For agent use only. Not for public distribution. cn65360052012 A Powerful New Sales Tool: The Life Insurance Capacity Calculator

For agent use only. Not for public distribution. cn65360052012

A Powerful New Sales Tool:

The Life Insurance Capacity Calculator


Neither ING nor its affiliated companies or its representatives give tax or legal advice. The strategies suggested may not be suitable for everyone and you should consult with your own tax advisor and legal counsel before implementing any of the strategies suggested here.

These materials are not intended to be used to avoid tax penalties, and were prepared to support the promotion or marketing of the matter addressed in this document. The taxpayer should seek advice from an independent tax advisor.

Life insurance products are issued by ReliaStar Life Insurance Company (Minneapolis, MN), ReliaStar Life Insurance Company of New York (Woodbury, NY) and Security Life of Denver Insurance Company (Denver, CO). Variable universal life insurance products are distributed by ING America Equities, Inc. Within the state of New York, only ReliaStar Life Insurance Company of New York is admitted and its products issued. All are members of the ING family of companies.

All guarantees are based on the financial strength and claims paying ability of the issuing insurance company who is solely responsible for all obligations under its policies.

Disclosures


The Life Insurance Capacity (LIC) Calculator is the 1st one

of its Kind!

It’s Unique to ING Life Companies – No one else has one!


It’s a New Tool in ING Presents Designed to:

Help Increase Life Insurance Sales &

Reduce Financial Underwriting Problems


How Can It Increase Sales?

Many people take a “Minimalist” approach to life insurance

• Consider life insurance an “expense”

• Elect minimal coverage and pay minimal premium

The LIC Calculator provides a different perspective


The LIC Calculator Seeks to Change the Life Insurance Conversation

• Life insurance is an asset, not an expense; it can be just as valuable as financial assets and should be carefully managed

• Potentially delivers thousands of dollars of death benefits income tax free*

• The LIC Calculator looks at life insurance protection from the insurance company’s perspective

• It offers a five step process for managing Insurability

* Life Insurance death benefits are generally income tax free under IRC Section 101


What Does the LIC Calculator Do?

Uses ING Life Underwriting Guidelines to Estimate:

--Life Insurance Capacity (total insurability)

--Insurability Reserve (Capacity not currently in force)


What Does the LIC Calculator Do?

The LIC Calculator Only Considers Financial Information

• It’s Not an Offer of Coverage

• An Applicant Must Still Provide Proof of Good Health and Verify Financial Information If Requested Before a Policy Can Be Issued


How Does the LIC Calculator Work?

Estimates Total coverage available by applying ING Life Underwriting Guidelines to two categories of needs:

• Personal Insurance Needs

• Business Insurance Needs



Personal Insurance Needs

Earned Income

Estate Liquidity

Charitable Giving



Business Insurance Needs*

Key Executive Coverage

Business Succession/Buy-Sell

Business Debt Repayment (5 year minimum)

*unused coverage available for one of these uses can’t be carried over into a different area


The LIC Calculator In Action; The Robert Brown Case

Age 50--$100,000 annual salary--$1,500,000 net worth--$30,000 average annual charitable gift over last three years--$500,000 in force

Business Owner--$100,000 annual salary, $500,000 value of business interest and long term debt (over 5 years) is $125,000--$500,000 in force


Where Do You Find the LIC Calculator?


Where Do You Find the LIC Calculator?


The LIC Calculator Input Screen


The LIC Calculator Report


What About Brown’s Business?

Will That Change His Insurability Reserve?


The Input Screen


The Business Input Screen


The LIC Combined Report


The Business Report Section


Stage 1--Sell the LIC Report

“Would you find it interesting to see how a life insurance company looks at your insurability?”


Stage 2--Selling From the LIC Report

“Does it make financial sense for you to use some of your insurability to provide more protection for your family/business?”


Stage 3--Selling From the LIC Report

“Is there a reason you wouldn’t want to use some of your Insurability Reserve?”


Often the Problem is the Premium

You have the option of explaining alternative ways to pay premiums


Discussing Premium Payment Strategies

Policy / TOLI Review

Executive Benefits

Purchase coverage inside a qualified retirement plan

Premium Financing (for appropriate clients)


Consumer Theme—The Three “Rights”

The Right Amount of Coverage, at

The Right Time, for

The Right Cost


Life Insurance Capacity (LIC) Calculator

Available Sales MaterialProducer Guide #155534

Consumer Flyer #155389

Consumer Fact Finder #155421

Consumer Postcard #155390

Producer Postcard #155391

Available for Personalization

on the Life PromoCenter


The Producer Guide


The Consumer Flyer


The Consumer Fact Finder


How to Introduce the LIC Calculator:

“Have You Had a Chance to See ING Life Companies’ New Calculator?”

“It’s Really Neat; You’ve Probably Never Seen Anything Like It Before;

If You’ve Got Two Minutes, I’ll Show You How It Works.”


Reducing Underwriting Problems

ING Life Underwriting helped build the LIC Calculator

Agent can see how ING Life Underwriting Guidelines are applied to this prospect.

Agent can attach the LIC Report to the cover letter to justify the amount of coverage on application


Reducing Underwriting Problems

Agent can run the report for him/herself; doesn’t have to show it to the prospect

Agent can see in advance if there’s a potential problem and decide how to handle it


Summary

The LIC Calculator is a simple, powerful new sales tool

None of our competitors have one

It offers a new approach to talking about life insurance

People seldom object to owning life insurance; they just object to paying for it

The LIC Calculator moves the discussion past the amount of coverage to premium payment strategies


Summary

Test Drive the LIC Calculator yourself; print off your own personal report

Few people have too much life insurance coverage; how often do beneficiaries complain about receiving too much in death benefits?

The LIC Calculator should help you sell more coverage and reduce financial underwriting problems


Questions?

Documents

For agent use only. Not for public distribution. cn65360052012 A Powerful New Sales Tool: The Life Insurance Capacity Calculator