In a recent case, we were able to substantially enhance the Rate of Return generated on premium paid to death benefit received by stepping the death benefit and premium payments on the re-priced John Hancock SUL Product. The attached spreadsheet demonstrates the effectiveness of this technique. For the appropriate client the results are impressive.

It takes a little massaging to get the death benefit and premium mix correct; but it's worth the effort. Please call after you review the spreadsheet.

If you have clients or prospects who purchased variable life contracts several years ago, it is important for you to get "in-force" ledgers on their contracts to determine the premium payments necessary to keep the contracts in force to age 90, 95 and 100. Even if you illustrated a conservative earnings rate on the contract's projected performance, you probably illustrated a rate higher than the actual performance of the contract.Remember, the S&P 500 index for the last 10-years was NEGATIVE 1.46%.

National Life and Life of the Southwest have invested a great deal of time and money in a Section 79 education and marketing effort. Please take the time to review the attached slide show designed for use with CPA's and other professional advisers. You will find it informative, thorough and a helpful tool to generate new referrals and new business.

Effective 01/12/2009, the already competitive John Hancock UL-G Individual and Second-to-die products have been repriced. The new pricing reflects improved mortality statistics and results in premium reductions of from 8-12% depending on age and underwriting status. John Hancock's 96 Comdex rating and this ultra competitive new pricing make it imperative to include them in the mix when you are reviewing potential products for your clients.

We recently used this product on a $20,000,000 case and it absolutely blew the competition away!

"c" corporations can now take advantage of a great planning tool for their senior managers and rank and file employees. Section 79 allows a company to offer permanent life insurance to their employees. The financial advantage to the senior management employee starts with partial income attribution on the amount paid by the employer for the permanent coverage and continues with a tax-free supplemental retirement income enhanced by some tax-free death benefit. This is a WIN, WIN, WIN!

Please see my letter to Nutmeg producers and all the attachments. This is IMPORTANT!!

Corporations established under Subchapter S of the Internal Revenue Code often carry an asset on their books called a Triple “A” (Accumulated Adjustment) Account. This account represents income of the business entity that has been retained in the company. In an “S” corporation, income passes through to the business owners on their K-1 whether or not they actually receive the money.

Recently Ron Rubin of MSL Financial was in the process of closing a new $400,000 target premium 419(e) case when he thought to ask whether the business sponsoring the new plan had a lending relationship with a bank. When the CPA attending the meeting answered that the company frequently used bank debt to finance equipment purchases, Ron asked if they understood the "technical default" language in their loan agreements. It turns out that they had absolutrely no idea that their loans could be called in the event of the death of a "major" shareholder.

This year's meeting will be held in historic Newport, RI from September 30 through October 3, 2007, and do we have a meeting for you!

Our agenda covers subjects that are designed to challenge your intellect and prepare you to end the production year with a bang. Our speakers are the best in the business. They will be available for individual discussions with you and will take questions from the floor during their presentations.

I am excited to be able to share this experience with you.

Business partners do the responsible thing for one another, their families, and their employees when they craft buy-sell agreements to protect the business in the event one dies or becomes disabled. However, a buy-sell agreement — usually funded by life insurance policies — may not cover all the bases if there is an outstanding business loan on the books at the time of such an involuntary management change.