1. 1 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Growing Life Insurance Sales for the Annuity Producer Discover easy tips to boost your results

2. 2 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Disclosures These disclosures apply to this presentation in its entirety Custom GrowthCV is issued on policy form series LS166; Custom Guarantee is issued on policy form series LS163A; Custom Guarantee Rider is issued on form series LR435A; Chronic Illness Accelerated Benefit Rider (In Minnesota, Accelerated Benefit Rider for Continuous Confinement) is issued on form series LR450A, or state variation by North American Company for Life and Health Insurance, Executive Office, Chicago, IL 60607. Products, features or riders, endorsements or issues ages may not be available in all jurisdictions. Limitations or restrictions may apply. If the policyowner terminates the No Lapse Guarantee period, significantly higher premiums may be necessary to keep the policy in force. Paying a premium that is equal to, but not greater than, the No Lapse Guarantee Premium will keep the policy in force during the No Lapse Guarantee Period but may result in a negative or zero policy fund. By paying only the premium required to satisfy the no-lapse guarantee, the policyowner may be forgoing the advantage of building significant cash value. Chronically ill is defined as permanently unable to perform at least six Activities of Daily Living (bathing, continence, dressing, eating, toileting and transferring) without substantial assistance from another person. Severe cognitive impairment means the insured requires substantial supervision by another person to protect him or herself from threats to health and safety due to severe cognitive impairment. (In MN, chronically ill is defined as an insured having a condition that requires Continuous Confinement in an Eligible Institution and expected to remain there for the rest of the insured’s life). North American nor its agent give legal or tax advice. Please advise your clients to consult with and rely on a qualified legal or tax advisor before entering into or paying additional premiums with respect to such arrangements. In some situations loans and withdrawals may be subject to federal taxes. North American does not give tax or legal advice. Clients should be instructed to consult with and rely on their own tax advisor or attorney for advice on their specific situation. Snapshots from illustrations are for example purposes only and do not represent the full Illustrations. The information presented is hypothetical and is not intended to project or predict future investment results. Please refer to the Custom GrowthCV marketing guide (PR-1130 R1), Custom Guarantee marketing guide (PR-651 R4), and the Chronic Illness Accelerated Benefit guide (PR-1080) for complete product details. Standard and Poor's awarded its "A+“ (Strong) rating for insurer financial strength on February 26, 2009 to North American Company for Life and Health Insurance as part of the Sammons Financial Group. The "A+“ (Strong) rating, which is the fifth highest out of 22 available ratings, reflects the financial strength of North American Company, member of the Sammons Financial Group. A+ (Superior), the second highest rating out of 15 categories, was assigned by A.M. Best to North American Company for Life and Health Insurance as part of the Sammons Financial Group on January 4, 2008. A.M. Best is a large third party independent reporting and rating company that rates an insurance company on the basis of the company's financial strength, operating performance and ability to meet its ongoing obligations to policyholders. For the latest rating, access www.ambest.com.

3. 3 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Discover the value of growing life sales Maximizing overall sales Growing new sales rather than shifting sales Further cement the agent/client relationship Possibility of more compensation for a sale –Hypothetical: $50,000 single premium on age 60 male Annuity = $1,250 to $3,750 Guaranteed UL = $4,370

4. 4 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 If you don’t sell life insurance to your clients, somebody else will!

5. 5 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Two ways to grow life sales 1.Annuity sales that could be life insurance sales 2.Life sales you may be missing

6. 6 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Annuity sales that could be life Annuity maximization Wealth transfer

7. 7 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Annuity Maximization Use when: Assets not needed for current needs Goal is to maximize benefit for children/grandchildren Relief from income taxes and/or estate taxes is desired Leverage assets currently in an annuity policy into a greater benefit for heirs at death using life insurance.

8. 8 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Case Study Mr. Big Estate $250,000 annuity ($125,000 basis) Significant estate size High tax bracket No need of funds Goal: Maximize estate size for heirs

9. 9 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Case Study Mr. Big Estate Policy owned by ILIT Funding options (net after 30% combined fed & state tax) –Lifetime SPIA: $16,111/yr –10-pay SPIA: $24,931/yr –Lump sum: $212,500 Guaranteed death benefit purchased: –Lifetime SPIA = $654,151 –10-pay SPIA = $572,743 –Lump Sum = $637,473 Age 65 Male, Standard rate class, Guaranteed DB to age 100

10. 10 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Assumes income tax rate of 30% and estate tax rate of 45%. Annuity rate 5% The information presented is hypothetical and not intended to project investment results. Illustration is not complete unless all pages are included.

11. 11 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 North American Provides: Two competitive solutions for Annuity Maximization

12. 12 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 North American: More sales opportunities Custom Guarantee ® –For the death benefit objective Annuity Maximizer –High death benefit coverage guaranteed up to age 120 * Custom GrowthCV sm –For the cash value objective Annuity Maximizer –Waiver of Surrender Charge Option for quicker access to cash value and table shaving * Subject to premium payment requirements.

13. 13 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Wealth Transfer Single-premium asset transfer into a life insurance policy Immediately larger death benefit for heirs/charity

14. 14 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Wealth Transfer – case study 65 female, Standard Non-Tobacco $50,000 asset transfer

15. 15 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 The information presented is hypothetical and not intended to project investment results. Illustration is not complete unless all pages are included.

16. 16 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Life expectancy age 85.8 The information presented is hypothetical and not intended to project investment results. Illustration is not complete unless all pages are included.

17. 17 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 The information presented is hypothetical and not intended to project investment results. Illustration is not complete unless all pages are included. Female, age 65, Standard Non-Tobacco Insmark presentation program (version 14)

18. 18 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Two ways to grow life sales 1.Annuity sales that could be life insurance sales 2.Life sales you may be missing What are the easy life sales YOU are missing?

19. 19 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Easy life sales you could be missing Final Expense Policy Review Using RMDs

20. 20 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Final Expense Low cost permanent coverage Custom Guarantee –Low cost guaranteed UL coverage –Dial-a-guarantee up to age 120 * Custom TermGUL –Low cost non-guaranteed coverage * Subject to premium payment requirements.

21. 21 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Life Insurance Policy Review Look to improve client’s situation through: –Lower cost for same coverage –More coverage for same premium –Improved death benefit guarantees –Enhanced policy performance Tips: Identify policy goal Discover new sales opportunities Beat their expectations (WOW)

22. 22 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Sample Case Client Male age 43 Low cost UL from year 2000 $250,000 death benefit $1,356 annual premium Was projected to age 100, now just age 68 Now projection needs $4,152/yr to run to 100 $4,287 cash value ($1,390 surrender value) Super preferred rate class. Examples use an illustrated interest rate of 4.25%.

23. 23 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Sample Case Current Custom Guarantee Lower Cost $1,356/yr (projects to run to age 68) $4,152/yr to run to 100! $1,492/yr Guaranteed DB to age 100 Longer Guaranteed DB The information presented is hypothetical and not intended to project investment results. Illustration is not complete unless all pages are included. Examples use an illustrated interest rate of 4.25%.

24. 24 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Sample Case Current Custom Guarantee Lower Cost $1,356/yr (projects to run to age 68) $4,152/yr to run to 100! $1,492/yr Guaranteed DB to age 100 Longer Guaranteed DB Age 47 Age 95 (at $1,356/yr) The information presented is hypothetical and not intended to project investment results. Illustration is not complete unless all pages are included. Examples use an illustrated interest rate of 4.25%.

25. 25 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Quick – Easy – Results Policy Review will help you: Get more sales without more clients Get life sales from those who aren’t life clients Uncover additional client needs Get more referrals EARN COMPETITIVE COMMISSIONS!

26. 26 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Using required minimum distributions (RMDs) The truth for many clients: Hasn’t taken distributions and doesn’t want or need to. Would rather leave money for children or grandchildren’s benefit.

27. 27 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 RMD Sales Opportunity Bill: Age 70 (turning 70½ this year) $200,000 in qualified funds (entirely taxable) Currently in 25% tax bracket Has to take RMD of $7,300 this year RMD rounded up to nearest dollar. Uniform Lifetime table from Tax Facts 2005, Appendix F

28. 28 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Another Option? Use a SPIA to buy the life insurance Guaranteed payout for life Potentially larger payouts

29. 29 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 5 Options, 1 best solution! YearLump Sum Lump sum and Life Insurance RMDsRMDs and Life Insurance SPIA and Life Insurance NOW$140,000$328,500$150,000$309,450$403,000 Year 10$202,300$328,500$239,950$334,400$403,000 Year 20$292,300$328,500$369,500$370,100$403,000 Insurance and annuity values hypothetical and not to be used to predict actual results.

30. 30 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Discover the value of life sales Maximizing overall sales More compensation for a sale Growing new sales rather than shifting sales Further cement the agent/client relationship –Referrals –Additional Sales Opportunities

31. 31 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Time for action 1.Identify a concept you’d like to use 2.Gather client names to visit 3.Put it into practice 4.Use the resources at your disposal 5.Opportunity earn competitive compensation!

32. 32 FOR AGENT USE ONLY. NOT TO BE USED FOR CONSUMER SOLICITATION PURPOSES. PR-1293 4/09 Webinar Phone: 877-922-4779 Pass code: 53973 Sales Support 800-800-3656 ext. 10411 salessupport@nacolah.com