1. The Life Insurance Balancing Act PRESENTED BY: Joe Sample, [Designations per field stationery guidelines] [Company Approved Title][or][DBA Title][or][Brokerage Title] [Agency Name] [or] [DBA Name] [The Prudential Insurance Company of America][if Agency Distribution] [1234 Main Street, Suite 1, Floor 10] [Anywhere], [ST] [12345] [in required states] [ Insurance License Number ] Phone [123-123-1234] Fax [123-123-1245] [joe.sample@prudential.com] 1 NOT FOR CONSUMER USE. 0256943-00002-00 Ed. 05/2015 Exp 12/03/2016

2. Agenda Life Insurance Today The Balancing Act Solution 2 NOT FOR CONSUMER USE.

3. Life Insurance Perceptions Source: “Life Insurance In Today’s Economic Times”, Prudential, 2013 Q30. If you had to choose, which one of the statements in each pair below better describes your views of life insurance? Base: Total Respondents (n=1,010) Own Individual Life Insurance (n=529) Views of Life Insurance (%) Affordable Essential Relevant in today’s economic times Beneficial to society as a whole Something every adult needs Unaffordable Unnecessary Irrelevant in today’s economic times Not beneficial to society as a whole Something not every adult needs Total Have individual life insurance 7 in 10 or more feel life insurance is affordable, essential, relevant, beneficial to society and something all adults need Views are even stronger among owners of individual life insurance 3 NOT FOR CONSUMER USE.

4. 4 NOT FOR CONSUMER USE. Life Insurance Is Essential Source: “Life Insurance In Today’s Economic Times”, Prudential, 2013 Q2. Which of the following would you say are essential components to your family’s financial security? Base: Total Respondents (n=1,010) Own Individual Life Insurance (n=529) 62% feel life insurance is essential -- behind only savings accounts Owners of individual life insurance believe life insurance is the most essential product Essential Components of Financial Security (%) Among Owners of Individual Life Insurance

5. What Does Life Insurance Mean To You? 5 What word or words come to mind when you hear the phrase "life insurance"? Source: “Life Insurance In Today’s Economic Times”, Prudential, 2013 Q29. What word or words come to mind when you hear the phrase "life insurance"? Base: Owns Individual Life Insurance (n=529) NOT FOR CONSUMER USE.

6. What Does Life Insurance Mean To You? 6 Source: “Life Insurance In Today’s Economic Times”, Prudential, 2013 Q31. What's the main reason you decided to purchase life insurance? (Base: Owners of Individual Life Insurance Main Reason You Purchased Life Insurance NOT FOR CONSUMER USE.

7. Challenge # 1 – Not Enough Coverage 7 Only 19% of households fall into the generally recommended guidelines of 5-10+ times income Source: “Life Insurance In Today’s Economic Times”, Prudential, 2013 Calculated. Total Household Individual Life Insurance Coverage / Total Household Income. Base: Total Respondents (n=1,010) Generally recommended range Individual Coverage as a Multiple of Income % Households NOT FOR CONSUMER USE.

8. Challenge # 2 – Gaps In Coverage Just 37% of married / partnered households have all spouses covered by individual life insurance Nearly 4-in-10 households with children have no individual life insurance coverage Source: “Life Insurance In Today’s Economic Times”, Prudential, 2013 Q17. Do you currently have any life insurance? Base: Total Respondents (n=1,010) Q22. Does your spouse/partner currently have any life insurance? Base: Married / Live with a partner (n=818) Household Individual Life Insurance Ownership – by Type of Household (%) 8 NOT FOR CONSUMER USE.

9. Challenge # 3 – Confident In Not Having Enough 9 79% believe their loved ones could maintain a standard of living …. but with a median of only 1-2 years! Source: “Life Insurance In Today’s Economic Times”, Prudential, 2013 Q38. Considering your needs and the value of your other assets, how confident are you that [PIPE IN TEXT “your current life insurance coverage protection would allow your loved ones to” “your loved ones would be able to”] maintain the same standard of living if you were to die prematurely? Base: Total Respondents (n=1,010) Q39. Imagine the main breadwinner in your family had to stop working tomorrow. How long would your loved ones be able to continue to maintain their current lifestyle – that is, living life just as they are now? (Base: Somewhat or very confident in Q38. n=630) Confidence Loved Ones Could Maintain Standard of Living (%) For How Long? 27% less than six months 45% less than a year 58% two years or less NOT FOR CONSUMER USE.

10. Clients expect and want Financial Professionals to talk about life insurance 10 Source: “Life Insurance In Today’s Economic Times”, Prudential, 2013 Q44. Has your financial advisor talked to you about life insurance?, Q45. Did you purchase life insurance upon recommendation of your financial advisor Q47. How likely would you be to recommend your financial advisor? Base: Have financial advisor (n=382) Clients are significantly more likely to recommend advisors who have talked to them about life insurance – even if they do not ultimately purchase from them. NOT FOR CONSUMER USE. Likelihood to Recommend Financial Professional by Whether FP has talked about Life Insurance % Likely to Recommend (8-10 on 0-10 scale) Financial Professions who have NOT talked to clients about life insurance Bought life insurance from FP FP talked about life insurance; already owned FP talked about life insurance; did not buy FP did NOT talk about life insurance

11. Face-to-face with agent/broker still preferred way to buy 11 Source: “Life Insurance In Today’s Economic Times”, Prudential, 2013 Q42. Summary for "This would be my most preferred method" of purchasing life insurance. Base: Total Respondents (n=580) Q33. How did you determine the level of insurance coverage you currently have? Base: Has life insurance (n=756.) No change in use of agents/brokers, more reliance on agents/brokers Does not vary significantly by generation. 2013 2009 NOT FOR CONSUMER USE. Most Influential Factor in Determining Amount of Life Insurance Coverage (Base: Owns) Preferred Ways of Purchasing Life Insurance Recommendation of a financial professional Information at workplace Yourself Only have default Other

12. So, Why Not Life Insurance? 12 Source: “Life Insurance In Today’s Economic Times”, Prudential, 2013 Q32. What’s the main reason you have not purchased life insurance? Base: Do Not Own Individual Life Insurance (n=254) What is the main reason you have not purchased life insurance? say some variation of cost NOT FOR CONSUMER USE.

13. Life is a Balancing Act 13 NOT FOR CONSUMER USE.

14. How much life insurance is needed? 14 NOT FOR CONSUMER USE. Amount of Coverage How Life Insurance Needs Can Change Over Time (This diagram is for illustrative purposes only)

15. Client Profiles In Their 20s: Few responsibilities Need for basic coverage In Their 30s: New Families First Home In Their 40s and Beyond: Peak Earnings Highest protection goals 15 NOT FOR CONSUMER USE.

16. Meet the Smiths Jack and Jill Smith Current financial situation: Both Age 40, one child age 8 One Income family $80,000 401k: $65,000 Savings: $15,000 Jack’s Life Insurance: $160,000 16 NOT FOR CONSUMER USE.

17. What are current and longer term goals? Protection goals during working years: Replace income to sustain their family’s standard of living Replace income to pay mortgage Replace income to complete savings goals Protection goals in retirement: Final expenses and estate settlement Income for surviving spouse Leave a legacy 17 NOT FOR CONSUMER USE.

18. Life is a Balancing Act Basic life insurance assessment How much do I need? How much can be allocated from budget? Can I qualify? What type? A balanced approach is ideal Provide coverage for now and tomorrow –A blend of term and permanent life insurance –Based on budget allocation and current health Let us help to identify your clients’ needs! 18 NOT FOR CONSUMER USE.

19. Life is a Balancing Act 19 NOT FOR CONSUMER USE.

20. Take Action Say to every client “Tell me about your life insurance” Review Prudential’s Balancing Act Marketing Material Prepare a life needs analysis [using the Prudential Life Needs Estimator or a similar tool] Coordinate Insurance Days to conduct policy reviews Host a client seminar Work with your Prudential partner to present a Balancing Act illustration and solution to your client 20 NOT FOR CONSUMER USE.

21. Important Information Term Essential and PruLife ® Universal Protector are issued by Pruco Life Insurance Company except in New York, where they are issued by Pruco Life Insurance Company of New Jersey. All are Prudential Financial companies located in Newark, NJ. Guarantees are based on the claims paying ability of the issuing insurance company. Securities and Insurance Products: Not Insured by FDIC or Any Federal Government Agency. May Lose Value. Not a Deposit of or Guaranteed by Any Bank or Bank Affiliate. © 2015 Prudential Financial, Inc. and its related entities.