CHANGING FINANCIAL NEEDS

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ConfidentialLifeSettlements, Inc.
Our service is fast, thorough, and of course,
confidential!

• CHANGING FINANCIAL NEEDS
• MAY CREATE AN OPPORTUNITY
• FOR YOU IN THE
• NEW SENIOR
• LIFE SETTLEMENT MARKET!
• Let ConfidentialLifeSettlements
• Show You The Way!

Fact 47 of seniors over the age of 65 own life
insurance policies Bernstein Research 2005
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What Is A Life Settlement?
ConfidentialLifeSettlements, Inc.
Our service is fast, thorough, and of course,
confidential

• A Life Settlement is the sale of an existing life
  insurance policy to a third party for more than
  its cash surrender value -- but less than its net
  death benefit. In a life settlement, the insured
  is generally 65 or older and does not have a
  terminal or chronic illness.
• About 20 of all life insurance policies covering
  persons 65 or older have a value in the secondary
  market GREATER than the cash value of the policy
  or policies.
• If considering lapsing or cashing in an older
  policy, WE can help determine the value of that
  policy in the secondary market.

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What Are The Qualifications?
ConfidentialLifeSettlements, Inc.
Our service is fast, thorough, and of course,
confidential

• 70 years old, or above
• A policy face amount of 250,000 or more.
  Smaller amounts are sometimes acceptable.
• A Policy at least 2 years old, and written by a
  carrier with a rating of A or higher (A M Best
  Rating)
• All types of life insurance are acceptable,
  including Universal, Survivorship, Key-Man
  policies, Whole-Life, Term (convertible)

Fact Conning Research, 2005 stated that the
Life Settlement market grew to 5.5 billion in
face amount due to more aggressive marketing, and
an increase in capital.
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Why Would A Policy Owner Sell His Or Her Life
Insurance Policy?
ConfidentialLifeSettlements, Inc.
Our service is fast, thorough, and of course,
confidential

• A Life Settlement may provide a better
  alternative than lapsing an unneeded policy or
  surrendering it for its cash value. Life
  Settlements are considered for a variety of
  reasons including
• A policy is no longer wanted or needed (e.g.
  spouse dies, divorce, grown children who are
  financially responsible, etc.).
• Changes in estate law or financial plans,
  occurring after the policy is issued can cause an
  individual to consider lapse or surrender of a
  policy.
• Funds are needed to pay for long-term care or
  healthcare costs.

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Why Would A Policy Owner Sell His Or Her Life
Insurance Policy?
ConfidentialLifeSettlements, Inc.
Our service is fast, thorough, and of course,
confidential

• Premium payments have become unaffordable as the
  policy owner grows older.
• The sale could provide cash for an emergency
  situation or for investment purposes.
• Investment in the insurance is no longer
  appropriate.
• The sales could provides funds for charitable
  giving or to establish a charitable remainder
  trust.

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How Much Will The Owner Be Paid For His Or Her
Policy?
ConfidentialLifeSettlements, Inc.
Our service is fast, thorough, and of course,
confidential

• The value of a life insurance policy is
  determined by a number of factors, including, but
  not limited to, the age and medical condition of
  the insured, type of insurance policy, rating of
  the issuing insurance company and amount of
  premium payments to keep the life insurance
  policy in force.

Fact "We estimate that life settlements, alone,
generate surplus benefits in excess of 240
million annually for life insurance policyholders
who have exercised their option to sell their
policies at a competitive rate." - Wharton Study,
pg 6
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How Does The Process Work?
ConfidentialLifeSettlements, Inc.
Our service is fast, thorough, and of course,
confidential

• Step 1 The policy owner is required to
  complete a Life Settlement Application, and
  provide authorizations for release of medical
  information. The application is available on our
  website,
• www.ConfidentialLifeSettlements.com
• Step 2 When we receive the application, a
  complete file will be prepared including in-force
  ledgers and current APS reports.
  ConfidentialLifeSettlements then aggressively
  negotiates the highest possible settlement offer
  using multiple direct sources of institutional
  funding!

Fact 20 of the policies on insureds age 65
and over have a fair market value in excess of
their cash surrender value.
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How Does The Process Work?
ConfidentialLifeSettlements, Inc.
Our service is fast, thorough, and of course,
confidential

• Step 3 Change of ownership documents are
  completed and recorded by the insurance company,
  and funds are released to the previous owner as
  specified in the contracts.
• Step 4 A 15-day rescission period is
  applicable in most states, including North
  Carolina.

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Is The Process Confidential?
ConfidentialLifeSettlements, Inc.
Our service is fast, thorough, and of course,
confidential

• Absolutely NO medical, financial or personal
  information is disclosed to any person or entity
  without specific written consent, unless required
  by law!
• ConfidentialLifeSettlements, Inc. is committed
  to maintaining the confidentiality of all
  information submitted as part of the Life
  Settlement process.

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What Are The Potential Applications For A Life
Settlement?
ConfidentialLifeSettlements, Inc.
Our service is fast, thorough, and of course,
confidential!

• There are a variety of situations in which the
  secondary market sale of a policy is warranted
• The need for the coverage no longer exists or
  the policy owner wishes to reduce the number of
  life policies.
• The beneficiary may be deceased
• A reduction in estate tax liability
• An increase in liquidity
• Debt is eliminated or reduced
• Gifting limits may be exhausted
• Life insurance for buy sell agreement or key man
  may no longer be needed.
• The premiums have increased and are no
  longer affordable
• A new Survivorship life policy now makes more
  sense.

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Case Scenarios
ConfidentialLifeSettlements, Inc.
Our service is fast, thorough, and of course,
confidential

• Universal Life Insurance
• Female age 79
• Face amount 2 Million
• Cash Value 84,000
• Life Settlement 280,000!
• _________________________

• Corporate CEO is retiring due to decline in
  health status. He was given the choice of
  keeping his 12,000,000 Universal Life policy as
  part of his retirement package or taking the
  700,000 in cash value. The CEO opted to explore
  the possibility of a Life Settlement. He
  received 1.8 million through a Life Settlement,
  which in turn he used to fund Survivorship Life
  policy as well as maintaining additional
  retirement funds.

• Male age 66
• 10,000,000 conversion
• Premiums 190,000
• Cash Surrender Value 0
• Life Settlement 2,300,000!

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What Are The Tax Implications?
ConfidentialLifeSettlements, Inc.
Our service is fast, thorough, and of course,
confidential

• Generally, the dollar amount of the settlement
  that equals the cost basis (usually the aggregate
  amount of premiums that have been paid) is not
  taxable.
• If a policy is surrendered, the amount in
  excess of the cost basis - up to the cash
  surrender value - that would come from the
  insurance company is taxed at ordinary income tax
  rates.
• The amount received in a Life Settlement in
  excess of the cash surrender value is taxed as
  capital gain.

Fact The above expresses the most commonly held
tax opinion regarding life settlements issued in
1997 by KPMG Peat Marwick. Advice from a
professional tax advisor is recommended.
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Partner With The Best.. ConfidentiaLifeSettlement
s!
ConfidentialLifeSettlements, Inc.
Our service is fast, thorough, and of course,
confidential

• Experienced staff with over 8 years experience
  handling Life Settlement cases
• Solid relationships with top direct capital
  sources for Life Settlement funding

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ConfidentialLifeSettlements, Inc.
Our service is fast, thorough, and of course,
confidential

• Gene Pleasants, CLU 919 256-6521 (direct) 919
  418 8170 (mobile)
• Email gene_at_confidentiallifesettlements.com
• Location 3820 Merton Dr., Ste. 100, Raleigh,
  N. C. 27609
• Doris Comerford, CLTC, Brokerage Manager 336 852
  2786
• Email doris_at_confidentiallifesettlements.com
• Location 201 Pomona Dr., Greensboro, N. C.
  27407
• CHANGING FINANCIAL NEEDS MAY CREATE AN
• OPPORTUNITY FOR YOU IN THE
• NEW SENIOR LIFE SETTLEMENT MARKET.
• www.ConfidentialLifeSettlements.com