Community involvement
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Foresters financial strength, as measured by A. M. Best Company, is rated “A” (Excellent) and has been for the past 12 years.
An "A" (Excellent) rating is assigned to companies that have a strong ability to meet their ongoing obligations to policyholders and have, on balance, excellent balance sheet strength, operating performance and business profile when compared to the standards established by A.M. Best Company. A.M. Best assigns ratings from A++ to F, A++ and A+ being superior ratings and A and A- being excellent ratings. In assigning Foresters rating on July 06, 2012, A.M. Best stated that the rating outlook is "stable", which means it is unlikely to change in the near future. See ambest.com for our latest ratings.
Financial Strength
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Foresters continues to maintain its strong financial position.
•Assets of $8.588 billion CDN and liabilities of $7.144 billion CDN.
•Foresters conservative investment strategy has resulted in a strongsurplus of $1.444 billion CDN and the ability to withstand adversebusiness and market conditions.
• Solvency ratios are beyond the local regulatory requirements and above industry averages in all three countries of business.
Ratings and figures current as of Dec. 31, 2011
Financial Strength
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• How are Fraternal Benefit Societies different from other life insurance carriers?
– Our customers are our members and apply for membership in the application
– Share a common bond
– Non Denominational
– Fraternal Concept: People helping People
• Not subject to tax – but Foresters is expected to spend the equivalent for the benefit of members and their communities
A Difference Maker
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• In 2011, over $48 million was raised for Children’s Miracle Network hospitals in the United States and Canada.
• Foresters role as founding sponsor and international underwriter of Children’s Miracle Network’s Radiothon means 100% of funds stayed in the community.
• Since 1990, Foresters has helped raise almost half a billion dollars for Children’s Miracle Network.
A Difference Maker
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503349 US (10/11)
Proof Points
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The Foresters Difference – Playground Builds• Since 2006, Foresters has built or planned nearly 100 KaBOOM! playgrounds, thanks to the volunteer efforts of Foresters members, independent producers and local community partners.
• These playgrounds will eventually serve over 1,000,000 children and families, providing them with a safe place to play, learn and spend time together across North America.
Playground Builds
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Recent disaster relief granted by Foresters:
• Seattle Flooding – January/09
• Fargo/Bismarck Flooding – March/09
• Mississippi Tornadoes – April/10
• East Coast Hurricane Irene – August/11
• Texas Wildfires – September/11
• Florida Flooding – June/12
• Colorado Wildfires – June/12
Emergency Assistance
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• Illustration Requirements Process
• Point-of-Sale (POS) Eligibility
• Benefits of Membership
• Training Support
• Foresters Sales Support
• Producer Convention
Foresters Advantages
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• Foresters illustration process allows your producers to get paid faster on our illustrated products.
• If there are no certificate delivery requirements, other than obtaining a signed illustration, Foresters will now release compensation on certificates that are mailed direct to the client, provided that the prospective Owner has completed and signed an Illustration Certification Form (form 101274 US 05/11 or the applicable state variation).
• Not available in New York state (must produce signed illustration with application submission)
Illustration Requirements
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• How it works:
– Once the certificate is issued, the Certificate Issue Package will include:
>The illustration of the issued certificate
>An additional copy of the numeric summary page
>A postage-paid, self-addressed return envelope
>Instructions to the Owner
Illustration Requirements
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How it works:
• The instructions will ask the certificate owner to review the illustration, sign the additional copy of the numeric summary page and return it to Foresters in the enclosed envelope.
• The producer’s signature is not required on the illustration using this method of delivery and compensation can be released once the certificate is mailed to the Owner.
Illustration Requirements
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• Access Foresters quotes for Lifefirst, Advantage Plus Whole Life and PlanRight products – right from your mobile phone.
• There is no "app" to download. You simply go to a regular website from your mobile browser, using any type of smart phone, whether it's an iPhone®, Blackberry®, iPad®, or Android® device.
• To access the new mobile quoting site, just point your browser to www.forestersquotes.com.
Mobile Quoting
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• Point of sale underwriting eligibility available on all non-med products
• Producers potentially get paid faster!
• Imagine a sale where the application process is easy and painless!
• Foresters has real-time eligibility decisions for our non-med SMART UL, Advantage Plus Whole Life, Term & PlanRight.
Decision Express
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It's so easy.
– Complete the application in full in your client's home
– While in your client's home, call Apptical at 866 844 9276 and follow the simple 15- to 20-minute process to determine your client's medical eligibility
– Send in the application (regardless of the decision) and all other applicable forms to Foresters
Decision Express
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It's so easy.
– If approved, we'll issue the certificate in as little as four business days for SMART UL, Whole Life and Term and two days for PlanRight
– Your producers get paid when we mail the certificate to your client
– Apptical provides fast, reliable service 7 days a week
> Monday to Friday, 8:30 am to Midnight (ET)
> Saturday and Sunday, 10:00 am to 4:00 pm (ET)
Decision Express
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Member Benefits
Benefits available to all eligible insureds, as Foresters members:
• Competitive Scholarships
• Terminal Illness Loan
• Orphan Benefits
• Everyday Money
• Legal Link
Foresters members include insureds under Foresters certificates. Members’ immediate family members may also be eligible to apply for certain member benefits. Foresters member benefits are non-contractual, subject to benefit-specific eligibility requirements and limitations, and may be changed or canceled without notice.
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• Not available in NY & IL or on accidental death products
• Interest-free loan
– Up to 75% of the net face amount of Foresters Life insurance up to a maximum of $250,000
– Definition of terminal illness: Reasonable certainty of death within 12 months as determined by a legally qualified Physician who can provide medical proof satisfactory to Foresters
Terminal Illness Loan
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• Orphan monthly payment
– $900 per month per child to age 18
– The benefit starts one month after the child of a member becomes an orphan
– The benefit ends when the child reaches age 18, gets married, is self-supporting, receives a scholarship grant or leaves school
Orphan Benefit
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• Orphan Scholarship member benefit
– One parent - $1,500/year
– Single parent - $3,000/year
– Both parents - $6,000/year
– Renewable for up to 4 years
• Competitive Scholarship member benefit
– Up to 350 scholarships each year across North America
– $2,000 per year for up to 4 years
Foresters Scholarships
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Member Benefits For Helping Generations
Suppose two parents with three small children
(turning ages 1, 3,and 5) pass away
•Foresters could pay death benefits
•Foresters would also pay the Orphan Benefit to
the legal guardian of the orphaned children
Member Benefit Benefit Amount
Orphan Benefits Up to $486,000
Orphan Scholarship
Up to $72,000
Total Benefits $558,000
Foresters members include insureds under Foresters certificates. Members’ immediate family members may also be eligible to apply for certain member benefits. Foresters member benefits are non-contractual, subject to benefit-specific eligibility requirements and limitations, and may be changed or canceled without notice.
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• Toll-free and confidential phone-based financial helpline.
• This service may help reduce the stress involved with financial decision-making.
• This benefit is designed to help with other areas of a member’s financial life and will not involve the sale of, or recommendations on, any financial products.
Everyday Money
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• Legal Link offers members access to free and discounted legal services in their area.
• Call to connect with lawyers from across North America for help with a variety of issues including wills, home ownership and family law.
Legal Link
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Prospecting Brochure
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• Dedicated training section on the producer website
• New Agent Webinars – every 3 weeks
• Product Webinars
• Special Topic Webinars
– Advanced marketing
– Point-of-Sale Eligibility
– Illustration support and processes
– Reinstate-with-Redate
Comprehensive Training
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• Do you have producers who are ready to expand into Advanced Markets?
• When you've got large, complex, or a unique case, call Foresters Advanced Marketing, we're here to help.
• Foresters Advanced Marketing department offers collateral marketing pieces that provide simple, summary explanations of advanced sales strategies, educational webinars and seminars and phone support for complex and large cases.
Advanced Marketing
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Advanced Marketing
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Foresters Sales Support
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• A single point of contact with Foresters.
• A “live” voice for all your pre-sales questions.
• Assistance with running illustrations, ordering materials and navigating our website.
• Proactive outbound calls to keep producers informed on new materials, new products & concepts.
What does this mean to you?
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• To deliver personalized service and sales support.
• Dedicated internal wholesalers that provide agents with a prompt, accurate and efficient experience.
• Strive for one-call resolution on all pre-sales needs.
Team support
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1-866-466-7166 –Option 1Monday to Friday-8:30 am-7pm EST
Setting the standard in Sales Support!
Answering the call
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Minimum Qualifications
Producer 78,000 Destination Credits and 12 new life cases - 1 invitation (+ guest)
MGA 300,000 Destination Credits and must have a minimum of 1 downline qualifier. 1 invitation (+ guest). One additional invite (+ guest) for each 300K of Destination Credits up to maximum of 2 additional invites
IMO 400,000 Destination Credits - 1 invitation (+ guest). One additional invite (+ guest) for each 400K of Destination Credits up to maximum of 4 additional invites
Destination 2013 – subject to eligibility requirements
Interlaken, SwitzerlandMay 22–28, 2013
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VIP Pre-Trip Bonus - Lake ComoTop qualifiers will be eligible for a 3 day package at Lake Como prior to the main Destination 2013 trip.
Destination 2013 – subject to eligibility requirements
Producer 8 qualifiers
MGA 1 qualifier
IMO 3 qualifiers
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I wanta competitive portfolio of products
• Non-med market– Lifefirst Level Term life– Advantage Plus Par Whole Life– SMART Universal Life
• Fully-Underwritten market– Lifefirst Level Term Life– Advantage Plus Whole Life
• Final Expense planning– PlanRight Whole Life Insurance
• Niche markets– Accidental Death Term Insurance
Product Portfolio
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Non-med limits
Ages LifefirstMaximum
SMART ULAdvantage PlusMaximum
0-15 $0 $150,000
15-18 $0 $250,000
19-50 $250,000 $250,000
51-55 $200,000 $250,000
56+ $150,000 $150,000
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Foresters Advantage Plus Whole Life
Advantage Plus Whole Life
A participating whole life product which will provide for lifetime death benefit protection (up to age 121), guaranteed cash values and
lifetime guaranteed premium*
*Exception-Disability income coverage
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Advantage Plus Whole Life
• Ages 30-50 looking for long term cash value growth
• Ages 50-70 looking for guaranteed premium* and a death benefit
• Middle Income Market
• Want lifetime life insurance protection (up to age 121)
• Want cash value accumulation potential
• Non-medical or medically underwritten plans
*Exception-Disability income coverage
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Advantage Plus Whole Life
• Lifetime protection (to age 121)
• Guaranteed cash values
• Guaranteed lifetime premium* (to age 100)
• Customized coverage with valuable riders
*Exception-Disability income coverage
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Advantage Plus Whole Life Non-Medical Features
• No blood
• No HOS
• No APS
• Optional Decision Express phone interview
• MIB
• Prescription History
Build Tables
5’6” 259 lbs
5’7” 265 lbs
5’8” 274 lbs
5’9” 281 lbs
5’10” 292 lbs
5’11” 298 lbs
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Advantage Plus Whole Life Non-Medical Features
Insurance ClassesJuvenileTobaccoNon-Tobacco
Issue Ages & Face Amounts (age nearest)
0-15: $25,000 - $150,00016-55: $25,000 - $250,00056-70: $25,000 - $150,000
Underwriting Issued Standard up to and including Table 4
Decision Express Optional Point-of-Sale Underwriting Decisions
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Advantage Plus Whole Life Non-Medical Features
Protection BenefitsFamily Health Benefit Rider
Common Carrier Accidental Death Benefit Rider
Living BenefitsDisability Income Rider (Accident Only)
Waiver of Premium Rider
Extended Protection
Children’s Term Rider
Accidental Death Rider
Guaranteed Insurability Rider
Additional Protection10-Year Term Rider
20-Year Term Rider
Subject to state availability.407967 US (08/12) Producer Use Only
Advantage Plus Whole Life Medically Underwritten Features
Issue Ages & Face Amounts (age nearest)
Band 10-15: $150,001 - $499,99916-55: $250,001 - $499,99956-70: $150,001 - $499,99971-85: $25,000 - $499,99976-85: $100,000 - $499,999 (Preferred & Preferred Plus Classes)
Band 2$500,000 and up
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Advantage Plus Whole Life Medically Underwritten Features
Insurance Classes
Juvenile
Non-TobaccoNon-TobaccoNon-Tobacco PlusPreferred Non-TobaccoPreferred Plus Non-Tobacco
TobaccoTobaccoTobacco Plus
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Advantage Plus Whole Life Medically Underwritten Features
Protection BenefitsFamily Health Benefit Rider
Common Carrier Accidental Death Benefit Rider
Living BenefitsDisability Income Rider (Accident Only)
Waiver of Premium Rider
Extended Protection
Children’s Term Rider
Accidental Death Rider
Guaranteed Insurability Rider
Additional Protection
10-Year Term Rider
20-Year Term Rider
Paid-up Additions Rider
Subject to state availability.407967 US (08/12) Producer Use Only
Advantage Plus Whole Life Premiums and Payment Options
Premium Modes
Monthly: $25.00 minimum (PAC only)Quarterly: $75.00 minimumSemi-Annually: $150.00 minimumAnnual: $300.00 minimum
Certificate Fee (fully commissionable)
Monthly: $6.30Quarterly: $18.72Semi-Annual: $36.72Annual: $72.00
Payment Options20 payPay to 100
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Advantage Plus Whole Life Loans & Dividend Options
Loans (non-direct recognition)
Available up to cash surrender value at the end of the current certificate yearCurrent US variable loan rates (currently 5.0%)*
Contractual Dividends
Paid-up Additions (default)On deposit with interest (minimum 3.5% guarantee)Reduce PremiumsPaid in Cash
*Loan rates are variable. Loan rates current as of July 18th, 2012.
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Additional Protection
Paid-Up Additions Rider
Contents:
Paid-Up Additions Rider Basics
Underwriting & Face Amounts
Payment Structure
Changes
Advantage Plus Whole Life Paid-up Additions Rider – Basic Rider Information
BenefitPurchase paid-up additional life insurance that endows at age 121
Issue Ages (age nearest) 18-70
Rider Effective Date
Flexible Payments: certificate anniversary of the base certificate
Single Payments: based on a monthly anniversary of the base certificate
Basis of Computation2001 CSO Ultimate Mortality Table at 4% interest
Loads/Fees 6% on every payment
Subject to state availability and variations.
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Advantage Plus Whole Life Paid-up Additions Rider – Basic Rider Information
Rider OptionsFlexible PaymentsSingle Payments
Rider DividendMatches Advantage Plus dividend option
Automatic Premium Loan/Reduced Paid Up
If Advantage Plus on APL, the rider is terminated
Withdrawing Paid-Up AdditionsMay be partially surrendered or in full
On Waiver or DisabilityPUA purchases allowedPayments not waived
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Advantage Plus Whole Life Paid-up Additions Rider – Underwriting/Face Amounts
Insurance Classes(not available on sub-standard)
TobaccoNon-Tobacco
Sub-Standard Classes Not available
Minimum Insurance Coverage for Base Certificate plus term 10yr or 20yr rider
$250,001 (issue ages 18-55)$150,001 (issue ages 56-70)
Maximum Insurance Coverage Subject to underwriting rules
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Advantage Plus Whole Life Paid-up Additions Rider – Underwriting/Face Amounts
Underwriting Age & Amount Tables
Age at Rider Effective Date (ANB)
Flexible PUA Factor Single PUA Factor
18-35 15.0 6.0
36-50 10.0 3.0
51-70 5.0 2.0
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Advantage Plus Whole Life Paid-up Additions Rider – Payments
Payment TypesSingle PaymentFlexible Payment
Flexible Payment Termination Date/Period
Payments made until the earlier of certificate anniversary nearest age 80 or 25 certificate years after rider effective date
Flexible Payment Rider Minimum Billing Payments
Monthly: $50Quarterly: $150Semi-Annual: $300Annual: $600
Single Payment Rider Minimum Payments
$600
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Advantage Plus Whole Life Paid-up Additions Rider - Payments
Maximum Lifetime Payments (contractual)
$1 million per insured
Maximum Annual Payments (contractual)
Underwritten approved maximum annual payment
Maximum Annual Payments (non-contractual)
$100,000 per insured
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Advantage Plus Whole Life Paid-Up Additions Rider - Payments
Number of Single Payment Riders Unlimited
Payment Modes
MonthlyQuarterlySemi-AnnualAnnual
1035 ExchangesAllowed (Single Payment Rider Only)
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Advantage Plus Whole Life Paid-Up Additions Rider – Changes*
Adding Rider Allowed after issue
Increasing RiderIncreasing payment amount not allowed
Insurance Class Changes Allowed
*Based on administrative rules and requirement at time of request, subject to change.
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Male, standard, non-tobacco, age 40$75,000
Year Guar CV Curr CV Curr DB Curr CV Curr DB Year Guar CV Curr CV Curr DB Curr CV Curr DB
5 $2,865 $3,577 $77,510 -17.55% 100.78% 5 $3,846 $4,100 $75,856 -14.77% 97.42%
10 $8,236 $10,490 $81,731 -2.92% 33.18% 10 $9,212 $10,413 $78,436 -3.95% 31.61%
20 $21,034 $29,885 $94,304 1.82% 11.59% 20 $22,031 $27,838 $87,212 0.71% 10.57%
30 $35,532 $58,722 $113,717 2.85% 6.53% 30 $36,454 $53,872 $103,249 2.05% 5.75%
40 $50,099 $97,273 $138,621 3.08% 4.53% 40 $51,302 $90,649 $126,819 2.57% 3.97%
Year Guar CV Curr CV Curr DB Curr CV Curr DB Year Guar CV Curr CV Curr DB Curr CV Curr DB
5 $2,537 $3,112 $77,235 -26.78% 93.06% 5 $2,864 $3,416 $76,936 -23.61% 93.36%
10 $7,939 $10,592 $83,584 -5.69% 30.79% 10 $8,234 $9,958 $80,094 -6.66% 30.23%
20 $21,396 $34,334 $104,600 1.63% 11.14% 20 $21,032 $29,158 $92,432 0.20% 10.23%
30 $35,591 $67,972 $130,267 2.77% 6.40% 30 $35,525 $58,195 $112,110 1.91% 5.65%
40 $50,272 $115,792 $163,603 3.14% 4.56% 40 $50,083 $97,712 $137,983 2.46% 3.91%
Premium = $1,230
IRR
IRR
Mutual Trust
Premium = $1,427
Premium = $1,291 IRR
Foresters
Assurity
IRR
Lafayette
Premium = $1,442
This comparison is based on Foresters Whole Life insurance rates as of June 2011 and rates from Lafayette Contender 100, LifeScape Whole Life from Assurity, and Covenant II from Mutual Trust from their respected software as of May 11, 2011. Premiums are calculated on a level basis, payable to age 100, and assume the applicant has been underwritten and qualified for the classification above. The comparison assumes base coverage only with no additional riders, and all premiums are paid when due. The cash values are guaranteed cash values only, and do not include any non-guaranteed dividends.
Competitive Comparison – Non-Medical
Why Foresters Whole Life Insurance?
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Female, standard, non-tobacco, age 40$75,000
Year Guar CV Curr CV Curr DB Curr CV Curr DB Year Guar CV Curr CV Curr DB Curr CV Curr DB
5 $2,412 $3,098 $77,719 -20.92% 102.65% 5 $3,349 $3,509 $75,609 -14.62% 105.00%
10 $7,106 $9,221 $82,080 -4.64% 33.89% 10 $8,069 $8,902 $77,680 -3.89% 34.25%
20 $18,060 $26,753 $96,301 1.13% 12.05% 20 $19,082 $24,213 $87,149 0.90% 11.85%
30 $30,906 $53,117 $116,299 2.47% 6.84% 30 $32,119 $48,192 $104,043 2.34% 6.65%
40 $44,965 $88,529 $139,071 2.83% 4.69% 40 $46,656 $84,090 $128,764 2.93% 4.68%
Year Guar CV Curr CV Curr DB Curr CV Curr DB Year Guar CV Curr CV Curr DB Curr CV Curr DB
5 $2,096 $2,056 $76,814 -33.06% 102.64% 5 $2,411 $2,933 $77,054 -24.72% 98.95%
10 $6,810 $8,586 $81,508 -5.76% 33.97% 10 $7,100 $8,702 $80,289 -7.01% 32.30%
20 $18,283 $26,474 $86,311 1.14% 11.26% 20 $18,046 $25,696 $93,394 0.11% 11.25%
30 $30,897 $50,948 $113,519 2.29% 6.77% 30 $30,876 $51,661 $112,894 1.90% 6.32%
40 $45,086 $85,353 $134,833 2.72% 4.61% 40 $44,900 $86,906 $135,577 2.46% 4.31%
Premium = $1,270
Premium = $1,100 IRR
Foresters
Assurity
IRR
Lafayette
Premium = $1,173
Premium = $1,187
IRR
IRR
Mutual Trust
This comparison is based on Foresters Whole Life insurance rates as of June 2011 and rates from Lafayette Contender 100, LifeScape Whole Life from Assurity, and Covenant II from Mutual Trust from their respected software as of May 11, 2011. Premiums are calculated on a level basis, payable to age 100, and assume the applicant has been underwritten and qualified for the classification above. The comparison assumes base coverage only with no additional riders, and all premiums are paid when due. The cash values are guaranteed cash values only, and do not include any non-guaranteed dividends.
Competitive Comparison – Non-Medical
Why Foresters Whole Life Insurance?
407967 US (08/12) Producer Use Only
Male, standard, non-tobacco, age 40$500,000
Year Guar CV Curr CV Curr DB Curr CV Curr DB Year Guar CV Curr CV Curr DB Curr CV Curr DB
5 $19,100 $24,380 $268,619 -17.58% 98.44% 5 $25,640 $27,334 $505,705 -10.89% 103.26%
10 $54,904 $71,681 $300,095 -2.87% 32.57% 10 $61,410 $69,421 $522,908 -1.71% 33.73%
20 $140,227 $207,148 $395,954 2.10% 11.62% 20 $146,870 $185,586 $581,412 1.83% 11.54%
30 $236,879 $412,590 $543,356 3.20% 6.77% 30 $243,025 $359,148 $688,325 2.77% 6.40%
40 $333,990 $690,833 $731,255 3.44% 4.85% 40 $342,010 $604,327 $845,458 3.09% 4.47%
Year Guar CV Curr CV Curr DB Curr CV Curr DB Year Guar CV Curr CV Curr DB Curr CV Curr DB
5 $16,915 $20,747 $514,899 -24.75% 96.19% 5 $19,095 $20,721 $505,710 -20.23% 102.64%
10 $52,925 $70,616 $557,223 -4.45% 31.95% 10 $54,895 $61,582 $519,762 -4.21% 33.40%
20 $142,640 $228,892 $697,331 2.24% 11.68% 20 $140,210 $181,427 $588,418 1.54% 11.56%
30 $237,270 $453,146 $868,446 3.16% 6.76% 30 $236,835 $364,177 $708,460 2.84% 6.54%
40 $335,145 $771,946 $1,090,686 3.42% 4.82% 40 $333,885 $615,663 $872,614 3.20% 4.62%
Premium = $7,637
IRR
IRR
Mutual Trust
Premium = $7,760
Premium = $7,625 IRR
Foresters
Assurity
IRR
Lafayette
Premium = $8,995
This comparison is based on Foresters Whole Life insurance rates as of June 2011 and rates from Lafayette Contender 100, LifeScape Whole Life from Assurity, and Covenant II from Mutual Trust from their respected software as of May 11, 2011. Premiums are calculated on a level basis, payable to age 100, and assume the applicant has been underwritten and qualified for the classification above. The comparison assumes base coverage only with no additional riders, and all premiums are paid when due. The cash values are guaranteed cash values only, and do not include any non-guaranteed dividends.
Competitive Comparison - Fully Underwritten
Why Foresters Whole Life Insurance?
407967 US (08/12) Producer Use Only
Female, standard, non-tobacco, age 40$500,000
Year Guar CV Curr CV Curr DB Curr CV Curr DB Year Guar CV Curr CV Curr DB Curr CV Curr DB
5 $16,083 $20,673 $268,195 -17.58% 98.44% 5 $22,325 $23,392 $504,060 -10.89% 110.77%
10 $47,370 $61,802 $298,299 -2.87% 32.57% 10 $53,795 $59,347 $517,867 -1.73% 36.31%
20 $120,400 $180,795 $397,992 2.10% 11.62% 20 $127,215 $161,419 $580,995 1.98% 12.79%
30 $206,041 $361,834 $539,677 3.20% 6.77% 30 $214,125 $321,279 $693,618 3.03% 7.27%
40 $299,768 $607,299 $702,306 3.44% 4.85% 40 $311,040 $560,599 $858,428 3.42% 5.14%
Year Guar CV Curr CV Curr DB Curr CV Curr DB Year Guar CV Curr CV Curr DB Curr CV Curr DB
5 $13,970 $16,706 $512,090 -24.74% 106.40% 5 $16,070 $17,329 $504,949 -20.23% 102.64%
10 $45,400 $57,237 $543,384 -4.32% 35.32% 10 $47,335 $52,662 $517,592 -4.21% 33.40%
20 $121,885 $176,494 $642,075 1.85% 12.75% 20 $120,305 $156,443 $586,890 1.54% 11.56%
30 $205,980 $339,655 $756,790 2.75% 7.18% 30 $205,840 $315,441 $699,820 2.84% 6.54%
40 $300,575 $569,023 $898,889 3.05% 4.92% 40 $299,335 $532,037 $835,581 3.20% 4.62%
Premium = $6,882
IRR
IRR
Mutual Trust
Premium = $6,655
Premium = $6,525 IRR
Foresters
Assurity
IRR
Lafayette
Premium = $7,240
Competitive Comparison - Fully Underwritten
This comparison is based on Foresters Whole Life insurance rates as of June 2011 and rates from Lafayette Contender 100, LifeScape Whole Life from Assurity, and Covenant II from Mutual Trust from their respected software as of May 11, 2011. Premiums are calculated on a level basis, payable to age 100, and assume the applicant has been underwritten and qualified for the classification above. The comparison assumes base coverage only with no additional riders, and all premiums are paid when due. The cash values are guaranteed cash values only, and do not include any non-guaranteed dividends.
Foresters Whole Life InsuranceWhy Foresters Whole Life Insurance?
407967 US (08/12) Producer Use Only
Advantage Plus Whole Life
408823 US (09/12) For Producer Use Only
Foresters SMART Universal Life
SMART UL
A flexible universal life product that offers lifetime insurance protection, non-medical underwriting and potential for cash value accumulation.
407967 US (08/12) Producer Use Only
503349 US (10/11)
Target Market
• Ages 30-50
• Middle Income Market
• Looking for lifetime life insurance protection
• Clients who don’t want to go through the hassles of full
underwriting
• Looking for cash value accumulation potential
407967 US (08/12) Producer Use Only
Why SMART UL?
• Offers the security of lifetime coverage
• No medical exams (up to $250,000)
• Simple application process
• Customized coverage with valuable riders
• Flexible coverage
• Competitive rates
407967 US (08/12) Producer Use Only
Issue Ages •0-70 (Age Nearest Birthday)
Face Amount Minimum •$25,000
Underwriting Classes(Non-Medical)
Non-Tobacco Tobacco Juvenile (Issue age 0-15)
Minimum guaranteed interest rate •3%
Premium payment options• Life Pay• Quick Pay (@ guaranteed interest rate)
Death Benefit Option• Level• Increasing
At a Glance
407967 US (08/12) Producer Use Only
Face amount
•Issue Age 0-15: $25K-$150K•Issue Age 16-55: $25K-$250K•Issue Age 56-70: $25K-$150K
Minimum modal premium requirements
•$25 Monthly•$75 Quarterly•$150 Semi-Annual•$300 Annual
Surrender charges •Decreasing charge for 15 certificate years
Premium expense charge•6% of premiums paid in the first 20 certificate years
Monthly administration deduction •$12
At a Glance
407967 US (08/12) Producer Use Only
Definition of Life Insurance Test Options
•Guideline Premium Test (GPT)•Cash Value Accumulation Test (CVAT)
Premium Payable to age 100
Grace Period 61 days from the due date of the monthly deduction in default
ReinstatementsCan be reinstated within 3 years of the date of lapse, subject to conditions
At a Glance
407967 US (08/12) Producer Use Only
Why SMART UL?
Male N/S 55, $100,000, Premium $2,600
Sources: Individual company software as of June 3, 2011
CurrentInt.Rate
CSV at year 5
CSV at year 10
CSV at year 20
CSV at year 30
CSV at year 40
TgtPrem.
Sec.Gte
Sec GtePrem.
ANICO Executive UL 5.00% 6,815 19,597 57,255 113,711 211,911 1,665 10 years
1,332
Americo LifeCrest 5.00% 6,776 19,115 54,502 107,776 205,657 2,395 20 years
1,436
LSW Horizon UL 6.00% 5,624 17,439 52,005 115,752 231,858 3,004 15 years
1,692
John Hancock Life
Protection UL 11
5.20% 7,941 19,180 45,917 91,315 179,894 1,764 10 years
1,667
Foresters SMARTUL (Non Med)
5.90% 6,936 20,112 57,411 125,591 241,370 1,951 10 years
1,534
AA Easy UL 4.00% 8,969 23,090 55,153 96,232 163,463 2,127 15 years
1,636
50 percentile 5.10% 6,877 19,389 54,828 110,744 208,284 2,039 1,585
Smart UL Rank 3 2 1 1 1
407967 US (08/12) Producer Use Only
Why SMART UL?
Female N/S 55, $250,000, Premium $6,500
CurrentInt.Rate
CSV at year 5
CSV at year 10
CSV at year
20
CSV at year 30
CSV at year 40
TargetPrem.
Sec.Gte
Sec GtePrem.
ANICO Executive UL 5.00% 20,091 53,851 144,282 295,851 548,440 3,313 10 years
2,650
Americo LifeCrest 5.00% 20,542 55,423 145,360 301,234 567,666 4,488 20 years
2,323
LSW Horizon UL 6.00% 17,715 51,551 143,057 320,209 632,926 6,383 15 years
3,552
John Hancock Life
Protection UL 11
5.20% 23,557 56,052 143,634 306,059 581,850 3,343 10 years
3,157
Foresters SMARTUL (Non Med)
5.90% 20,954 57,925 163,420 360,904 691,607 3,678 10 years
3,358
West Coast Life
Lifetime Advantage Plus
5.40% 18,905 53,600 152,577 315,883 574,058 3,790 15 years
1,945
50 percentile 5.10% 20,317 54,637 144,821 310,971 577,954 3,734 2,904
Smart UL Rank 2 1 1 1 1
Sources: Individual company software as of June 3, 2011
407967 US (08/12) Producer Use Only
Consumer Brochure
407967 US (08/12) Producer Use Only
Consumer Worksheet
407967 US (08/12) Producer Use Only
Foresters Lifefirst Level Term Life Insurance
• Ages 25-55
• Americans looking for temporary life insurance for needs,
such as mortgage or income protection, at an affordable price
• Clients who don’t want to go through the hassles of full
underwriting
• Looking for personal protection from total disability and certain
critical illnesses
Target Market
407967 US (08/12) Producer Use Only
Why Lifefirst Level Term Life?
• Offers affordable coverage• No medical exams (up to $250,000)• Simple application process• Customized coverage with valuable riders
– Built in value added protection– Living benefits
503349 US (10/11)407967 US (08/12) Producer Use Only
Types•10-year•20-year
Underwriting Classes(Non-Medical)
Non-Tobacco Tobacco
Issue Ages
Non-Medical & MedicalNon-Tobacco Tobacco10-year: 18 to 80 18 to 8020-year: 18 to 65 18 to 60(10-year is not available on Non-Medical basis)
Death Benefit•Level (reduced by loan or Critical Illness Rider•benefits paid)
Convertible•Before the earlier of age 65 or 5 years prior to the end of the initial term.
At a Glance
407967 US (08/12) Producer Use Only
Face amount
Ages Non-Medical Medical18-50: $50,000 - $250,000 $250,001 & up51-55: $50,000 - $200,000 $200,001 & up56+: $50,000 - $150,000 $150,001 & upOver $10,000,000 subject to head office approval.
Minimum modal premium requirements
•$25 Monthly•$75 Quarterly•$150 Semi-Annual•$300 Annual
Underwriting Classes
Non-Medical MedicalNon-Tobacco Preferred Plus Non-TobaccoTobacco Preferred Non-Tobacco Non-Tobacco Plus Non-Tobacco Tobacco Plus Tobacco
At a Glance
407967 US (08/12) Producer Use Only
Underwriting Issued standard to table 4
Premiums
Guaranteed and level premiums for the entire initial term for the base certificate. After the initial term period, the certificate may be continued at annual renewable rates to the certificate anniversary nearest age 100.
Certificate Fees
Non-Medical: $6.20/monthly, $18.61/quarterly,$36.50/semi-annually, $70/annually
Medical: $6.20/monthly, $18.61/quarterly,$36.05/semi-annually, $70/annually
Modal FactorsMonthly: 0.088652, Quarterly: 0.265957,Semi-annually: 0.515071, Annually: 1
At a Glance
407967 US (08/12) Producer Use Only
Sources: AG Producer Guide v10/08, ING HomeGuard Term Rate Card 11/09, Cited with permission of Compulife® (as of January 13, 2012). Compulife® is a registered trademark of Compulife Software, Inc. All trademarks belong to the respective trademark owners.
$100,000, 20-year term, Non-medical with no riders
Male Std
Ranking
Female Std
RankingAge 50 Non-Tobacco Non Tobacco
Foresters – Lifefirst 20 year(Rates effective September 12, 2011)
$60.19 2 $55.67 2
AG – Ultra Mortgage Complete 20 year $63.44 4 $63.44 5
Americo – Home Mortgage Series 20 year $78.66 7 $78.66 8
Fidelity Life – Rapid Decision Term 20 $63.25 3 $43.94 1
ING – HomeGuard Plus Term 20 $75.00 6 $75.00 7
Stonebridge – Simplified Issue Term 20 $57.25 1 $57.25 3
United Home Life – Express Issue term 20 $84.44 8 $57.85 4
United of Omaha – Term Life Express 20 year $72.36 5 $68.26 6
503349 US (01/11)
503349 US (10/11)
Why Lifefirst?
407967 US (08/12) Producer Use Only
Source: Cited with permission of Compulife® (as of January 13, 2012). Compulife® is a registered trademark of Compulife Software, Inc. All trademarks belong to the respective trademark owners.
Competitive Premiums$300,000, 20-year term, medical with no riders
Age 45Male
PreferredNon-Tobacco Ranking
Female Preferred Non-
Tobacco Ranking
Lifefirst 20 Year (Rates effective September 2011) $46.63 4 $37.05 5
AG – Select-a-Term 20 $41.83 2 $34.74 2
ANICO – Select 20 $55.21 8 $43.03 7
Banner – OPTerm 20 $41.13 1 $33.51 1
Lincoln Benefit – TrueTerm 20 Year $63.26 11 $55.13 11
ING – TermSmart 20 $42.70 3 $34.83 3
Sagicor – Platinum Series 20 $59.54 10 $48.31 10
Stonebridge - Stonebridge Term 20 year $49.61 7 $47.78 9
Symetra – 20 year Level Term $58.71 9 $45.06 8
Transamerica – Champion Term II 30 $46.73 6 $36.49 4
United of Omaha - Term Life Answers 20 $46.68 5 $39.20 6
503349 US (10/11)
Why Lifefirst?
407967 US (08/12) Producer Use Only
Consumer Brochure
407967 US (08/12) Producer Use Only
Consumer Worksheet
407967 US (08/12) Producer Use Only
Foresters PlanRight Whole Life
PlanRight
A non-participating whole life product designed to provide for death benefits and premiums as a way to help people pay for the cost of
their final expenses
407967 US (08/12) Producer Use Only
PlanRight Whole Life
• U.S. population age 65 and over is expected to double in the next 25 years
• By 2030 almost one out of five Americans (some 72 million people) will be 65
years or older
• According to the National Funeral Directors Association, the average cost of a
funeral in 2010 was $7,755
Sources:http://www.cdc.gov/mmwr/preview/mmwrhtml/mm5206a2.htmhttp://www.nfda.org/
407967 US (08/12) Producer Use Only
PlanRight Whole Life
• Quick Application Process – no medical exam, no blood profiles, no HOS
• Quick Underwriting – Producers will know medical eligibility prior to leaving client’s home
• Quick Issue - Quick Pay in your pocket
• Face amounts - from $2,000 to $35,000
407967 US (08/12) Producer Use Only
PlanRight Whole Life – Benefits in 1st, 2nd and Later Years
• Level Death Benefit
(Based on 100% of the Face Amount*)
• Graded Death Benefit
(Based on greater of:• Year 1: 30% of face amount; or ROP + 4.5% interest• Year 2: 70% of face amount; or ROP + 4.5% interest• Year 3: 100%*)
• Modified Death Benefit
(Based on ROP+10% in years 1 and 2, 100% of the face amount from year 3+*)
*Applicable amount plus unearned premium minus certificate debt such as loans.
Issue Age (ALB) Face Amounts
50 - 80 yrs $2,000 - $35,000
81 - 85 yrs $2,000 - $15,000
Issue Age (ALB) Face Amounts
50 - 80 yrs $2,000 - $20,000
81 - 85 yrs $2,000 - $10,000
Issue Age (ALB) Face Amounts
50 - 80 yrs $2,000 - $15,000
81 - 85 yrs Not Available
Subject to state availability.
407967 US (08/12) Producer Use Only
PlanRight Whole LifeAccidental Death Provision
AvailabilityPlanRight Graded & Modified during the first two years the certificate is in effect
Benefit for Accidental Death
• Face amount in effect on date of death of insured, plus
• Unearned Premiums, minus• Debt
Accidental Death DefinitionDeath caused by an accidental bodily injury, directly and independently from all other causes
Accidental Death PeriodDeath occurs within 180 days of accidental bodily injury
Subject to state availability.
407967 US (08/12) Producer Use Only
PlanRight Whole Life
• Premiums
• Age Last Birthday
• Rates for Males/Females and Non-Tobacco/Tobacco
• No Banding
• Commissionable Certificate Fee: $36
• Annual, Semi-annual, Quarterly and Monthly modes
• One application for all 3 plans
407967 US (08/12) Producer Use Only
PlanRight Whole Life Riders
Built-In ProtectionCommon Carrier Accidental Death Benefit Rider
Extended Protection Accidental Death Rider (Level Plan Only)
Subject to state availability.
407967 US (08/12) Producer Use Only
PlanRight Whole LifeCommon Carrier Accidental Death Benefit Rider
Availability Insured
Issue Ages 50-85
Benefit
Provides a death benefit of up to two times the face amount to a maximum of $300,000, if the insured dies of an accidental bodily injury that occurred while riding as a fare-paying passenger on a common carrier
Accidental Death DefinitionDeath caused by an accidental injury, directly and independently from all other causes
Accidental Death PeriodDeath occurs within 180 days of accidental bodily injury
Subject to state availability.
407967 US (08/12) Producer Use Only
PlanRight Whole LifeAccidental Death Benefit Rider
Availability PlanRight Level Insured
Issue Ages 50-85
Benefit
Provides additional coverage in event of accidental death, caused by accidental bodily injury and death occurs within 180 days of the injury.
Issue AmountMinimum: $2,000Maximum: 100% of face amount
Expiry DateCertificate anniversary on which the insured is age 121
Subject to state availability.
407967 US (08/12) Producer Use Only
PlanRight Whole LifeReal-Time Underwriting
• Supported by Apptical
• Fast, reliable service
• Focus on the sale not the underwriting process
• Know the client’s medical eligibility before leaving the client’s home
407967 US (08/12) Producer Use Only
PlanRight Whole LifeProcess
• Complete the application
• Call Apptical for Personal Health Interview (PHI)
• MIB and Prescription Checks will be performed on all applications
• Medical eligibility based on application and telephone interview results
• Fax or mail-in application
407967 US (08/12) Producer Use Only
PlanRight Whole LifeProcess
In order for you to continue with the Point-of-Sale process for PlanRight,
all applications must be submitted to Foresters within 10 business days
after a call has been placed wtih Apptical, regardless of the outcome.
407967 US (08/12) Producer Use Only
PlanRight Whole Life
Male Non-Tobacco - $10K - Whole Life - Level Plan Type, Monthly Premiums
Data in the comparison is based on information available believed to be current as of July 2012, but is subject to change. Not all products are available in all states. Assumes no optional coverages.
Age Foresters Americo Assurity Columbian MonumentalUnited
Home Life
50 30.08 32.06 28.82 29.17 28.80 28.95
55 36.17 35.70 34.28 33.37 36.30 34.91
60 44.16 43.68 41.65 44.83 44.10 44.09
65 52.72 55.20 53.87 55.70 57.50 56.46
70 69.58 72.93 73.05 73.54 76.00 80.71
75 96.88 99.51 100.55 98.22 100.00 122.52
80 138.74 145.65 155.57 141.83 127.70 168.93
85 191.52 200.14 N/A 195.54 174.40 N/A
407967 US (08/12) Producer Use Only
PlanRight Whole Life
Female Non-Tobacco - $10K - Whole Life - Level Plan Type, Monthly Premiums
Data in the comparison is based on information available believed to be current as of July 2012 but is subject to change. Not all products are available in all states. Assumes no optional coverages.
Age Foresters Americo Assurity Columbian MonumentalUnited
Home Life
50 23.10 24.56 25.48 24.38 24.40 23.23
55 28.40 27.73 29.37 28.44 29.40 27.53
60 34.62 33.93 34.74 35.69 34.00 33.22
65 41.90 42.80 44.03 43.52 42.30 40.83
70 52.29 53.43 56.41 54.83 55.00 55.38
75 72.31 72.93 76.89 73.12 72.80 81.24
80 105.07 112.77 113.89 107.9 94.90 114.51
85 158.76 166.32 N/A 149.27 129.60 N/A
407967 US (08/12) Producer Use Only
PlanRight Whole Life
407967 US (08/12) Producer Use Only
PlanRight Whole Life
APPTICAL
1-866-844-9276
Monday-Friday: 8:30 am to Midnight ET
Saturday-Sunday: 10 am to 8 pm ET
Sales Support
1-866-466-7166 (option 1)
Monday-Friday: 8:30 am to 7:00 pm ET
Saturday-Sunday: Closed
407967 US (08/12) Producer Use Only
Key Features:
• Entire insurance application completed over the phone
• Paperless process - electronic application
• Point-of-Sale qualification – plan eligibility determined before the call is over
• No requirement to send materials prior to call
• No wet Signature Required
• Quick issue and pay
Voice Signature over the Phone
407967 US (08/12) Producer Use Only
Voice Signature over the Phone – Process
1. Log onto a web account for phone sales2. Complete the sales process with the customer3. Fill out required information on the web application4. Connect the customer with the interviewer via a three way phone
call to complete the application for insurance. 5. Call is recorded6. The interview will determine the plan eligibility, validate application
information, and obtain a voice signature 7. When the call is completed, Foresters will receive all the
information electronically8. The case may be issued and commission processed.
407967 US (08/12) Producer Use Only
Voice Signature over the Phone
Three Technology Requirements:
1. High Speed Internet Connection
2. Microsoft operating system with Internet Explorer
3. Phone with 3-way call capability
407967 US (08/12) Producer Use Only
Foresters Prepared Accidental Death Term Insurance
• Ages 18 to 60
• Americans looking for financial protection from
premature death as a result of an accident
• Clients who don’t want to go through the hassles of
underwriting or do not qualify for traditional (all
causes) life insurance
Target Market
407967 US (08/12) Producer Use Only
• Low cost
• Easy to sell – on true simplified issue underwriting basis with a few health/lifestyle questions
• Straightforward “accept or decline” underwriting approach – quicker issue turnaround and get paid sooner
• Available as a “fall back” solution for declined Foresters term insurance – a simple, affordable alternative
Why Prepared?
407967 US (08/12) Producer Use Only
Death BenefitPaid to beneficiary if insured dies within 180days from an accidental bodily injury.
Guarantees
Non-cancelable – the certificate, excluding riders, cannot be canceled by Foresters if premiums are paid as due and there is a health change after issue. The premium rate is guaranteed to remain level and unchanged for the life of the certificate.
PremiumsPayable to age 75.Rates vary by age band and gender
Expiry DateCertificate anniversary on which the insured isage 75. Note: The certificate may end before the certificate expiry date.
Minimum Premiums$10/monthly, $30/quarterly,$60/semi-annually, $120/annually
Issue Ages 18-60
At a Glance
407967 US (08/12) Producer Use Only
Face Amounts
$50,000 - $300,000Note: The total accidental death term insurancecoverage from all in force Foresters accidental deathcoverage cannot exceed $300,000
Underwriting classesSimplified Issue (non-medical basis).Sub-standard is not available
Certificate fees$5.50/monthly, $16.50/quarterly,$32/semi-annually, $60/annually
Modal FactorsMonthly: 0.091667, Quarterly: 0.275000,Semi-annually: 0.533333, Annually: 1.000000
Optional RidersDisability Income Rider (Accident Only)Waiver of Premium Rider (Accident Only)Return of Premium Rider
At a Glance
407967 US (08/12) Producer Use Only
Consumer Brochure
407967 US (08/12) Producer Use Only