Group. We offer medical stop-loss insurance, limited medical benefit plans, group life insurance, accidental death and dismemberment insurance and disability insurance mainly to employer groups of 50 to 1,000 individuals. Our Group segment generated segment pre-tax income of $68.0 million during 2006 and $42.7 million during the six months ended June 30, 2007. As a result of our recent acquisition of Medical Risk Managers, Inc., we also offer managing general underwriting, or MGU, services

Plan guidelines for eligibility, payout provisions, prorated awards, and other administrative practices.

Specific Plan provisions, including incentive rates.

A Participant is compensated through a base salary and incentive compensation, based on production in an assigned territory within the Participant’s Distribution Channel.

 

Base salary is defined as annualized base pay excluding any bonuses, cash incentives, or other extra compensation.

 

The Plan will run on a calendar year basis.

 

Incentive Compensation earned will be paid quarterly. These payments will be made within three pay periods after the end of the month in which the incentive compensation was earned, unless the necessary data to calculate the incentive amount is not available. In that case, payments will be made within two pay periods following the date the data becomes available.

 

A Participant becomes eligible to participate in the incentive compensation program on the first of the month following date of employment in a qualifying position.

 

The information described in this Plan assumes a Participant’s full year participation. A Participant in the position for a partial Plan year will be eligible to earn incentive compensation on a prorated basis.

 

If a Participant leaves his/her position during the Plan year for any reason, he/she will be paid for production earned through the end of the last full month of employment.

 

The percentage rate at which incentive compensation will be paid is set forth in the Plan Description. The referenced rate will be paid for credited sales during the quarter.

 

In certain circumstances management may provide a Participant guaranteed quarterly minimum incentive payment(s). In that situation, the Participant will be paid the higher of (1) the guaranteed quarterly minimum, or 2) the quarterly incentive compensation amount the Participant otherwise earned under the terms of the Plan, based on qualifying production. Cumulative YTD earned incentive compensation will be calculated and a reconciliation will be performed. This guarantee will come under the same guidelines as noted in the Eligibility and Calculations sections above and will be carried over to subsequent quarters until completely offset by any incentive compensation earned through the end of the guarantee.

 

Sick leave and/or short-term disability for Plan Participants will be administered in the same manner as for all other salaried Symetra Financial employees in accordance with Symetra’s normal benefits policies and procedures. In the event of time away from work due to sick leave and/or short-term disability, incentive compensation will not be adjusted unless as stated under Product, Commissions and Production Credits.

A realignment is the reassignment of agent(s) or registered representative(s) from one channel and/or territory to another, as approved by the distribution channel(s) involved. The effective date of the realignment is the date that production stops flowing from the old territory and begins flowing to the new one. Incentive compensation will be adjusted upon the realignment and could result in a retroactive increase or decrease in production and incentive compensation.

 

Assignment of agencies/producers will be established on a geographic territory and authorized by the manager responsible for the Distribution Channel. Each Participant will be accountable for those agencies and producers for the assigned products and product lines.

 

Symetra Life Insurance Company reserves the right to withdraw products from distribution, to reassign distribution of specific products, to realign sales territories and restructure distribution channel responsibilities as it deems necessary or appropriate to its overall business needs. In appropriate circumstances, the Company may modify credits on a case. (For example, in a situation involving significant Symetra Life Insurance Company assistance on a case, a Participant may be granted only partial sales credit for the case.) Any such modification of production credit for a case requires notification in writing within a reasonable time after the sale with the approval of the Company’s Senior Vice President of Sales and Distribution and Human Resources.

 

Symetra Life Insurance Company reserves the right to modify, amend or repeal this Plan, or to discontinue (either temporarily or permanently) the distribution of incentive compensation under the Plan. However, unless as stated under Product, Commissions and Production Credits, no such modification, amendment, suspension or termination may adversely affect incentive compensation awards earned prior to the date the modification, amendment, suspension or termination takes effect. Any Plan modification requires written documentation to Plan Participants with approval of the Senior Vice President of Sales and Distribution and Human Resources.

 

Symetra Life Insurance Company reserves the right to determine or resolve all situations not expressly covered in this Plan description. Final determinations regarding these situations will be made jointly by the Manager of the Distribution Channel, the Senior Vice President of Sales and Distribution and Human Resources.

 

The existence of this Plan does not create any employment contracts, nor does it confer any right of continuing employment upon any Plan Participant or any other employee. Employment at Symetra is “at will”, meaning that both the employee and Symetra are at liberty to end the employment relationship at any time, with or without cause, with or without notice.

Term Life (Term and Worksite Term)

Annual Permanent Life (Annual Perm and Worksite Perm)

Single Premium Life

Worklife Universal

BOLI

 

Group Stop Loss and Group Life and Disability

Select Benefits

Select Benefit Renewals

 

Fixed Total (Other Fixed Annuities, TSA Fixed and SEPP/SIMPLE Fixed)

Individual Variable Total (Other Variable Annuities, TSA Variable, and SEPP/SIMPLE Variable)

Group Variable Total (Other Group Variable Annuities and TSA Group Variable)

Bundled Products Total (MF TSA, MF 401(k), MF 457, MF 403b7, and MF Other)

 

SPIA

Annuitizations

Structured Settlements

WELL PLAN

 

 

 

Participant’s Printed Name

 

 

 

Participant’s Signature/Date