Membership Exco Presentation 21 October 2009

Are you going to finish strong… Membership Exco Feedback

1.One Loyalty Programme Cost – R p/m = R Live 1 November Composition of committees, branch, divisional, national We ensured that rules align the structures in division network with national representation. 3.Mandate We finalised our mandate

Membership Exco Feedback 4.Fees and categories of membership 4.1 Ordinary Membership / Main membership NoCategory Qty Members Income x vote Membership fee R R (Individuals) 2 2 – 30 1 x vote Membership fee R R (897 Individuals) R (104 corporate) votes accordingly Membership fee – income band 37 R (19 individuals) 18 x (additional individuals fall into this category but will be handled R260 per individual corporate fees will remain the same in the interim

Membership Exco Feedback 4.Fees and categories of membership (continued) 4.2 Affiliated Membership R45 per affiliate member – no votes) It was decided that we should proceed with Affiliated membership. The purpose of Affiliated membership was originally to provide opportunities to employees who will eventually take over the business. Members will be encouraged to bring staff onto the affiliate membership which will include the following benefits: Funeral plan One Loyalty Training (vital) once sorted out with the industry stakeholders. If all other members are on group scheme they can also join.(compulsory) It will be critical once the above has been approved to communicate to the branches and divisions in detail.

Membership Exco Feedback 5.Roadshows Communication priority over roadshows, although very important. Roadshows must be in conjunction with FSB where-ever possible. 6.Member fears (also the reps of corporates, see attached that can be summarized) Real threats (conflict on interest/fees vs commissions/NHR/NSR) Over regulation (churning/site visits/new exams) Over charged (dr’s vs brokers / 2 x health fees / exams) Assumptions (stats) Underestimate representation as part of economy culminating into FSB presentation and directive 7.Member Application Process Needs to be finalized, but FSB process should be aligned

Membership Exco Feedback 8. Branch of the year Process put in place and done by 14 th October Being announced evening of 22 nd October We acknowledged that appropriate prices should accompany 9.BOD Election Process 31,55% voted 6 spoilt votes 4 received late

Membership Exco Feedback Friday vs Monday 10.Group Schemes Some problem areas that need to be managed Decide to act against members that misuses the scheme We keep alignment with Bluestream results as well as FIA strategy as far as possible. The Divisional meeting after the Exco meeting serves to be positive and necessary. Lots of work still unidentified.