Foresters Your Legacy e-kit

Transcription

1 Foresters Your Legacy e-kit Your Legacy Producer Guide US (11/14) Page 2 Your Legacy Consumer Brochure US (11/14) Page 10 Your Legacy Coverage at a Glance Worksheet US (11/14) Page 12 Foresters Financial Strength US (05/14) Page US (11/14)

2 Foresters Your Legacy Producer Guide Single Premium Whole Life Insurance This guide is for information purposes only and is intended to answer your questions and provide ideas to help you sell Your Legacy single premium whole life insurance. Check Foresters Producer Portal for other tools to support your learning needs. You must ensure that you correctly represent, to a customer or prospect, the product features based on the actual wording of the applicable certificate and riders for your state. Products and features may not be available in all jurisdictions, availability may be modified from time to time and certain restrictions may apply. Consult Foresters Producer Portal for more detailed product information and up to date availability. Foresters, its employees and life insurance representatives do not provide, on Foresters behalf, legal, tax, or estate planning advice. The information here reflects our understanding of current laws and regulations. Prospective purchasers should contact their own legal, tax, or estate planning advisors on their specific situations. This document is intended for producer use only and should not be disclosed to the public. The information contained in this guide is general in nature and is subject to the applicable certificate and rider wording. Foresters is the trade name and a trademark of The Independent Order of Foresters, a fraternal benefit society, 789 Don Mills Road, Toronto, Canada M3C 1T9. For Producer Use Only US (11/14)

3 CONTENTS FAST FACTS... 3 PRODUCT SPECIFICATIONS... 4 DESCRIPTION... 4 PREMIUM MODE... 4 ISSUE AGES... 4 UNDERWRITING CLASSIFICATIONS... 4 RATINGS... 4 ILLUSTRATIONS... 4 TARGET MARKET... 4 MINIMUM PREMIUM... 4 MAXIMUM PREMIUM... 4 MINIMUM AND MAXIMUM FACE AMOUNTS... 4 NET AMOUNT AT RISK... 4 CERTIFICATE FEE... 4 CONVERSIONS EXCHANGES... 4 CASH VALUE AND DIVIDENDS... 4 CASH VALUES... 4 DIVIDENDS... 4 SURRENDERS AND LOANS... 5 SURRENDERS... 5 LOANS... 5 REINSTATEMENT... 5 RIDERS... 5 COMMON CARRIER ACCIDENTAL DEATH RIDER... 5 FAMILY HEALTH BENEFIT RIDER... 5 ACCELERATED DEATH BENEFIT RIDER... 6 SOFTWARE HELP... 7 Key Contact Information... 7 SALES SUPPORT... 7 OUR PRODUCER SERVICE CENTER... 7 MARKETING SUPPLIES... 7 For Producer Use Only US (11/14) Page 2 of 7

4 FAST FACTS Product Type Participating Whole Life Issue Ages (age Premium Single Pay nearest Period birthday) Underwriting Classification (Non- Medical) 1 Loans Loan Rate Dividend Options Juvenile (issue ages 0-15) Non-Tobacco (issue ages 16-85) Tobacco (issue ages 16-85) Substandard (issue ages 16-80) Can be taken if the certificate is in effect and has positive cash surrender values. Interest is charged daily at current Foresters US variable loan rates. Death benefit payable is net of the outstanding certificate loan amount(s) (including accrued interest). Variable Paid-up Additions (PUA) On deposit with interest Paid in cash Minimum Premium Maximum Premium Maximum Net Amount at Risk Minimum/ Maximum Face Amounts Illustrations Required for certificate issue Insurer 0-85 (non-medical) Issue Age 0-15: $1,500 Issue Age 16-29: $5,000 Issue Age 30-85: $10,000 $500,000 (subject to net amount at risk) Issue Age 0-15: $150,000 Issue Age 16-55: $250,000 Issue Age 56-75: $175,000 Issue Age 76-85: $150,000 The minimum face amount is the amount that the minimum single premium will purchase based on issue age, gender, underwriting classification, and rating (if applicable). The face amount is the initial face amount less the single premium, subject to the net amount at risk (per the chart above). The Independent Order of Foresters (Foresters) Product and benefit information provided in this document is for producer reference purposes only. It is based on our current product rules which are subject to change, and is also subject to state availability and variations and to the terms, including definitions and limitations, set out in the state specific product. 1. In some situations, substandard underwriting classification may require an Attending Physician s Statement (APS) For Producer Use Only US (11/14) Page 3 of 7

5 PRODUCT SPECIFICATIONS DESCRIPTION Foresters Your Legacy Single Premium Whole Life Insurance (Foresters Your Legacy) is a non-medical participating whole life product which provides lifetime death benefit protection, guaranteed cash values, and potential dividends. It is designed and priced based on the 2001 Commissioners Standard Ordinary (CSO) mortality tables. PREMIUM MODE Single premium payment only ISSUE AGES 0-85 (age nearest birthday) Backdating to save age is not allowed on Your Legacy. When we refer to an age after the issue date, age is defined as the issue age plus the number of completed certificate years. UNDERWRITING CLASSIFICATIONS Foresters Your Legacy is issued based on standard underwriting, tables 1-4 (+25% to +100) with the following classes: Juvenile (issue ages 0-15) Non-Tobacco (issue ages 16-85) Tobacco (issue ages 16-85) RATINGS Substandard underwriting is available on issue ages 16 to 80. Rating classes are based on tables 5 to 8 (+125 to +200) and will be determined by Underwriting. ILLUSTRATIONS At the Point-of-Sale (POS) of Foresters Your Legacy, the producer must do the following: Complete an Illustration Certification form; or Provide to the prospective Owner an illustration matching the product as applied for in the application. A copy of the illustration must be signed by the producer and the prospective Owner and submitted with the application to Foresters. MINIMUM PREMIUM Issue Age 0-15: $1,500 Issue Age 16-29: $5,000 Issue Age 30-85: $10,000 MAXIMUM PREMIUM Maximum single premium is $500,000 across all issue ages, subject to the net amount at risk. MINIMUM AND MAXIMUM FACE AMOUNTS The minimum face amount is the amount that the minimum single premium will purchase based on issue age, gender, underwriting classification, and rating (if applicable). The face amount is the initial face amount less the single premium, subject to the net amount at risk (see Net Amount at Risk ). NET AMOUNT AT RISK Net amount at risk is defined as the initial face amount minus the single premium. The following is the net amount at risk based on age: Issue Age 0-15: $150,000 Issue Age 16-55: $250,000 Issue Age 56-75: $175,000 Issue Age 76-85: $150,000 CERTIFICATE FEE There is no certificate fee. CONVERSIONS Conversion from a Foresters term certificate to Foresters Your Legacy is not allowed EXCHANGES 1035 exchanges are allowed, provided that monies from the 1035 exchange are applied towards the single premium at the time of issue. CASH VALUE AND DIVIDENDS CASH VALUES Cash values are guaranteed and vary based only on gender and insurance class. DIVIDENDS Dividends are not guaranteed and vary by factors such as issue age, duration, gender, and insurance class. Available dividend options are: TARGET MARKET Seeking guarantees and lifetime life insurance protection Wealth transfer and preservation Paid-up Additions (PUA) On deposit with interest Paid in cash The default dividend option is Paid-up Additions (PUA). For Producer Use Only US (11/14) Page 4 of 7

6 SURRENDERS AND LOANS Modified Endowment Contract Due to the single premium and seven-pay limits, most certificates will be issued as a Modified Endowment Contract (MEC). Cash distributions from a certificate that is a MEC may have tax implications. The Certificate Owner should consult a tax advisor for any potential tax implications. SURRENDERS The certificate may be partially or fully surrendered for its cash surrender value at any time. Full Surrender A certificate can be fully surrendered for its guaranteed cash value, plus the value of any Paid-up Additions (PUA) and/or accumulated dividends on deposit, less any outstanding debt. Partial Surrender A certificate can be partially surrendered by surrendering Paid-up Additions (PUAs), if any. The death benefit supported by the PUAs will be reduced accordingly. Each partial surrender must be for at least $ LOANS Loan(s) may be obtained from Foresters using the certificate as collateral. The certificate must be in effect and have a positive cash surrender value at the time of the loan. Interest is charged daily at the current Foresters US variable loan rate. The amount of the loan requested may be adjusted if the cash surrender value at that time is insufficient. Loan repayment All or part of a certificate loan may be repaid at any time prior to the death* of the insured or the surrender of the certificate. Repayments will reduce the loan amount. *The death proceeds payable are reduced by the outstanding amount of the loan (and accrued interest). If the loan amount exceeds the cash value plus the present value of PUAs and dividends on deposit amount the certificate will terminate. In addition, if the certificate terminates/lapses while there is a loan, the loan will be treated as a distribution from the certificate, and there may be tax consequences as a result. REINSTATEMENT Once a certificate has terminated or lapsed it cannot be reinstated. RIDERS COMMON CARRIER ACCIDENTAL DEATH RIDER Available on Life insured Issue ages 0-85 Description This rider, automatically included on all eligible certificates at no additional premium, provides a death benefit of up to two times the face amount to a of $300,000, if the insured dies within 180 days of an accidental bodily injury that occurred while riding on a common carrier as a farepaying passenger. Benefit amount Expiry date Up to two times the face amount (rider benefit is subject to a of $300,000 across all Foresters accidental death coverage) The certificate anniversary on which the insured is age 100. FAMILY HEALTH BENEFIT RIDER Available on Life insured Issue ages 0-85 Description This rider, automatically included on all eligible certificates at no additional premium, provides benefits for qualified health situations for the insured and their immediate family of up to $650 per person per incident with a lifetime family of $5,000, who have had to be transferred to a hospital in the Continental United States, Alaska or Hawaii by ambulance, visit the emergency room or stay in hospital as a result of the following: Qualified event and amount Max benefit amount Expiry date Earthquake Hurricane Tornado Tsunami Typhoon Struck by lightning Volcanic eruption Ambulance Transportation: $50 Hospital Emergency Room Examination: $100 Hospital Stay: $100/day (up to 5 days) $650 per person, per incident with a lifetime family of $5,000. The certificate anniversary on which the insured is age 100. For Producer Use Only US (11/14) Page 5 of 7

7 ACCELERATED DEATH BENEFIT RIDER Available on Life insured Description This rider, included with eligible certificates at no additional premium, provides the owner an option of accelerating a portion of the eligible death benefit (face amount plus paid-up additional insurance) and receive an accelerated death benefit payment due to diagnosis of an eligible illness. Eligibility Criteria Chronic and Critical Illnesses: Issue face amount must be at least $20,000; Insured s issue age is 80 or younger; and Standard rated cases Terminal Illness: Issue face amount must be at least $20,000; All ages; and Standard & sub-standard rated cases Eligible Illness Summary Definition of Illnesses Subject to eligibility criteria and state variations, this rider can be issued with one or more of the following eligible illnesses: Chronic illness Critical illness Terminal illness Chronic Illness means the insured: Is unable to perform, without substantial assistance from another person, at least two of the activities of daily living for a period of at least 90 days, due to a loss of functional capacity; or Requires substantial supervision by another person to protect the insured from threats to health and safety due to the insured s severe cognitive impairment Critical Illness is the following illnesses: Life Threatening (Invasive) Cancer Myocardial Infarction Stroke Advanced Alzheimer s Disease (before the insured s 75 th birthday) End Stage Renal Failure Major Organ Failure ALS Terminal illness means the insured has a non-correctable illness or physical condition which is reasonably expected to result in death within 12 months of diagnosis Minimum Acceleration Amount Maximum Acceleration Amount Lifetime Maximum Acceleration Amount Minimum Residual Base Face Amount Payment Amount $4,500 Chronic Illness In any 12-month period, 24% of the eligible death benefit on the effective date of the first accelerated payment due to chronic illness Critical Illness Lesser of a) 95% of the eligible death benefit on the effective date of the applicable each accelerated payment due to critical illness; and b) $500,000 Terminal Illness Lesser of a) 95% of the eligible death benefit on the effective date of the accelerated payment due to terminal illness; and b) $500,000 One terminal illness payment is allowed the rider will terminate after an ABR terminal illness payment Lesser of a) 95% of the eligible death benefit at the time of the first acceleration; and b) $500,000 $10,000 The payment, due to diagnosis of eligible critical illness and chronic illness, will be less than the acceleration amount which will be reduced by the following: Actuarial discount amount Loan repayment, prorated based on the acceleration amount Administration fee (current fee is $300) For Producer Use Only US (11/14) Page 6 of 7

8 Actuarial Discount Amount Effect of Acceleration The actuarial discount amount and administration fee will not be applied to a terminal illness claim. The payment amount is guaranteed not be less than the certificate cash surrender value minus the outstanding prorated loan amount (based on the acceleration amount), if any. It is determined by Foresters: Based on factors specific to the insured, such as age, gender and premium class ; Based on future mortality of the insured using the mortality table determined by Foresters; the accelerated death benefit interest rate Foresters applies; will take into account the present value of: the acceleration amount and dividends in relation to that acceleration amount; ABR claim payment will reduce the face amount and, if any, the paidup additional insurance, cash value and loan amount. The reduction to the face amount could be by more than the payment amount. After acceleration, future dividends credited, if any, will be as if the certificate had been issued at the reduced face amount. Any outstanding certificate loan will be reduced by the loan repayment amount that was subtracted from the acceleration amount. Receipt of an accelerated death benefit payment is intended to qualify for favorable tax treatment under the IRC. However, depending on individual circumstances or changes to the IRC, the payment may be taxable, and may affect eligibility for public assistance or benefits. Your client should consult a qualified tax advisor and applicable government agency before receiving an accelerated death benefit payment. SOFTWARE HELP You can access/download Foresters Your Legacy software by logging onto the Foresters Producer Portal. Please check the state availability map for currently approved states. KEY CONTACT INFORMATION SALES SUPPORT We answer your call...with a live voice. Foresters Sales Support Team is your first, direct, live pointof-contact for all of your pre-sales needs! Our informed professionals pick up when you call, and provide the friendly assistance you need. Call us at Option #1, Monday to Friday from 8:30 am to 7:00 pm ET. Our knowledgeable Foresters sales team is standing by to support your business with: A live voice to answer all of your Foresters questions Sales ideas and solutions Foresters product training Illustration software and website support Advanced marketing concepts, materials and education A Single Point-of-Contact with Foresters OUR PRODUCER SERVICE CENTER If you need to inquire about business you have recently submitted, or an existing inforce certificate, please contact our Producer Support Line at Option #2 between Monday to Friday 8:00 am to 8:00 pm ET. MARKETING SUPPLIES Marketing supplies are available through the Foresters Producer Portal. For Producer Use Only US (11/14) Page 7 of 7

9 Compliments of: This brochure is provided for information purposes only; it does not form part of the Foresters Your Legacy Single Premium Whole Life participating life insurance contract and is not intended to amend, alter or change any of the terms and conditions of the contract. Refer to the Foresters Your Legacy Whole Life contract for your state for these terms and conditions. Life insurance contracts are issued by The Independent Order of Foresters, a fraternal benefit society. Foresters Your Legacy and its riders are subject to underwriting approval and may not be available or approved in all states, and state variations may apply. Foresters Your Legacy and its riders are filed under the following form numbers, where XX represents either US or your state s postal abbreviation, as applicable. Foresters Your Legacy: ICC14-WL-SPREM-US01 or WL-SPREM-XX Accelerated Death Benefit Rider (for Chronic, Critical and Terminal Illness): ICC14-TRAD-ABRCHCRTI-US01 or TRAD-ABRCHCRTI-XX Accelerated Death Benefit Rider (for Critical and Terminal Illness): ICC14-TRAD-ABRCRTI-US01 or TRAD-ABRCRTI-XX Accelerated Death Benefit Rider (for Terminal Illness): ICC14-TRAD-ABRTI-US01 ortrad-abrti-xx Common Carrier Accidental Death Rider: ICC11-WL-CCADR-US01 or WL-CCADR-XX Family Health Benefit Rider: WL-FHB-XX Not a deposit. Not FDIC insured. Not guaranteed by any bank or credit union. Not insured by any federal government agency. Your Legacy Single Premium Whole Life Insurance Foresters future generations Foresters membership real added value For 140 years, Foresters has put its prosperity and financial strength to work for those who matter most our members. Enhancing family life Foresters, in partnership with KaBOOM!, has built more than 100 playgrounds across the US and Canada. Over a 15-year lifespan, these playgrounds will give more than 3-million children and their families an opportunity to spend quality time together. Believing in supportive families Foresters is proud to be a Founding Partner of Children s Miracle Network Hospitals (CMN Hospitals), a non-profit organization that raises funds for over 170 children s hospitals across North America. Since 1990, Foresters has helped raise over half a billion dollars for CMN Hospitals, helping millions of children receive access to the quality specialized health care they so desperately need. Helping families get more out of life When you become a Foresters member, you can enjoy a remarkable package of complimentary member benefits 1 that can help you and your family do more. You can take advantage of opportunities to develop your personal skills, attend fun family events and make a difference in your community. The Independent Order of Foresters 789 Don Mills Road Toronto, ON Canada M3C 1T9 U.S. Mailing Address: PO Box 179 Buffalo, NY US (11/14) 1 Foresters member benefits are non-contractual, subject to eligibility requirements and limitations and may be changed or cancelled without notice. Third parties administer Legal Link, Everyday Money and Foresters Competitive Scholarships. Foresters is the trade name and a trademark of The Independent Order of Foresters, a fraternal benefit society, 789 Don Mills Road, Toronto, ON Canada M3C 1T9.

10 Insurance protection which also helps you transfer wealth to benefit you and future generations Foresters Your Legacy is single premium, participating whole life insurance that provides permanent protection for your lifetime up to age 121. Your Legacy can be ideal for both individual and estate planning needs 1. Cash value can help you fulfil the promise of life Your Legacy life insurance accumulates guaranteed cash value and may also pay dividends which can be left on deposit to accumulate with guaranteed interest, paid in cash or used to purchase additional coverage. member benefits Foresters members may be eligible to receive a package of member benefits that, along with your life insurance coverage, can help you and your family do more. See the right side of this brochure for more details. Putting it all together Your life insurance representative will show you how Your Legacy life insurance and member benefits offer real value in times of need. 1 Foresters, their employees and life insurance representatives, do not provide, on Foresters behalf, legal or tax advice. Consult a tax or legal advisor regarding estate planning. Building Your Legacy Your Legacy Single Premium Whole Life Insurance Foresters Your Legacy may include three additional, complimentary benefits: Family Health Benefit Rider pays a benefit to help pay some family health expenses that may occur as a result of certain natural disasters, such as earthquakes, hurricanes, and tornadoes. Common Carrier Accidental Death Rider provides an additional death benefit on death from accidental injuries that occur while riding as a fare-paying passenger on a common carrier, such as a bus or a train. Accelerated Death Benefit Rider 2 provides an option to accelerate a portion of the eligible death benefit and receive a payment 3. Subject to eligibility criteria and state variations, this rider can be issued with one or more of the eligible illnesses - Critical Illness, Chronic Illness or Terminal Illness with no additional premium. 2 This rider is not available for certificates issued with a base face amount of less than $20,000. On certificates where the insured s issue age is higher than 80 or issued as sub-standard, Terminal illness, where available, will be the only eligible illness issued. 3 The payment, due to diagnosis of an eligible illness, may be less than the acceleration amount which may be subject to a fee, an actuarial discount amount and other applicable deductions. Payment will decrease certificate values and benefits. Foresters member benefits for you and your family Terminal Illness loan 4 An interest-free loan of up to 75% of the net face amount of the Foresters life insurance coverage on a terminally ill insured person. Competitive Scholarships 5 Available every year to eligible members and their family who can qualify for up to $8,000 in support. Orphan Scholarships Per year per child, renewable for up to 4 years of full-time postsecondary education upon the death of: both parents, up to $6,000; a single parent, up to $3,000; one of two parents, up to $1,500. Orphan benefits $900 per month per orphan child under age 18, provided to the legal guardian upon the death of both parents. Everyday Money Toll-free access to accredited counsellors can help with everyday money issues, such as budgets and debt. Legal Link Access certain free and discounted legal services in your area. Connect with lawyers for help with a variety of issues including wills, home ownership and family law. 4 Not available as a member benefit in the states of Illinois or New York or on Accidental Death products. 5 This program is administered by International Scholarship and Tuition Services, Inc. Benefit amount $250,000 $8,000 per child $24,000 per child $194,400 per child Invaluable Invaluable Premium

11 Foresters future generations Your Legacy Single Premium Whole Life Insurance Real benefits when you need them Your Legacy isn t just about financial protection, it s also about how you live your life and how you ll be remembered. As a Foresters TM member, you get so much more than a life insurance product. You can take advantage of opportunities to develop your personal skills, attend fun family events and make a difference in your community. Foresters Your Legacy provides protection for your lifetime (up to age 121), guaranteed cash value and may also pay dividends which can be left to accumulate with guaranteed interest, paid in cash or used to purchase additional insurance. If you become a member, you can enjoy a surprising package of complimentary benefits 1 that can help you and your family do more. Your life insurance representative will use this worksheet to show you how life insurance coverage and Foresters benefits of membership can offer real benefits in times of need. There are many ways Foresters member benefits 1 can help you and your family and help create your legacy. Competitive scholarships of up to $8,000 for children and grandchildren. Community grants of up to $2,500 in funding, as well as tools and resources to help plan local activities for family and friends. family events help members reconnect and enjoy meaningful time with the ones they love. Legal Link provides access to certain free and discounted legal services in your area. Connect with lawyers for help with a variety of issues including wills, home ownership and family law. Together, your Foresters life insurance and benefits of membership can help you and your family get more out of life the protection you and your family need and a unique package of benefits you can enjoy. Visit us to learn more about your membership at foresters.com. 1 Foresters member benefits are non-contractual, subject to eligibility requirements and limitations and may be changed or cancelled without notice. Third parties administer Legal Link, Everyday Money and Foresters Competitive Scholarships. Foresters is the trade name and a trademark of The Independent Order of Foresters, a fraternal benefit society, 789 Don Mills Road, Toronto, ON Canada M3C 1T9; its subsidiaries are licensed to use this mark.

12 Prepared for: Name Date Prepared by Contact info Base coverage Foresters Your Legacy Single Premium Whole Life Insurance Family Health Benefit Rider Provides hospital and ambulance benefits up to a of $650 per person to a limit of $5,000 per family, if injured as a result of: hurricane, tsunami, earthquake, volcanic eruption, being struck by lightning, tornado, typhoon. Benefit Amount Planned Premium Plus: Member Benefits 4 Terminal Illness loan 5 An interest-free loan of up to 75% of the net face amount of the Foresters life insurance coverage on a terminally ill insured person. Competitive Scholarships 6 Available every year to eligible members and their family who can qualify for up to $8,000 in support. Orphan Scholarships Per year per child, renewable for up to 4 years of full-time postsecondary education upon the death of: both parents, up to $6,000; a single parent, up to $3,000; one of two parents, up to $1,500. Benefit amount $250,000 $8,000 per child $24,000 per child Premium Common Carrier Accidental Death Rider Pays up to double the death benefit if the insured dies within 180 days from an accidental injury that occurred on a common carrier while riding as a fare-paying passenger, to a of $300,000. Accelerated Death Benefit Rider 2 Provides an option to accelerate a portion of the eligible death benefit and receive a payment 3. Subject to eligibility criteria and state variations, this rider can be issued with one or more of the eligible illnesses - Critical Illness, Chronic Illness or Terminal Illness with no additional premium. Total Planned Premium Orphan benefits $900 per month per orphan child under age 18, provided to the legal guardian upon the death of both parents. Everyday Money Toll-free access to accredited counsellors can help with everyday money issues, such as budgets and debt. Legal Link Access certain free and discounted legal services in your area. Connect with lawyers for help with a variety of issues including wills, home ownership and family law. $194,400 per child Invaluable Invaluable Not a deposit. Not FDIC insured. Not guaranteed by any bank or credit union. Not insured by any federal government agency. 2 This rider is not available for certificates issued with a base face amount of less than $20,000. On certificates where the insured s issue age is higher than 80 or issued as substandard, Terminal illness, where available, will be the only eligible illness issued. 3 The payment, due to diagnosis of an eligible illness, may be less than the acceleration amount which may be subject to a fee, an actuarial discount amount and other applicable deductions. Payment will decrease certificate values and benefits. 4 Foresters member benefits are non-contractual, subject to eligibility requirements and limitations and may be changed or cancelled without notice. Third parties administer Legal Link, Everyday Money and Foresters Competitive Scholarships. 5 Not available as a member benefit in the states of Illinois or New York or on Accidental Death products. 6 This program is administered by International Scholarship and Tuition Services, Inc. This brochure is provided for information purposes only; it does not form part of the Foresters Your Legacy Single Premium Whole Life participating life insurance contract and is not intended to amend, alter or change any of the terms and conditions of the contract. Refer to the Foresters Your Legacy Whole Life contract for your state for these terms and conditions. Life insurance contracts are issued by The Independent Order of Foresters, a fraternal benefit society. Foresters Your Legacy and its riders are subject to underwriting approval and may not be available or approved in all states, and state variations may apply. Foresters Your Legacy and its riders are filed under the following form numbers, where XX represents either US or your state s postal abbreviation, as applicable. The Independent Order of Foresters 789 Don Mills Road Toronto, ON Canada M3C 1T9 U.S. Mailing Address: P.O. Box 179 Buffalo, NY foresters.com Foresters Your Legacy: ICC14-WL-SPREM-XX01 or WL-SPREM-XX Accelerated Death Benefit Rider (for Chronic, Critical and Terminal Illness): ICC14-TRAD-ABRCHCRTI-US01 or TRAD-ABRCHCRTI-XX Accelerated Death Benefit Rider (for Critical and Terminal Illness): ICC14-TRAD-ABRCRTI-US01 or TRAD-ABRCRTI-XX Accelerated Death Benefit Rider (for Terminal Illness): ICC14-TRAD-ABRTI-US01 or TRAD-ABRTI-XX Common Carrier Accidental Death Rider: ICC11-WL-CCADR-US01 or WL-CCADR- XX Family Health Benefit Rider: WL-FHB-XX US (11/14)

13 Foresters our shared strength A careful guardian of our members interests Foresters is an international financial services provider, with members in the US, Canada and the UK. Our 140-year heritage as a fraternal benefit society a member-based life insurance provider for everyday families is the foundation of our guiding principle: enriching the lives of our members, their families and the communities they live in. We re not a faceless institution. We stand for something more. Foresters is an active part of your life, at every stage. Assets $10.5 billion 1 Surplus $1.7 billion 1,2 A (Excellent) rating 3 Foresters maintains a strong financial position, with assets of $10.5 billion CDN and a surplus of $1.7 billion CDN 1,2. The independent rating agency A.M. Best Company has given Foresters financial outlook an A (Excellent) 3 rating for excellent balance sheet strength and operating performance for 13 consecutive years. We focus on strong operational performance, careful management and a conservative investment strategy. Our financial strength has enabled us to weather even the worst business and market conditions. Like all life insurance providers, Foresters is monitored by federal and state regulators, who can take action when there are solvency concerns. As well, in the US, the National Association of Insurance Commissioners (NAIC) Risk-Based Capital (RBC) guidelines limit the amount of risk insurers can take and require insurers to maintain enough capital to meet their obligations to policyholders. Foresters RBC ratio exceeds the NAIC guidelines. Where solvency becomes an issue, State Guaranty Associations offer policyholders some protection. These associations were created by state legislation and funded by assessments made against participating insurers. Foresters, as a membership-based life insurance organization, is not a member of State Guaranty Associations, and has no obligation to pay assessments to deal with the financial situations of other insurers. Instead, Foresters can continue to invest to fund Foresters liabilities, provide benefits of membership to our members and help the communities in which they live. Without coverage from State Guaranty Associations, fraternal benefit society members may be subject to a special assessment. However, Foresters has assessed members only twice, the last time almost 100 years ago when members supported a special assessment to maintain a positive balance sheet during the First World War. 140 years

14 We share our financial success with our members Foresters has a history of sharing its financial success. In 2012, Foresters invested more than $17-million in member benefits that support our members and their communities. Since 2006, Foresters has invested over $10 million with KaBOOM!, the national non-profit dedicated to saving play. By the end of 2013, Foresters and KaBOOM! had built almost 100 new playgrounds across the US and Canada. Imagine, over a 15-year lifespan, these playgrounds will give more than 3.3 million children and their families an opportunity to spend quality time together. Since 1990, Foresters has helped raise over half a billion dollars for Children s Miracle Network Hospitals, a non-profit that raises funds for 170 children s hospitals across North America. Foresters believes in strong, supportive families. That s why we are pleased to become an official partner of Ronald McDonald House Charities (RMHC ). Beyond financial contributions, Foresters supports RMHC through volunteerism. Over the past four years, Foresters has organized more than 100 activities at local Ronald McDonald Houses, providing families with a sense of fun and comfort during an extremely stressful time. In addition, Foresters members received a $25-million special dividend in 2007 in the form of waiving premiums and/or providing additional death benefits on some older certificates. In 2002, Foresters waived the requirement to pay membership fees a value of approximately $40-million to members. And, in 1973, to celebrate Foresters 100th anniversary, the annual dividend was increased by 50% and paid in cash value. 1 Financial results as at December 31, This surplus represents excess funds above the amount required as legal reserves for insurance and annuity certificates in force and provides additional assurances to our members for our long term financial strength. 3 An A (Excellent) rating is assigned to companies that have a strong ability to meet their ongoing obligations to policyholders and have, on balance, excellent balance sheet strength, operating performance and business profile when compared to the standards established by A.M. Best Company. A.M. Best assigns ratings from A++ to F, A++ and A+ being superior ratings and A and A- being excellent ratings. In assigning Foresters rating on July 3, 2013, A.M. Best stated that the rating outlook is stable, which means it is unlikely to change in the near future. See ambest.com for our latest rating. Ronald McDonald House Charities, RMHC, Ronald McDonald House, Ronald McDonald Family Room, and Ronald McDonald Care Mobile are all registered trademarks of McDonald s Corporation or its affiliates and are used with permission. Foresters TM is the trade name and trademark of The Independent Order of Foresters, Toronto, Canada M3C 1T9; its subsidiaries are US (05/14) licensed to use this mark.