Ssystem

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Referrals/Earn Your Business/Expansion For use in New York only. © 2012 Primerica/43874/2.12/NY/11PFS648-2

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Transcript of Ssystem

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Referrals/Earn Your Business/Expansion

For use in New York only. © 2012 Primerica/43874/2.12/NY/11PFS648-2

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The Financial Services Company For the 21st Century

• Founded in 1977 with 85 people • 6 million clients in the United

States, Canada and Puerto Rico • Largest financial services marketing

organization in North America • Listed on NYSE (PRI)

All of this without any national TV or radio advertising!

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The Financial Services Company For the 21st Century

1. Warburg Pincus, Baron Fund & many other companies are investors in Primerica.

2. Accredited member of Better Business Bureau

3. Primerica’s life companies rated A+ (Superior) by A.M. Best

Primerica’s term life insurance is underwritten by National Benefit Life Insurance Company, Home Office: Long Island City, NY, in New York State, Primerica Life Insurance Company, Executive Offices: Duluth, GA, in all other U.S. jurisdictions; and Primerica Life Insurance Company of Canada, Home Office: Mississauga, Ontario, in Canada. Primerica’s life companies’ financial strength is rated A+ (Superior) by A.M. Best, the oldest and most prominent rating agency in the industry. A.M. Best ratings range in order from the highest ratings as follows: A++, A+, A, A-, B++, B+, B, B-, C++, C+, C, C-, D, E, F.

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Ask Yourself Three Questions As We Go Through The Presentation

1. Is there a need for what we do?2. Are these financial concepts helpful for you?3. If your family and friends implemented these

concepts, would they be better off?

Our Mission:To help families become properly

protected, debt free and financially independent

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The Headlines Tell The Story

Six in 10 workers say that they are living paycheck to paycheck.CareerBuilder.com Survey, April 12, 2011

“Average credit card debt among households with balances on their cards: $15,788.”

AARP Bulletin, July-August 2010

More than half of Americans have no emergency savings.Time.com, August 11, 2011

Bankruptcies topped 1.5 million in 2010.CNNMoney.com, January 3, 2011

68 million Americans have no life insurance.LifeHealthPro.com, June 14, 2010

More than half of all workers have less than $25,000 in savings and investments for retirement.

Employee Benefit Research Institute 2011 Retirement Confidence Survey

How real and serious are these problems?

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People Don’t Plan to Fail, They Fail to Plan

The Problem:Traditional financial institutions sell you products. They don’t provide you with a total solution.

Installment LoansBank Accounts

Mor

tgag

e

Cred

it Ca

rds

Mutual Funds

Savi

ngs

Acco

unts

401(

k)

Life Insurance

YOU

The Solution:A Financial Needs Analysis.A customized, confidential and complimentary program that helps you achieve your goals and dreams.

A Financial GPSIt helps you find answers to important questions.

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Do You Know Your Financial Independence Number?

If you want to be financially free, you need an estimate of how much you will need to accumulate — your personal Financial Independence Number (FIN)! Knowing this number is a critical first step.

To get there, invest $473 per month for 30 years at 10% = $1,079,000

You want to retire in 30years, with $30,000 a

year… 30 years from now, after

3% inflation… $73,000 spends like $30,000 does today.

Your FIN is $1,079,000

This hypothetical example assumes 20 years of retirement income needed, at a 6% post-retirement rate of return and 3% inflation. Hypothetical investment rates assume a nominal 10% rate of return, compounded monthly, and is not indicative of any specific investment. Any actual investment may be subject to taxes and fees, which would lower performance. This example shows a constant rate of return, unlike actual investments, which may fluctuate in value. It is unlikely an investment would grow 10% on a consistent basis, given current market conditions.

How important is it to know your Financial Independence Number?

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Bypass the Middleman — Become an Owner, Not a Loaner

Banks, Credit Unions, Insurance Companies = Historically Low Rates of Return

Traditional Financial Institutions

CDs and savings accounts are generally FDIC insured up to $250,000. This limit expires December 31, 2013. Cash value life insurance offers life insurance components in addition to the investment component.

Do The Banks Want You To Know This?

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The Rule of 72…Sometimes called the Bankers Rule

Divide your interest rate into 72 to find theapproximate number of years it takes for money to double!

The table serves as a demonstration of how the Rule of 72 works and is only an approximation of accumulations. It is not intended to represent any specific investment. The chart uses constant rates of return, unlike actual investments, which will fluctuate in value. It does not include fees or taxes, which would lower performance.

• How do you win a game if you don’t know the rules?

• Do banks or insurance companies have any incentive to teach us this rule?

• Who would benefit from learning this rule?

• Shouldn’t we have learned this rule in school?

Years 3% 6% 12%

Without introducing us to family and friends, how would they learn the “Rule of 72?”

$20,000

$40,000

$20,000

$40,000

$80,000

$160,000

$20,000$40,000$80,000

$160,000$320,000$640,000

$1,280,000$2,560,000

612182430364248

$10,000 $10,000 $10,00003% 6% 12

%

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The First Step to Financial Success is Pay Yourself First

When you don’t, there’s a high cost of waiting. $100 Monthly Savings @ 10% for 40 Years (Age 25-65)

40$133,790(-$503,890)

30 $382,830(-$254,850)

26 $576,090(-$61,590)

25$637,680

Rates of return are constant and nominal rates, compounded monthly. Contributions are assumed to be made at the beginning of the month. The chart above is not indicative of any particular investment or savings vehicle where rates of return fluctuate. It does not take into consideration taxes or other applicable deductions, which would lower results. It is unlikely an investment would grow 10% on a consistent basis, given current market conditions.

Wait 15 years($18,000)

Wait 5 years($6,000)

Wait 1 year($1,200)

Who are people hurting if they wait?

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What a Difference Term Can Make

Which program would you want?

Policy form numbers: term insurance for primary insured (age 35, non-tobacco use) totaling $300,000 (NC530), for spouse (age 33, non-tobacco use), totaling $300,000 (NC5S30) and for two children, totaling $25,000 (NB-CR), underwritten by National Benefit Life Insurance Company, Home Office: Long Island City, New York.

John $150,000 $300,000Mary $150,000 $300,000Children $0 $25,000Total Coverage$300,000 $625,000

Death Benefit Before Primerica Changed to Primerica’s Term

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Today1. Young children2. High debt3. House mortgageLoss of income would be devastating

The Theory of Decreasing Responsibility

What life insurance company do you know of that teaches people how to eliminate the need for life insurance?

How Life Works

At Retirement1. Grown children2. Lower debt3. Mortgage paidRetirement income needed

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Solution: Build Your Financial House

“A good rule of thumb is that you need between eight to ten times your annual salary in life insurance coverage.”

— The Wall Street Journal, April 12, 2006

Other Goals and Dreams

College Savings

Retirement

Debt Elimination

Budget - Emergency Fund - Will*

Protect Your Income / Term Life

On a scale of 1-10, 10 being the highest,

how would you rate your desire to become

properly protected, debt free and financially

independent?

* Primerica Legal Protection program. Exclusions and limitations may apply. See plan for details. Primerica representatives do not provide legal, tax or estate planning advice.

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Retail Card 1Credit Card 2Car LoanCredit Card 1MortgageTotal

Solution: Debt Stacking

The above example is for illustrative purposes only. The Debt Stacking concept assumes that: (1) you make consistent payments on all of your debts, (2) when you pay off the first debt in your plan, you add the payment you were making toward that debt to your existing payment on the next debt in your plan (therefore you make the same total monthly payment each month toward your debts) (3) you continue this process until you have eliminated all of the debts in your plan. In the example above, when the retail card is paid off, the $220 is applied to credit card 2, accelerating its payment to $573. After credit card 2 is paid off, the $573 is applied to the ca r loan for a total payment of $1,124. The process is then continued until all debts are paid off. Note that the total payment per month remains constant. It is unlikely an investment would grow 10% on a consistent basis, given current market conditions. The hypothetical assumes a constant nominal 10% rate of return compounded monthly, unlike actual investments, which will fluctuate in value, and does not include taxes or fees, which would reduce returns. Investing begins once debts have been paid off (at age 44). It is unlikely an investment would grow 10% on a consistent basis, given current market conditions.

$353$551$303

$1,293$2,720

$551$303

$1,293$2,720

$303$1,293$2,720

$1,293$2,720

$220$353$551$303

$1,293$2,720

As each debt is paid off, you apply the amount you were paying to that debt to the payment that you were making on the next target account.

$1,427$1,124

$2,720

$573+ $220

+ $573+ $1,124 +

$1,427

$220

Age 35

23 years to pay off debt and $214,442 in interest paidPaid off in 8 years, Age 43 ( 15 years sooner) Interest saved $130,643

(Age 44) Once debts are paid off, invest $2,720 each month at 10%@ Retirement … Age 67 = $2.8 million

Do Financial Companies Want You To Know This?

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Are You Giving the Government a Tax-Free Loan?

Average 2010 tax refund = $3,129 $3,129/12 months = $260/month*

$260 Monthly Overpayment for 35 years (Age 35-70)

The hypothetical interest rates are for illustrative purposes only and not indicative of a guaranteed rate of return on any investment. Illustrative rates of return are nominal, compounded monthly. Rates of return are constant unlike actual investments which will fluctuate in value. It does not include fees or taxes which would lower results. *CNNMoney.com, March 4, 2011

3% interest $192,807

0% interest $109,200

If you make:

6% interest $370,425

12% interest $1,672,049

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What the Experts Say

“Cash value life insurance is one of the worst financial products available.”DaveRamsey.com, “The Truth About Life Insurance,” October 25, 2010

“I strongly believe that term is the best insurance for the vast majority of people, and it literally costs a fraction of other forms of life insurance.”

The Road to Wealth: A Comprehensive Guide to Your Money, Suze Orman

“For most families, term life insurance is the simplest and cheapest way to go…”InsuranceNewsnet.com, “All Life Insurance Is Not The Same,” December 3, 2010

“Term insurance is popular because almost everyone can afford plenty of it.”

Kiplinger.com, “How Much Life Insurance Do You Need?,” August 15, 2010

For most people, term life still offers the best combination of coverage and cost.”WSJ.com, “Honestly, What’s the Best Policy,” May 28, 2011

“Term insurance is pure protection, like fire insurance or auto insurance. Its sole function is to support your family if you die. You can buy large amounts of coverage for most amounts of money — and big policies are what your spouse and children need.”

Making the Most of Your Money Now, Jane Bryant Quinn

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$170,000$1,505,730

29 0 58,73030 0 64,88031 0 71,68032 0 79,18033 0 87,48034 0 96,64035 0 106,76036 0 117,93037 0 130,28038 0 143,93039 0 159,00040 0 175,65041 0 194,04042 0 214,36043 0 236,80044 0 261,60045 0 288,99046 0 319,25047 0 352,68048 0 389,61049 0 430,41050 0 475,48051 0 525,27052 0 580,27053 0 641,04054 0 708,16055 0 782,31056 0 864,23057 0 954,73058 0 1,054,70059 0 1,165,14060 0 1,287,15061 0 1,421,93062 0 1,570,820

$35,000

$1,570,820

Investor A

Age Annual End of YearPayment Accumulation

Investor B

Age Annual End of YearPayment Accumulation

The “Time Value” of Money

The hypothetical 10% nominal rate of return, compounded monthly, and tax-deferred accumulation shown for both IRA accounts are not guaranteed or intended to demonstrate the performance of any actual investment. Unlike actual investments, the accounts show a constant rate of return without any fees or charges. Any tax-deductible contributions are taxed and tax-deferred growth may be taxed upon withdrawal. Withdrawals prior to age 59 1/2 may be subject to a 10% penalty tax. Assumes payments are made at the beginning of each year. Investing entails risk, including loss of principal. Shares, when redeemed, may be worth more or less than their original value. It is unlikely an investment would grow 10% on a consistent basis, given current market conditions.

When is$35,000 more than $170,000?

Individual A:Started contributingAt Age 22Individual A:Stopped contributingAt Age 28

Total Contributions

Total Accumulation At Age 62

Individual B:Started

contributingAt Age 29

Individual B:Stopped

contributingAt Age 62

TotalContributions

23 5,000 11,63024 5,000 18,37025 5,000 25,81026 5,000 34,04027 5,000 43,13028 5,000 53,170

22 $5,000 $5,520

30 5,000 11,63031 5,000 18,37032 5,000 25,81033 5,000 34,04034 5,000 43,13035 5,000 53,17036 5,000 64,26037 5,000 76,51038 5,000 90,05039 5,000 105,00040 5,000 121,52041 5,000 139,76042 5,000 159,92043 5,000 182,19044 5,000 206,79045 5,000 233,97046 5,000 264,00047 5,000 297,16048 5,000 333,80049 5,000 374,28050 5,000 419,00051 5,000 468,39052 5,000 522,96053 5,000 583,25054 5,000 649,85055 5,000 723,42056 5,000 804,69057 5,000 894,48058 5,000 993,66059 5,000 1,103,24060 5,000 1,224,28061 5,000 1,358,01062 5,000 1,505,730

22 0 023 0 024 0 025 0 026 0 027 0 028 0 029 $5,000 $5,520

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Auto & Home, Ways to $ave Money

Primerica Secure: Largest Comparative Quoting System20+ Top National Insurers Quotes from companies such as: Travelers, Safeco, Progressive, Hartford, 21st Century, esurance

The average client saves as much as $478 annually on their auto insurance through Primerica Secure. This savings amount is based on a survey of insurance premium information provided by 567 purchasers of insurance from Answer Financial based on their responses to the survey and their estimated savings statements during 1/1/2009 and 3/31/2009. It is unlikely an investment would grow 10% on a consistent basis, given current market conditions. Rates of return are constant unlike actual investments which will fluctuate in value. It does not include fees or taxes which would lower results.

Before Primerica Auto & Home: John & Mary were paying $243 per month for auto & home insurance.

The more you save, the more to invest…

After Primerica Auto & Home: Saved: $65 per month on their auto & home insurance… $65 mo @ 10% for 20 years = $49,000 (college fund)

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Legal Protection

Make Your Wishes Known It’s important to have a will. If you don’t have a will and you

die: • Strangers could be the ones to decide who will raise your children.1 • The courts will determine how your money and your belongings will be distributed. • A larger percentage of your money may go to paying taxes.

Did you know that 57% of adult Americans don’t have a will?2

Other Important Legal Benefits:• Legal Consultation and Legal Assistance Services • Durable Power of Attorney • Directive of Physician/Living Will • Motor Vehicle-Related benefits • Probate Benefits • Plus more…

1. Kiplinger’s, January 20122. dailyfinance.com April 4, 2011

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We Are a One-Stop Financial Supermarket

With Home Delivery!

Primerica DebtWatchers™Offered by Primerica Client Services, Inc. through contractual agreement with ®

Life Insurance

Annuities1,3

Debt Solutions1,2

Legal ProtectionLong Term Care

Auto & Home InsuranceReferral Program

Mutual Funds3,5

Quotes from such companies as:

Travelers Safeco

Progressive

See endnotes pages for important disclosure.

Managed Accounts1,4

401(k) Plans1,3

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Four Ways to Earn Income

The Cash Flow Quadrant*

*The Cash Flow Quadrant, CASH FLOW Technologies, Inc.; used with permission. The Cash Flow Quadrant and ESBI are trademarks of CASH FLOW Technologies, Inc. For informational purposes only.

Which two ways to earn income appeal to you most?

Self-Employed Owns a job. Dentist, doctor, lawyer, hair stylist, real estate agent, salesperson.

Investor Has money working for him/her. Enjoys complete freedom and lives the dream.

EmployeeHas a job. Income based on position, not the person.

Business Owns a system. Has others working for him/her. Unlimited income potential via manufacturing, marketing, etc.

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The Five Reasons People Get Involved

1. They don’t like their current job and are looking for a career change & better income potential.

2. They love what they do… but earning extra part-time income each month would make a positive difference.

3. They want to get a financial education so they can learn how to win the money game.

4. They love helping people and making a difference.5. They dream of having their own business.

Can you see how most people would beinterested in at least one of these areas?

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Referrals/Earn Your Business/Expansion

For use in New York only. © 2012 Primerica/43874/2.12/NY/11PFS648-2

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Who we are: • The largest independent financial services marketing

organization in North America• Listed on the New York Stock Exchange (PRI)• In business since 1977• More than 6 million clients

All of this without any national TV or radio advertising!

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Today’s Financial Challenges:

“Average credit card debt among households with balances on their cards: $15,788.”

AARP Bulletin, July-August 2010

U.S. foreclosure actions have shattered all records… and will do so again this year.

Reuters.com, January 14, 201068 million Americans have no life insurance.

LifeHealthPro.com, June 14, 201043% of American workers say they have less than $10,000 in savings.

Money.com, March 9, 2010

45% of workers feel “not too confident” or “not at all confident” that they will have enough money to live comfortably through retirement.

Employee Benefit Research Institute 2011 Retirement Confidence SurveyNearly eight in 10 (77 percent) workers report that they live paycheck to paycheck to make ends meet.

Career Builder Survey, 2010The typical American household made less money last year than the typical household made a full decade ago.

“A Decade With No Income Gains,” The New York Times, September 10, 2009

How real and serious are these problems? We have the solutions!

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100 People After Working From Age 25 - Age 65

100 people at age 65:54% dependent 36% working 5% deceased 4% OK ($1 million) 1% wealthy ($5 million)

Why do 95% fail when it comes to their finances?

1. No financial education 2. No financial game plan 3. No financial coach

Source: SmartMoney, 2001

1%4%

36%

5%

54%

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Our Mission

To help families become properly protected, debt free and financially

independent

Solution: Primerica providesa complimentary FNA(Financial Needs Analysis)

A Financial GPS

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Before Primerica Debt1: Bob and Susan had $165,000 1st mortgage loan balance; payoff in 24 years and had a total balance of $13,000 on three credit cards; payoff in 58 years.Debt free?Life Insurance2: $150,000 coverage on Bob $150,000 coverage on Susan No protection on the children.Total monthly cost: $298*

PLPP: Bob & Susan had NO WILL.

Auto & Home: Bob & Susan were paying $243 per month for auto & home insurance.Retirement: Bob & Susan had $20,000 in an IRA at the bank earning 3%, with $100 per month contributions.Accumulated savings at age 65 = $107,000

Bob And Susan Smith (Ages 35 And 33) With Two Children

On a scale of 1-10, 10 being the highest, how would you rate your desire to become properly protected, debt free and financially independent?

See important assumptions and disclaimers on notes page.

With PrimericaDebt1: They enrolled in Primerica DebtWatchers™, and created a Fast Pay Plan to eliminate all credit card debt, save four years of mortgage loan payments and over $56,000 in total interest. (with $0 extra payment)Debt free at age 55Term Life Insurance3: $300,000 coverage on Bob, $300,000 coverage on Susan and $25,000 on each of the children. Total monthly cost: $123Saved: $175 per monthPLPP4: Bob & Susan SET UP A WILL and got access to a respected, full-service law firm ($25 per month)Auto & Home: Now they pay $178 per monthSaved: $65 per month on their auto and home insuranceRetirement3: Rolled over $20,000 IRA into mutual funds. Monthly contributions increased to $300. Accumulated savings at 10% at age 65 = $1,080,000Extra invested: $200 per monthA or B

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District Leader: Part-Time

If you showed the A and B example to 10 families, how many out of 10 would switch from A to B?

Personal: 5 clients in one month 5 life sales 3 IRA rollovers 1 Primerica DebtWatchers™ 2 A&H 2 PLPPTotal cash for the month: $4,868And even if you did almost half of that, you could still earn $2,628!

The income example of $2,628 assumes 3 life sales, 1 IRA rollover, 1 Primerica DebtWatchers™, 1 A&H and 1 PLPP, in amounts and for products specified in A & B example on prior slide. In the 12-month period ending in December 2010, Primerica paid a total of $503,115,928 in compensation to its sales force at an average of $5,296 per licensed representative.

If you could potentially earn $20,000 to $40,000 a year part-time without jeopardizing your job, would that interest you?

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The Real Estate Model

BrokerUnlimited Income Potential

More SecurityTime Freedom

A Broker with 5 agentsEarning $3,000/month

Earns $15,000/month

Agent Limited Income Potential

No SecurityNo Time Freedom

6% Broker Fee$100,000 House =$6,000 Fee

Which would you rather be — an agent or a broker?

CommissionAgent50%

$3,000

Agent50%

$3,000

Agent50%

$3,000

Agent50%

$3,000

Agent50%

$3,000

Broker 50%

Override:$3,000

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Regional Leader: Part-Time

Personal: 5 clients in one month 5 life sales 3 IRA rollovers 1 Primerica DebtWatchers™ 2 A&H 2 PLPP

Equals: $6,545

Total cash for the month: $8,518

In the 12-month period ending in December 2010, Primerica paid a total of $503,115,928 in compensation to its sales force at an average of $5,296 per licensed representative.

Once you reach $50,000 to $80,000 a year in income,would you consider making a career change?

Override: 2 District Leaders 6 clients in one month 6 life sales 3 IRA rollovers 3 Primerica DebtWatchers™ 3 A&H 2 PLPPEquals: $1,973

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Regional Vice President

Personal: 5 clients in one month 5 life sales 3 IRA rollovers 1 Primerica DebtWatchers™ 2 A&H 2 PLPP

Equals: $9,065

Total cash for the month: $36,967

Override: 6-8 District Leaders 25 clients in one month 25 life sales 10 IRA rollovers 6 Primerica DebtWatchers™ 6 A&H 6 PLPPEquals: $18,989Bonus: $8,913

In the 12-month period ending in December 2010, Primerica paid a total of $503,115,928 in compensation to its sales force at an average of $5,296 per licensed representative.

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Track Record of Success With Momentum

What would interest you more?Starting your own part-time business, a complimentary financial game plan

OR BOTH?These figures represent 12-month rolling cash flow levels, including advances, which have been achieved by Primerica representatives, past and present, at some point during their affiliation with a Primerica Company, beginning in 1977. The representatives are not necessarily achieving those levels at this time. Further, the numbers reflected in the “Cumulative Number of Earners” column are cumulative from level to level and, therefore, include all representatives who have ever achieved the stated cash flow figures. The cash flow categories are not intended to demonstrate earnings of typical representatives. In the 12-month period ending in December 2010, Primerica paid a total of $503,115,928 in compensation to its sales force at an average of $5,296 per licensed representative. Most representatives do not reach the levels illustrated. Average RVP earnings are typically higher. Actual gross cash flow is, among other factors, dependent upon the size and scale of a representative’s organization, the number of sales and the override spread on each sale, and the ability and efforts of you and your downlines. Having said this, Primerica provides a tremendous opportunity for individuals who work hard and who desire to develop a business with strong income potential.

Since 1977 New Since 2000Cumulative Number of Earners

Personal IncomeOver $50,000Over $100,000Over $1 millionOver $2 millionOver $5 million

5,3922,562

63171

2,8541,440

3261

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Getting Started

1. Fill out your Independent Business Application (IBA) — $99 Value includes: State license fee Exam fee Fingerprint/background check PFSU pre-licensing Total: worth approximately — $400 Total fees vary for each state

2. $25/month for Primerica Online — Online Business Support System Value includes: Cell phone discount $100-$250/year Your own website and business reports $600 Access to live and on-demand video training $400 Qualify to have securities license paid for $500 Morningstar financial analysis software* $4,000/year Total: worth approximately — $6,000 *Must be securities licensed

3. Get off to a fast start! Qualify for a bonus up to $1,000 when you get trained, licensed and producing. (See company brochure for details.)4. Keys to success • Submit your IBA with $99 • Show up to all training meetings • Attend pre-licensing and get insurance licensed • Go on 10-15 Field Training Observations in your first 30 days • Complete a Financial Needs Analysis to get your family’s financial game plan started

What would keep you from getting started?

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Endnotes

We Are a One-Stop Financial Supermarket With Home Delivery!1. Not all products/services available in all states or provinces. A representative’s ability to market products from the companies listed is subject to state and federal licensing and/or certification requirements. 2. Not available to residents of Washington, D.C. 3. In the United States, securities are offered by PFS Investments Inc. (PFSI), 3120 Breckinridge Blvd., Duluth, Georgia 30099-0001. 4. PFS Investments Inc. (PFSI) is an SEC Registered Investment Adviser doing business as Primerica Advisors. PFSI is a member of FINRA and SIPC. Lockwood Advisors, Inc. (Lockwood) is an SEC Registered Investment Adviser and an affiliate of Pershing LLC, each subsidiaries of The Bank of New York Mellon Corporation (BNY Mellon). Pershing LLC, member FINRA, NYSE, SIPC. SEC registration neither implies nor asserts the SEC or any state securities authority has approved or endorsed PFSI or Lockwood or the contents of this disclosure. In addition, SEC registration does not carry any official imprimatur or indication PFSI or Lockwood have attained a particular level of skill or ability. Neither Lockwood or BNY Mellon is affiliated with Primerica. 5. In Canada, mutual funds are offered by PFSL Investments Canada Ltd., mutual fund dealer, Segregated funds are offered by Primerica Life Insurance Company of Canada. See notes page for important company affiliations and other disclosures.

Bob And Susan Smith (Ages 35 And 33) With Two Children1. Bob and Susan are hypothetical clients. Based on the assumption that the consumer makes minimum monthly payments, the APR for the mortgage is 6.0% and the APR on each of the three credit cards is 19.8%. First mortgage loan is fixed term, fixed rate, fully amortizing loan. Assumes no additional debt is incurred. 2. Monthly premium is an average of whole life policies from three major North American life insurance companies for male, age 35, standard risk and female, age 33, standard risk. Cash value life insurance can be universal life, whole life or variable life, and may contain benefits in addition to a death benefit, such as dividends, interest, or cash value available for a loan or upon surrender of the policy. Whole life usually has a level premium for the life of the policy. 3. Primerica monthly premium for age 35, non-tobacco use for 35-year Custom Advantage policy (C535) and spouse age 33, non-tobacco use for 35-year Custom Advantage rider (C5SR), both with rates guaranteed for 20 years, plus a child rider of $25,000 each on two children, underwritten by Primerica Life Insurance Company, Executive Offices, Duluth, GA. Term insurance provides a death benefit only and its premiums increase at certain ages. The accumulation figure reflects continued investment at the same rate over 30 years at a 10% nominal rate of return compounded monthly and does not take into consideration taxes or other factors, which would lower results. This example uses a constant rate of return, unlike actual investments, which will fluctuate in value. This is hypothetical and does not represent an actual investment. 4. $25.00 per month. Representatives of Primerica are independent contractors and are paid commissions on sale of products. Life Bonus is based on 67% QBI and 30% Bonus Rate, assuming average premium per policy of $1,478.

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Endnotes

Primerica DebtWatchers™ is a trademark of Primerica, Inc. Primerica, representatives of Primerica, Equifax and Primerica DebtWatchers™ will not act as an intermediary between Primerica DebtWatchers™ customers and their creditors and do not imply, promise or guarantee that credit files or credit scores will or may be improved, repaired, boosted, enhanced, corrected or increased by use of the Primerica DebtWatchers™ product. References to Equifax refer to Equifax Consumer Services LLC, a wholly owned subsidiary of Equifax Inc. See www.my.primerica.com for additional Important Disclosures. Primerica representatives market term life insurance underwritten by the following companies in these respective jurisdictions: National Benefit Life Insurance Company, Home Office: Long Island City, NY, in New York State: Primerica Life Insurance Company, Executive Offices: Duluth, GA, in all other US jurisdictions; Primerica Life Insurance Company of Canada, in Canada. Securities offered by PFS Investments Inc. The average client saves as much as $478 annually on their auto insurance through Primerica Secure. This savings amount is based on a survey of insurance premium information provided by 567 purchasers of insurance from Answer Financial based on their responses to the survey and their estimated savings statements during 1/1/2009 and 3/31/2009. Primerica Secure is a personal lines insurance referral program in which representatives may refer individuals to Answer Financial Inc., a company that offers insurance products and services through its licensed affiliates. Not all insurance products and services are available in all states. Primerica, its representatives and the Secure Program™ do not represent any of the insurers in the program. Primerica, its affiliates and representatives offer other products and services. For more information, please see www.PrimericaSecure.com.

For use in New York only. © 2012 Primerica/43874/2.12/NY/11PFS648-2