Long Term Care Unum Long-Term Care Optional

Long Term Care Unum

Long-Term Care Optional buy-ups ü Inflation Protection ü Reduced Paid-up February APRIL 2010 2

Base Benefits § 100% of Benefit Level (Nursing Home Facility) § 60% of Benefit Level (Assisted Living Facility, at home by professionals or non-professionals) LTC Facility ALF or Home Care Lifetime Maximum Daily Benefit $75 $45 $136, 875 $100 $60 $182, 500 $125 $75 $228, 125 February APRIL 2010 3

Optional Buy Ups § Inflation Protection: Protects your long term care benefit from the impact of inflation § Every January 1, your monthly benefit amount and your lifetime maximum will increase by 5% Calendar Year of Policy Monthly Maximum 1 $1, 000. 00 2 $1, 050. 00 3 $1, 102. 50 4 $1, 157. 62 5 $1, 215. 51 February APRIL 2010 4

Optional Buy Ups § Reduced Paid-Up: If you have paid premiums for at least five full years, and discontinue, coverage will continue automatically with a reduced lifetime maximum benefit § The percentage of lifetime maximum is based on the number of years premiums were paid • Ex) 5 years of payments = 10% Lifetime max. • Ex) 25 years of payments = 40% Lifetime max. February APRIL 2010 5

When Benefits Are Paid § Eligibility will be based on the following: § Lose ability to perform 3 of 6 Activities of Daily Living, OR § Suffer a severe cognitive impairment, and § Receive services in a long term care facility, assisted living facility, or at home, and § Satisfy the 90 -day elimination period, and § Physician certifies your condition February APRIL 2010 6

When Benefits Are Paid § Activities of Daily Living (ADL) Unum utilizes to measure ability to function independently (Bathing, Dressing, Toileting, Transferring, Continence or Eating) § Severe Cognitive Impairment is a deterioration or loss of intellectual capacity (i. e. loss of memory, orientation, or deductive reasoning) which results from advanced age, Alzheimer’s disease, or similar forms of dementia February APRIL 2010 7

Return of Premium § Survivor’s Benefit provided by Unum § All premiums that have been paid for coverage will be returned to your survivor if you: I. Die before age 66 II. Are an active plan participant III. Paid premiums until the date of your death, and IV. Had never received payments from Unum for long term care benefits February APRIL 2010 8

Return of Premium § NOTE: If the deceased dies between the age of 66 and 75, and meet points 2, 3, and 4, the amount of accrued premiums returned to the survivor will be reduced 10% per year February APRIL 2010 9

Medical Underwriting § Newly eligible employees are not required to complete Medical Underwriting § Spouse, Parents, and Parents-in-laws are always subject to Medical Underwriting • May enroll at anytime • Employee does not have to be enrolled for eligibility February APRIL 2010 10