1. Protect Your Employees
and
Your Bottom Line
Note to producer: This presentation helps you present to an employer our Voluntary Income Protection program.
NOTE: If you have a rep or agency disclosure, please add it to the last slide.
After appropriate welcome and introductions, say:
I’m happy to be with you to discuss a way you can enhance your benefit offerings, with no out-of-pocket cost to your business. This is our Voluntary Income Protection program. Under the program your employees can obtain quality disability insurance protection for their income (Note: if the company has a group LTD plan in place, add: “to supplement the basic coverage provided by your group long term disability plan.”).
This program allows you to help protect your employees income and at the same time your bottom line. .
John Q. Agent
Agency Name

2. If you’re like many employers… “I value my employees, but
benefit costs are
an increasing burden.”
If you’re like most employers you do value your employees, but recognize that rising benefit costs put increasing pressure on your ability to compete.
Health insurance usually represents the most significant benefit cost, and hampers your ability to fund additional benefits, even though you want to provide a more competitive package.
I’ll show you how you can provide a truly valuable employee benefit, with no out-of-pocket cost to the business.

3. Income is Employees are Why Income Protection? important to employees.
your business.
A sound disability income protection program benefits both your employees and your business. Why?
Because the ability to earn an income is important to your employees.
And because your employees are important to your business.
Here is what I mean.

4. If an employee is too sick or injured to work…
“How am I going to pay all my day-to-day expenses?”
“What about my family’s future?”
If an employee is too sick or injured to work for an extended period of time, some painful questions arise:
“How am I going to pay all my day-to-day expenses?”
“What will happen to my family, and the future we have planned?”

5. What about your business?
Would a disabled employee be looking to you?
An income protection program…
Higher employee morale
Helps attract, retain and
reward employees
And what about the effect on your business? Certainly if a key employee is disabled, productivity is likely to suffer. In any case, would a disabled employee be looking to you for assistance? You could be presented with a real dilemma.
Disability income insurance helps provide the answers to these questions. An income protection program sponsored by your firm can demonstrate that you care about the financial security of your employees.
The result? Higher employee morale, and an enhanced ability to attract, retain and reward employees.

6. Can employees rely on group coverage alone?
Group LTD covers ___%
of salary
Highly compensated
employees may
get less coverage
Benefits provided
under employer-paid
LTD will be taxable
Note: Use this slide and the next only if the company has a group long term disability plan in place and insert the appropriate percentage of salary replaced. Otherwise, hide this and the next slide. You must know the important details of the employer’s group LTD plan, e.g. the monthly benefit cap, who is paying the premium and the incomes of the highly compensated employees.
Since your company has a group long-term disability (LTD) plan, you do have in place a basic level of disability protection. Your plan covers __% of an employee’s income, subject to a cap of $_____ per month. Benefits under your employer-funded plan will be also taxable, reducing their value to the employee.
A Voluntary Income Protection program will supplement the group benefits, to provide a more optimal level of income replacement.

7. Effect of the “benefit cap”
Group
Benefit
Cap
Group LTD $3,000 (60%) $5,000 (50%) $5,000 (33%) $5,000 (25%)
Note: Use this slide only if the company has highly compensated employees who are inadequately covered by the group LTD plan. Otherwise, hide this slide.
Also, your highly compensated employees would receive less coverage on a proportional basis than rank and file individuals.
Explain the chart:
This shows a typical group LTD policy that pays 60% of salary up to $5,000 per month
The first bar represents rank and file employees and shows that they receive the full 60% of salary.
The last three bars show how the group benefit cap can work against a firm’s most valuable employees.
Highly compensated employees receive less than the full 60% of salary because their benefit is “capped.”
Note: Use this paragraph only if it accurately describes the company’s group LTD plan:
In addition, your group plan does not cover the incentive compensation (bonuses or commissions) of your most valuable employees. This factor also reduces the actual amount of coverage that they have under the plan.

8. Voluntary Income Protection
Benefits for your employees…
Pays a monthly benefit if employees
become too sick or injured to work
Industry-leading income protection
10% discount on the cost of coverage*
Benefits paid are tax free**
Convenient payroll deduction
A Voluntary Income Protection program also offers these benefits for your employees:
Maximize their income protection plan with high quality individual disability insurance.
Because you sponsor the program, they receive a permanent 10% discount on the cost of coverage.
Benefits for individually paid coverage are tax free.
Participants choose the amount of coverage and policy options appropriate for their individual situation.
Coverage can be paid for through convenient payroll deduction.
One additional feature worth noting (depending on your audience) — Individual Disability Income Insurance is portable. This means that if an employee changes employers, he or she can take the coverage with them. In an age when most people expect to change jobs multiple times during a career, this is an attractive feature.
*Available when policies are issued to at least 3 individuals
under the program.
**Since the employee pays for coverage with after-tax dollars.

9. Voluntary Income Protection
Benefits for you…
Enhances your benefits package at no cost
You identify eligible employee groups
and can choose to contribute for
selected employees.
Helps improve recruiting and retention
We provide program materials.
A Voluntary Income Protection program provides you with these benefits:
Enhances your benefits package at no out-of-pocket cost to your business
You can choose who to include in the covered group or groups. You can also choose to contribute for selected employees .
NOTE: If the employer pays for the coverage, there’d be a need for IRS reporting. If it’s employee-paid, then there’d be no IRS reporting necessary.
Helps attract and retain talent
We provide all program materials. Also, we can use the enrollment process to help educate your employees about their current group LTD program (use this sentence only if a group LTD plan is in place).

10. Easy to Implement Sponsor the program We provide an endorsement letter
Make time available for employees
to learn about the benefit
Interested employees schedule
one-on-one meetings
Coordinate payroll deduction
Setting up a program is simple and easy. You merely agree to sponsor the program. We will provide you with an endorsement letter to communicate the program to your employees.
To maximize participation we ask that you make time available for employees to learn about the benefit (a group meeting for employees to explain the program). We schedule one-on-one meetings with interested employees, normally outside of the work day, to review the options that fit their particular needs.
Lastly, we will need to coordinate setting up payroll deduction.
Before and after the program is set up we will handle any questions your
employees might have about their coverage, and we’ll handle the enrollment of new employees as they become eligible to participate.

11. Voluntary Income Protection Protect Your Employees
Win - Win.
Voluntary Income Protection
Protect Your Employees
and
Your Bottom Line.
To get started, let’s discuss your objectives for a voluntary income protection program…
What would you like to accomplish?
To which employee groups would you like to offer the program?

12. If you have a rep or agency disclosure, please add it to this slide.
Disability insurance products underwritten and issued by the Berkshire Life Insurance Company of America, Pittsfield, MA, a wholly owned stock subsidiary of The Guardian Life Insurance Company of America (Guardian), New York, NY or provided by Guardian. Product provisions and availability may vary by state.
This publication is provided for informational purposes only and should not be considered tax or legal advice. Please contact your tax or legal advisor regarding the tax treatment of the policy and policy benefits. You should consult with your own independent tax and legal advisors regarding your particular set of facts and circumstances. The information provided is not intended or written to be used, and cannot be relied upon, to avoid penalties imposed under the Internal Revenue Code or state and local tax law provisions.
Rep or agency disclosure (if you have one)
Pub5888BL-PPT (5/13)
(Expires 05/15)
If you have a rep or agency disclosure, please add it to this slide.
The Guardian Life Insurance Company of America New York, NY 10004