Critical Illness Insurance Coverage forever without paying forever

Critical Illness Insurance: Coverage forever without paying forever

CONFIDENTI Agenda - Know your risk calculator - Best Doctors - Coverage forever without paying forever - Startright New Graduate disability insurance program 6, 2020 2

CONFIDENTI We know it happens Critical illness Disability 6, 2020 3

CONFIDENTI 4 Know your risk calculator • The risks of becoming critically ill, disabled or dying before age 65 may surprise many of your clients. Our new and simple calculator can help them understand their risk. canadalife. com/knowyourrisk 6, 2020

Best Doctors

CONFIDENTI 6 New Policy Parameters • Service can be accessed at anytime – no need to make a claim • Spouse, dependent children, parents and parents-in-law of policy holder also eligible • All conditions covered • Should policy terminate due to payout, can access service for up to 3 months 6, 2020 6

CONFIDENTI 7 Best Doctors services Inter. Consultation. SM An expert opinion on your medical condition through analysis of your medical records and history. Find. Best. Doc. SM Access a leading specialist in Canada best suited to your medical needs and location. Find. Best. Care. SM Access to specialists selected from our global database of over 50, 000 physicians. Best Doctors 360°® Get customized information and resources based on your medical condition and location. Ask the Expert Your questions are answered in writing by an expert who specializes in your condition. 6, 2020 7

CONFIDENTI Health care challenges 10 -15% of patients are misdiagnosed 1 1 in 10 diagnoses in the United States is incorrect 2 Second opinions are valuable: 33% of oncology second opinions differ from first opinions; 50% of these resulted in major changes in therapy or prognosis 3 ? More than 10 million online health-related searches are conducted globally each day 4 on 70, 000+ websites that disseminate health information 5 Sources: 1 Globe & Mail, February 2012 2 JAMA, May 2016 3 Canadian Medical Association Journal, August 2012, with reference to EJSO 2— 6; 32: 108 -12. 4 http: //www. ncbi. nlm. nih. gov/pmc/articles/PMC 2762768/ 5 http: //her. oxfordjournals. org/content/16/6/671. full 6, 2020 8 8

CONFIDENTI 9 The top challenges our members face Symptoms not improving Skeptical about doctor’s advice No diagnosis Questioning the need for surgery Don’t understand diagnosis Need help deciding among multiple treatment options 6, 2020 9

CONFIDENTI Covering a full range of conditions 18. 5% NEUROLOGY & NEURO SURGERY 6. 4% Best Doctors covers all conditions across the entire spectrum of health, giving you peace of mind from head to toe. 10 SKIN, EYE, EAR, NOSE & THROAT 9. 9% CARDIOVASCULAR & PULMONARY DISEASE 4. 0% ENDOCRINOLOGY 7. 8% 4. 5% NEPHROLOGY & UROLOGY GASTROENTEROLO GY 4. 9% GYNECOLOGY & OBSTETRICS 24% ONCOLOGY & HEMATOLOGY 4% OTHER CONDITIONS 16% ORTHOPEDICS & RHEUMATOLOGY 6, 2020 10

CONFIDENTI 11 We are making a difference 27% Changed or modified diagnosis 60% Changed or modified treatment 6, 2020 11

CONFIDENTI Critical illness insurance: Coverage forever without paying forever Provide them critical illness insurance solutions that change with them 1. The young family market Buy term 2. The mid life market Convert to level Return-ofpremium 3. The retirement market Paid-up Options 6, 2020 12 12

CONFIDENTI Young family market • Harry: age 27 • One small child • New mortgage 1. 13 6, 2020 13

CONFIDENTI Your recommendation • 10 -year renewable term to 75* • $250, 000 benefit amount • Premium § $59. 63 month at age 27 § $97. 88 month at age 37 • 25 covered conditions and loss of independent existence = 26 covered conditions * Life. Advance, age 27, male non-smoker, $250, 000 one-time lump sum benefit, standard risk, 10 -year renewable term to 75, convertible to 65, loss of independent existence rider. The above example is not a complete illustration. Source: Concourse illustration, version 4. 2. 0. 0 14 6, 2020 14

CONFIDENTI Harry’s financial picture at age 45 • • • Mortgage is almost paid off Bulk of education savings has been done Family earnings: $200, 000 Current RRSP savings: $200, 000 Planning for retirement, needs to know options Assume growth of monthly contribution at 5% 15 6, 2020 15

CONFIDENTI Harry’s conversion option at age 45 • 10 -year renewable term premium doubles at next renewal § age 37 = $97. 88 § age 47 = $216. 45 • Convert 10 -year renewable term to permanent level premium, paid-up at 100 • Reduces benefit amount to $100, 000 • Adds return-of-premium at withdrawal (Age 65) rider • New premium: $245. 06 • Return of Premium rider cost is $62. 45/month 16 6, 2020 16

CONFIDENTI Value of return-of-premium calculator Reward for staying healthy! In 25 years, potential return-of-premium benefit $73, 518 Equivalent internal rate of return 17. 05% 17 6, 2020 17

CONFIDENTI Value of return-of-premium calculator 6, 2020 18

CONFIDENTI The retirement market At age 70, they’re now well into the retirement market • Unexpected challenges of a critical illness • Proper planning gives them options 19 6, 2020 19

CONFIDENTI A critical illness insurance strategy for wealth preservation At age 70, they have options: 1. Full withdrawal 2. Partial withdrawal 3. Paid-up option 4. Maintain contract in force 20 6, 2020 20

CONFIDENTI Option 1 Full withdrawal – terminates policy $73, 518 Invest it, create income or spend it 21 6, 2020 21

CONFIDENTI Option 2 Partial withdrawal resulting in reduced coverage The amounts shown under the partial withdrawal are not guaranteed, and are likely to vary upward or downward. The factors used to determine these amounts are affected by a number of variables such as interest rates, morbidity and mortality. 22 6, 2020 22

CONFIDENTI Option 3 Paid up option – keeps coverage no longer pays premiums The amount shown under the paid-up benefit is not guaranteed, and is likely to vary upward or downward. The factors used to determine this amount is affected by a number of variables such as interest rates, morbidity and mortality. The above example is not a complete illustration. 23 6, 2020 23

CONFIDENTI Option 4 Maintain contract in force Leave policy as-is and continue paying premium 24 6, 2020 24

CONFIDENTI Harry’s lifetime critical illness insurance strategy • At age 27 he had a plan in place to help protect his family and home § Low premium § Suitable critical illness insurance • At age 45 he had a plan in place to help protect their retirement income § Conversion benefit § Return of premium options • Now at age 70 he and his wife have policy features that provide great options 25 6, 2020 25

CONFIDENTI Disability Insurance: Startright new graduate program • The Start. Right grad program is aimed at students – from a Canadian post-secondary institution – who are in their final year of study, are articling or are recent graduates of any of the following professional programs: • Accounting • Actuarial science • Architecture • Athletic therapy • Audiologist with Master’s degree • Chiropractic • Computer science • Data scientist • Dentistry • Engineering with Master’s degree • Law and notarial law • Master of business administration (MBA) • Medicine • Naturopathic medicine • Nurse practitioner • Occupational therapy • Optometry • Osteopathy • Pharmacy • Physiotherapy • Podiatry/chiropody • Psychology (Ph. D) • Registered nurse Speech therapy • Veterinary 6, 2020 26

CONFIDENTI Disability Insurance: Startright new graduate program 6, 2020 27

CONFIDENTI Disability Insurance: Startright new graduate program 6, 2020 28

CONFIDENTI Thank You! 6, 2020 29