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Fidelity & Guaranty Life
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
Agenda
1. Single Premium IUL: FG Life-Heritage
1. Product Features
2. Accept/Reject Point of Sale Underwriting Process
2. FIUL Products: FG Life-Choice and FG Life-Elite
1. Product Features
2. Index Features
3. Sales Concepts
3. FIUL Past Performance
4. Fidelity & Guaranty Life
1. Service
2. Power Producer Program
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PRESENTED BY: PRESENTED ON:
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Single Premium IUL: FG Life-Heritage
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
FG Life-Heritage
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The FG Life-Heritage is a single premium indexed universal life product.
The FG Life-Heritage offers immediate wealth creation with a 10%
premium bonus, ROP rider, living benefit rider!
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
Index Features: FG Life-Heritage
FG Life-Heritage
Interest Crediting Options*
S&P 500 Option
Fixed Account Option
Any combination of all interest crediting options
Crediting MethodologyAnnual Point-to-Point
Monthly Point-to-Point
Participation Rate 100% and 140% Guaranteed (in the indexing formula) for APTP/ 100% Guaranteed for MPTP
Cap** Currently 6% on 100% par/ 5.5% on 140% par/ 2.75% on MPTP 100% par
Guaranteed Minimum Interest Rate 0.25%
Fixed Account Currently 3%
5 *Subject to state availability. Certain restrictions may apply**Cap rates are subject to change at the discretion of Fidelity & Guaranty Life
. FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
Strong Caps and Downside Protection
• 6% cap on Annual Point-to-Point with 100% guaranteed participation rate indexing option
• 5.5% cap on Annual Point-to-Point with 140% guaranteed participation rate indexing option
• 2.75% cap on Monthly Point-to-Point indexing option
• 3% on fixed account option
• 0.25% guaranteed interest rate – Downside Protection
Interest rates subject to change at Insurer’s discretion and are effective annual interest rates.
Indexed Interest rates are subject to a cap. Cap rates are subject to change at the discretion of Fidelity & Guaranty Life
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Product Features: FG Life-Heritage
FG Life-Heritage
Minimum Face Amount $25,000
Maximum Face Amount$500,000 (Age 50-76)$250,000 (Age 77-85)
Issue Ages 50-85 (age last birthday)
Surrender Charge Period 14 years
Underwriting Classes Standard Nontobacco, Standard Tobacco, table 4
Premium Test CVAT
Key Features
(May not be available in all states)
No Lapse Guarantee to age 110
Guaranteed Return of Premium Rider
10% Premium Bonus
Critical Illness Rider
Terminal Illness Rider
Accept/Reject Point of Sale Underwriting
CommissionsCommissions are paid on the single premium amount, FG Life-Heritage production
does not count toward the power producer program
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Tax-Free Death Benefit
Example:
What does $50,000 Single Premium Buy - NT
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Net Death Benefit Year One
Age Male Female
50 $154,005 $172,118
60 $113,025 $126,495
70 $86,657 $96,296
80 $69,527 $75,852
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC.
with 4.61% interest rate
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Product Features
• Tax-Free Death Benefit
• No Lapse Guaranteed
• Immediate Liquidity with ROP rider
• 10% Premium Bonus
• Terminal and Critical Illness Rider
• Strong caps and downside protection
• Policy Loans Available
• Accept/Reject Point of Sale Underwriting Process9 FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC.
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No Lapse Guarantee
No Lapse Guarantee
If no loans or partial surrenders are taken, the policy is guaranteed not to
lapse prior to its maturity at age 110
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Immediate Liquidity in case life changes your plans…
Return of Premium
Minimum surrender value will always be at least 100% of
the premium you paid, less any loan balance or net
partial surrenders previously taken.
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Afraid You Can’t “Get Out”?
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC.12-473
10% Premium Bonus
10% Premium Bonus
10% Upfront premium bonus that is credited to the initial single premium
amount on date of issue. All charges will be taken from the policy after the
bonus has been credited
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• “Living Benefits”
– Terminal Illness – Will pay up to 100% of death benefit if a doctor certifies that the insured’s death is expected within 24 months
– Critical Illness – Will pay up to 100% of the death benefit when an insured suffers a heart attack, stroke, cancer, or end-state renal failure
Features may not be available in all state.
Please refer to your policy for full details.
In some states features may require a one-time administration fee up to $500 dollars.
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Afraid Health Changes Your Plans?
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Accept/Reject POS Underwriting
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Easy as 1,2,3
Easy 3 step process, No blood work or medical exam needed!
• Step 1: Take an Application
– If no “yes” answers in health section proceed to step 2– If “Yes” answer, skip to step 3.
• Step 2: Complete a 15 minute Phone Interview
‒ After interview underwriting decision will be made and policy number will be given
• Step 3: Submit the application
– 30 days to submit application with Cash
– 75 days to submit the application and receive 1035 exchange
– Applications with a “yes” answer in the health section must be submitted to the company.
– DO NOT submit application unless telephone interview is complete15
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Recap
• Tax-Free Death Benefit
• No Lapse Guaranteed
• Immediate Liquidity with ROP rider
• 10% Premium Bonus
• Terminal and Critical Illness Rider
• Strong caps and downside protection
• Policy Loans Available
• Accept/Reject Point of Sale Underwriting Process16
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
PRESENTED BY: PRESENTED ON:
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FIUL Products: FG Life-Choice and FG Life-Elite
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
FG Life-Choice
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The FG Life-Choice is strongest in the death benefit sale and used as a term alternative solution with strong cash value accumulation potential offering NO EXTRA PER THOUSAND CHARGES; offers competitive caps and two years to collect first-year commissions on less than target premium sales.
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
FG Life-Elite
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The FG Life-Elite is a strong tax-free income product with a maximum guaranteed variable loan rate of 5%, high caps (15.25% on the 100% PAR Annual Point-to-Point option), and high target premiums.
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Product Features:
FG Life-Choice FG Life-Elite
Minimum Face Amount
$100,000 $100,000
Issue Ages 0-80 (age last birthday) 0-80 (age last birthday)
Surrender Charge Period
15 years 15 years
Underwriting Classes
Preferred Nontobacco, Standard Nontobacco, Preferred Tobacco, Standard
Tobacco
Preferred Nontobacco, Standard Nontobacco, Preferred Tobacco, Standard
Tobacco
Key Features
(May not be available in all
states)
Surrender Charge Waiver on Excess Premium
Over Loan Protection
Primary Insured Level Term
Ultimate Protection Rider
Unique Living Benefit Riders
Over Loan Protection
Primary Insured Level Term
Ultimate Protection Rider
Unique Living Benefit Riders
Loan Options
(May not be available in all
states)
Variable Loan Option
• Max rate of 6.5%
Fixed Loan Option
• Years 1-10 – 2% net
• Years 10+ – 0% net cost
Variable Loan Option
• Max rate of 5%
Fixed Loan Option
• Years 1-10 – 2% net
• Years 10+ – 0% net cost
20 12-473FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC.
Living Benefits
• Accelerated Benefit for Critical Illness – Up to 100% of the death benefit of the insured if the insured suffers a critical condition (heart attack, stroke, cancer etc)*
• Accelerated Benefit for Terminal Illness – Up to 100% of the death benefit if the insured is diagnosed with a terminal illness and has an expected life expectancy of less than 24 months*
• Over Loan Protection Rider – Prevents the life insurance contract from lapsing as a result of outstanding loans
• Waiver of Monthly Deduction Rider – Keeps policy in force by waiving the monthly charges should the insured become totally disabled for longer than 6 months
*Not to exceed $500,000 12-473FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC.21
Index Features:
FG Life-Choice FG Life-Elite
Interest Crediting
Options*
S&P 500 Option
Fixed Account Option
Any combination of all interest crediting options
S&P 500 Option
Fixed Account Option
Any combination of all interest crediting options
Crediting
Methodology
Annual Point-to-Point Reset
Monthly Point-to-Point Reset
Annual Point-to-Point Reset
Monthly Point-to-Point Reset
Participation Rate100% and 140% Guaranteed (in the
indexing formula)100% and 140% Guaranteed (in the
indexing formula)
Cap Currently 10.5% on 100% par/ 9% on
140% par/ 4% on MPTPCurrently 15.25% on 100% par/ 12.25% on
140% par/ 5.5% on MPTP
Guaranteed Minimum
Interest Rate.25% .25%
Fixed Account Currently 4.00% Currently 4.5%
*Subject to state availability. Certain restrictions may apply. 12-473FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC.22
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Current Illustrative Interest Rates for FG Life-Choice• 7.05% on 100% Participation Rate Strategy (10.5% Cap)
• 6.56% on 140% Participation Rate Strategy (9% Cap)
• 7.70% on the Monthly PT-to-PT Strategy (4% Cap)
• 4% on Fixed Option
Current Illustrative Interest Rates for FG Life-Elite• 8.98% on 100% Participation Rate Strategy (15.25% Cap)
• 8.53% on 140% Participation Rate Strategy (12.5% Cap)
• 9.50% on the Monthly PT-to-PT Strategy (5.5% Cap)
• 4.5% on Fixed Option
Current Illustrative Rates
12-473FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC.
Minimum Guaranteed Interest Rate – .25%
on all Participation Rate Strategies
Annual Point to Point
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JAN 15S&P 1000
FEB 15S&P 1015
+1.5
MAR 15S&P 1040
+2.46
APR 15S&P 1000
-4
MAY 15S&P 1075
+5
JUN 15S&P 1080
+.47
JUL 15S&P 1100
+1.85AUG 15
S&P 1070
-2.73
SEPT 15S&P 1090
+1.85
OCT 15S&P 1110
+1.83
NOV 15S&P 1130
+1.80
DEC 15S&P 1100
-2.65
JAN 15S&P1075
-2.27TOTAL INDEX CREDIT 7.5%
1075-1000=75; 75/1000 = .075
Monthly Point-to-Point
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JAN 15S&P 1000
FEB 15S&P 1015
+1.5
MAR 15S&P 1040
+2.46
APR 15S&P 1000
-4
MAY 15S&P 1075
+7.5+5
JUN 15S&P 1080
+.47
JUL 15S&P 1100
+1.85AUG 15
S&P 1070
-2.73
SEPT 15S&P 1090
+1.85
OCT 15S&P 1110
+1.83
NOV 15S&P 1130
+1.80
DEC 15S&P 1100
-2.65
JAN 15S&P 1075
-2.27TOTAL INDEX CREDIT 5.11%
Index Credit = 1.5+2.45-4+5+.47+1.85-2.73+1.85+1.83+1.8-2.65-2.27 = 5.11
PRESENTED BY: PRESENTED ON:
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Sales Concepts
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
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FG Life-Choice ROP
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
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FG Life-Choice ROP
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FG Life-Choice to Double Endow
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FG Life-Choice to Double Endow
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FG Life-Elite Dare to Compare
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FG Life-Elite Caps Rise
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Past Performance of FGL
FIUL Products
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
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Past Quarterly Index Allocations on 1980 CSO
Master Choice APTP 100 Parsince November 2003
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
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FIUL Past Performance
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Period S&P Performance Index Int. Credit Duration (years)
Feb 04 - 13 5.51% 6.70% 9
May 04 - 13 6.87% 7.73% 9
Aug 04 - 13 5.82% 7.91% 9
Nov 03 - 13 7.73% 7.74% 10
Weighted Average 6.52% 7.53%
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PRESENTED BY: PRESENTED ON:
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Monthly Index Allocations onFG Life-Choice and FG Life-Elite since December 2010
100% PAR
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
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Period S&P 500 Performance Index Int. Credit Duration (years)
Jan 11 - 13 6.85% 6.50% 2
Feb 11 - 13 7.15% 6.57% 2
Mar 11 - 13 10.35% 10.35% 2
Apr 11 - 13 8.56% 7.89% 2
May 11 - 13 12.37% 6.04% 2
Jun 11 - 13 14.09% 9.06% 2
Jul 11 - 13 13.57% 7.42% 2
Aug 11 - 13 17.44% 13.50% 2
Sept 11 - 13 18.51% 13.50% 2
Oct 11 - 13 18.92% 13.50% 2
Nov 11 - 13 20.23% 9.80% 2
Dec 11 - 13 13.66% 8.33% 2
Weighted Average 13.48% 9.33%
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Monthly Index Allocations onFG Life-Choice and FG Life-Elite since December 2010
140% PAR
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
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Period S&P 500 Performance Index Int. Credit Duration (years)
Jan 11 - 13 6.85% 6.00% 2
Feb 11 - 13 7.15% 6.30% 2
Mar 11 - 13 10.35% 11.75% 2
Apr 11 - 13 8.56% 8.15% 2
May 11 - 13 12.37% 5.06% 2
Jun 11 - 13 14.09% 9.28% 2
Jul 11 - 13 13.57% 6.99% 2
Aug 11 - 13 17.44% 11.25% 2
Sept 11 - 13 18.51% 11.25% 2
Oct 11 - 13 18.92% 11.25% 2
Nov 11 - 13 20.23% 10.32% 2
Dec 11 - 13 13.66% 7.33% 2
Weighted Average13.48% 8.69%
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PRESENTED BY: PRESENTED ON:
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Past Monthly Index Allocations on the new FG Life Elitesince November 2012
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Since the introduction of the new FG Life-Elite product in November 2012, there has been 2 monthly index allocation
Beginning Date Beginning Value Ending Date Ending Value Gain (Loss)100 Par Allocation
%140 Par Allocation
%MPTP Allocation
%
11/15/2012 1353.33 (11/12) 11/15/2013 1798.18 (11/13) 444.85 13.50% 11.50% 24.23%
12/15/2012 1430.36 (12/12) 12/15/2013 1786.54 (12/13) 356.18 13.50% 11.50% 19.08%
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Recap
The FG Life Advantage!
• Simple Indexing Strategies
• Living benefit riders
• Maximum guaranteed variable loan rates!
• A .25% minimum guaranteed interest rate in down years
• Competitive target premiums
4212-473FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC.
WHY
FIDELITY & GUARANTY LIFE
4312-473FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC.
Fidelity & Guaranty Life Advantage
Did You Know That … Fidelity & Guaranty Life:
• Has 2 of the top selling Fixed Indexed Universal Life products in the marketplace with the, FG Life-Choice, FG Life-Elite!
• Recently introduced in December 2013 the FG Life-Heritage a new Single Premium Indexed Universal Life Product.
• Brand new IUL iPad App, and Annuity iPad App! With e-app capability currently being tested
• Has an average underwriting time service of 7-10 days on In Good Order life applications!!
• Has a dedicated Case Management Unit that works directly with producers to help get cases through the system!!
• Has a Platinum Life Case Unit to handle large premium cases and very competitive Foreign National Underwriting Guidelines!!
• Pays commissions weekly and will advance up to $3,500 per case on approved producers!!
• Power Producer Program – offering agents a deferred compensation plan.
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11-18112-473FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC.
THE POWER PRODUCER PROGRAM BUILD YOUR SUPPLEMENTAL
RETIREMENT NEST EGG
4512-473FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC.
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YearQualification
LevelCredit
Amount
2009 120,000 2,000
2010 120,000 2,000
2011 90,000 2,000
2012 80,000 2,000
2013 90,000 TBD
2014 1.5M Points
FOR PRODUCER USE ONLY – NOT FOR USE WITH THE GENERAL PUBLIC
“This program is tantamount to
F&G providing a private pension
plan, a rare commodity in the
world of an independent advisor.”
- Jim B.
New Jersey
13-135
Life Power Producer Program
12-473FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC.
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Life Power Producer Program
Example
FOR PRODUCER USE ONLY – NOT FOR USE WITH THE GENERAL PUBLIC
4,000
$2,000
$3,000
$2,000
$4,000
$3,000
$2,000
$4,000
$2,000
$6,000 $9,000 $11,000 $15,0004,000
$3,000
$4,000
$2,000
$4,000
4,000
Qualifying Year 1
(Vesting 0%)
2009
Qualifying Year 2
(Vesting 20%)
2010
Qualifying Year 3
(Vesting 40%)
2011
Qualifying Year2013
Qualifying Year 4
(Vesting 60%)
2012
Annual Deposit
Account Value $10,000 $19,000 $30,000 $45,000$4,000Annual Deposit values assume that annuity contract persistency is 100%. Account Values assume that accumulation is zero.
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$2,000
12-473FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC.
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Power Producer Program
What our Power Producers are saying……
“One of my objectives for the first quarter of each year is to secure at least 1
Power Producer credit, thus ensuring the rich, progressive nature of the
program. And while doing so, qualifying for the annual Power Producer
Conference is a stones throw away.”
“This is the best income rider in the industry for agents.”
“It's nice to have a business partner that understands how critically
important it is to help me plan for my future, while I help my clients with
theirs!”
“The Power Producer deferred comp program is a terrific way for 1099
commission agents like myself to be afforded a "pay for performance" way
of ensuring that my individual retirement accounts will be significantly
augmented to help support my retirement lifestyle in the future.”
13-135FOR PRODUCER USE ONLY – NOT FOR USE WITH THE GENERAL PUBLICAll quotes solicited by Fidelity & Guaranty Life distribution team in March 2013
12-473FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC.
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Who to Call
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
PRESENTED BY: PRESENTED ON:
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Thank you for your business!!!
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE GENERAL PUBLIC. 12-473
Disclosures
Policies issued by Fidelity & Guaranty Life Insurance Company, Baltimore, MD.
Fidelity & Guaranty Life is the marketing name for Fidelity & Guaranty Life Insurance Company issuing insurance in the United States outside of New York and, in New York only, Fidelity & Guaranty Life Insurance Company of New York. Each Fidelity & Guaranty Life Insurance Company, is solely responsible for its contractual commitments
Optional provisions and riders may have limitations, restrictions and additional charges. Subject to state availability. Certain restrictions may apply.
This document is not a legal contract. For the exact terms and conditions, please refer to the life insurance policy.
Information provided regarding tax or estate planning should not be considered tax or legal advice. Clients should consult their own tax professional or attorney regarding their unique situation.
“S&P® ” is a trademark of The McGraw-Hill Companies, Inc. and has been licensed for use by Fidelity & Guaranty Life Insurance Company. Standard & Poor’s does not sponsor, endorse, promote, or make any representation regarding the advisability of purchasing the contract.
Indexed interest rates are subject to a cap. Caps are subject to change at the discretion of Fidelity & Guaranty Life Insurance Company.
Issuance of the life insurance policy depends on answers to health questions in the application.
Surrender charges may apply to partial and full surrenders. Surrenders may be taxable and may be subject to penalties prior to age 59½.
Surrenders and loans may reduce available death benefit. Surrenders beyond basis may be taxable income. Excessive and unpaid loans may reduce policy value and may cause the policy to lapse.
The Power Agent Program is a deferred bonus compensation plan for eligible appointed agents of Fidelity & Guaranty Life Insurance Company. Terms are stated in the Power Agent plan document, which Fidelity & Guaranty Life may amend, limit or terminate at any time.
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