All plans are not created equal What YOU need to know

What is Simplified Issue Insurance? Non Medical: Insurance that asks limited questions Answer “no” to all the questions and then a policy is issued. Simplified products have higher premiums than traditional products, as substandard risks are in the pool.

The History of SI Products In the past: Well known as the “TV” products - No medical, No agent, Guaranteed acceptance Geared toward seniors and persons with significant health problems. Fewer insurers in the market

SI Products Today The market is growing… SI products No longer just for the aged and hard to insure Families who are looking for an easy solution for their insurance needs Don’t want the lengthy underwriting process More insurers in the market

What’s YOUR opportunity?

Canadian life insurance ownership is at the lowest level in 30 years More than 3 in 10 Canadian households have no life insurance at all Two in three Canadian households would have difficulty meeting everyday living expenses within a few months. More than six million Canadian households believe they need more life insurance Wide gap between the amount of life insurance households own and what they feel they should have. The sales potential is estimated to be $1.6 trillion in coverage. Source: LIMRA

Generation Y and lower income segments need more life insurance Source: LIMRA

Addressing Procrastination Many Canadians put off buying insurance because they anticipate a difficult process, thinking it’s complex and confusing. 1 Simplified issue products are:  easy to understand;  easy to apply for. Source: LIMRA

Why households don’t have any life insurance Source: LIMRA

Ownership of individual life insurance by region Source: LIMRA

Consumer views on Underwriting Three most important factors for consumers: – Price – Face Amount – Amount of medical information Consumers with one of five medical condition (smoker, obesity, diabetes, hypertension or heart condition) are concerned about their eligibility for Life Insurance Source: LIMRA – Consumer Views on Underwriting, 2012

Consumers are confused Consumers said one of the biggest obstacles was that they didn't understand many of the terms used in insurers' marketing materials. Nearly 75% couldn’t define "underwriting" and "permanent life insurance” Two thirds don’t understand the terms "rider," "guarantees," "living benefit," and "annuity."

SI Products – Who wants it? with certain issues that may cause a premium to be rated or a refusal on a traditional life insurance; or who genuinely dislike needles or any type of medical exam; or looking for a simple and fast process to get life insurance; or who don’t want the value of their estate diminished by funeral costs and other final expenses; or who want the tax-free death benefit to be paid quickly.

Not all Simplified Issue products are created equal WATCH out for the pitfalls…

MIB By obtaining it upfront it mitigate the possibility of a declined claim in the future Not all suppliers treat MIB the same Some will use all MIB information to underwrite a product and may decline even though the client answered no to all the questions

Verification When the supplier contacts the client directly …whose client is it? Customer may provide information not requested on the application Once the supplier receives that information they may decline or postpone coverage Agent loses control of the sale

What about Pre- existing Clauses? What are they and what do they mean? “Pre-existing Condition: an illness or condition that appeared prior to application and may exclude… the person insured was diagnosed, treated, hospitalized or attended to by a physician or any other health professional; the person insured was advised to seek treatment or consult a physician or any other health professional; or the person insured was prescribed or took medication, showed signs or symptoms, or underwent tests or investigations.” What does this mean? Is your client covered? When does U/W happen?

Clarity of Questions and Definitions When looking for a carrier: Do YOU understand the questions? Does your CUSTOMER? Are there DEFINITIONS to help you and your customer understand medical terminology? Eligibility …?

Claims history and process What is the claims experience of the company? How long have they been in the simplified issue products? Are they an insurer or a broker? How easy it is to do business with the carrier? What about non face to face? Issue time?

Assumption Life may be your solution Here’s why...

Assumption Life is a Canadian Mutual Insurance Company with over a century of experience! Been in business since 1903 Simplified Issue products since 1994 Payment of claims in less than 5 days Policy issue in 48 hours Who are we?

Let’s look at the products

THE Simplified life insurance solution for clients who want peace of mind and NO MEDICAL EXAM

Permanent life insurance guaranteed level premium Life-pay and 20-year-pay (for issue ages 40-80) No medical exam, no APS, no fluids or needles Guaranteed cash values and excellent paid up values Available for smokers and non-smokers Available as a policy or rider (spouse) Issued with limited proof of insurability

Insurance amount doubles in case of accidental death In case of accidental death in a public transportation vehicle, beneficiaries receive 5 times the original insurance amount. Issue ages 40 to 85 Maximum Sum Insured: – 40 to 70 years of age: $100,000 – 71 to 85 years of age: $50,000 Guaranteed cash value and guaranteed reduced paid-up option after 5 years

Living benefit 50% of the sum insured in the event of a first-time occurrence of a terminal illness Transportation benefit $2,000 payable when death occurs at a site over 200 km away from primary residence Annual fee policy$60.00 rider (spouse)$30.00 Insurance coverage is immediate Online application approved within hrs FYC 45%

Deferred Option If your client has been declined for insurance within the past 2 years, they may still qualify for Golden Protection at the same rates. Two-year waiting period for the death benefit for non- accidental death. Accidental death benefit is immediate. Life-pay and 20-year-pay (for issue ages 40-80) FYC 35%

Non-Medical Term Life Insurance

Terms available : Simplified issue – no medical exam, no blood tests Coverage is immediate as soon as the policy is issued. Non-participating term product Guaranteed level premiums for the term selected Available as an individual policy or as a rider on: – InstaTerm or InstaTerm Deferred if the insured is a person other than the insured under the policy (maximum of 1 rider). – Golden Protection, Golden Protection Deferred or Golden Protection Plus on the same insured (maximum of 1 rider) or on a person other than the insured under the policy (maximum of 1 rider).

Minimum coverage : $50,000 (monthly premium of $20) Maximum coverage : $150,000 – The sum of all InstaTerm, Golden Protection, Golden Protection Deferred, Golden Protection Plus and Total Protection policies for a single insured cannot exceed $200,000. Automatic renewal until the policy or rider anniversary nearest the insured’s 90 th birthday. Rates available for Smoker and Non-Smoker.

Issue age: 20 to 70 yrs old Annual fees: $80 policy, $60 rider Conversion to the Golden Protection product only – The conversion privilege is available if requested: after the first InstaTerm policy or rider anniversary; and when the insured’s age on his/her nearest birthday is at least 40. – If only part of the sum insured is converted, the policyholder may keep the InstaTerm coverage in force only if the remaining sum insured is at least $50,000. – The sum of all Golden Protection, Golden Protection Deferred, Golden Protection Plus and Total Protection coverages for a single insured cannot exceed $50,000.

Deferred Non-Medical Term Life Insurance

Terms available : Simplified issue – no medical exam, no blood tests Non-participating term product Guaranteed level premiums for the term selected. The death benefit is deferred for the first two years. Available as an individual policy or as a rider on: – InstaTerm or InstaTerm Deferred if the insured is a person other than the insured under the policy (maximum of 1 rider). – Golden Protection, Golden Protection Deferred or Golden Protection Plus on the same insured (maximum of 1 rider) or on a person other than the insured under the policy (maximum of 1 rider).

Minimum coverage : $50,000 (monthly premium of $20) Maximum coverage : $100,000 – The sum of all InstaTerm, Golden Protection, Golden Protection Deferred, Golden Protection Plus and Total Protection policies for a single insured cannot exceed $150,000. Non-renewable Non-convertible Issue age: 20 to 70 yrs Annual fees: $80 policy, $60 rider Rates available for Smoker and Non-Smoker

Deferred protection If the death is non-accidental and occurs before the 2 nd anniversary of the policy, the death benefit is equal to the reimbursement of premiums with interest rate of 3%. The death benefit is equal to the sum insured: – If the insured’s death occurs from the 2 nd anniversary of the policy or rider; – or if the insured’s death is accidental and occurs within the first 2 years of the policy or rider.

Living Benefit – in the event of the 1 st time occurrence of a terminal illness at least 180 days after the date of issue of the policy or rider. – the policyholder qualifies for 50% of the sum insured (payable only after the 2 nd anniversary of the policy or rider. Transportation Benefit – An amount of $2,000 will be payable to cover the expense of transporting the remains to the primary residence If the death occurs at a location over 200 km away from the insured’s primary residence. – Payable only after the 2 nd anniversary of the policy or rider. Benefits

Other benefits available Accidental Fracture Plus, Child Insurance Rider, and/or Accidental Death. Child Insurance RiderAccidental DeathAccidental Fracture Plus

All questions must be answered No in order to submit the application Questions 1 to 11 – InstaTerm Deferred and InstaTerm Questions 12 to 27 – InstaTerm No rating available Underwriting

InstaTerm is convertible InstaTerm is available as rider InstaTerm has a build-in transportation benefit InstaTerm has a build-in living benefit More proficient and user-friendly electronic application system. Sweet spots

Clear questions MIB at time of application No verification Issued in less than 48 hours Commission paid twice weekly...

LIA – Electronic sales tool Multiplatform (PC, Mac, Android, iPad, Cloud Technology) Save to any device Your device directly to our underwriter Online or offline

Non Face-to-Face Sales Referrals Replacement Internet leads Up sell/ Cross sell Business where you want, when you want, how you want!

Delivery Receipt Remember no delivery receipt required!

Service - Second to none! Quick to respond Direct access to underwriters Free marketing materials Online training presentations Video sales tool

Producer’s Corner Visit our

Production CreditsMinimum Production Units Broker60,00020 Broker + 1 guest75,00025 Qualification criteria table:

Simplified Issue Products Seize the opportunity Understand consumers Choose your carrier wisely Doing business with US is Easy…and Smart!