1. LIFE INSURANCE TERM INSURANCE You only buy for a limited number of years (ex: 10 yrs.) Cheaper. Cannot cash it out. WHOLE-LIFE INSURANCE You purchase it for the rest of your life. More expensive. You can cash it out (and get some money back).

2. What the family receives… *If the person passes away during a contract, the “beneficiaries” get the whole contract amount. (Ex: $300 000 or even $1 000 000.) But, if the person passes away after a term contract is over, the family gets nothing. The amount the family gets is: -“All or nothing!” -It does not matter how many payments you made or how old you are or if you are male or female, etc. -It is a flat rate. -It is not a calculation! -It is not related to how much you paid each year.

3. Steps: These steps are the same for both charts: Find chart number X $000’s +75 Ex: $200 000 policy: COST PER YEAR=$200 X chart + 75 = ? Payment Plans (Note: Monthly = x 0.09) (NOT ÷ 12) (Note: Semi-annual = x 0.52) (Note: Do this extra step using your full year amount after the $75.) ***Note: Payments plans are more affordable but cost more overall!

4. ‘Cash Surrender’ aka ‘Cash Out’ (Note: This offer only applies to WHOLE LIFE.) How to use the chart: ‘Policy Year’ (middle column) = # of yrs you had the contract = your age when you want to cash out MINUS the age when you started the contract. ‘Issue Age’ (top heading) = your age when you started contract. Cash back amount = chart x $000’s(same steps as usual!)

5. ‘Cash Surrender’ aka ‘Cash Out’ You may get more or less than you paid into the contract so far. The longer you have had the contract the more you will get! Note: There is no $75 fee or monthly calculations at the bottom of this chart!

6. Answers: #6.a) $222.20 b) $2265 c) $2919 d) $873 #7.a) $507 b) $1521 c) $300000 d) 0! Contract is over. #8.a) $287.80 b) $25.90 c) $23 #9.a) $588 b) $1065 c) $477 #10.a) $591 b) $2035 c) $1444 #11.a) $1465.80 b) $762.22 twice a yr ($1524.44 total) c)$43320 #12.a) $1497 b) $15600 c) $54400 d) $38800 e) $14970