Understanding Your Opportunities

1
Understanding Your Opportunities


with Group Variable Universal Life
for employees atNASA
2
Ask Yourself...

• How much life insurance would it take for your
  family to maintain their lifestyle if something
  happened to you?
• Has your current life insurance coverage kept
  pace with your family's expenses, goals and life
  events?

Life insurance coverage equal to or less than
three years of total household income is
considered underinsured.

As defined in MetLife, Life InsurancePost-9/11/0
1 Study, 2002.
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How Much Coverage?

• Replacement of all current optional term life
  insurance coverage
• Guarantee Issue coverage rounded up to the next
  1/2 multiple
• Optional coverage in 1/2 multiples to 8 times
  your salary to a maximum of 2,000,000

Upon enrollment into the plan.
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Ask Yourself...

• Would you like to supplement your 401(k)
  contributions?
• Are you saving for the rising cost of education?
• Are you planning for post-retirement medical
  expenses?

By utilizing GVULs investment feature, you can
access any cash value that is built up in your
certificate, during your lifetime for expenses
such as education, real estate opportunities,
post-retirement medical programs or early
retirement.
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Tax-Advantaged Investment Opportunity

• Potential tax-deferred growth
• No surrender charges
• Tax-free transfers between investment portfolios
  
• No 59 1/2 early withdrawal penalties withdrawals
  will reduce your cash value and death benefit.
• Tax-free withdrawals up to cost basis

In general, if the funding of your certificate
exceeds certain limits, it will become a
"modified endowment contract" (MEC) and become
subject to "earnings first" taxation on
withdrawals and loans. An additional 10 penalty
for withdrawals and loans taken before age 591/2
will also generally apply. We will notify you if
a contribution would cause your certificate to
become a MEC.
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Tax-Advantage of GVUL Premiums
Buying Term Insurance Investing Elsewhere
Buying GVUL Investing Within the Program
Premiums For Term Life Insurance Coverage
Premiums For GVUL Insurance Coverage And
Separate Investment
Cost Basis Total GVUL PremiumsPaid
Extra GVUL Premiums For Investment
Cost Basis Only Amount of Money
Invested In Separate Investment
Under current law, most tax payers are subject
to a lower rate of tax on qualifying dividends
and long-term capital gains than on ordinary
income. Taxable distributions from GVUL are
subject to ordinary income tax rates.
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Tax-Advantage of GVUL Premiums - Example
Age at Issue 40End of 25 Years500,000
Coverage
Premiums
Premium For GVULInsurance Coverage
Paid in Total 80,000
50,000
(Cost Basis)
Available Cash Value 80,000
Extra GVUL Premium For Investment
30,000 (Approx. 100/Month)
Cash Value Subject to Tax 0
Withdrawals will reduce the cash value and the
death benefit of your certificate.
GVUL Investment Earnings
50,000
The above example is not indicative of any
particular investment. These examples do not
reflect any charges. Earnings within your GVUL
coverage generally can be withdrawn from your
certificate without income tax, as long as the
cash value in your certificate is less than the
total premium paid into your certificate at the
time of withdrawal, less any prior withdrawals,
and provided that the contract is not a modified
endowment contract.
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Tax-Advantage of GVUL Premiums - Example
Age at Issue 40End of 25 Years500,000
Coverage
Premiums
Premium For GVULInsurance Coverage
Paid in Total 150,000
Available Cash Value 250,000
50,000
(Cost Basis)
Extra GVUL Premium For Investment
150,000 of Cash Value is Not Subject to Income
TaxWithdrawals exceeding Cost Basis will be
subject to ordinary income tax
100,000 (Approx. 330/Month)
Withdrawals will reduce the cash value and the
death benefit of your certificate.
GVUL Investment Earnings
150,000
The above example is not indicative of any
particular investment. These examples do not
reflect any charges. Earnings within your GVUL
coverage generally can be withdrawn from your
certificate without income tax, as long as the
cash value in your certificate is less than the
total premium paid into your certificate at the
time of withdrawal, less any prior withdrawals,
and provided that the contract is not a modified
endowment contract.
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Tax-Advantage of GVUL Premiums - Example
Age at Issue 40End of 25 Years500,000
Coverage 150,000 Cost Basis
Premium For GVUL Insurance Coverage
150,000 Not Subject To Income Tax
Extra Premium for Investment Available Cash
Value250,000

• Strategies for Remaining Cash Value Can Include
  
• Loan Provisions
• Payment of Future Premiums

Outstanding loan amounts do not participate in
the investment experience of the variable
investment options and can have a permanent
effect on certificate values and benefits.
The above example is not indicative of any
particular investment. These examples do not
reflect any charges. Earnings within your GVUL
coverage generally can be withdrawn from your
certificate without income tax, as long as the
cash value in your certificate is less than the
total premium paid into your certificate at the
time of withdrawal, less any prior withdrawals,
and provided that the contract is not a modified
endowment contract. Withdrawals will reduce the
cash value and the death benefit of your
certificate.
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Tax-Advantaged Investment Opportunity
17 Variable Investment Portfolios
And an Interest Bearing Account currently paying
5.1 (4guaranteed)

• Premium charge 2.25
• Average asset charge 1.52 - will vary
  depending oninvestments selected

The current crediting rate on the
interest-bearing account is subject to change.
Guarantees are based on the claims-paying ability
of Paragon Life.
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Enrollment Deadline 4/1/05

• Determine Your Life Insurance Needs
• Determine Your Investment Plan
• Complete Enrollment at www.metlife.com/mybenefits
• To ensure coverage effective May 1, 2005

Paragon Enrollment Support [phone]Monday
Friday 8 a.m. 5 p.m. (CT)
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Simple Enrollment Process

• Insurance Election
• Investment Election
• Fund Allocation
• Other Elections
• Health Questions
• Review and Submit

Paragon Enrollment Support [phone]Monday
Friday 8 a.m. 5 p.m. (CT)
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Prospectus Information
Prospectuses for Paragon Group Variable Universal
Life insurance must precede or accompany this
material. You should carefully consider the
information in the prospectuses about the
contracts features, risks, charges and expenses,
and the investment objectives, risks and policies
of the underlying portfolios, as well other
information about the underlying funding choices.
Please read the prospectuses and consider this
information carefully before investing. Product
availability and features may vary by state. All
product guarantees are based on the financial
strength and claims-paying ability of Paragon
Life Insurance Company. Paragons Group
Variable Universal Life insurance has
limitations. There is no guarantee that any of
the variable options in this product will meet
their stated goals or objectives. The account
value is subject to market fluctuations so that,
when withdrawn, it may be worth more or less than
its original value. Securities are underwritten
and distributed through MetLife Investors
Distribution Company. Paragon and MetLife
Investors Distribution Company are MetLife
companies. Policy Form No. 30037.
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Understanding your benefit opportunities with
Group Variable Universal Life
Paragon Life Insurance Company 190 Carondelet
Plaza, St. Louis, MO 63105-3433 [phone]
L0411FHE4(exp1106)PAR-LD