We are pleased to introduce Custom Care III and Core Care -in the following 35 states on May 2, 2011:

Overview of Custom Care III & Core Care

John Hancock's latest LTC insurance offerings, Custom Care III and Core Care, were developed based on today's realities. The design, benefits, and pricing of each product reflects:

• recent trends in our growing body of claims experience, and the prevailing conditions that exist within today's economic environment
• our commitment to providing flexible solutions that enable you to meet the individual needs, preferences, and budget of each client

Custom Care III is a highly customizable solution offering a variety of optional riders, similar to its predecessor Custom Care II Enhanced. Core Care is a streamlined solution based on the Custom Care III chassis, emphasizing
greater affordability and simplified policy design to help facilitate the sales process.

New features of both include:

• CPI Compound Inflation to Age 75 allows the Daily Benefit and Total Pool of Money to be adjusted each year on a compounded basis, according to increases in the Consumer Price Index (CPI). The potential
  amount of the annual CPI increase is unlimited, even during periods of the highest inflation. In the event that the CPI decreases, the benefit amount will not be reduced. Annual benefit increases will occur on each
  policy anniversary through your 75th birthday.1
• Paid-Up at Age 75 is an attractive option if your client is 55 or younger and wants to eliminate paying premiums during their retirement years.

On Custom Care III, the following new feature is also available:

• 20-Pay enables your client to pay the full cost of their policy over 20 individual annual payments.2

1 This benefit is not available to applicants over age 70. There will be no further increases on or after your 76th birthday.

2 The maximum issue age for 20-Pay is 69.

DRA Partnership certification

These new products have been Partnership-certified in Alabama, Arkansas, Georgia, Idaho, Iowa, Louisiana, Maine, Minnesota, Nebraska, Rhode Island, South Carolina, Tennessee, Texas, Wisconsin and Wyoming.

The Partnership certification remains pending in Colorado, Kansas and Virginia. While we are waiting for approval of our certification in these states, the new products can be sold but, cannot be promoted as Partnership. Once a state(s) approves we will let you know via LTC Newslink.

The following represents the required inflation options by age tier for Partnership eligibility.

*In Tennessee: For Age Tier under age 61 policies will only qualify for Partnership with the 5% Compound Inflation Coverage.

Administrative deadlines for Custom Care II Enhanced applications

Once Custom Care III and Core Care are launched in the states mentioned, Custom Care II Enhanced will no longer be available. All Custom Care II Enhanced applications must be signed no later than May 1, 2011, and received in the home office no later than May 2, 2011.

Fillable application booklets

Electronic versions of application booklets in the approved states will be available to be completed/saved in a PDF on Monday, May 2, 2011. Note: You still need to print/mail the application to the home office. Reference the
Fillable Application Flier (LTC-8719) for tips.

The newly designed application booklets contain a checklist on how to complete the package, HIPAA Medical Authorization form, Outline of Coverage, and state-required forms. Other updates include:

• Personal Worksheets are now fillable and have been updated to include our rate increase history.
• Updated Credit for Application page is a fillable section and now includes information for referral splits to indicate the involvement of a referring producer who helped solicit or sell the case.
• Automatic Deduction Plan (ADP) (7269R) is a new addition to the booklet and is fillable.
• Other fillable sections include the HIPPA Medical Authorization Form, Advance Payment Receipt and Replacement Form.

In CO, KS and VA: Application booklets will not include the Partnership Certification Form (PRT), until formal approval is received.

Application booklets are now available to download from www.jhltc.com and will be available to order on May 2, 2011.

Illustrations, rate cards and reports

On May 2, 2011, you can illustrate these new products on eHansel and Hansel (version 14.0). Rate cards will also be available to download on this date. Custom Care III Rate Card: LTC-8003, Core Care Rate Card: LTC-8103

Contact Madison Brokerage at 888-539-3232 for additional details.