1. L02-0279-LL For Agent or Broker Use Only. Not To Be Used With The General Public. L02-0279-LL Not a deposit, no FDIC-insured, not insured by any federal government agency, not guaranteed by any bank or savings association, and may go down in value.

2. L02-0279-LL What is ? The MoneyGuard universal life insurance policies have a rider that accelerates the death benefit to pay for covered long-term care (convalescent care in MA & WA) expenses. Issued by The Lincoln National Life Insurance Company, Ft. Wayne, IN. For Agent or Broker Use Only. Not Be Used With The General Public.

3. L02-0279-LL What is ? the smart way to self-insure for long-term care For Agent or Broker Use Only. Not Be Used With The General Public.

4. L02-0279-LL & How does MoneyGuard fit into their plan? Who needs ? financial For Agent or Broker Use Only. Not Be Used With The General Public.

5. L02-0279-LL Target ages 60-75 Currently self-insures the LTC risk Single women Adequate invested assets (Excluding primary residence and qualified plan assets) The client profile For Agent or Broker Use Only. Not Be Used With The General Public.

6. L02-0279-LL Are there readily available funds for LTC? How much set aside? Where are funds? Which assets will be used first? Identify source of funds For Agent or Broker Use Only. Not Be Used With The General Public.

7. L02-0279-LL Where are your clients’ ? assets L02-0279-LLFor Agent or Broker Use Only. Not Be Used With The General Public.

8. L02-0279-LL Which would they use first to pay for long-term care needs? assets L02-0279-LLFor Agent or Broker Use Only. Not Be Used With The General Public.

9. L02-0279-LL Use to those assets protect L02-0279-LL For Agent or Broker Use Only. Not Be Used With The General Public.

10. L02-0279-LL selling For Agent or Broker Use Only. Not Be Used With The General Public.

11. L02-0279-LL What’s the risk of needing long-term care? 1 1997 Nursing Home Use, U.S. National Center for Health Care Statistics, Advance Data, No. 312, April 25, 2000. 2 1998 Home Health Care Use, U.S. National Center for Health Care Statistics, unpublished data. Age distributions of nursing home residents (1997) and home health care recipients (1998) For Agent or Broker Use Only. Not Be Used With The General Public.

12. L02-0279-LL What does  Daily Costs: $90 - $200  Monthly Costs: $2,700 - $6,0001  Yearly Costs: $32,400 - $72,000 Met Life Mature Market study as of April 26, 2002. long-term care cost? For Agent or Broker Use Only. Not Be Used With The General Public.

13. L02-0279-LL Who pays for Medicare Out Of Pocket Medicaid Other <2% VA Private Insurance L02-0279-LL long-term care? 11% 27% 39% 15% 7% For Agent or Broker Use Only. Not Be Used With The General Public.

14. L02-0279-LL Medicare  Prior hospitalization required  Skilled Care only  100 days in a nursing home following a hospital confinement. What does cover? For Agent or Broker Use Only. Not Be Used With The General Public.

15. L02-0279-LL Medicaid?  A Federal/State welfare program  State administered  Covers long-term care expenses once you qualify  State recovers costs from estate What is For Agent or Broker Use Only. Not Be Used With The General Public.

16. L02-0279-LL Medicaid summary  Requires impoverishment  “Look-back” provisions for asset transfers  Federal penalties apply to asset transfers made to qualify for Medicaid  Limited choices For Agent or Broker Use Only. Not Be Used With The General Public.

17. L02-0279-LL funding Long-Term Care Insurance Self-Insure options For Agent or Broker Use Only. Not Be Used With The General Public.

18. L02-0279-LL is an option self-insuring Many of us plan to use our own assets to pay for long-term care. For Agent or Broker Use Only. Not Be Used With The General Public.

19. L02-0279-LL Which would you use first to pay for long-term care needs? assets L02-0279-LLFor Agent or Broker Use Only. Not Be Used With The General Public.

20. L02-0279-LL Traditional long-term care insurance ways to transfer the risk 2 2 & For Agent or Broker Use Only. Not Be Used With The General Public.

21. L02-0279-LL is an option Advantages Guaranteed benefits Most policies cover all levels of care Disadvantages Recurring premium payments Premiums are not guaranteed Traditional long-term care insurance For Agent or Broker Use Only. Not Be Used With The General Public.

22. L02-0279-LL What if I don’t use it? For Agent or Broker Use Only. Not Be Used With The General Public.

23. L02-0279-LL “The way to self-insure  ” smart For Agent or Broker Use Only. Not Be Used With The General Public.

24. L02-0279-LL $ 150,000 Readily Available Assets “The way to self-insure  ” smart This example is based on a 65-year old, non-smoking female in good health. It includes the four-year extension of benefits rider available at an additional cost. Benefit amounts vary by age, gender (except in Montana where male premiums apply) and health status. Benefits are adjusted for loans and withdrawals. Based on guaranteed cost factors and the original benefit amounts, policy values will become exhausted prior to age 100. This would result in a termination of coverage. The minimum single premium is $10,000. Freed-up Funds for Your Use $50,000 Moved (Premium) $100,000 $207,444 Additional Long-Term Care (LTC) Benefit $103,522 Death Benefit or LTC Benefit For Agent or Broker Use Only. Not Be Used With The General Public.

25. L02-0279-LL Is your win-win solution This example is based on a 65-year old, non-smoking female in good health. It includes the four-year extension of benefits rider available at an additional cost. Benefit amounts vary by age, gender (except in Montana where male premiums apply) and health status. Benefits are adjusted for loans and withdrawals. Based on guaranteed cost factors and the original benefit amounts, policy values will become exhausted prior to age 100. This would result in a termination of coverage. The minimum single premium is $10,000. $310,566 or Total Long-Term Care Benefit $103,522 Death Benefit or For Agent or Broker Use Only. Not Be Used With The General Public. $50,000 Premium

26. L02-0279-LL How does compare? For Agent or Broker Use Only. Not Be Used With The General Public.

27. L02-0279-LL Which option fits your plan? Government programs Self-insuring Traditional long-term care insurance For Agent or Broker Use Only. Not Be Used With The General Public.

28. L02-0279-LLFor Agent or Broker Use Only. Not Be Used With The General Public.

29. L02-0279-LL MoneyGuard MoneyGuard LS MoneyGuard Flex I MoneyGuard Flex II MoneyGuard VUL options funding For Agent or Broker Use Only. Not Be Used With The General Public.

30. L02-0279-LL How does work? $50,000 Guaranteed Return of Principal 3.5% First Year Premium Load Example: Female, age 65 non-smoker in good health For Agent or Broker Use Only. Not Be Used With The General Public.

31. L02-0279-LL How does work? $50,000 5.75% - Current 4% - Guaranteed Cash Value Example: Female, age 65 non-smoker in good health For Agent or Broker Use Only. Not Be Used With The General Public.

32. L02-0279-LL What if I $50,000 $103,522 Death Benefit Example: Female, age 65 non-smoker in good health For Agent or Broker Use Only. Not Be Used With The General Public. never need long-term care?

33. L02-0279-LL $50,000 2 yr. benefit (24 months) $4,313/monthly $103,522 Death Benefit Example: Female, age 65 non-smoker in good health What if I need long-term care? For Agent or Broker Use Only. Not Be Used With The General Public.

34. L02-0279-LL long-term care All levels of care: Assisted Living*, Home Health, Nursing Home and Adult Day Care Homemaker and personal care Hospice and respite care *Residential care in CA features For Agent or Broker Use Only. Not Be Used With The General Public.

35. L02-0279-LL 90-day elimination period 2 of 6 activities of daily living (bathing, continence, dressing, eating, toileting and transferring) Cognitive impairment Need for care can be certified by personal physician long-term care triggers For Agent or Broker Use Only. Not Be Used With The General Public.

36. L02-0279-LL What if I need ? Example: Female, age 65 non-smoker in good health more $50,000 $103,522 Death Benefit For Agent or Broker Use Only. Not Be Used With The General Public.

37. L02-0279-LL $50,000 $207,044 EOB Example: Female, age 65 non-smoker in good health $103,522 Death Benefit Total 6-year benefit $4,313/monthly $310,566 Total LTC benefits For Agent or Broker Use Only. Not Be Used With The General Public.

38. L02-0279-LL Example: Female, age 65 non-smoker in good health Will there be heirs anything left for my ? $50,000 $207,044 EOB $103,522 Death Benefit $310,566 Total LTC benefits $10,352 Residual Death Benefit For Agent or Broker Use Only. Not Be Used With The General Public.

39. L02-0279-LL Will this be ? enough Example: Female, age 65 non-smoker in good health $50,000 $207,044 EOB $103,522 Death Benefit $310,566 Total LTC benefits $10,352 Residual Death Benefit For Agent or Broker Use Only. Not Be Used With The General Public.

40. L02-0279-LL benefit period *Non-smoking female age 65, in good health, $50,000 premium 2+2 $109,572 Death Benefit $109,572 Additional LTC benefit $103,522 Death Benefit $207,046 Additional LTC Benefit 2+4 3+Life $111,200 Death Benefit Lifetime LTC Benefits options For Agent or Broker Use Only. Not Be Used With The General Public.

41. L02-0279-LL benefit period *Non-smoking female age 65, in good health, $50,000 premium 2+2 $4566/month Four-year Benefit $4313/month Six-year benefit 2+4 3+Life $3089/month Lifetime LTC Benefits options For Agent or Broker Use Only. Not Be Used With The General Public.

42. L02-0279-LL New Inflation Feature Automatically increases the LTC benefit by 5% per year compounded or 5% simple. Compound increases single premium by about 30% Simple increases single premium by about 25% What about ? inflation For Agent or Broker Use Only. Not Be Used With The General Public.

43. L02-0279-LL New Inflation Feature Expensive option Bargain compared to increased premium for inflation coverage on traditional LTC insurance policies Simple or compound? Lower initial Death benefit Most attractive to clients age 55 to 65 What about ? inflation For Agent or Broker Use Only. Not Be Used With The General Public.

44. L02-0279-LLFor Agent or Broker Use Only. Not Be Used With The General Public.

45. L02-0279-LL Joint-Last Survivor Design Better chance to place the impaired risk Lifetime Money-back Guarantee Lifetime Minimum Death and LTC Benefits No Residual Benefit No Maturity Age features life insurance For Agent or Broker Use Only. Not Be Used With The General Public.

46. L02-0279-LL Male Client: Age 70 N/S Female Client: Age 65 N/S Joint equal age 67 $100,000 single premium $181,490 death benefit paid at second death $272,235 total LTC benefit per person $3,781/monthly 6-year benefit per person Extension of Benefits Rider $181,490 Insured 1 Insured 2 Extension of Benefits Rider $181,490 Half the Death Benefit $90,745 For Agent or Broker Use Only. Not Be Used With The General Public.

47. L02-0279-LL Male Client: Age 70 N/S Female Client: Age 65 N/S Joint equal age 67 $100,000 single premium $181,490 death benefit paid at second death $272,235 total LTC benefit per person $3,781/monthly 6-year benefit per person Insured 1 Insured 2 Half the Death Benefit $90,745 Extension of Benefits Rider $181,490 Unused Death Benefit For Agent or Broker Use Only. Not Be Used With The General Public.

48. L02-0279-LL Male Client: Age 70 Table 16 Female Client: Age 65 N/S Joint equal age 70 $100,000 single premium $160,910 death benefit paid at second death $241,367 total LTC benefit per person $3,352/monthly 6-year benefit per person Extension of Benefits Rider $160,910 Insured 1 Insured 2 Extension of Benefits Rider $160,910 Half the Death Benefit $80,455 For Agent or Broker Use Only. Not Be Used With The General Public.

49. L02-0279-LLFor Agent or Broker Use Only. Not Be Used With The General Public.

50. L02-0279-LL Minimum death benefit guarantees available on Flex II. 5-pay, 7-pay, 10-pay and life-pay funding only Annual mode only No return of premium guarantee on Flex I or Flex II For Agent or Broker Use Only. Not Be Used With The General Public.

51. L02-0279-LL MoneyGuard is fully underwritten. No exams on single premium cases for clients age 60 and over. Contact a MoneyGuard underwriter directly! underwriting For Agent or Broker Use Only. Not Be Used With The General Public.

52. L02-0279-LL information The MoneyGuard ® universal life insurance products have a rider that accelerates the death benefit to pay for covered long-term care (convalescent care in MA & WA) expenses. An Extension of Benefits rider is available at an additional cost to continue long-term care (or convalescent) care benefit payments after the entire death benefit has been paid. Issued by The Lincoln National Life Insurance Company. Products and features subject to state availability. Guarantees are subject to policy terms and conditions. MoneyGuard is a registered service mark of Lincoln National Corporation and its affiliates. MoneyGuard VUL is offered through broker/dealers with effective selling agreements. Solicitation must be preceded or accompanied by current product and funds prospectuses. Policy value will fluctuate with the performance of the investment options selected. This product and features are subject to state availability. Policy Form VLL-2020 Series and Rider Form VLL-2802 Series. MoneyGuard and MoneyGuard Flex Policy Form LL-2020 Series and Rider Form LL-2800 Series. MoneyGuard LS Policy Form LL-2021 Series and Rider Form LL-2801 Series. Lincoln Financial Group is the marketing name for Lincoln National Corporation and its affiliates. © 2002 The Lincoln National Life Insurance Company, Ft. Wayne, IN 46801 www.LFG.com/Life www.moneyguard.com important For Agent or Broker Use Only. Not Be Used With The General Public.

53. L02-0279-LL For Agent or Broker Use Only. Not To Be Used With The General Public. L02-0279-LL