1. TMK1536 092910Agent training only. Not for sales use. Writing Quality Business Updated December 2014 TMK1536 062413Agent training only. Not for sales use.

2. TMK1536 092910Agent training only. Not for sales use. Laptop Sales TMK1536 092910Agent training only. Not for sales use.

3. TMK1536 092910Agent training only. Not for sales use. It’s not how much you write, it’s how much you keep. TMK1536 092910Agent training only. Not for sales use.

4. TMK1536 092910Agent training only. Not for sales use. What resources are available to help me write better business? TMK1536 092910Agent training only. Not for sales use.

5. TMK1536 092910Agent training only. Not for sales use. Laptop On Demand

6. TMK1536 092910Agent training only. Not for sales use. Where can I find this information? This Powerpoint found on Agent Services in the Quality Business section ‘Writing Quality Business Powerpoint’

7. TMK1536 092910Agent training only. Not for sales use. Agents Instruction Guide

8. TMK1536 092910Agent training only. Not for sales use. What’s in the Agent’s Instruction Guide A-250 Applications Medical History Guide Height and Weight Build Chart Underwriting Chart ALX-Only Conditions Auto Decline Conditions Signature rules Citizenship and Guardianship rules

9. TMK1536 092910Agent training only. Not for sales use. Where can I find this information? Worksite guidelines are found in the Worksite Agent Guide on Agent Services:

10. TMK1536 092910Agent training only. Not for sales use. Worksite Agent Guide

11. TMK1536 092910Agent training only. Not for sales use. Deadlines TMK1536 092910Agent training only. Not for sales use.

12. TMK1536 092910Agent training only. Not for sales use. Application Review Deadlines Eapps must be in portal by midnight Sunday to be reviewed on Monday Eapps signed by customer on Monday must be in the portal by noon Central to be reviewed on Monday Paper apps/CODs/Term Conversions, etc., must be turned in to QM by 9 a.m. Central to be reviewed on Monday

13. TMK1536 092910Agent training only. Not for sales use. Uploading Applications Applications should be uploaded from an Agent’s laptop daily After seven days, applications will automatically upload from the Agent’s laptop to the portal when the agent syncs their computer Communicate with QM if: Applicant request draft on certain day of week Don’t have three employees that have purchased on a new worksite case

14. TMK1536 092910Agent training only. Not for sales use. DCN TMK1536 092910Agent training only. Not for sales use.

15. TMK1536 092910Agent training only. Not for sales use. What is DCN? Did we get the business to the Customer?

16. TMK1536 092910Agent training only. Not for sales use. What is DCN? D eclines (<1%): Primarily worksite. Poor training, systems, and oversight. C ancellations (2%): Primarily individual. Poor training, systems and oversight. N ot-Takens (7%): Primarily worksite. Poor training, systems and oversight. Company DCN 10% as of November 2014

17. TMK1536 092910Agent training only. Not for sales use. Top Reasons For Declines D eclines (<1%) Not employed long enough: 6 months by end of enrollment period Medical History Only 1 policy per family or individual

18. TMK1536 092910Agent training only. Not for sales use. Top Reasons for Cancels C ancellations (2%) Outdated COD Requested by customer on QAC QAC not completed

19. TMK1536 092910Agent training only. Not for sales use. Top Reasons for Not Takens N ot-Taken (7%) Payment not received for entire worksite case Payment not received for new premium on a re-enrollment Employees marked off bill between enrollment and first payment Non Sufficient Funds/Bad Bank Information

20. TMK1536 092910Agent training only. Not for sales use. Agents Direct Pay and Bonus is impacted by DCN their first 7 months TMK1536 092910Agent training only. Not for sales use.

21. TMK1536 092910Agent training only. Not for sales use. Agents receive maximum direct pay and 100% of bonus first two reports. TMK1536 092910Agent training only. Not for sales use.

22. TMK1536 092910Agent training only. Not for sales use. How is DCN calculated? Declined Premium Cancelled Premium Not Taken Premium Submitted Premium

23. TMK1536 092910Agent training only. Not for sales use. Example of 6% DCN $0 Declines $200 Cancels $400 Not Takens $10,000 Submitted Premium

24. TMK1536 092910Agent training only. Not for sales use. So, if I have a $1,000 policy Declined, Cancelled or Not Taken, how much clean business do I have to write to get all my bonus?

25. TMK1536 092910Agent training only. Not for sales use. $10,000 $1,000 DCN $10,000 Submitted Premium

26. TMK1536 092910Agent training only. Not for sales use. Example: Calculating Individual DCN July 25 Aug 24 Sept 24 Oct 24 Nov 24 Nov 25 DCN Calculated 1 23 Submitted Business 1 23 DECLINES, CANCELLATIONS, NOT TAKENS 4 Reports Published $4,000 $100$350 $200 Submitted Business Declined, Cancelled, Not Taken Premium

27. TMK1536 092910Agent training only. Not for sales use. Example: Calculating Payroll Deduction DCN May 25 June 24 July 24 Aug 24 Sept 24 Oct 24 Nov 24 Nov 25 DCN Calculated 1 23 Submitted Business Reports Published $4,000 $0 $400$0 DECLINES, CANCELLATIONS, NOT TAKENS 1 23 4 5 6 $0$600 Submitted Business Declined, Cancelled, Not Taken Premium

28. TMK1536 092910Agent training only. Not for sales use. Persistency TMK1536 092910Agent training only. Not for sales use.

29. TMK1536 092910Agent training only. Not for sales use. What is 4-month Persistency? Got the business to the Customer, do they keep it?

30. TMK1536 092910Agent training only. Not for sales use. Agents Direct Pay and Bonus is impacted by Persistency Months 8 and beyond TMK1536 092910Agent training only. Not for sales use.

31. TMK1536 092910Agent training only. Not for sales use. Definitions Persistency: Premium issued and paid four months or longer, divided by total issued business based on policy effective date

32. TMK1536 092910Agent training only. Not for sales use. Example: Calculating Persistency March 1 April 1 May 1 June 1 July 1 Aug 1 Sept 1 Oct 1 Nov 1 Nov 25 Persistency Calculated 1 23 Submitted Business Reports Published Paid 4 months or greater $5,000 $12,000 Issued Business

33. TMK1536 092910Agent training only. Not for sales use. Example of 93% 4-Month Persistency $9,300 Paid 4 Months $10,000 Issued Premium $10,000 Issued Premium

34. TMK1536 092910Agent training only. Not for sales use. So, if I have a $1,000 policy not pay four premiums, how much clean business do I have to pay four months to get all my bonus?

35. TMK1536 092910Agent training only. Not for sales use. $8,800 $1,000 Lapse $8,800 Issued Premium

36. TMK1536 092910Agent training only. Not for sales use. What is 13-month Persistency? How much of my hard work, effort, and energy is paying me a renewal?

37. TMK1536 092910Agent training only. Not for sales use. Example: Calculating 13-month persistency JULY 13 AUG 13 SEPT 13 OCT 13 NOV 13 DEC 13 JAN 14 FEB 14 MAR 14 APR 14 MAY 14 JUNE 14 JULY 14 AUG 14 SEPT 14 OCT 14 NOV 14 Paid 13 months $7,500 $3300 Issued Business

38. TMK1536 092910Agent training only. Not for sales use. Example of 75% 13-Month Persistency $7,500 Paid 13 Months $10,000 Issued Premium $10,000 Issued Premium

39. TMK1536 092910Agent training only. Not for sales use. Goals DCN 6% or less: Agents on DCN earn maximum direct pay and 110% bonus 4-Month Persistency 93% or better: Agents earn maximum direct pay and 120% bonus 13-Month Persistency 75% or better: Agents maximize their income through renewals

40. TMK1536 092910Agent training only. Not for sales use. New DCN and Persistency Reports are published on the 25 th of each month. TMK1536 092910Agent training only. Not for sales use.

41. TMK1536 092910Agent training only. Not for sales use. How do I check my DCN and Persistency? Agent Services on www.libertynational.com Click on ‘Reports’

42. TMK1536 092910Agent training only. Not for sales use. How do I check my DCN and Persistency? Reports are AL566

43. TMK1536 092910Agent training only. Not for sales use. How does Quality impact pay & retention? 1. Chargebacks Months Premium Paid Chargeback % 0-2 months100% 3 months90% 4 months80% 5 months70% 6 months60% Months Premium Paid Chargeback % 7 months50% 8 months40% 9 months30% 10 months20% 11 months10%

44. TMK1536 092910Agent training only. Not for sales use. How does Quality impact pay & retention? 1. Chargebacks 2. Direct Pay submit advance commissions

45. TMK1536 092910Agent training only. Not for sales use. How does Quality impact pay & retention? 1. Chargebacks 2. Direct Pay submit advance commissions

46. TMK1536 092910Agent training only. Not for sales use. Agency Owner/Director example 6 agents on team 4 agents on DCN, 2 on Persistency Agent 1: DCN 10 (Maximum direct pay) Agent 2: DCN 18 (Direct Pay reduced 10%) Agent 3: DCN 22 (Direct Pay reduced 30%) Agent 4: DCN 31 (No direct pay) Agent 5: Persistency 79 (Direct pay reduced 10%) Agent 6: Persistency 72 (No direct pay) * Assuming positive commission account. Negative commission account, pay reduced more.

47. TMK1536 092910Agent training only. Not for sales use. How does Quality impact pay & retention? 1. Chargebacks 2. Direct Pay submit advance commissions 3. DCN: Bonus multiplier or reduction first 7 months

48. TMK1536 092910Agent training only. Not for sales use. How does Quality impact pay & retention? 1. Chargebacks 2. Direct Pay submit advance commissions 3. DCN: Bonus multiplier or reduction first 7 months

49. TMK1536 092910Agent training only. Not for sales use. How does Quality impact pay & retention? 1. Chargebacks 2. Direct Pay submit advance commissions 3. Persistency Bonus multiplier or reduction month 8+

50. TMK1536 092910Agent training only. Not for sales use. How does Quality impact pay & retention? 1. Chargebacks 2. Direct Pay submit advance commissions 3. Persistency Bonus multiplier or reduction month 8+

51. TMK1536 092910Agent training only. Not for sales use. Oh by the way … Career Track

52. TMK1536 092910Agent training only. Not for sales use. How does Quality impact pay & retention? Last but certainly not least… Renewals

53. TMK1536 092910Agent training only. Not for sales use. So how does that translate to dollars? TMK1536 092910Agent training only. Not for sales use.

54. TMK1536 092910Agent training only. Not for sales use. What does an 6% vs. 16% DCN mean to an Agent in his first seven months with a $1,425 per week average? TMK1536 092910Agent training only. Not for sales use.

55. TMK1536 092910Agent training only. Not for sales use. Take Home Pay 6 DCN Agent takes home $13,394 more TMK1536 092910Agent training only. Not for sales use.

56. TMK1536 092910Agent training only. Not for sales use. So when is a good time to train on Quality? TMK1536 092910Agent training only. Not for sales use.

57. TMK1536 092910Agent training only. Not for sales use. So when is a good time to train on quality? Orientation Ongoing classroom training – New Agents & Agents/Managers DCN above co. avg Use this powerpoint First sale First DCN report

58. TMK1536 092910Agent training only. Not for sales use. Individual Business A-250 Application TMK1536 092910Agent training only. Not for sales use.

59. TMK1536 092910Agent training only. Not for sales use. Top Reasons for Cancels C ancellations (2%) Outdated COD Requested by customer (QAC) QAC not completed Non-Sufficient Funds (NSFs)/Bad Bank Information Additional underwriting call, exam not complete Oral swab not complete Medical records not received

60. TMK1536 092910Agent training only. Not for sales use. What Comes Next?

61. TMK1536 092910Agent training only. Not for sales use. Summary Sheet TMK1536 092910Agent training only. Not for sales use.

62. TMK1536 092910Agent training only. Not for sales use. Summary Sheet

63. TMK1536 092910Agent training only. Not for sales use. What’s turned in to Quality Manager? What comes next form Summary sheet Voided check Oral Swab form or bar code sticker

64. TMK1536 092910Agent training only. Not for sales use. Oral Swab Authorization Form

65. TMK1536 092910Agent training only. Not for sales use. Outdated CODs TMK1536 092910Agent training only. Not for sales use.

66. TMK1536 092910Agent training only. Not for sales use. Why is an app returned COD? Application changed from Whole Life or Term Life to an Modified Life (ALX) based on health or habits Application rated for additional premium based on health or habits Application issued COD because bank draft was returned for NSF

67. TMK1536 092910Agent training only. Not for sales use. How do I prevent? Good field underwriting Ask questions exactly as they appear on the app Pay attention Agent Resources in eapp Agents Instruction Guide Underwriting Guidelines Height/Weight Build Chart Juvenile Height/Weight ALX (Modified Life)

68. TMK1536 092910Agent training only. Not for sales use. Agents Instruction Guide What can I find in the Agents Instruction Guide? Rules for submitting personal business Rules on who can sign the application Trial Applications

69. TMK1536 092910Agent training only. Not for sales use. Underwriting Guidelines: Auto Declines

70. TMK1536 092910Agent training only. Not for sales use. Underwriting Guidelines: Medical History Guide Lists conditions and “general” guidelines

71. TMK1536 092910Agent training only. Not for sales use. ALX (Modified Life) Only

72. TMK1536 092910Agent training only. Not for sales use. ALX Only Yes answer to these questions in the survey should push you toward an ALX presentation…

73. TMK1536 092910Agent training only. Not for sales use. ALX Only

74. TMK1536 092910Agent training only. Not for sales use. ALX Only If applicant has one of these conditions, the ALX video will play for the Final Expense Need

75. TMK1536 092910Agent training only. Not for sales use. “Great news! We have a policy specifically designed for people with your health conditions.” TMK1536 0410Agent training only. Not for sales use.

76. TMK1536 092910Agent training only. Not for sales use. Completing the Application Ask the questions exactly as written Don’t ask leading questions: “You’ve never had diabetes have you?” Yes answers require details, details, details Explanation must include dates, readings, names of prescriptions, dosage, and frequency Example of HBP: Date of diagnosis, last reading, medications, dosage and frequency

77. TMK1536 092910Agent training only. Not for sales use. Completing the Application Any additional note should be added to the Notes

78. TMK1536 092910Agent training only. Not for sales use. Quality During the Presentation: Setting Correct Expectations TMK1536 092910Agent training only. Not for sales use.

79. TMK1536 092910Agent training only. Not for sales use. Build Charts If the proposed insured does not fall within the standard weight limits shown on the chart, the proposed insured will be rated.

80. TMK1536 092910Agent training only. Not for sales use. Juvenile Build Chart

81. TMK1536 092910Agent training only. Not for sales use. Trial Applications On A-250 apps that appear to be medically questionable, submit the application on a trial basis. Apps over $1 million Collect no payment or app fee If issued, will be a COD

82. TMK1536 092910Agent training only. Not for sales use. So why don’t Agents use Trial applications? TMK1536 092910Agent training only. Not for sales use.

83. TMK1536 092910Agent training only. Not for sales use. Trial Applications Agent must place COD Does not count for submit for commissions or bonus until issue Does not count against DCN if not taken by customer

84. TMK1536 092910Agent training only. Not for sales use. Non-Sufficient Funds & Bad Bank Information TMK1536 092910Agent training only. Not for sales use.

85. TMK1536 092910Agent training only. Not for sales use. OMG, They Said Yes! TMK1536 092910Agent training only. Not for sales use.

86. TMK1536 092910Agent training only. Not for sales use. For the love of Pete … get a voided check Get the check No check, get bank statement No statement, look online with customer No online bank, call the bank with customer to verify

87. TMK1536 092910Agent training only. Not for sales use. It’s your money…

88. TMK1536 092910Agent training only. Not for sales use. We Don’t Accept Debit cards Credit cards Savings accounts Prepaid cards such as Metabank, Green Dot (MoneyPak), NetSpend (14 or 16 digit account numbers), Chase Liquid, Amex Bluebird Don’t take plastic

89. TMK1536 092910Agent training only. Not for sales use. Upload Applications Daily When do most people get paid? Doesn’t effect your DCN if not paid on it and doesn’t count toward bonus Opportunity to make bonus if app changed to trail or cancelled

90. TMK1536 092910Agent training only. Not for sales use. View their Driver’s License This makes sure they have one Not an ID card Don’t use the Height or Weight on the Driver’s License

91. TMK1536 092910Agent training only. Not for sales use. Initial Draft Initial Bank Draft happens first business day after upload to home office. That’s why the language in the What Comes Next form say the draft will occur in the “next couple of days” because agents don’t know when the app will leave the portal. And depending on when it is uploaded and what bank it’s being drafted from, it may take an additional day.

92. TMK1536 092910Agent training only. Not for sales use. Draft Dates: Choose one between 1 st – 10th The date selected in the eapp is for the second and subsequent drafts. What day of the month do most people get paid? Only offer a date between the 1 st and the 10 th. The customer never has to worry about getting drafted twice in the same month.

93. TMK1536 092910Agent training only. Not for sales use. What Comes Next?

94. TMK1536 092910Agent training only. Not for sales use. Bank Verification Script

95. TMK1536 092910Agent training only. Not for sales use. Requested by Customer TMK1536 092910Agent training only. Not for sales use.

96. TMK1536 092910Agent training only. Not for sales use. QAC Not Complete TMK1536 092910Agent training only. Not for sales use.

97. TMK1536 092910Agent training only. Not for sales use. What Comes Next?

98. TMK1536 092910Agent training only. Not for sales use. Pending QAC Script

99. TMK1536 092910Agent training only. Not for sales use. Additional Underwriting Call or Exam not complete TMK1536 092910Agent training only. Not for sales use.

100. TMK1536 092910Agent training only. Not for sales use. Underwriting Requirements Chart

101. TMK1536 092910Agent training only. Not for sales use. Underwriting Requirements Chart

102. TMK1536 092910Agent training only. Not for sales use. What Comes Next?

103. TMK1536 092910Agent training only. Not for sales use. Oral Swab Not Complete TMK1536 092910Agent training only. Not for sales use.

104. TMK1536 092910Agent training only. Not for sales use. Oral Swab Authorization Form

105. TMK1536 092910Agent training only. Not for sales use. Underwriting Requirements Chart

106. TMK1536 092910Agent training only. Not for sales use. Oral Swab Form Barcode should have been entered in the e-app No Oral Swab bar code? Do not upload app from portal until received

107. TMK1536 092910Agent training only. Not for sales use. Oral Swab Kits No excuse for not getting an Oral Swab: Review Oral Swab Training Video on www.libertynational.com Agent Services Mail kits immediately. Heat/Cold can destroy sample. Should be sent FedEx/UPS

108. TMK1536 092910Agent training only. Not for sales use. Medical Records Not Received TMK1536 092910Agent training only. Not for sales use.

109. TMK1536 092910Agent training only. Not for sales use. When are medical records ordered? Factors include: Age Face amount of the policy Medical conditions Treatment

110. TMK1536 092910Agent training only. Not for sales use. Solidifying the Sale: Last 3 Minutes in the Home TMK1536 092910Agent training only. Not for sales use.

111. TMK1536 092910Agent training only. Not for sales use. Every Customer Must Clearly Understand The last three minutes of every sale is where quality business is nailed down. Every customer must understand these things to avoid cancellations. They must complete the QAC call They may need to complete an exam Their application can be issued as applied for, rated, modified or declined How much they are paying When it’s coming out of their checking account

112. TMK1536 092910Agent training only. Not for sales use. What Comes Next?

113. TMK1536 092910Agent training only. Not for sales use. Use the Closing Script

114. TMK1536 092910Agent training only. Not for sales use. Surprises Kill All Deals TMK1536 092910Agent training only. Not for sales use.

115. TMK1536 092910Agent training only. Not for sales use. Quality After the Submit TMK1536 092910Agent training only. Not for sales use.

116. TMK1536 092910Agent training only. Not for sales use. Provide Good Customer Service Return Phone Calls Answer questions Do what you said you were going to do

117. TMK1536 092910Agent training only. Not for sales use. Worksite TMK1536 092910Agent training only. Not for sales use.

118. TMK1536 092910Agent training only. Not for sales use. It’s not how much you write, it’s how much you keep. TMK1536 092910Agent training only. Not for sales use.

119. TMK1536 092910Agent training only. Not for sales use. What resources are available to help me write better business? TMK1536 092910Agent training only. Not for sales use.

120. TMK1536 092910Agent training only. Not for sales use. Where can I find this information? This Powerpoint found on Agent Services in the Quality Business section ‘Writing Quality Business Powerpoint’

121. TMK1536 092910Agent training only. Not for sales use. Worksite On Demand

122. TMK1536 092910Agent training only. Not for sales use. Better Prospecting TMK1536 092910Agent training only. Not for sales use.

123. TMK1536 092910Agent training only. Not for sales use. Worksite Agent Guide

124. TMK1536 092910Agent training only. Not for sales use. Ineligible Industries

125. TMK1536 092910Agent training only. Not for sales use. Why would an industry be ineligible? Poor quality business: High turnover Inability to pay bill These guidelines are in place to protect Agents and Managers!

126. TMK1536 092910Agent training only. Not for sales use. Why can’t employers pay premiums? Our products are exempted from complying with certain requirements mandated by the Employee Retirement Income Security Act (ERISA) safe harbor. However, in order to maintain that exemption, we must comply with the safe harbor rules, one of which is that the employer cannot purchase or pay for the coverage.

127. TMK1536 092910Agent training only. Not for sales use. Approval Required Industries

128. TMK1536 092910Agent training only. Not for sales use. Eligible Employees

129. TMK1536 092910Agent training only. Not for sales use. Employers with less than 10 employees Just because you can, doesn’t mean you should. Key questions to ask: Does the business have a bookkeeper/accountant? If not, who writes the checks? Is the business doing any other deductions or will ours be the first? Is it all family members?

130. TMK1536 092910Agent training only. Not for sales use. Employers with less than 10 employees Just because you can, doesn’t mean you should.

131. TMK1536 092910Agent training only. Not for sales use. Worksite Approval Paperwork TMK1536 092910Agent training only. Not for sales use.

132. TMK1536 092910Agent training only. Not for sales use. Use the Electronic Packet Value of Electronic Packets No omissions Completes duplicate info Sets correct enrollment, deduction, and effective dates Gives reminder to get roster

133. TMK1536 092910Agent training only. Not for sales use. Reviewing the Packet

134. TMK1536 092910Agent training only. Not for sales use. Reviewing the Packet Number of eligible employees. Must be at least three. The smaller the case, the more diligent QM has to be getting first bill paid. The more contact info, the better. Owner is not always best person to verify roster.

135. TMK1536 092910Agent training only. Not for sales use. Reviewing the Packet 4. Any mode selected other than Monthly requires a conversation with the Agent/Manager 8. Make sure dates are correct on paper packets

136. TMK1536 092910Agent training only. Not for sales use. Understanding Billing Payment Frequency TMK1536 092910Agent training only. Not for sales use.

137. TMK1536 092910Agent training only. Not for sales use. Payment Modes The selections made on the Worksite Approval Paperwork are critical They determine the rates the employees will be quotes, based on their deduction type And they determine how much premium and how often the company will be billed

138. TMK1536 092910Agent training only. Not for sales use. Payment Modes Payment Mode Number Bills Per Year Weekly52 Bi-Weekly26 Semi-Monthly24 Every 4 Weeks13 Monthly12

139. TMK1536 092910Agent training only. Not for sales use. Payment Modes We always want the employer to pay their bill monthly. Why? Most other bills (rent, electric) are paid monthly Fewest number of times they have to pay Any other payment mode, they will not receive a late bill Reporting easier to inspect

140. TMK1536 092910Agent training only. Not for sales use. Monthly Bill Bookkeeper should pay the amount on the bill Every 13 weeks the deductions and billing will balance out to $0

141. TMK1536 092910Agent training only. Not for sales use. Monthly Bill Bookkeeper should pay the amount on the bill The amount deducted may not match the bill Every 13 weeks the deductions and billing will balance out to $0

142. TMK1536 092910Agent training only. Not for sales use. March Four Fridays April Four Fridays May Five Fridays Deducted $120 Monthly Bill = $130 Weekly Deduct = $30 Premiums Deducted From Employees Paycheck Wk 1 $30 Wk 2 $30 Wk 3 $30 Wk 4 $30 Deducted $120 Premiums Deducted From Employees Paycheck Wk 1 $30 Wk 2 $30 Wk 3 $30 Wk 4 $30 Deducted $150 Premiums Deducted From Employees Paycheck Wk 1 $30 Wk 2 $30 Wk 3 $30 Wk 5 $30 Wk 4 $30 Billed $130 Total Deducted $390 Total Billed $390

143. TMK1536 092910Agent training only. Not for sales use. 4-Week Bill Some government entities/non-profits will request a 4-week bill 4-week bills are easy because you pay what you deduct Bookkeepers mistakenly believe that because she has paid all 12 months, she has paid all her bills 4-Week Billings will receive 13 bills per year, not 12 There are 52 weeks in a year, not 48 If bookkeeper pay 12 times a year on a 4-week bill, they will be one month behind after one year and two months behind after two years, then lapse

144. TMK1536 092910Agent training only. Not for sales use. Bi-weekly vs. Semi-monthly There are 52 weeks in a year Bi-weekly pay mode means 26 payments. They should be set up on Monthly bill to reduce number of payments Semi-monthly pay mode means 24 payments. They should be set up on Monthly bill to reduce number of payments Some companies pay their employees bi-weekly (26 times a year) but on two paychecks a year, they don’t take any deductions, meaning they should be on a semi-monthly bill (24 times a year)

145. TMK1536 092910Agent training only. Not for sales use. Better Enrollments TMK1536 092910Agent training only. Not for sales use.

146. TMK1536 092910Agent training only. Not for sales use. Employee Not Eligible TMK1536 092910Agent training only. Not for sales use.

147. TMK1536 092910Agent training only. Not for sales use. Worksite Reasons for Declines D eclines Ineligible employee

148. TMK1536 092910Agent training only. Not for sales use. Every Agent Must Have… Roster And know how to read it!

149. TMK1536 092910Agent training only. Not for sales use. How to Read the Roster….

150. TMK1536 092910Agent training only. Not for sales use. So what do we do … When an employee approaches us? When they are on the roster but not eligible? When they are not on the roster at all? The employee’s word carries no weight. It only matters what’s on the roster. Note: Employees are eligible if they hit their 6-month or 1-year mark during the enrollment period.

151. TMK1536 092910Agent training only. Not for sales use. Common causes for declines Employee may have had a break in employment Employee have been part-time Employee may be contract, 1099, leased If you they eapp give you an error, the employee is not eligible…

152. TMK1536 092910Agent training only. Not for sales use. So what do we do …

153. TMK1536 092910Agent training only. Not for sales use. Worksite Reasons for Declines D eclines Only 1 policy per family or individual Amount exceeds limits Ineligible dependent Dependent not eligible without employee coverage

154. TMK1536 092910Agent training only. Not for sales use. What Policies Can I Only Have One? Accident Protector Max Cancer Care/Plus Cancer Endurance

155. TMK1536 092910Agent training only. Not for sales use. What Policies Can I More Than One? Group Term Career Life Plus Cash Cancer Critical Illness

156. TMK1536 092910Agent training only. Not for sales use. Where do I find this info? Click on Products Select your state

157. TMK1536 092910Agent training only. Not for sales use. Where do I find this info? On the Product Page Click Marketplace Bulletin

158. TMK1536 092910Agent training only. Not for sales use. Marketplace Bulletin Face AMT: Face amount of the policy. Group Term.

159. TMK1536 092910Agent training only. Not for sales use. Marketplace Bulletin: Career Life Plus

160. TMK1536 092910Agent training only. Not for sales use. Marketplace Bulletin: Cash Cancer

161. TMK1536 092910Agent training only. Not for sales use. Marketplace Bulletin: Critical Illness

162. TMK1536 092910Agent training only. Not for sales use. Marketplace Bulletin ADB: Amount of Accidental Death Benefit. Example 1

163. TMK1536 092910Agent training only. Not for sales use. ADB Examples ADB: Cannot exceed $300,000 Example 1

164. TMK1536 092910Agent training only. Not for sales use. ADB Examples ADB: Cannot exceed $300,000

165. TMK1536 092910Agent training only. Not for sales use. Marketplace Bulletin State Specific Exceptions: Group Term

166. TMK1536 092910Agent training only. Not for sales use. Group Term No. 9 Only question on Group Term that can be answered ‘yes’ and be issued standard Can only be ‘yes’ for high blood pressure HBP must be controlled (140/90)

167. TMK1536 092910Agent training only. Not for sales use. Group Term No. 9 Questions to ask: What did you answer yes to? If HBP, what was your last reading? What medications do you take? Dosage? Frequency? Do you have any other health issues I haven’t asked you about?

168. TMK1536 092910Agent training only. Not for sales use. Group Term to Career Life Plus If they don’t qualify for Group Term, sell them Career Life Plus Career Life Plus is guaranteed issue for the EMPLOYEE with a minimum face amount of $1,000 Health Questions are different on Career Life Plus

169. TMK1536 092910Agent training only. Not for sales use. Collecting phone numbers on the eapp… Only reason we would call a Worksite customer is if they have left their job. So why would we only collect an office number?

170. TMK1536 092910Agent training only. Not for sales use. Re-Enrollments TMK1536 092910Agent training only. Not for sales use.

171. TMK1536 092910Agent training only. Not for sales use. Every Agent Must Have… Roster Worksite Management Information Report (AL915) for re-enrollments And know how to read them!

172. TMK1536 092910Agent training only. Not for sales use. Worksite Management Information Report Re-enrollments: Is the business paid current? If not, don’t re-enroll until business has paid current.

173. TMK1536 092910Agent training only. Not for sales use. Worksite Management Information Report

174. TMK1536 092910Agent training only. Not for sales use. Worksite Management Information Report PLN Column: This is the Plan Code for the policy. Found in Policy Identity and Prefix Book found in the Quality Section of Agent Services Common Codes E09: Group Term 100 E13: Group Term PU65 1U Series: Career Life Plus HAM: Accident Protector Max 5K Series: Cancer Care LS: Cash Cancer

175. TMK1536 092910Agent training only. Not for sales use. Solidifying the Sale: Last 3 Minutes TMK1536 092910Agent training only. Not for sales use.

176. TMK1536 092910Agent training only. Not for sales use. Every Employee Must Clearly Understand The last three minutes of every sale is where quality business is nailed down. Every employee must understand three things to avoid Not Takens. What did I buy? How much does it cost? How often does it come out of my check?

177. TMK1536 092910Agent training only. Not for sales use. Needs Planner

178. TMK1536 092910Agent training only. Not for sales use. Needs Planner Give it to the customer to take home Only circle what they purchased Only write how much is coming out of each paycheck

179. TMK1536 092910Agent training only. Not for sales use. Needs Planner

180. TMK1536 092910Agent training only. Not for sales use. Surprises Kill All Deals TMK1536 092910Agent training only. Not for sales use.

181. TMK1536 092910Agent training only. Not for sales use. Relationship With The Bookkeeper TMK1536 092910Agent training only. Not for sales use.

182. TMK1536 092910Agent training only. Not for sales use. Enrollment Period July Deduction Period August Effective Period September Late October 22 Bills Mailed or E-mailed 10-11 Enrollment Conducted 30 Verify PD Authorizations Delivered 1 $40 1 Bill Due 2-3 Verify Deductions Started 2 10 Verify Bill Received 3 16 Late E-Mail From HO 1 Luke Involved 19 Commission Chargeback 30 Not Taken Status ------------ Letters Mailed The Three Periods of Worksite $10 5 Premiums Deducted From Employee Paycheck $10 12 $10 19 $10 26

183. TMK1536 092910Agent training only. Not for sales use. The No. 1 Reason Worksite cases blow up is because authorizations are not delivered on time and deductions never start or start late

184. TMK1536 092910Agent training only. Not for sales use. Relationship With The Bookkeeper

185. TMK1536 092910Agent training only. Not for sales use. Setting it up right … When securing the paperwork, use the points to remember to get owner buy-in on seeing all employees

186. TMK1536 092910Agent training only. Not for sales use. Using the Points to Remember

187. TMK1536 092910Agent training only. Not for sales use. IRS Qualified Family Status Changes Marriage Divorce Death of a Spouse or Child Birth or Adoption of a Child Change of spouse’s employment Termination

188. TMK1536 092910Agent training only. Not for sales use. PD Authorization

189. TMK1536 092910Agent training only. Not for sales use. PD Authorization

190. TMK1536 092910Agent training only. Not for sales use. Worksite Case Checklist Follow-up, who is responsible, date completed

191. TMK1536 092910Agent training only. Not for sales use. Email From Home Office Sent on 16 th of month

192. TMK1536 092910Agent training only. Not for sales use. Red Alert PD01001: Franchise Initial Premium Unpaid (Daily)

193. TMK1536 092910Agent training only. Not for sales use. The Worksite Timeline 49 days late Policies lapse, agents and managers charged back commission, polices show as lapsed in transaction register 60 days late Letter generated from the Home Office to all policyholders and Employer

194. TMK1536 092910Agent training only. Not for sales use. Letter Customers Receive

195. TMK1536 092910Agent training only. Not for sales use. Letter Employer Receives

196. TMK1536 092910Agent training only. Not for sales use. The Worksite Timeline After 60 Days Case must go through reinstatement process requiring all back premiums and letter from business stating premiums have been continuously deducted, no claims have been filed, and the employer understands Liberty will not reinstate their policies if this happens again.

197. TMK1536 092910Agent training only. Not for sales use. What happens every week? Last week of October Were authorizations for October enrollments and re-enrollment turned in to bookkeeper? First week of November Did deductions start for October enrollments? Second week of November Did September enrollments receive first bill? Third week of November Are all cases paid for November?

198. TMK1536 092910Agent training only. Not for sales use. Questions to ask your SAs and Agents Worksite Were any hire dates different than the roster? Were there any ‘Yes’ answers on Group Term No. 9? What was the most premium sold in one house? Did everyone take home a Needs Planner? When are you scheduled to meet the bookkeeper? Individual Where did you get this lead? How many referrals did you get? What was their income? Did the customer pick Option 1 or Option 2? What health questions did they answer ‘yes’ to? Did you get a check? What did they say when you read the WCN Form?

199. TMK1536 092910Agent training only. Not for sales use. Agency Owner: Red Alert AL040001: Worksite List By Franchise (Saturdays)

200. TMK1536 092910Agent training only. Not for sales use. Agency Director/Agent: Red Alert AL915: Worksite Management Information Report

201. TMK1536 092910Agent training only. Not for sales use. Impact of Not-Takens This is what it looks like on a production report when a worksite case is not taken

202. TMK1536 092910Agent training only. Not for sales use. DCN Detail Report Example TMK1536 092910Agent training only. Not for sales use.

203. TMK1536 092910Agent training only. Not for sales use. It’s not how much you write, it’s how much you keep. TMK1536 092910Agent training only. Not for sales use.

204. TMK1536 092910Agent training only. Not for sales use. Avoiding Adverse Business TMK1536 092910Agent training only. Not for sales use.

205. TMK1536 092910Agent training only. Not for sales use. Top Adverse Issues Not sending an email to personalbusiness@libnat.com before submitting personal business Repeated bad banking information and/or NSFs Same address or bank account as the Agent or another Agent Wrong height/weight or birthday QAC cannot reach applicant as phone number Writing ineligible employees that are not on roster

206. TMK1536 092910Agent training only. Not for sales use. Personal Business In the E-app, the question reads “Are you a member of the Agent’s immediate family?” So who is immediate family? Agent, Spouse, Mother, Father, Brother, Sister, Children, and Grandchildren Agents may submit an app on immediate family members provided an e-mail is sent in advance to personalbusiness@libnat.com Commissions are paid into the commission account. No submit advance or bonus will be paid on personal business. Personal business rules do not apply to worksite sales.