LNL0529 0410

OpportunityWhat is important to you?

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Income Opportunities

Benefits

Financial Strength

Flexible Markets

Training

Advancement Opportunities

Integrity

Incentives

What is Important to You?

I. Strong Earning Potential

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Top 10 Agent Incomes in 2009

$428,173$361,873$332,789$299,384$273,459

$245,275$208,696$207,912$198,846$183,459

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$428,173$361,873$332,789$299,384$273,459

$245,275$208,696$207,912$198,846$183,459

Strong Earning Potential

$56,948 average

First Year Income

* 2009 Company stats. Average for Agents that complete 12 months with company

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What is Important to You?

I. Strong Earning PotentialII. Financial Stability

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Defining Liberty National

• Organized in 1900 as a Fraternal Benefit Society

• Incorporated in 1929

• Licensed to operate in 49 States

Stability

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Defining Liberty National

• More than $44 Billion of Insurance in force (as of 12/09)

• Currently operating more than 180 offices in cities across the nation — and growing!

Stability

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TORCHMARK CORPORATE PROFILETMK — NYSE

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Torchmark Corporation Affiliate Companies

United Investors Life Insurance Company• Individual Life Insurance• Annuities• Independent Agents nationwide

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Torchmark Corporation Affiliate Companies

Globe Life And Accident Insurance CompanyGlobe Marketing Services• Individual Life coverage• Special Senior Life coverage• Direct Response nationwide

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Torchmark Corporation Affiliate Companies

Globe Life And Accident Insurance CompanyEmployee Services Division• Federal and State employees

Life coverageCancer coverage

• More than 320 Agents nationwide

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Torchmark Corporation Affiliate Companies

American Income Life Insurance Company• Union and Credit Union members

Individual Whole Life coverageIndividual Supplemental Health coverage

• More than 3,600 Agents worldwide

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Torchmark Corporation Affiliate Companies

United American Insurance CompanyBranch Office Division• Basic and Supplemental Insurance, including

Individual Health coverageMedicare Supplement coverageIndividual Life Insurance

• More than 1,000 exclusive Agents nationwide in Company sponsored Branch Offices

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Torchmark Corporation Affiliate Companies

United American Insurance CompanyGeneral Agency Division• Basic and Supplemental Insurance, including

Individual Health coverageMedicare Supplement coverageIndividual Life Insurance

• More than 15,000 independent Agents in U.S. and Canada

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Torchmark Corporation Affiliate Companies

Liberty National Life Insurance Company• Individual Life Insurance • Individual Supplemental Health Insurance• More than 2,800 full-time representatives in

180+ branch offices across the country

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Defining Liberty National

• A+ (Superior)From A.M. Best Company (as of 6/09)

• AA- “Very Strong”By Standard & Poor’s (as of 6/09)

• A1By Moody’s (as of 1/09)

• A+ “Strong”Insurer’s Financial Strength Rating from Fitch (as of 6/09)

Stability

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Defining Liberty NationalService2009 Liberty National Performance Record

4,210,374

181,647

235,695

586,183

Total Policies in Force

Total Claim Transactions

Policies Issued

Customer Calls Serviced

* Based on Company statistics19

Defining Liberty NationalService2009 Liberty National Performance Record

86%

7.87.66.0

Customer Calls Answered(Within 20 Seconds)

Turnaround Times(In Calendar Days)

Life ClaimsHealth ClaimsAll Policies Issued

* Based on Company statistics20

What is Important to You?

I. Strong Earning PotentialII. Financial StabilityIII. Broad Product Range/Flexible Markets

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Flexible Markets – Individual • Most people recognize the need for life

insurance to protect their familiesSafety net that catches family when tragedy strikes

• Last year 56% added to rather than canceled or decreased coverageExtra protection from financial vulnerability

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Source: In Down Economy, Americans Consider Life Insurance More Important Than Ever, http://lifehappens.org, September 23, 2009

Flexible Markets – Worksite • Employers want to scale back costs and still

provide benefits• Most employees prefer to purchase insurance

in the workplace• Advantages

Convenience of Payroll DeductionFreedom of ChoicePortabilityDependent/spouse coverage is available

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Broad Product Range• Whole and Term Life • Supplemental Health

CancerCritical IllnessAccidentHospital Intensive CareHospital Income

• Annuities• And more!

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What is Important to You?

I. Strong Earning PotentialII. Financial StabilityIII. Broad Product Range/Flexible MarketsIV. Support/Training

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Support

• Direct-response Internet Leads• Direct-response Mail Leads• Direct-response Telemarketing Leads• New Mortgage and Refinance Leads

Leads & Marketing – Individual Market

* Products and Ads may vary by state26

Support

• Home Office Inquiry Leads• Globe Leads and Lapses• Policyholder Referral Leads• Past Responders

Leads & Marketing – Individual Market

* Products and Ads may vary by state27

Support

• Small Business Leads• Judy Diamond Leads• Dunn & Bradstreet Leads• Telemarketing Leads

Leads & Marketing – Worksite Marketing

* Products and Ads may vary by state28

Training

• Live, individualized trainingBoth field and in-office

• Internet Training and Testing24/7

• Home Office sponsored Training Seminars

Education Opportunities

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Training

• Audio-visual aids• LUTC studies subsidized by the Company• Sales tracking to lead source• Management assistance and advice

Education Opportunities

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What is Important to You?

I. Strong Earning PotentialII. Financial StabilityIII. Broad Product Range/Flexible MarketsIV. Support/TrainingV. Benefits/Retirement

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Benefits

• Group Major Medical for you and your family

• Retirement planentirely non-contributory

• 401(K) with 35% match

Employee Benefits (for those who qualify)

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Benefits

• Disability Insurance• Dental Insurance• Group Life Insurance

Employee Benefits (for those who qualify)

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Benefits

• Vacations• Stock Purchase Plan

through payroll deduction

• Cafeteria Plan with flexible spending account

Employee Benefits (for those who qualify)

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Benefits

• Torch Club Incentive conventions to exciting locations

• Sales Incentive Trips sales growth contests

• Company-sponsored Lead Program• Intensive Training

Employee Benefits (for those who qualify)

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Retirement

• No Employee contributions• Company makes

contributions from profits• Based on Employee’s age

and earnings• Partially vested after 2 years• Fully vested in 6 years

Defined Contribution Retirement Plan

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Retirement

• Pre-tax basis contributions made by employee• Company matches 35%

Up to 6% of your comp

• Diversified group of investment funds• Match is vested after 2 years, fully in 6 years• Eligible to start after 1 year

401(K)

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What is Important to You?

I. Strong Earning PotentialII. Financial StabilityIII. Broad Product Range/Flexible MarketsIV. Support/TrainingV. Benefits/RetirementVI. Incentives

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Incentives

Convention locales have included:

•Caesars Palace, Las Vegas•Fontainebleau Hotel, Miami•Caribbean Cruise•Puerto Rico•Atlantis Resort, Bahamas

Torch Club Sales Convention Destinations

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What is Important to You?

I. Strong Earning PotentialII. Financial StabilityIII. Broad Product Range/Flexible MarketsIV. Support/TrainingV. Benefits/RetirementVI. IncentivesVII. Earn According to Your Efforts

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Earn According to Your Efforts

If $100,000 per year jobs were easy …

EVERYBODY WOULD HAVE ONE!

Work the business model!

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Earn According to Your EffortsWhole Life Pay Example

Assuming $50,000 policy purchased on Bank Budget, Direct Pay, BASED ON MAXIMUM BONUS AND MAXIMUM COMMISSION

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Earn According to Your EffortsThe Business Model That Works!

240 Contacts 10%

5 Sales per Week $421 $2,105

$2,105 52 Weeks $109,460

24 Appointments per Week

Assuming $50,000 policy purchased on Bank Budget, Direct Pay, BASED ON MAXIMUM BONUS AND MAXIMUM COMMISSION

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Earning According to Your Effort

# Policies Sold per Week

Income (Whole Life)

Weekly Earnings Estimated Annual Earnings

4 $1,684 $87,593

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Assuming $50,000 policy purchased on Bank Budget, Direct Pay, BASED ON MAXIMUM BONUS AND MAXIMUM COMMISSION

Earning According to Your Effort

# Policies Sold per Week

Income (Whole Life)

Weekly Earnings Estimated Annual Earnings

5 $2,105 $109,491

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Assuming $50,000 policy purchased on Bank Budget, Direct Pay, BASED ON MAXIMUM BONUS AND MAXIMUM COMMISSION

Earning According to Your Effort

# Policies Sold per Week

Income (Whole Life)

Weekly Earnings Estimated Annual Earnings

6 $2,526 $131,390

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Assuming $50,000 policy purchased on Bank Budget, Direct Pay, BASED ON MAXIMUM BONUS AND MAXIMUM COMMISSION

Earning According to Your Effort

# Policies Sold per Week

Income (Whole Life)

Weekly Earnings Estimated Annual Earnings

10 $4,211 $218,983

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Assuming $50,000 policy purchased on Bank Budget, Direct Pay, BASED ON MAXIMUM BONUS AND MAXIMUM COMMISSION

What is Important to You?

I. Strong Earning PotentialII. Financial StabilityIII. Broad Product Range/Flexible MarketsIV. Support/TrainingV. Benefits/RetirementVI. IncentivesVII. Earn According to Your EffortVIII. Advancement

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Advancement Opportunities

The Unit Manager position is the “Growth Position” at Liberty National

Unit Manager

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Unit Manager Pay Example• ASSUME:

A New Agent sells five $38 policies in one week and that Agent is at 40% Bonus Level

Advancement Opportunities

Assuming $50,000 policy purchased on Bank Budget, Direct Pay, BASED ON MAXIMUM BONUS AND MAXIMUM COMMISSION

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Advancement OpportunitiesUnit Manager Pay Example

Assuming $50,000 policy purchased on Bank Budget, Direct Pay, BASED ON MAXIMUM BONUS AND MAXIMUM COMMISSION

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Advancement OpportunitiesUnit Manager Pay Example Commission Payment

Override of 40% for Unit Manager(Assuming Agent employed 6 months or less)

Assuming $50,000 policy purchased on Bank Budget, Direct Pay, BASED ON MAXIMUM BONUS AND MAXIMUM COMMISSION

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Advancement Opportunities

• REMEMBER – The Agent was at 40% Bonus Level

• The Agent is paid 40% of the $2,111 or $844.40

Unit Manager Pay Example Commission Payment

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Advancement OpportunitiesUnit Manager Pay Example Bonus Payment

Unit Manager will get a Weekly Production Bonus of 60% of whatever the Agent’s Bonus is. So …

Assuming Agent has been contracted 13 weeks or lessAssuming $50,000 policy purchased on Bank Budget, Direct Pay, BASED ON MAXIMUM BONUS AND MAXIMUM COMMISSION

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Advancement OpportunitiesUnit Manager Pay Example

Commission = $844.40

Bonus = $506.64

$1,351.04

from 1 Agent in 1 Week!

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Advancement OpportunitiesUnit Manager Pay Example Bonus Payment

3 Agents working the business model each week …

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Advancement

100% Merit Based Promotions through

“Promote Promotion” program.

A Fast Track Management Training

Program

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Are You Ready to Get Started?

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