1. CIA Annual Meeting 1101- Non-Traditional Distribution Mortgage Brokers

2. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future Mortgage Brokers Market Overview 21% in 2003, to 26% in 2004 30% of new home buyers use mortgage brokers Over 7500 Mortgage Brokers

3. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future Why is this a growing market? Service Price Time Choice

4. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future Sales Process - Mortgage Client meeting Obtain mortgage or re-financing details Personal financial information obtained Information entered on the Mortgage Origination System (MOS) Get various lender quotes Client selects lender Commitment package produced

5. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future Insurance Process – Insurance Insurance discussed at any time in the above process Insurance Quote or application is provided in one of the following ways: As a link to insurance providers website, Referral to financial planner, Paper application, or Generated application in MOS Application is than faxed or mailed in

6. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future Product – Life Death Benefit Outstanding balance at time of death Generally maximum of $500,000 Coverage Single, Joint Issue Ages Generally 16-65.

7. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future Product – Life (continued) Termination Discharge of mortgage, attained age 75, end of Amortization Period, etc Premium Per $1,000 of initial mortgage amount Issue age(s) of applicant(s) Joint discount Level Aggregate or Smoker Distinct

8. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future Product – Life (continued) Beneficiary Lender Portable Group Policy Policyholder is broker office, franchise owner, or Super-Broker

9. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future Product DI Benefit equals mortgage payment at time of application or actual mortgage payment Benefit Period Generally 24 months Waiting Period 30 or 60 days

10. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future Product DI (continued) Payable Totally disabled Unable to perform duties of any occupation Maximum Benefit $3000 to $5000 per month Pre-existing Condition 6 or 12 months

11. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future Other Products Critical Illness Line of Credit Loss of Employment

12. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future New Business Process PAC Missing information Underwriting Less than $250,000 3 medical questions Non-medical Over $250,000 similar to Individual Life

13. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future Policyholder Service Change in banking information Change in address Decrease or Increase in coverage

14. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future Claims Issues Non-disclosure Getting information from lender Potential for anti-selection

15. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future Regulatory Issues BC/Sask Advice Consumer Brochure Quebec Distribution guide Alberta Licensing

16. CIA Annual Meeting Session 1101 – Mortgage Brokers LOOKING BACK…focused on the future Keys to Success Technology Product Simple and inexpensive Support