HARTFORD FRONTIER INDEXED ULSM The difference is clear

FAIRY TALE VS. REALITY

In an ideal world, managing your nancial plan would be pretty straightforward, and the economy would grow at a steady rate. Work, invest, grow your assets, retire and maybe even create a legacy along the way. Thats the fairy tale were told. The reality is that its a roller coaster with some heart-pounding dips on the track. The quick and unexpected drops cloud your nancial picture. You may even wonder if any inclines you experience are just setting you up for another fall.

Life insurance risk/reward spectrum

REWARD / Growth Potential

Variable Universal Life

Indexed Universal Life

Universal Life

YOUR WEAPON: FLEXIBLE STRATEGIES

Its due to this unpredictable nature of things that it is so important to know you have the right life insurance in place to help fulll your nancial legacy. Permanent life insurance gives you the opportunity to achieve your life insurance objectives with exibility a powerful weapon against uncertainty. In addition to providing the security of a death benet, the cash value of permanent life insurance and its potential for tax-advantaged growth are attractive. Choosing the right product is the key. Do you have the risk tolerance for a product with full equity exposure? Would you rather sacrice the chance of more growth for some downside protection?

Whole Life

RISK / Volatility

BEST OF BOTH WORLDS

What if you could have a product that offered more upside potential than traditional universal life insurance interest crediting, along with a oor to guard against the market-based losses associated with variable universal life? If death benet protection along with upside cash value potential and downside protection sounds appealing, indexed universal life may be for you. If you prefer clarity over confusion, consider Hartford Frontier Indexed ULSM.

THE ADVANTAGES OF UNIVERSAL LIFE INSURANCE

Universal life insurance, in general, offers such advantages as: Death benet Typically received income-tax free* Account value Income-tax deferred interest crediting and growth Access to cash value Available through taxadvantaged loans and withdrawals, subject to minimum and maximum amounts Flexibility Allows changes in planned premiums within certain limits. After the rst policy anniversary, you may also adjust the death benet, though evidence of insurability may be required for increases. *Death benet may be included in your estate for federal estate tax purposes.

INDEXED UL: UPSIDE POTENTIAL, DOWNSIDE PROTECTION

All universal life (UL) insurance products provide permanent death benet protection with a cash value that can accumulate based on a credited interest rate through a xed account. Indexed UL is unique in that it also offers interest crediting based, in part, on the performance of one or more equity indices and not on a rate set by the insurance company. These products typically place a cap on how high the crediting rate can be and a oor on how low.

CLARITY CONQUERS CONFUSION

When choosing the life insurance product thats right for you, clarity and simplicity should be important factors. Hartford Frontier Indexed UL offers simple, easy-to-understand features like: One index account option the S&P 500, the most widely-recognized index for measuring domestic equity performance 0% guaranteed oor to help guard against market-based losses and an index growth cap on gains, guaranteed not to be less than 3% Annual interest crediting for each index account allocation, known as an index segment Interest crediting based on the average segment value during the one-year index term period not the ending value, so a late withdrawal doesnt cannibalize returns Fixed loans, which offer greater predictability to reduce uncertainty All guarantees within the policy are based on the claims-paying ability of the issuing company. What is an index segment? On the fteenth of each month (sweep transaction date), policyowners can move value from the xed account or a maturing index segment to the index account to create a new index segment. Each index segment will have a one-year index term. On the segment maturity date, we determine the amount of index interest to be credited to that index segment.

This policy is not a variable contract or an investment contract. Although the policy will be affected by changes in the S&P 500 Index, the policy does not invest directly in any stock or equity investments.

Here is a hypothetical example of how the index accounts cap and oor help smooth the effects of volatility.

CALCULATING THE INDEX INTEREST RATE We measure the performance of the S&P 500 during the index segment term 12/15/06 1,427 12/15/07 1,446 12/15/08 869 12/15/07 1,446 12/15/08 869 12/15/09 1,108 Then we determine the annual, point-to-point percentage change

Frontier then applies a cap (hypothetical 12%) and a oor of 0% to determine the index interest rate

1.3% -39.9% 27.6%

1.3% 0% 12%

Historical performance does not guarantee and is not indicative of future results. Allocations to the index account within Hartford Frontier
Indexed UL occur on the fteenth of the month.

ITS EASY TO STAY POSITIVE WITH DOWNSIDE PROTECTION

Optimists say, when things are looking down, its good to stay positive. Wouldnt it be great if a nancial product could follow this classic advice? The example below shows how actual S&P 500 returns would have translated into index interest credits under Frontier for the last 10 years, assuming a hypothetical growth cap of 12% and guaranteed oor of 0%.1 When the S&P 500 return was... -10.14% -13.04% -23.37% 26.38% 8.99% 3.00% 13.62% 3.53% -38.49% 23.45% The Index Account would have credited... 0.00% 0.00% 0.00% 12.00% 8.99% 3.00% 12.00% 3.53% 0.00% 12.00% In economic downturns, Frontiers 0% oor helps keep any gains from eroding. Over the past 10 years, the index account would have averaged an annual crediting interest rate of 5.25%, while the S&P 500 actually lost value. Over the long-term, this helps deliver a measure of predictability and consistency, as seen below through the last three decades.

Average Annual Historical Index Account Interest Rates2 10-Year

Year 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

5.25% 7.25% 7.71% 7.56%

20-Year 25-Year 30-Year

With the 0% oor, you will never experience market-based losses.

A Smoother Ride2 Frontiers index account helps smooth out volatility, providing consistent, predictable returns over time. This chart shows how the cap and oor would have eliminated volatility extremes over the last 10 years, compared to the S&P 500.
30%

S&P 500 returns (excluding dividends)

Hypothetical Frontier index account interest crediting based on actual S&P 500 performance

10% 0% -10%

-30%

-50%
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

This is a hypothetical example to describe the potential interest crediting rates of indexed universal life insurance. Data does not represent the cost or performance of any specic life insurance product. Historical performance does not guarantee and is not indicative of future results. Actual performance will vary. Cap rates are subject to change by the insurance company. Sweeps to the index account occur monthly on the 15th so all index account segments will start and end on this day. S&P 500 performance excludes dividends. Shows the average annual historical index interest rate for four different time periods, all ending 12/31/09. For each month in the specied time period, the point-to-point Index Growth Rate for the one-year period ending on the last day of that month was calculated using the actual historical S&P 500 Index growth,excluding dividends, for that period and assumes a hypothetical Index Cap of 12% with a 0% oor. The average of these values was then calculated over all the months in the given time period.

UNDERSTANDING HOW HARTFORD FRONTIER INDEXED UL WORKS

Hartford Frontier Indexed UL features two crediting accounts, a xed account and an index account. When you choose Frontier to provide your death benet protection with cash value growth potential: Your premium is paid and a premium expense charge is deducted. Net premiums are placed in the xed account. You determine what percentage of that value will be transferred to the index account. On the subsequent fteenth day of the month, the transfer is made and an index segment is opened (sweep transaction date).1 At the end of the one-year index term (segment maturity date), the amount of index interest credited is determined by multiplying the index interest rate by the average segment value for that segment. The index growth rate is the percentage change in the S&P 500 from the segment start date to the segment maturity date. The index interest rate is equal to the index growth rate, subject to the cap and the oor. The Hartford sets the index growth cap for each segment on the segment start date. The index growth cap is guaranteed to be at least 3%. Values remaining in the xed account will earn a xed interest rate, subject to a guaranteed minimum.2 Any withdrawals and loans, along with accrued loan interest, reduce the death benet. Upon death, your beneciaries receive the net death benet.

NET PREMIUMS & LOAN REPAYMENTS

Transfers occur on the fteenth of the month (sweep transaction date), based on your direction3

FIXED ACCOUNT
You may transfer value back to the xed account upon segment maturity if you want a more conservative approach

INDEX ACCOUNT

Loans

LOAN ACCOUNT

Declared Interest4

Index Interest

Monthly deductions5 Withdrawals & loans5 Other reductions5

Income-tax free death benet to beneciaries

1 2

Premium and transfer instructions must be received at least two business days prior to sweep transaction date in order to be effective. Crediting rates are not actual rates of return due to monthly policy deductions. 3 We guarantee the opportunity to make a transfer to the index account at least every three months. 4 Subject to a guaranteed minimum interest crediting rate. 5 Life insurance policies contain fees and expenses, including cost of insurance, administrative fees, premium loads, surrender charges and other charges or fees that will impact policy values. All deductions are taken from the xed account rst, then the most recent index segment.

ACCESSIBLE LIQUIDITY FOR ANY NEED

All accumulation that occurs within the policy is tax-deferred. You have the option to access any accumulated value in your policy through withdrawals and loans. Distributions are income-tax free, assuming the policy is not a Modied Endowment Contract (MEC). The assets can be used at any time and for any need, offering you the freedom and exibility to draw on your policy if you need it, when you need it. It can be used to help pay college tuition, help supplement retirement income, even to purchase a boat or car, for instance. Your policy becomes a MEC if the level of premium funding in the policy in relation to the death benet provided exceeds federal guidelines for life insurance. Both loans and withdrawals from a universal life insurance policy may be subject to penalties and fees and, along with any accrued loan interest, will reduce the policys account value and death benet.

Assuming a policy is not a MEC, withdrawals are taxed only to the extent that they exceed the policyowners cost basis in the policy and usually loans are free from current federal taxation. A policy loan could result in tax consequences if the policy lapses or is surrendered while a loan is outstanding. Distributions from MECs are subject to federal income tax to the extent of the gain in the policy and taxable distributions are subject to a 10% additional tax prior to age 59, with certain exceptions. Loans taken from any index segments trigger a one-year transfer restriction period, during which time no amount may be transferred from the xed account to the index account.

CUSTOMIZE YOUR COVERAGE

In addition to death benet protection with the potential to accumulate cash value, Hartford Frontier Indexed UL also features some of The Hartfords most popular life insurance riders to customize your coverage.1 LifeAccess Accelerated Benet Rider A chronic illness can unexpectedly and instantly change your life. The threat of chronic illness looms large, striking approximately two of every three people at some point after age 65,2 though it can happen at any age. The effect on your nances can be devastating as bills mount for medication, doctor services and specialized care. A exible nancial strategy that helps plan for this possibility can help you manage through a difficult time. Hartford Frontier Indexed ULs LifeAccess Accelerated Benet Rider gives policyholders access to their death benet, should those covered by the policy become chronically ill and otherwise qualify under the terms of the rider. There are no restrictions on how the accelerated benets can be used to help those covered by the policy if they are diagnosed with a chronic illness. Benet payments may be used for non-medical needs, such as family care, home maintenance, or transportation. It can be used for typical chronic illness needs, including assisted living, skilled nursing care, adult daycare, intermediate care, and hospice or respite care. Though this rider allows the death benet to be used for certain lifetime services, it is not, nor is it intended to replace, long-term care insurance. The maximum monthly benet under the rider is 2% of the death benet at the time of the claim never to exceed the IRS per diem limit. Receiving benets under the rider will reduce the death benet available to the policys beneciaries. The rider may not cover all of the costs associated with the chronic illness of the insured.
1 2

Extended Value Option Enhances long-term value by removing premium loads in all years, but increases surrender charge rates and extends the surrender period from nine to 14 years. Owner Designated Settlement Options This option gives you the ability to select the settlement option used to pay the death proceeds to your beneciaries. Once the payout option is locked in by the policyowner, beneciaries cannot change it. Available on every policy, at any time, at no additional charge. Waiver of Specied Amount Disability Benet Rider With election of this rider, you have the security of knowing your specied premium amounts will be automatically credited to your policy if you should become totally disabled. Additional charge applies. Overloan Protection Rider Helps protect your policy from lapsing if it is highly leveraged with policy loans. Automatically included at policy issue for no additional charge.

THE DIFFERENCE IS CLEAR

If you need permanent life insurance for death benet protection and exibility, as well as growth potential that can outperform traditional interest crediting without market-based losses, indexed UL may be for you. And if you prefer clarity over confusion in your nancial products, consider Hartford Frontier Indexed UL. The difference, quite literally, is clear. Talk to your nancial professional today to learn more.

Additional charges may apply. Subject to state availability. Kemper P, et al. Long-term care over an uncertain future: What can current retirees expect? Inquiry 42:335-50 (Winter 2005/2006).

About The Hartford Celebrating 200 years of helping its customers achieve whats ahead, The Hartford (NYSE: HIG) is an insurance and wealth management company. Through its unique focus on customer needs, the company serves businesses and consumers by providing the products and solutions they need to protect their assets and income from risks and manage their wealth and retirement needs. A Fortune 100 company, The Hartford is recognized widely for its service expertise and as one of the worlds most ethical companies. More information on the company and its nancial performance is available at www.thehartford.com. Over 750,000 Americans currently trust their life insurance needs to The Hartfords life subsidiaries, in part because they are getting more than the promise of a death benet. They are entrusting their nancial protection to a company that prides itself on integrity.

This information is written in connection with the promotion or marketing of the matters addressed in this material. The information cannot be used or relied upon for the purpose of avoiding IRS penalties. These materials are not intended to provide tax, accounting or legal advice. As with all matters of a tax or legal nature, you should consult your own tax or legal counsel for advice.
Standard & Poors, S&P, Standard & Poors 500 and S&P 500are trademarks of Standard & Poors Financial Services LLC (Standard & Poors) and have been licensed for use by Hartford Life Insurance Company. Hartford Frontier Indexed UL is not sponsored, endorsed, sold or promoted by Standard & Poors and Standard & Poors does not make any representation regarding the advisability of investing in the Hartford Frontier Indexed UL. The Hartford is The Hartford Financial Services Group, Inc. and its subsidiaries, including the issuing companies of Hartford Life Insurance Company (HLI) (New York) and Hartford Life and Annuity Insurance Company (HLA) (outside New York), Simsbury, CT. The mailing address for both issuers is P.O. Box 2999, Hartford, CT 06104-2999. Hartford Frontier Indexed ULSM is a exible premium adjustable life insurance policy with an index-linked interest crediting feature. HLI policy form # HL-19288(10)(NY). HLA Interstate Compact policy form # ICC10-1342. HLA non-Interstate Compact policy form # LA-1342(10) and may include state abbreviations. Features may vary by state. The Hartford is a proud supporter of the Life and Health Insurance Foundation for Education, a nonprot organization. 2010 LIFE. The Life and Health Insurance Foundation for Education is not affiliated with The Hartford.
LCM-10-368-8-10 Printed in the U.S.A. LIF101311 8/10 2010 The Hartford, Hartford, CT 06115

P.O. Box 2999 Hartford, CT 06104-2999 www.hartfordinvestor.com