Lincoln ChoicePlus Assurance SM variable annuity. Advantage seeks to help maximize your retirement income. i4life. Are we there yet?

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1 Lincoln ChoicePlus Assurance SM variable annuity Are we there yet? i4life Advantage seeks to help maximize your retirement income

2 Are we there yet? Sometimes the only way to get the answer is to ask the question. Do you know when you will reach retirement? Remember, there are no stupid questions go ahead, ask... How will you respond to retirement s questions? When you stop to ask the questions, you take the time to get the answers. And when it comes to your retirement, asking questions today could help you create the retirement you ve always imagined tomorrow. Not a deposit Not FDIC-insured Not insured by any federal government agency Not guaranteed by any bank or savings association May go down in value Two separate companies issue Lincoln ChoicePlus Assurance SM variable annuities. New York contracts are issued by Lincoln Life & Annuity Company of New York, Syracuse, NY. For all other states, contracts are issued by The Lincoln National Life Insurance Company, Fort Wayne, IN. These companies are separately responsible for satisfying their own financial and contractual obligations.

3 Can I have that too? If you don t ask, how will you know if you can have it? A Lincoln ChoicePlus Assurance SM variable annuity is a long-term investment product specifically designed for retirement savings. It offers many benefits and can help address inflation, taxes, longevity, and market volatility. Lincoln ChoicePlus Assurance SM variable annuities offer Tax-deferred growth: Your money grows tax-deferred, and your tax bills aren t impacted until withdrawals are made, allowing for greater growth potential. Lifetime income: There are several options for taking income, including an income stream for life. Death benefits: Your death benefit can be transferred to beneficiaries. Optional protection features: For an additional charge, you can elect optional features that protect your minimum future income from market volatility, ensure growth, and provide lifetime income with the flexibility to take additional withdrawals. Flexibility: With a Lincoln ChoicePlus Assurance SM variable annuity, you can meet your individual needs by customizing your contract through investment allocation, withdrawal options, and adding or canceling optional features. Guarantees are backed by the claims-paying ability of the appropriate issuing company. Withdrawals are subject to ordinary income tax and may be subject to a 10% penalty if taken prior to age 59½. Variable annuities are subject to market fluctuation, investment risk, and possible loss of principal. They contain both investment and insurance components, and have fees and charges, including mortality and expense, administrative, and advisory fees. The annuity s value fluctuates with the market value of the underlying investment options, and all assets accumulate tax-deferred. Optional guaranteed benefits, available for an additional charge, are subject to certain terms and conditions described in the rider and prospectus. Noncompliance with these terms and conditions and excess withdrawals will negatively impact the guarantees provided by these optional benefits.

4 Why is the sky blue? Some questions call for complicated, in-depth explanations. Luckily, your retirement doesn t have to be one of them. Obtaining a secure retirement income can be an easy question to answer it s guaranteed. i4life Advantage, a patented income solution with growth potential and tax advantages What would you wish for? Do you remember eating birthday cake as a child? The first thing you d do is take a big scoop of the icing with your finger. Well, that s how most investments work too they take income off the top, the gains first. For example, with systematic withdrawals, you receive all gains first and they re fully taxable. i4life, offering the same tax benefits as traditional annuitization, gives you a piece of the gains as well as the cost basis; meaning, you can have the icing and enjoy the cake too! In addition, unlike traditional annuitization, i4life offers growth potential and access to your savings. Only the gains in each payment slice are taxed meaning, with i4life you receive a tax-efficient income payment. Cost basis is not taxable TAX-EFFICIENT INCOME* Gains *The tax-exclusion amount varies by age and only applies until the original cost basis in the contract has been recovered. Additional withdrawals will include a portion of the cost basis determined by age until the cost basis is recovered. It is important to consider the impact of additional withdrawals on the account value, death benefit, and future income payments. The expense of additional annuity features should be weighed carefully against your financial needs and goals. Guarantees are backed by the claims-paying ability of the appropriate issuing company. With i4life, an Income4Life innovation, you re guaranteed a lifetime income that can benefit from market growth, while staying in control! Lifetime income Receive an income stream, no matter how long you live. Growth potential with some of the industry s top money managers Income has the potential to grow based on the investment results of the investment options chosen. Increasing income floor With the Guaranteed Income Benefit (GIB), your payments will never go below a guaranteed minimum amount and may automatically increase every year if your i4life Advantage payment increases. Control and access Don t choose between lifetime income and access to your savings. You can have both: an income with the ability to make additional withdrawals during the Access Period. i4life is available for an additional annual charge of 0.40% above standard contract expenses. The GIB is available for an additional 0.50% annual charge (maximum 1.50% at time of reset). The minimum Access Period with the GIB is the greater of 15 years or to age 85. After the Access Period ends, payments will continue on a lifetime basis, but contractowners will no longer have access to their assets or a death benefit.

5 Two + Two =? The numbers don t lie. To help demonstrate the tax-efficient income and growth potential you can receive with i4life Advantage, let s look at some actual numbers. The following is based on a $1,000,000 investment into a Lincoln ChoicePlus Assurance SM variable annuity with i4life and the GIB: Year Age Account value Increasing wealth floor (GIB) Nontaxable income (return of cost basis) i4life Advantage annual income Annual returns $1,000,000 Your savings have the potential to grow even as you take income $1,119,943 $49,933 $50,640 $66, % $1,252,308 $57,534 $50,640 $76, % $1,390,489 $66,322 $50,640 $88, % $1,366,482 $76,085 $50,640 $101, % $1,210,786 $77,446 $50,640 $103, % $950,969 $77,446 $50,640 $95, % $1,084,093 $77,446 $50,640 $77, % $1,064,353 $77,446 $50,640 $92, % $1,027,625 $77,446 $50,640 $95, % $1,005,675 $77,446 $50,640 $97, % $957,749 $77,446 $50,640 $100, % $569,784 $77,446 $50,640 $102, % $634,410 $77,446 $50,640 $77, % Cumulative total: $658,329 $1,175, % Every year, your floor increases if your payment has increased Higher payments due to market growth The lowest payment you can receive if you elect the GIB Over $650,000 is tax-free income Whether you invest in qualified or nonqualified money, you have the ability to maximize your income with i4life Certain investment allocations will need to be met for the GIB. You can choose your own allocation, which will need to include at least 30% in bond investment options. This illustration utilizes historical subaccount performance information for the Lincoln ChoicePlus Assurance SM (B Share) variable annuity; the subaccounts selected reflect the deduction of all applicable contract fees and charges. The $1,000,000 investment was made on 10/1/96, which reflects the most recent inception date for the investment options in the variable annuity as of 4/1/96. This includes a 2.20% charge for the variable annuity with the i4life Advantage. This consists of a 1.30% mortality and expense risk charge and administrative fee; a 0.50% charge for the Guaranteed Income Benefit; and a 0.40% i4life Advantage charge. There are also investment management fees and expenses, as well as a 12b-1 distribution fee. It does not reflect any state premium tax deducted upon surrender. Specific fees and expenses can be found in the prospectus. If additional withdrawals over and above i4life are taken, a surrender charge of 7% is applied to each purchase payment made and reduces on each contract anniversary after receipt of the payment as follows: 7%, 6%, 6%, 5%, 4%, 3%, 0%. The effects of taxes and early withdrawal tax penalties have not been reflected in this illustration. If these charges had been reflected, the return would be lower. Withdrawals may be subject to ordinary income tax, and if taken prior to age 59½, a 10% IRS penalty may also apply. Withdrawals have the effect of reducing the death benefit and cash surrender value. The expense of additional annuity features, such as i4life and the Guaranteed Income Benefit, should be weighed carefully against your financial needs and goals. If you elect either of these, your investment allocation may be restricted at a future date. Guarantees are backed by the claims-paying ability of the appropriate issuing company.

6 Fund performance As the investment cornerstone, the Lincoln Elite Series of Funds offers a broadly diversified lineup of underlying investment options managed by some of the most experienced, well-established firms in the country. The three funds below were used for the preceding illustration. For illustrative purposes, these three funds were chosen based on the funds assets under management and investment requirements (35% American Funds Insurance Series Growth Fund, 35% American Funds Insurance Series Growth-Income Fund, and 30% LVIP Delaware Bond Fund). There are 64 funding options available through the Lincoln Elite Series of Funds. Investors should consider their financial objectives, risk tolerance, and time horizon to adjust their funding options and allocation accordingly. Keep in mind, asset allocation and diversification do not guarantee a profit or eliminate the risk of investment loss. Information as of 12/31/09, and is subject to change Nonstandard performance without surrender 1 Inception Year-todate date 1 year 3 years 5 years 10 years Lifetime American Funds Insurance Series Growth Fund 2/8/ American Funds Insurance Series Growth-Income Fund 2/8/ LVIP Delaware Bond Fund 3 12/28/ Nonstandard performance with surrender 1 Inception Year-todate date 1 year 3 years 5 years 10 years Lifetime American Funds Insurance Series Growth Fund 2/8/ American Funds Insurance Series Growth-Income Fund 2/8/ LVIP Delaware Bond Fund 3 12/28/ Standard performance with surrender 2 Subaccount inception 1 year 5 years Lifetime 2 American Funds Insurance Series Growth Fund 2/22/ American Funds Insurance Series Growth-Income Fund 2/22/ LVIP Delaware Bond Fund 3 11/20/ The performance data on this page represents past performance; past performance does not guarantee future results. Investment return and principal value will fluctuate so unit values, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Please obtain the data for the most recent month-end by calling or visiting our Web site at Investors are advised to carefully consider the investment objectives, risks, and charges and expenses of the variable annuity and its underlying investment options before investing. The prospectus contains this and other important information about the variable annuity and the underlying investment options and should be read carefully before investing or sending money. All three sets of performance results reflect Lincoln ChoicePlus Assurance SM variable annuity with a 1.15% mortality and expense risk charge, a 0.15% administration fee, and a $35 contract fee (waived for contracts over $100,000). The surrender charge for the B Share option is 7%, 7%, 6%, 6%, 5%, 4%, 3%, 0%. 1 These returns are measured from the Fund inception date, which predates their offering as an investment option in the variable annuity. Therefore, they reflect hypothetical performance. 2 These returns are measured from the date that they were available as an investment option in the variable annuity. 3 Investments in the Delaware Investments VIP Series are not and will not be deposits with or liabilities of Macquarie Bank Limited ABN and its holding companies, including their subsidiaries or related companies (the Macquarie Group ), and are subject to investment risk, including possible delays in repayment and loss of income and capital invested. No Macquarie Group company guarantees or will guarantee the performance of Delaware Investments VIP Series, the repayment of capital from Delaware Investments VIP Series, or any particular rate of return.

7 Which came first? Compared to previous generations, you can expect to live a longer, healthier life in retirement. Traditional means aren t going to suffice, and retirement challenges could make saving that much harder. You ll need to determine what is best, and what should come first for your retirement. Taxes taking too much? Not only will they take, but taxes are also difficult to predict and are highly variable rates have changed at least 20 times since Below you can see returns for stocks, government bonds, and Treasury bills. With an initial $100,000 investment into each, returns were substantial but what about after taxes? The impact of taxes ( ) Each investment lost more than half of its earnings to taxes. Can you afford that kind of cut? $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 $0 $3,405, $1,477, $3,213, $848, Before taxes After taxes $916, $380, Stocks Bonds T-bills Data source: Morningstar, 4/09. For illustrative purposes only. Not intended to represent past or future returns of any particular investment. Does not reflect any fees or sales charges. This illustration represents a $100,000 investment made on December 31, 1969, to December 31, Federal income tax is calculated using the historical marginal and capital gains tax rates for a single taxpayer earning $100,000 in 2005 for every year. This annual income is adjusted using the Consumer Price Index in order to obtain the corresponding income level for each year. Income is taxed at the appropriate federal income tax rate as it occurs. When realized, capital gains are calculated assuming the appropriate capital gains rates. The holding period for capital gains tax calculation is assumed to be five years for stocks, while government bonds are held until replaced in the index. No capital gains taxes on municipal bonds are assumed. No state income taxes are included. The S&P 500 Index measures the performance of 500 widely held, mostly large-cap common stocks weighted by market value. Ibbotson U.S. Long-Term Government Bond Index is a total return index, incorporating both coupon payments and price appreciation/ depreciation of long-term bonds issued by the U.S. government. Ibbotson U.S. 30-Day T-bill Index is a total return series that is calculated using data from The Wall Street Journal from 1977 to the present and the CRSP U.S. Government Bond File from 1926 to 1976.

8 Call your financial advisor today to get retirement answers and a personalized hypothetical illustration for tax-efficient income! Not a deposit Not FDIC-insured Not insured by any federal government agency Not guaranteed by any bank or savings association May go down in value 2010 Lincoln National Corporation Lincoln Financial Group is the marketing name for Lincoln National Corporation and its affiliates. Affiliates are separately responsible for their own financial and contractual obligations. LCN VA-CP CP-GIB-BRC199_Z05 ECG 1/10 Z A Order code: CP-GIB-BRC199 This material was prepared to support the promotion and marketing of a variable annuity product. Lincoln Financial Group affiliates, their distributors, and their respective employees, representatives, and/or insurance agents do not provide tax, accounting, or legal advice. Any tax statements contained herein were not intended or written to be used, and cannot be used for the purpose of avoiding U.S. federal, state, or local tax penalties. Please consult your own independent advisor as to any tax, accounting, or legal statements made herein. Variable annuities are long-term investment products designed for retirement purposes and are subject to market fluctuation, investment risk, and possible loss of principal. Variable annuities contain both investment and insurance components, and have fees and charges, including mortality and expense, administrative, and advisory fees. Optional features are available for an additional charge. The annuity s value fluctuates with the market value of the underlying investment options, and all assets accumulate tax-deferred. Withdrawals of earnings are taxable as ordinary income and, if taken prior to age 59½, may be subject to a 10% federal tax penalty. Withdrawals will reduce the death benefit and cash surrender value. Investors are advised to consider the investment objectives, risks, and charges and expenses of the variable annuity and its underlying investment options carefully before investing. The applicable variable annuity prospectus contains this and other important information about the variable annuity and its underlying investment options. Please call for a free prospectus. Read it carefully before investing or sending money. Products and features are subject to state availability. Lincoln ChoicePlus Assurance SM variable annuities (contract form B and state variations) are issued by The Lincoln National Life Insurance Company, Fort Wayne, IN, and distributed by Lincoln Financial Distributors, Inc., a broker/dealer. The Lincoln National Life Insurance Company does not solicit business in the state of New York, nor is it authorized to do so. Contractual obligations are backed by the claims-paying ability of The Lincoln National Life Insurance Company. Contracts sold in New York (contract forms 30070BNYA, 30070BNYC, 30070BNYAL, and 30070BNYN) are issued by Lincoln Life & Annuity Company of New York, Syracuse, NY, and distributed by Lincoln Financial Distributors, Inc., a broker/dealer. Contractual obligations are backed by the claims-paying ability of Lincoln Life & Annuity Company of New York. There is no additional tax-deferral benefit for an annuity contract purchased in an IRA or other tax-qualified plan.