1. Manulife Bank Creditor Insurance Name, DESIGNATION Job title, Company Name

2. Agenda  Why mortgage protection  Creditor vs. personal insurance  Manulife One creditor insurance  Application process  Administration  Questions

3. Why mortgage protection? If your clients didn’t have an income, would they still have a home?  Manulife One is a cornerstone of financial planning  Many customers are underinsured = unprotected  Discussing creditor insurance gets clients and advisors thinking about their needs  Simple, easy opportunity to put protection in place – to keep the account working even when your client can’t

4. Creditor vs. Personal insurance Some advisors may believe that “personal” insurance is always better – but this isn’t always true. Advantages of Personal insurance:  Client can select their beneficiary  Individual underwriting makes the premium more applicable to the individual and potentially more affordable  Coverage is portable  Coverage may be a level or decreasing amount

5. Creditor vs. Personal insurance Advantages of Creditor insurance:  Provides coverage where it was intended to be  Easier application process -- typically three medical questions  May not require any detailed underwriting 1  Blended rates, may be cheaper than personal insurance for some clients  Can be applied for as part of the mortgage process  May include benefits not available elsewhere, such as job loss coverage  Can provide an inexpensive start to a full insurance program – some insurance is better than no insurance 1 If the borrowing limit is >$250,000, detailed underwriting will be required.

6. Unique features that only Manulife One creditor insurance offers  Covers all the debt in the account, up to the prescribed borrowing limit  Clients only pay for the coverage they need  Coverage does not terminate when the Manulife One account is in a positive balance  Option of adding job loss and disability coverage  30 days to cancel insurance and receive a refund

7. What does Manulife One Creditor Insurance cover?  Reduces/pays off debts in the Manulife One account if insured dies  Pays the interest costs in the Manulife One account if insured becomes disabled or unemployed through no fault of their own Available to all new and existing Manulife One account holders

8. Life Insurance  Eligibility – account holders between 18 and 64, if approved continues to age 70  Single or Joint coverage  Benefits – lesser of:  average 12-month balance, and  outstanding balance at death  Minimum benefit at issue is $50,000 and the maximum benefit is $500,000 Note: This product is also available for Manulife Bank Select, but is not available for Preferred Rate Mortgages

9. Disability and job loss rider  Eligibility – account holders between 18 and 64, if approved continues to age 65  Single or Joint coverage  Benefits – covers monthly interest up to $3,500/month  24 months for Disability  6 months for job Loss  Elimination Period Note: Disability and job loss rider must be applied for at the same time as the life product.

10. Life Insurance Premiums Monthly Rates per $1,000 Outstanding Balance Attained AgeBlended Rate 18-25$0.08 26-30$0.09 31-35$0.11 36-40$0.18 41-45$0.27 46-50$0.39 51-55$0.49 56-60$0.70 61-65$1.04 66-69$1.60  Monthly premiums are based on:  Clients attained age  Clients rate will automatically adjust with age bands  Outstanding balance at month end  Joint premiums are 1.4 times the posted rate

11. Job loss and disability rider premiums Monthly Rates per $1,000 Outstanding Balance Attained AgeBlended Rate 18-25$0.14 26-30$0.14 31-35$0.15 36-40$0.17 41-45$0.19 46-50$0.22 51-55$0.28 56-60$0.38 61-65$0.62  Monthly premiums are based on:  Clients attained age  Clients rate will automatically adjust with age bands  Outstanding balance at month end  Joint premiums are 1.9 times the posted rate

12. Competitive comparison Based on $100,000 of Joint Life Coverage AgeRBCScotiaTDBMONational Bank Manulife Bank 33 $22.00$20.80$21.00$22.00$23.87$15.40 43 $49.00$46.40$45.00$48.00$53.24$37.80 53 $88.00 $81.00$90.00$100.98$68.60 Rates current as of November 2014

13. Competitive comparisons Based on $100,000 of Joint Life Coverage AgeNon-SmokerBlendedSmoker T-10T-20Manulife Bank T-10T-20 25 152.76189.24 $134.40 214.68270.60 35 174.60229.80 $184.80 263.76430.32 45 279.60425.64 $453.60 589.081,024.32 55 585.841,129.56 $823.20 1,439.642,372.04 Rates current as of November 2014

14. Important Notes to Advisors  Banking Consultant is required to advise the client that Manulife Bank offers creditor insurance  Banking Consultant does all the work and you get compensated  Gets clients thinking about all their insurance needs  Insurance can be cancelled at anytime

15. Application process  Completed by the Banking Consultant  Waiver of insurance  3 Medical Questions  Additional underwriting is required if:  Client answers ‘yes’ to any question  Borrowing limit is >$250,000

16. Application Process  Submitting an application  Fax completed application to Affinity Markets, then mail original  Underwriting occurs after the application is submitted – clients cannot be pre-approved  Applications should only be submitted to Affinity Markets once the client has been approved for a Manulife One account

17. Application Process  Once the application has been received:  If no additional underwriting is required you will be notified of the status of the application by email  If additional underwriting is required you will receive status updates via email — Upon initial underwriting — When requirements arrive (e.g. laboratory analysis) — If client is contacted for additional requirements (e.g. Doctor’s report has been requested) — When a final decision has been made on the file

18. Common Questions  When does the clients coverage start?  Coverage begins the first day of the month following approval and the first premium being paid  What happens to the clients policy if they apply for an increase or switch on their Manulife One account?  If credit limit remains < $250,000 no action is required by the client  If the credit limit is > $250,000 the client will need to re-apply for coverage as the policy will require full underwriting  If the client fails to re-apply they will only have coverage up to $250,000  Can clients apply for a specific amount of coverage?  No, coverage is based on the clients borrowing limit.

19. Compensation Life InsuranceJob loss & disability Advisor5% of monthly premium  Paid on active cases  Compensation is paid approximately 2 months after the policy becomes active Note: Compensation is subject to change without notice.

20. Administration  It’s important to remember that this coverage is provided by  Manulife Financial (life and disability)  First North American Insurance Company (job loss)  and NOT Manulife Bank  Bank client information cannot be shared with the insurance company – except as required on the app (e.g. account #)  Clients are covered under a Group Policy that Manulife Bank has with The Manufacturers Life Insurance Company (Manulife Financial) and they are issued certificates that specify the terms, conditions and details of their coverage  All Manulife One clients/applicants must be given the Creditor Insurance brochure and must acknowledge receipt in the Manulife One Operating Agreement if they decline the coverage

21. Questions If you have questions regarding the Manulife One Creditor Insurance product please contact Affinity Markets phone: 1-866-388-7095 email: am_service@manulife.com

22. Manulife One Creditor Insurance is administered and underwritten by The Manufacturers Life Insurance Company (life and disability insurance) and First North American Insurance Company (job loss). Manulife One is offered through Manulife Bank of Canada. Manulife One, Manulife, Manulife Bank, and the Manulife Bank For Your Future logo and the block design are trademarks of The Manufacturers Life Insurance Company, and are used by it, and by its affiliates, including Manulife Bank under license. Important Notes

23. Thank you