Are you prepared for the risk of needing long term care for you or your spouse? Even if you think you are prepared, this presentation will provide even the casual observer some important information. Don't wait until it's too late when you cannot do anything about this, start designing your plan now with the help of this presentation.

1. Take Charge of Your Future John H. Groth, CLU, CLTC Financial Advisor Long Term Care Specialist Long Term Care Insurance 29-5045-01 LTC (0607)

2. Concerns About Financial Security Take Charge of Your Future! What happens if I am unable to earn an income? How will inflation, market volatility and taxes affect my savings? How long will I live? Will I have enough money to retire comfortably? What type of legacy will I be able to leave? What happens if someone in my family experiences an event requiring long-term care? Can I help my kids with their education costs?

5. Understanding Long-Term Care Continuum of Care Most Dependent Person Most Independent Person Home Health Care Community Services Alternate Living Facility Nursing Home Generally, long-term care starts at home.

6. Understanding Long-Term Care Source: National Clearinghouse for Long-Term Care Information, U.S. Department of Health and Human Services, http://www.longtermcare.gov/LTC/Main_Site/Understanding_Long_Term_Care/Basics/Basics.aspx. Paper copies available upon request. Long-term care insurance may not pay for all expenses incurred. This statistic includes services or short durations that would not qualify for benefits from a LTC policy and services for which the LTC policy does not provide benefits. 40% 60% Age 65+ Age 18-64 Adults Receiving Long-Term Care LTC is not just a retirement issue.

10. Cost of Long-Term Care Current vs. Projected Annual Cost of LTC (2006 to 2036) $73,000 $315,502 $32,292 $139,564 $70,810 $306,037 National Clearinghouse for Long-Term Care Information, U.S. Department of Health and Human Services, http://www.longtermcare.gov/LTC/Main_Site/Paying_LTC/Costs_Of_Care/Costs_Of_Care.aspx. Paper copies available upon request. Future cost based on 5% annual increase $350,000 $300,000 $250,000 $200,000 $150,000 $100,000 $50,000 $0 Home Health Aide (8hrs/day) Assisted Living Facility Private Room (Nursing Home) Costs are significant today and will increase with inflation.

23. Buying Long-Term Care Insurance $566.10 $1,444.88 $3,940.23 $14,592.26 Premium cost for an individual purchasing $150/day at age 40 (inflation-adjusted at 5% compound for ages 50 ($246/day), 60 ($401/day) and 70 ($653/day)), 91 day beginning date. Lifetime benefit period. Does not include an inflation protection option. Premiums reflect a 15% Spousal Discount. Premiums shown are based on the current premium rate schedule for comparable units of coverage. 40 50 60 70 When to Purchase Insurance Premium Costs by Age $16,000 $14,000 $12,000 $10,000 $8,000 $6,000 $4,000 $2,000 $0 There is a cost advantage to buying young.

24. Buying Long-Term Care Insurance 83.9% 74.7% 46.5% Percentage of LTC Insurance Applicants Approved 86.7% 30.7% 100.0% 80.0% 60.0% 40.0% 20.0% 0.0% 18-49 50-59 60-69 70-79 80+ Age Wakely Actuarial Services, American Association for Long-Term Care Insurance, LTCi Sales Strategies, Volume 6, Number 4, March 2006 Consider purchasing before health changes occur.

27. Evaluation Form Please complete and hand in form.

28. Long Term Care Insurance Thank You Take Charge of Your Future

29. Northwestern Long Term Care Insurance Company (long-term care insurance) is a subsidiary of The Northwestern Mutual Life Insurance Company Milwaukee, WI (life insurance, annuities and disability income insurance) Northwestern Long Term Care Insurance Company's long term care insurance policy contains exclusions and limitations. The purpose of this material is for the marketing and solicitation of insurance. Policy Form: RS.LTC.(1101) RS.LTC.ML.(1101) Take Charge of Your Future