We have you covered.

FHG EMPLOYEE BENEFITS & PENSION DIVISION

October 29, 2013

• Do you have a current client with a group benefit plan in place?

• Do you have a current client who has a position of influence at his employment?

• Are you “Agent of Record” on the current group plan and not sure where to get advise on how to market or negotiate a renewal?

• Do you have the back office to do the marketing and renewals for your group block of business?

• Do you need the group expertise available to do a full analysis of group marketing results?

• Do you find it tough to keep up to date on all the changes in the employee benefit market?

WHY SELL GROUP- Scott Burrell Manulife Group

• Additional compensation increasing ‘annual’ revenue stream

• Cross Selling Opportunities

• Benefits both the Employer and Employee

• The Opportunity

• Time to Pivot?

WHY SELL GROUP

Revenue Projections

Total Total TotalNumber of Revenue Number of Revenue

New Group Cases Earned on Group At end Year Written New Cases Cases Of Year

1 5 10,500 5 10,500

2 3 7,625 8 18,125

3 2 3,875 10 22,000

4 2 3,875 12 25,875

5 2 3,875 14 29,750

Cross Selling

Daytime Activity

Employee meetings

Cross Selling- Employee data Sheet…………

Why sell Group Insurance? - Cross Selling

Employee Data Listing – A gold mine of information

  Name Sex Age or

Hire Date

Occupation

Prov

Coverage Annual Salary

Hours per week

Date of

Birth

(mmm/yyyy)

(S,F,W)

(mmm/yyyy)

  EHC Dental

1                                    

                       

2                                    

                       

ADVANTAGES OF GROUP BENEFIT PLANS

To the Employer:

Benefits foster a healthy workforce and consequently improve employee morale, productivity and efficiency

Adding a Benefits plan helps the Employer to retain and attract good employees and premiums paid by the Employer are tax deductible as a business expense

Health and dental plans allow employers to reward their employees by providing them with a form of compensation that is not taxable in most provinces.

Because employees receive the full benefit of every dollar the employer spends, employees can get more out of their benefit plan than they would a pay increase.

ADVANTAGES OF GROUP BENEFITS PLANS

To the Employee:

• Employer pays part or all of the cost

• Adds financial security for the employee’s family

• Some group life and disability contracts allow conversion to individual/personal contracts without medical evidence

• No need to use after-tax money to purchase various types of insurance policies

• Usually doesn’t require medical evidence

• Insurance is less expensive to obtain through a group plan than in the individual insurance market

• Access to products that might not be available individually

“The Opportunity”

2013 Small Business research Report

Only 47% of respondents have a benefits plan.

Of those owners without a plan, reducing employee turnover(28%)or attracting top talent (17%) are important motivators for implementing one.

Time to Pivot?

Pivot- “to change direction”

Employee Benefits and Pension Division

John Murray – National Director

We have you covered.

FINANCIAL HORIZONS GROUP

FHG EMPLOYEE BENEFITS & PENSION DIVISION

Offers a value-added service to you by:

- negotiating and leveraging directly with our selected Group Carriers partners

- providing client-ready solutions for your client’s employee benefits needs.

- ensuring we able to match your client’s needs with the best carrier fit

We offer expertise and training to compliment and support your marketing needs.

We have you covered.

MGA Broker Support

Our knowledge, experience and carrier relations offer you, the Broker, the “purchasing power” and focus you need to succeed.

We create practical and creative solutions for Brokers and offer value-added marketing services to create a win-win solution for our Canadian insurance carriers and independent brokers.

AND you receive 100% of the commissions!!!

We have you covered.

If the client is paying $8,500 per month, the annualized premium is $8,500 X 12 months = $102,000.

initial $10,000 premium X 10% = 1,000+ next $15,000 premium X 7.5% = 1,125+ next $25,000 premium X 5.0% = 1,250+ next $50,000 premium X 3.0% = 1,500+ balance of $2,000 premium X 2.0% = 40 Total commissions = $4,915

Example of Commission payable:

First $10,000 10.0%Next $15,000 7.5%Next $25,000 5.0%Next $50,000 3.0%Next $150,000 2.0%Next $250,000 1.0%

Our Partners

Assumption Benefits By DesignEmpire Life Claims SecureEquitable Life Sirius BenefitsGreat West Life YourHSAManulifeRBC InsuranceStandard LifeSun Life

We have you covered.

MGA Broker Support

We offer support mechanisms which include:• Back office marketing support• Sales support• Training

We help you manage your group client relationships so you can focus on your core business.

We have you covered.

OUR MGA BROKER SERVICES INCLUDE:

Employee Benefit Services:

• Consultative and comparative plan design analysis and advice

• Competitive market proposals to offer group options to your clients

• Complete renewal management including renewal pricing evaluation and plan cost forecasting

• Health and dental cost containment strategies

OUR MGA BROKER SERVICES INCLUDE:

Pension & Retirement Plan Services:

• Consultative plan design analysis and advice

• Pension plan analysis and competitive management fee market testing

• Pension investment management review

• Governance and compliance reviews and programs

Service Standards

Financial Horizons Employee Benefits & Pension is committed to:

• 24 hour response to all phone and email inquiries.

• RFPs which include all required information, will be submit to the insurance carrier for quotations, within 48 hours.

• Timely turnaround on marketing reports.

• Delivery of “Renewal Reports” 30 days prior to renewal.

1. Broker provides a ‘completed RFP with all the required information’ to FHG.

2. FHG will conduct a marketing survey and analysis the results and provide a marketing report to the Broker.

3. The Broker will deliver marketing report to the client.

4. When the client wishes to proceed with the new group plan, the Insurance Carrier’s representative is contacted and assists in obtaining all the required ‘new group implementation’ documents.

5. If required, we will come to the sales meeting, when possible.

We have you covered

A ‘Marketing Arrangement’ between the Broker and FHG Group division as follows:

Employee Benefits:

Contract:

• Traditional Insured• Flex• Health Spending Services Account (HSSA)• Cost Plus

Funding:

• Fully Insured• Retention Accounting• Administrative Services

Only (ASO)• Third Part Administration

(TPA)• Stop Loss & Pooling

Insurance

Employee Benefits:

Products:

• Life Insurance• Accidental Death &

Dismemberment (AD&D)• Optional Life Insurance• Optional Accidental Death

& Dismemberment (AD&D)• Dependent Life Insurance• Long Term Disability• Short Term Disability• Critical illness Insurance

Extended Health Programs:

• Prescription Drug Plans• Paramedical Services• Hospital Care• Travel Insurance• Vision Care• Survivorship Benefits• Private Duty Nursing• Out of Country referrals• Cost Plus

Employee Benefits:

Dental Programs:

• Preventive• Maintenance• Restorative• Orthodontics• Cost Plus

Special Services:

• Executive Disability Top-up• Executive Travel plans• Expatriate medical

coverage• Special risk coverage• Coverage for US employees• EAP• Wellness• HR Consulting

What is Required to do a Marketingfor a New or Current Group:

Request For Proposal

GENERAL INFORMATION: Name of Company: # of employees:

Website address

Nature of business

Are there any unions involved?

Current funding arrangements (pooled, experience rated, ASO?)Reason for marketing/moving to Cowan possibly?

Initial effective date with current carrier/s. Name carrier/s.

Proposed effective date

Commission scale

Current administration (online, TPA etc.)

A signed Marketing Authorization Letter or a signed Agent of Record letter

PLAN INFORMATIONCurrent plan design (copy of contract/booklet is best)

Proposed enhancements/cost containment items

3 Years of rate history by line of benefit (including effective date of rate changes)3 Years of experience history (premium and claims by line of benefit)Current Pooling level under the EHC benefit and detailed pooled claims information

EMPLOYEE INFORMATIONComplete Employee data sheet (template attached)

Overage dependent information (if applicable)

Optional life volumes (if applicable)

NOT ACTIVELY AT WORK (NAAW) LISTINGLife waivers

STD/LTD claimants/prognosis?

Severed employee packages? (benefits extended?)

WSIB claimants

Employees on a leave of absence or lay off?

Other Not actively at work employees?

Financial Horizons Group Employee Benefits & Pension is committed to providing industry-leading advice and marketing support in the delivery of employee benefit and pension services to our broker network and their clients.

MISSION STATEMENT