Presented by: Insert name here Make your insurance affordable this tax year and beyond 1

Important Information 2 This presentation was prepared by MLC Limited, ABN and AFSL , a member of the National Australia Group of companies. The information here is current as at 1 April MLC is not a registered tax agent. If you wish to rely on this presentation to determine your personal tax obligations, you should consult in a registered tax agent. The presentation does not take into account your personal objectives, financial situation or needs. Accordingly you should consider how appropriate the information is to you with regard to your personal circumstances. You may wish to obtain an adviser’s assistance to make this assessment. Before buying any financial product, you should read the Product Disclosure Statement for that product. Make your insurance affordable this tax year and beyond

Can use co-contribution (up to $5002) to help pay for future insurance premiums Could claim super contributions as tax deduction Tax concessions Buy Life and TPD insurance in super 3 Make your insurance affordable this tax year and beyond 1 Includes assessable income, reportable fringe benefits and reportable employer super contributions. 2 In 2012/2013 Can use tax offset (up to $540) to help pay for future insurance premiums Could buy insurance in super with pre-tax dollars Employee Employment income < 10% of total income 1 Eligible for co-contribution Low income spouse

How could you benefit? Buy Life and TPD insurance in super These tax concessions: Make it more affordable 1 to insure in super May help you to get higher levels of cover you otherwise couldn’t afford 4 Make your insurance affordable this tax year and beyond 1 This can also be the case if the sum insured is increased to make a provision for any lump sum tax that may be payable on TPD and death benefits in certain circumstances.

Case Study Buy Life and TPD insurance in super Jack, aged 45, is married to Claire, aged 41 Claire’s looking after two young children Jack earns pre-tax salary of $100,000 pa They have a mortgage Jack is worried whether Claire would cope financially if anything happened to him They speak to an adviser to see if Jack has enough insurance 5 Make your insurance affordable this tax year and beyond

Case Study Buy Life and TPD insurance in super Adviser recommends $700,000 in Life & TPD insurance so if something unfortunate happens (ie. death or total & permanent disability), Claire can: continue to pay off debts (i.e. mortgage, school fees) maintain the family's financial position have some financial security Premium is $1,231 1 in year one Adviser also recommends Jack insures in super 6 Make your insurance affordable this tax year and beyond 1 Premium is for a 45 year old, non-smoking, male and is based on MLC’s standard premium rates as at 1 April 2013 and includes policy fee.

Case Study Buy Life and TPD insurance in super 1 Premium is for a 45-year-old, non-smoking, male and is based on MLC Insurance (Super) standard premium rates as at 1 April Includes policy fee. 2 Includes Medicare levy of 1.5%. 7 Make your insurance affordable this tax year and beyond Premium comparison (in year one) Insure inside super via salary sacrifice Insure outside super with after- tax salary Premium 1 $1,231 Plus income tax at 38.5% 2 N/A$771 Pre-tax salary sacrificed/ received $1,231$2,002 Pre-tax saving$771N/A

Tips and Traps Buy Life and TPD insurance in super If you have a non-working spouse who needs insurance, you could: Make personal deductible contributions Benefit from up-front tax concessions Split some of contributions into spouse’s super account Get spouse to buy insurance in their super fund Having premiums deducted from investment account without making additional contributions can help you: afford insurance if don’t have sufficient cash flow free-up cash flow to purchase other non-super insurances (e.g. Critical Illness 1 ) 8 Make your insurance affordable this tax year and beyond 1 Critical Illness insurance can generally only be purchased in your own name (outside super).

Tips and Traps Buy Life and TPD insurance in super With Critical Illness insurance, can reduce cost if ‘connect’ cover with Life and TPD in super 1 (i.e. take cover as extension) If require ‘own occupation’ TPD policy, you may want to: buy TPD insurance outside super consider TPD Optimiser and utilise the benefits of insuring through super (i.e. utilising super money to fund insurance premiums) for your "Any Occupation" TPD cover, while having the protection of additional "Own Occupation" cover outside super 9 Make your insurance affordable this tax year and beyond 1 No additional policy fee payable. Where a Critical Illness claim is paid, the amount of Life and TPD cover held in super will be reduced by the amount of Critical Illness benefit paid.

Other smart ideas Income Protection insurance (outside super) Pre-pay up to 12 month's premiums by paying annually Convert existing policy from monthly to annual premiums Reduce your tax bill Claim larger deduction this financial year Pay annual premiums on new policies Annual premiums often cheaper too

Summary Consider buying Life and TPD insurance in super Consider connecting Critical Illness cover Consider pre-paying 12 month’s Income Protection premiums Choose the right premium payment option for you 11 Make your insurance affordable this tax year and beyond

Insurance from MLC MLC is not a registered tax agent. If you wish to rely on this information to determine your personal tax obligations, you should consult with a Registered Tax Agent. For more information call MLC from anywhere in Australia on or contact your adviser. Postal address: MLC Limited, PO Box 200 North Sydney NSW 2059 Registered office: Ground Floor, MLC Building 105–153 Miller Street North Sydney NSW 2060 mlc.com.au