WINTER 2010

BEYOND THE NUMBERS.

RELATIONSHIPS AND rEPUTATION

Judd Norman shares his business philosophy

Facing retirement with IncomeReady

SALes OPPOrtUnities AnD resOUrCes: - Perfect timing for Ultra Index - Multicultural marketing - Details about SERPs

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f o e c i r p e E h T F LI
ITS
LinCOLn Benefit Life Vs. MetLife

. UMS I M rE E. ST P L VALU U J N A THA UT TOT E r O BO UT M ITS A O B A

When comparing life insurance products, its easy to focus on who offers the lowest premium. But what about the overall value? Many times your customers will gladly pay a little more now if they can get a lot more down the road.

BEYO N D T H E N U M B E R S.

In a side-by-side comparison, its easy to see that the best price isnt always the best option.1

PremiUm COmPArisOn

CAsh SUrrenDer VALUe COmPArisOn

(in year 20)

STABLE PrICING IN A VOLATILE MArKET

Some companies are increasing premiums for guaranteed UL products; some are pulling their products off the market. So whats LBLs plan? We will continue the current pricing for our Legacy products through the first quarter of 2010providing your customers with total value at a competitive price.

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JUDD NORMAN: A MAN OF THE PEOPLE

Find out how networking has helped him build his business.

Hypothetical assumptions: male, preferred nonsmoker; $1 million face; lifetime guarantee premiums paid annually; death benefit option 1; top carrier ranking based on the carrier with the lowest premium in a comparison of 10 carriers. MetLifes surrender value is a hypothetical projection based on current assumptions.
Charts are for illustrative purposes only and do not guarantee future results.

With LBLs Liquidity Guarantee Rider,2,3 the surrender value after 20 years is guaranteed providing customers with flexibility for the future. Now thats total value.
1 NOT FOR PUBLIC DISSEMINATION. LINCOLN BENEFIT LIFE POLICY PROHIBITS AGENTS OR EMPLOYEES FROM SHOWING OR MAKING THE DOCUMENT AVAILABLE TO CUSTOMERS OR POTENTIAL CUSTOMERS. Charts and competitor examples are for illustrative purposes only and do not guarantee future results. All competitive information is believed current as of January 2010 from sources deemed reliable. However, its accuracy and completeness cannot be guaranteed. Data is subject to change at any time. Competitor products may have features, costs, provisions, and benefits that differ from these policies and by state. Changing the variable features (age, state, underwriting class, benefit, etc.) may cause a change in the competitive results. 2

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MARKET CHANGES OFFER OPPORTUNITY LBLs Rick Eells shares the Ultra Index story.

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LEARNING MORE ABOUT ULTRA INDEX Put this product to work for your customers.

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WANT BETTER UNDERWRITING OFFERS? Super Sherlock is on the case.

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RETIREMENT PEACE OF MIND IncomeReady could be a difference maker.
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increasing loan balance and deductions for contract charges and fees may cause the policy to lapse, triggering ordinary income tax on the outstanding loan balance to the extent it exceeds the cost basis in the policy. If a policy is a modified endowment contract, loans are treated as taxable distributions to the extent of the policy gain. Loans, withdrawals, and surrenders are treated first as distributions of the policy gain subject to ordinary income taxation and may also be subject to an additional 10 percent penalty tax if made prior to age 59. Loans, if not repaid, and withdrawals reduce the policys death benefit and cash surrender value.
3 Legacy Secure ULs Liquidity Guarantee Rider is subject to state availability and the terms and conditions of the rider. Not available at all issue ages and for all classes. Percentage of premium available varies by issue age, class, and face amount. The amount is capped at 50 percent of the policy face amount and is reduced by withdrawals, policy debt, and charges incurred for other riders on the policy. Please see rider for terms, conditions, and restrictions. Legacy Secure SLs Estate Liquidity Rider is attached at no cost to all Legacy Secure SL policies in which the youngest insured is age 75 or younger and neither insured is classified as uninsurable.

Partial withdrawals and surrenders from life policies are generally taxed as ordinary income to the extent the surrender proceeds exceed the policyowners investment in the contract, which is also called the basis. In some situations, partial withdrawals during the first 15 policy years may result in taxable income prior to recovery of the investment in the contract. Loans are generally not taxable if taken from a life insurance policy that is not a modified endowment contract. However, when cash values are used to repay a loan, the transaction is treated like a withdrawal and taxed accordingly. Unpaid interest on loans is added to the loan principal, thereby increasing the total debt on the policy. The combination of an

Editorial Director: Scott Claycomb. Managing Editor: Christine Catlin. Contributing Editors: Matt Landis, Kelly Mills, Larry Mills, and Conna Weise. SPEAK UP! Send your questions, comments, or ideas for THE EDGE to LBLcommunications@allstate.com. Lincoln Benefit Life Company, 2940 South 84th Street, Lincoln, Nebraska 68506. 888-525-7355. accessallstate.com. THE EDGE is a quarterly magazine for producers and broker-dealers produced by Lincoln Benefit Life Company and its marketing partner Snitily Carr, a full-service, creative marketing agency based in Lincoln, Nebraska. www.SnitilyCarr.com.
FOR BROKER-DEALER OR AGENT USE ONLY This material may not be quoted, reproduced, or shown to members of the public, nor used in electronic or written form as sales literature for public use.

FOR BROKER-DEALER OR AGENT USE ONLY This material may not be quoted, reproduced, or shown to members of the public, nor used in electronic or written form as sales literature for public use.

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InGood Company
How Judd Norman has perfected the art of networking to help his customers and business succeed.

Taking the first steps.

Norman and Neal started Lincoln Capital, LLC, in 2005 with nothing more than their past experience and a vision for the future. But Normans philosophy is that you learn by doing, and through hard work and tenacity, they have grown their business and built a solid reputation for quality that has opened the doors to new client and partner relationships. And its Normans unique ability to build a network of partnerships that has set this business apart from the competition. It hasnt been easy. The pair has spent countless hours on the road, seeking out new customers or building rapport with industry experts who can add value to their services. We prospect all through Nebraska, explained Norman. Particularly in small towns, where people are often overlooked by the bigger investment companies. They may have no immediate access to financial planning experts, so we make a point of bringing these services to them.

Making the connection.

One morning Judd Norman approached Brett Neala coworker at an investment groupwith a business proposal. Norman: We need to start a company. Neal: OK. What will we do? Norman: I dont know, but well figure it out. Thus was the beginning of Lincoln Capital, LLC, a wealth management company that specializes in providing holistic financial planning services for individuals throughout Nebraska. Upon meeting Norman, one can understand why Neal was so quick to join him in this venture. Hes bright, energetic, and absolutely passionate about everything he does. And its this spirit that has helped him build an enviable network of clients and partners throughout the area.
It takes a certain knack to approach people and ask them to trust you with their life savings or to get them to partner with you professionally. But Norman seems to have a talent for it. Hes extremely likeablesomeone people feel they can open up to and trust from the start. Judd has a very unique ability to strike up a conversation with just about anybody and find people or interests in common and talk about a wide range of subjects. He is very engaging, said Neal. That certainly helps in starting a relationship. We couldnt do all those other wonderful things for our clients if we didnt have that relationship.

Building a sound reputation.

Norman knows that charm can only take someone so far. A solid foundation of industry expertise, trustworthiness, and superior service is key to developing an excellent reputation. He and his employees strive each and every day to bring all of these attributes to their work. I have a wonderful team of people at my office, he said. Theyre great at what they do. But more than that, they are genuinely good people. And its not just his own reputation that Norman watches closely. Hes developed a lot of his professional partnerships by listening to his clients recommendations. Word of mouth is where a lot of our relationships begin, he said. Our clients often talk to us about the other people they are working with. And after you begin to hear someones name several times, you begin to think, Maybe I need to work with this person. Its vital to build relationships with experts who are trustworthy. The integrity of the specialists you bring to your clients is terribly, terribly important. On top of that, they have to be really good at what they do, asserted Norman.

About Judd Norman

As owner of Lincoln Capital, LLC, Judd Norman brings more than 24 years of experience in financial planning to the table. He earned his B.S. from the University of NebraskaLincoln, where he was a three-time letter winner on the wrestling team. Norman strives to read at least two books each month and enjoys traveling with his family during his free time.

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Normans Tips
HAve PAtienCe.
You have to go through a lot of chaff to get to a kernel of wheat you cant just build a network overnight. It takes a lot longer than the average guy would think.

ULTRA INDEX . ULTRA OPPORTUNITY.

With Rick Eells

You dont have to be in sales long to know that timing is everything. And right now is a great time to spread the word about Ultra Index universal life insurance. It can help customers protect their families with the death benefit while taking smart steps toward building a financially successful future.

BeCOme An exPert.
Dont try to be everything to everyone. Instead, do one thing, and do it really well. Then build a great network of specialists from other fields who can bring their own expertise to your clients.

Working with a team of experts allows us to take our financial planning services well beyond retirement planning. And thats where the true value lies.

WhAt is ULtrA InDex? In simple terms, its a universal life product in which the interest rate is divided into two segmentsan indexed account and a fixed account. The indexed account provides added growth opportunities because its tied to positive changes in the S&P 500. The fixed account has a minimum annual interest rate (which, by the way, is currently at 5.1 percent). Is this reALLy A gOOD time fOr A PrODUCt tieD tO the mArket? Yes! The market seems to have settled down a bit, and were seeing signs of recovery to varying degrees. A product like this provides a way for customers to test the waters and begin to invest again. The nice thing about tying the cash value interest calculation to the S&P 5001 is that youre not buying contracts directly. Youre basing the interest calculation on positive changes to the index (with a product guarantee to never go below zero), and there is a cap on the upside, currently at 11.5 percent, giving you considerably more upside potential than the 35 percent interest found in many fixed universal life products. Check out the following pages for more about how this product works and a list of sales tools. WhAt mAkes this PrODUCt STAND OUT? Simplicity. Most indexed products are linked to a series of complicated crediting strategies. As a result, they can be difficult for producers and customers to get their heads around. Ultra Index has a single crediting rate that is easier to understand, making it one of the most straightforward index stories to tell.

WhAt ChALLenge wOULD yOU issUe tO PrODUCers? I think we need to be asking ourselves why were not talking more about this product. The time is right. The benefits to suitable customers are strong. If you know someone who needs a death benefit and wants to take advantage of the ups in the market, this product could be the perfect fit. Its a great reason to contact your customers to see whether their needs have changed and determine how Ultra Index may benefit them. Any finAL ADviCe? Think beyond traditional applications. My friend Dan Nigito recently wrote a book where he uses indexed universal life policies when illustrating how to use a charitable remainder trust to leverage wealth. I never really thought about using Ultra Index that way before. With advanced underwriting, we tend to use a straight UL policy. But if you substitute LBLs Ultra Index UL, it may work out just as well if not better.

Its OkAy tO be ChOOsy.

Only work with people who have integrity and who you truly like. If you cant trust or get along with someone, its going to be really difficult to conduct business together.

Going beyond the numbers.

So why does Norman spend so much time developing his network? Its simplehe wants to provide the absolute best service while adding value for his clients. We want to impact their lives beyond a simple financial plan, he said. So we bring experts in on their behalf and play quarterback of the situation. Neal agrees. Its amazing the number of people who do not have an estate plan of any kind in place. So even though it doesnt make us a dime and its not directly involved in our investments, well bring in an expert to help a client build an estate plan. We feel its just a wonderful thing to do.

Meet fACe tO fACe.

Always try to hold meetings in person, regardless of how much distance is between you. It might cost you a lot of travel time, but its the best way to build rapport and trust.

The bottom line.

Norman believes building professional relationships goes well beyond financial planning. At the end of the day, he wants to have an impact on peoples livesto be what he calls a life enricher. I think about it every day, he said. I wonder if there is something that I can do for somebody, something small like a phone call. I send a lot of handwritten notes. I try to do things that make people feel better about themselves or about the situation they are in. Its the personal touches and acute attention to detail that has helped Norman build meaningful relationships with his clients and develop an excellent network of partners. Beyond that, its what he enjoys most about his work. Doing high-quality work and enriching peoples lives is a lot more important to me than making a bunch of money, he asserted. And, in the end, its this attitude that truly sets him apart. n

KeeP it PersOnAL.
Make a point of sending handwritten notes or calling on important dates such as birthdays or anniversaries. Let people know your relationship with them is about more than making money.*

Rick Eells has worked in the insurance industry since graduating from the University of the Pacific in Stockton, California. Over the years, he has served in the field as a producer and a manager, in the home office as a national training manager and a marketing services officer, and in various management positions. With LBL since 2000, Eells today serves as a Senior Regional Vice President/ Consultant. He holds his CLU and ChFC designations.

*Registered persons must verify broker-dealer rules for correspondence when sending handwritten notes. This information is provided for general education purposes and is not intended to provide legal, tax, or investment advice. FOR BROKER-DEALER OR AGENT USE ONLY This material may not be quoted, reproduced, or shown to members of the public, nor used in electronic or written form as sales literature for public use.

Please note that you cannot invest directly in the S&P 500. S&P 500 does not reflect dividends paid on the stocks underlying the S&P 500.

Guarantees are based on the claims-paying ability of Lincoln Benefit Life Company. Ultra Index (UL0730) is a flexible premium indexed universal life insurance policy issued by Lincoln Benefit Life Company, Lincoln, NE, a wholly owned subsidiary of Allstate Life Insurance Company, Northbrook, IL. FOR BROKER-DEALER OR AGENT USE ONLY This material may not be quoted, reproduced, or shown to members of the public, nor used in electronic or written form as sales literature for public use.

Standard & Poors, S&P,S&P 500, and Standard & Poors 500 are trademarks of The McGraw-Hill Companies, Inc., and have been licensed for use by Lincoln Benefit Life Company. This product is not sponsored, endorsed, sold, or promoted by Standard & Poors, and Standard & Poors makes no representation regarding the advisability of purchasing this product.

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RVP SELLING TIPS

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