Pre-Paid Legal Services, Inc.

and subsidiaries
Business Briefing

 Three Major Problems and

Needs
 The Best Answers
 Opportunity and Timing
 Action Steps
First Major Problem

Most people today have the same complaint – they

don’t have enough money and they have no time
freedom.

Expenses are escalating. Everyday items are much

more expensive today than just one year ago.

Credit Cards  Taxes  Loans  Mortgages  College

Taxes  Car loans  Taxes  Insurance  Cell Phones
Gasoline  Taxes  Etc.
 Second and Third Major
Problems

Identity Theft

Access to the legal

system
for Everyday Life Events
Five Areas to Evaluate

 The Company
 The Need/Marketplace
 The Product
 The Compensation
 The Timing
The Company

 Has been in business for more than 30 years

 Is a public company since 1976 (NYSE:PPD)
 Began with a serious auto accident.

Harland C. Stonecipher
Founder, Chairman, & CEO
Pre-Paid Legal Featured in Many
Publications

Pre-Paid Legal was most recently

featured in Success from Home
magazine.
Sales History
GROSS REVENUE
IN MILLIONS

$475
$450
$425
$400
$375
$350
$325 $303 $350 $361 $386 $423 $444 $457
$464
$300
Our sales history continues to improve as we move up and to the right each
year.
2001 2002 2003 2004 2005 2006 20
It’s Not If, But When

102
100 M

75 M Million
50 M

25 M
37
Million
0
Hospitalizations Court Filings
in 2006* in 2006**

You are more than twice as likely to be in

court than you are to be hospitalized!
* American Hospital Association, 2006 Annual Survey
** Examining the Work of State Courts, Court Statistics Project 2007
Have You Ever . . .

 been overcharged for a repair?

 tried to return a defective product?
 received a traffic ticket?
 lost a security deposit?
 been audited?
 signed a contract?
 purchased a home?
 prepared a Will?
 worried about identity theft?
Why Don’t People Call Attorneys

The Main Reasons People Don’t

Seek Legal Counsel:
 They are intimidated by lawyers.
 They don’t know who to call.
 They believe it would cost too much.

The Most Common Responses to

a Legal Dispute Are to:
 Ignore the problem
 Try to handle it personally
What Do We Do

Simply put a Pre-Paid Legal

membership does for
attorney and legal bills
what medical insurance
does
for doctor and hospital
bills.
Who Is Covered?

The Pre-Paid Legal membership

covers:
1. The Member
2. The Member’s Spouse
3. Never Married Dependent Children
Under 21 Living At Home
4. Dependent Children Under Age 18
For Whom The Member Is Legal Guardian
5. Full Time College Students Up To Age 23
Never Married, Dependent Children
6. Physically Or Mentally Challenged Child
Living At Home
Six Areas of Coverage

The Life Events Legal Plan:

 Preventive Legal Services

 Motor Vehicle Legal Services
 Trial Defense Services
 IRS Audit Legal Service
 25% Preferred Member
Discount
 Legal Shield
Preventive Legal Services

These services are available to you immediately when you

enroll!
 Phone consultation is available to you and your
covered family members on an unlimited
number of matters.

 When your Provider Attorney feels it is in your

best interest, a letter will be written or a phone
call will be made on an unlimited number of
personal issues for you and your family.

Phone consultation on unlimited matters is available to the extent the Provider Law Firm deems it necessary to adequately advise you on your legal matter.
One (1) hour of legal research per subject matter will be completed by the Provider Law Firm if your legal matter cannot be adequately addressed during your
telephone consultation. Nevada residents limited to 50 hours per year and 5 personal legal documents reviewed per year. A letter or phone call per subject
matter is available if advisable in your Provider Law Firm’s sole discretion. Trust preparation is available at the preferred member rate.
Preventive Legal Services

These services are available to you immediately when you

enroll!
 When you are faced with signing a contract,
have your Provider Law Firm review it first! An
unlimited number of personal contracts and
documents that are 10 pages or less in length
will be reviewed as a part of your membership.

 If you are faced with a debt collection matter, your

Provider Attorney will provide up to 3 hours of
assistance to help you resolve the matter prior to
your creditor pursuing litigation.

Trust preparation is available at the preferred member rate.

Preventive Legal Services

These services are available to you immediately when you

enroll!
 Standard Will, Directive to Physician/Living
Will and Medical Power of Attorney
preparation and yearly updates are included
for the member, their spouse and other
covered family members.

 Trust preparation is available at the

preferred member rate.
Preventive Legal Services
(continued)
These services are available to you immediately when you
enroll!
The member or member’s spouse’s estate will receive certain
attorney hours for probate of a Last Will and Testament
prepared by the Provider Attorney. Up to 5 hours of attorney
time will be available for the following:
Process petition and make court appearances for admission of Will to probate,
appointment of personal representative, issuance of letters testamentary and
determination of heirs, devisees and legatees to be defined as any individual or
entity who will inherit or receive property as a result of the probated Will.
 Process notices to creditors and inventory of estate assets
 Process legal documentation for sale of homestead real estate
 Process final closing of estate and distribution of assets, to include one court
appearance
 Preparation of Federal estate tax return. If not required, preparation of the
state estate tax return is available.
 Debt collection review and advice
This benefit is available to the surviving Named Member or their spouse: If none, named personal rep. in the deceased’s Last Will and Testament. Does
not include work customarily performed by a personal representative such as the gathering of information, determining identity and current address of
heirs, devisees and legatees, meeting with appraisers, maintenance of estate property and similar estate management duties. Does not include all costs
and fees for non-attorney services (such as but not limited to appraisals, CPA or account tax services, real estate agent services, publication fees, court
costs, etc.
Motor Vehicle Legal Services

These services are available just 15 days after enrollment!

 Call your Provider Law Firm immediately when you

receive a moving traffic ticket so proper assistance can
be arranged.

 Representation for certain motor vehicle related criminal

charges

 Up to 2.5 hours for help with driver’s license assistance

and/or personal injury/property damage collection
assistance of $2,000 or less.

Representation under this benefit is provided when the member has a valid driver’s license and is driving a properly licensed motor vehicle. Pre-existing
conditions, charges of DUI/DWI related matters, drug-related matters, hit-and-run related charges, leaving the scene of an accident, and unmeritorious
cases are excluded. Commercial vehicles with more than two axles are not covered. Driver’s license and personal injury/property damage recovery
assistance is limited to two and one-half (2-1/2) hours of lawyer time per claim, does not include the filing of a lawsuit, and excludes personal injury and
property claims exceeding $2,000.
Trial Defense Services
If you or your spouse face a civil suit or job-related criminal charges, your
Provider Law Firm will provide up to 75 hours of service - at no added
cost - to defend you. Additional pre-trial and trial services are available at
a 25% discount from the Firm’s standard hourly rate.

The longer you keep your membership, the more valuable it becomes!
1st year - 75 hours (17.5 pretrial/57.5 trial)
2nd year - 140 hours (23 hours pretrial/117 trial)
3rd year - 205 hours (28.5 pretrial/176.5 trial)
4th year - 270 hours (34 pretrial/236 trial)
5th year - 335 hours (39.5 pretrial/295.5 trial)

Matters not covered under Plan benefits and which you may use your preferred member rate for services are: Dependents (covers member and spouse
only), Bankruptcy, divorce, separation, annulment, child custody or other divorce or domestic-related matters, Charges of DUI/DWI, drug-related matters
(whether prescribed or not), hit-and-run, leaving the scene of an accident, and civil or criminal charges occurring as a result of operating a commercial
vehicle with more than two axles, Plan benefits apply only to charges of job-related criminal actions. Benefits do not cover instances in which you are
named in a civil lawsuit or have criminal charges filed against you because you are listed as an owner, manager or associate of the business and you had
no direct involvement with the act or matter that gave rise to the lawsuit or criminal charge, Lawsuits filed because of something that occurred prior to your
enrollment or because of conditions that were reasonably anticipated or foreseeable prior to your enrollment (even if the lawsuit is filed after you become a
member), Class actions, interventions or amicus curiae filings in which the covered member is a party (or potential party), Garnishment, attachment or any
other appeal, Claims, defenses, or legal positions which your Provider Law Firm determines will not prevail in court or are frivolous or without merit.
IRS Audit Legal Services

 One hour of consultation, advice or assistance when

you are notified of an audit by the IRS

 An additional 2.5 hours if a settlement is not achieved

within 30 days

 If your case goes to court, you’ll receive 46.5 hours of

your Provider Law Firm’s services

 Coverage for this service begins with the tax return

due April 15 of the year you enroll

Coverage includes the return due on April 15th of the first membership year. Does not cover garnishment, attachment or any other appeal, class actions,
interventions or amicus curiae filings, charges of tax fraud or income tax evasions, Trust returns, business and/or corporate tax returns, payroll and
information returns, partnerships, corporation returns or portions thereof that are included in the member’s tax returns, pre-existing conditions—where
member has been notified by the IRS prior to enrollment, and services rendered by an enrolled agent.
25% Preferred Member Discount

Your Provider Law Firm will render assistance at the

preferred rate for legal services not specifically covered
by the benefits of the membership. Even pre-existing
matters can be covered under this portion of the plan!

If you own a business and wish representation for the

entity, you will receive a preferred rate of 25% less the
Provider Law Firm’s corporate hourly rate*.

Five business days advance notice is required for

preparation in court representation.
*Hourly rates for Referral Lawyers and court appearances
may vary.
The information contained in this material is for illustrative purposes only and is not a contract. It is intended to provide a general overview of the coverage
you have selected. Please remember that only the plan contract can give actual terms, coverage, amounts, conditions, and exclusions. Check benefit
availability in your state/province.
Legal Shield

The Legal Shield gives you and your family 24-hour

access to legal consultation for the following situations:
 If you are detained by a law enforcement officer
 If you are injured in an accident
 If authorities attempt to remove your child from your
home or custody
 If you are served with a warrant

To contact your Provider Law Firm, simply call the toll-free

number on your Legal Shield card. You will reach the Pre-Paid
Legal offices, who will then put you in contact with your
Provider Law Firm, so you can consult with an attorney. It’s
that easy.
The Legal Shield membership will not apply if the member is alleged to be under the influence of or impaired by alcohol, intoxicants, controlled
substances, chemicals or medicines, whether prescribed or not; the member is alleged to be involved with domestic violence or stalking; and/or
assistance in making, posting, or obtaining bond, bail or other security required for release. Check benefit availability in your state.
How Much Will It Cost?

Well, with a Pre-Paid

Legal membership you
receive all this for only
$28.95 a month! Isn't
your family worth it?

That's less than the price

of a cup of coffee a day!
It’s No Secret

Identity Theft is A Major Problem In

America
 Do you hand your credit card to servers at restaurants?

 Do you supply personal information over the internet?

 Do you keep your Social Security number in your wallet or purse?

 Do you leave mail at your home or business for the postal carrier
to collect?

 Do you throw away unwanted mail with personal information

without shredding
it first?
 Five Common Types of Identity
Theft

Drivers Social Medica Charact Financ

License Securi l er/ ial
ty Criminal

Identity Theft is not just about credit cards! ID theft is

an international crime and access to an attorney may
be critical.
What is Identity Theft?

Why are you at risk?

 Utility Companies
 Insurance Companies
 Credit Card Records
 Medical Records
 Real Estate Records
 Motor Vehicle Records
 School Records
 Military Records
 Social Security Records
 Banking Records
 Employment Records
 Postal Records
 Purchasing Records
 Tax Records
 Leasing Records
 Licensing Records

Your Data is Out There

The Best Answer

Is Credit Monitoring Alone the

Solution?

    
Drivers Social Medical Character/ Financial
License Security Identity Criminal Identity
Identity Identity Theft Identity Theft Theft
Theft Theft
 The Best Answer


Restorative

Restorative

Restorative

Restorative

Restorative
Services Services Services Services Services

Life
Life
Life
Life
Life
Events Events Events Events Events
Legal Plan Legal Plan Legal Plan Legal Plan Legal Plan

Drivers Social Medical Character/ Financial

License Security Identity Theft Criminal Identity
Identity Identity Identity Theft Theft
Theft Theft
The Best Answer

The Complete Wall of Security

YOU
Monitoring
Services

Life Events
Legal Plan
Restoration
Services
The Best Answer

Pre-Paid Legal Services,

Inc. is the only
company with a suite of
products that provides
help in every phase of
Identity Theft – before,
during, and after the IDentity Theft
crime occurs.
SHIELD
TM

with the Pre-Paid Legal Plan

The Best Answer

Kroll is the world’s

leading risk consulting
company with more
than 30 years of
experience. Kroll has IDentity Theft
been involved in many
SHIELD
TM

notable cases, such as:

with the Pre-Paid Legal Plan
 Assisted the Kuwaiti
government in investigating
Saddam Hussein’s financial
network.

 Responsible for the

restructuring of Enron.
Credit Report & Continuous Monitoring

 You will receive an up-to-date credit report through

Experian at no additional charge with your
membership.

 Your credit files will be regularly monitored.

Suspicious activity will be brought to your attention,
providing you with early detection.

 You’ll receive prompt notice if any new accounts are

opened in your name... or if derogatory notations are
added to your credit report.
Restoration Services

If your identity is stolen, you need more than just information about how to
restore your name and credit rating. As an Identity Theft ShieldSM member
you can rest easy knowing experienced
professionals are working for you!

Fraud alert notifications will be sent on your behalf and applicable

follow up will be done with affected agencies and institutions

Proactive searches of applicable local and national databases will be made

on your behalf to look for information you may not have known about

Identity Restoration will not apply if the identity theft is the result of a dishonest, criminal, malicious, or fraudulent act you, your
spouse, or your child participated in, directed, or had knowledge of. Restoration services will not be provided for a known stolen
identity event that occurred prior to enrollment date. You must be an active member to receive restoration services. Services
provided do not cover financial losses arising from the identity theft. A signed limited power of attorney must be provided to Kroll
when an Identity Theft Restoration case is opened in order for Kroll to work on your behalf and/or provide the Proactive Database
Searches listed. A stolen identity event does not include the theft or unauthorized or illegal use of your business name, d/b/a, or any
other method of identifying your business activity.
Safeguard for Minors

Children under the age of 18 have a much higher risk of

identity theft than is commonly realized. Thieves target them
because the child’s information may be used for years
without discovery … until the minor is old enough to establish
credit.

Education, early detection, and expert consultation make for

a powerful package of tools to minimize this risk.

Up to four minor children can be enrolled for monitoring to

detect existing credit files and it will cost the member only $1
more per month per family.

All dependent children up to 18 are covered for consultation

and restoration.
How Much Will Peace of Mind Cost?

With the Pre-Paid Legal Life

Events Legal Plan you will
receive all these benefits for
just $28.95 or less per
month! And the Identity
Theft Shield can be added for
an additional $9.95 per
month.

That’s less than the price

of a bottle of water a day.
What’s in It For You?

We need your help

taking this service
and opportunity to
the marketplace.
The Opportunity

How do people create WEALTH?

Work for someone else?

Get a second job? A third
job?
Escalating Expenses
•Credit Cards •Car loans
•Taxes •Taxes
•Loans •Insurance
•Mortgages •Cell Phones
•College •Gasoline
•Taxes •Taxes
Two Goals

1. Sign up every 2. Create more

family for the Life
Events Legal Plan
and Identity Theft
Service
PPL TRACK RECORD:
 Servicing more than 1.5
million families.
 Over 34,000 companies
offer the services as an
employee benefit.
millionaires than
any other company
PPL TRACK RECORD:
 In 2008 approximately
every 12 days a new
family started earning
a six-figure income
working with PPL!
 And approximately
every 24 days a new
family joins the
Millionaire Club!

And you can, too, by doing three simple

things!
Advanced Commissions - $38.90
($28.95 PPL Family Plan + $9.95 Identity
Theft Shield) Personal Team Cumulative
Sales Override Override
Advance Advance Advance
Executive 273.04 48.63 235.63
Director
Director 224.41 37.40 187.01
Manager 187.01 37.40 149.61
Senior 149.61 74.80 112.21
Associate
Associate 74.80 37.40 37.40
All you have to do is
Junior 37.40 collect:
$38.90 1st Month's fee
Associate + $10.00 One Time
Enrollment
$48.90
Want to earn higher commissions immediately? If your first
activity is to recruit a new Junior Associate AND sell that
person a membership, you will immediately advance to
Associate level and receive the Associate level advance on
that sale!
Advanced Commissions - $28.95
Plan
Personal Team Cumulative
Sales Override Override
Advance Advance Advance
Executive 203.22 36.19 175.37
Director
Director 167.03 27.84 139.19
Manager 139.19 27.84 111.35
Senior 111.35 55.66 83.50
Associate
Associate 55.66 27.84 27.84
Junior 27.83 All you have to do is
collect:
$28.95 1st Month's fee
Associate + $10.00 One Time
Enrollment
$38.95
Want to earn higher commissions immediately? If your first
activity is to recruit a new Junior Associate AND sell that
person a membership, you will immediately advance to
Associate level and receive the Associate level advance on
that sale!
Pre-Paid Legal Pays You Every
Day

Commissions are paid daily by direct deposit!

 Player’s Club

Qualify for the

Player’s Club
and receive a
Your monthly car bonus can monthly car
range from $100 to $500! bonus!

*The program requires additional

requirements to be met. Review
the Player’s Club flier for full
details regarding this program.
This Business Is Simple

Let the tools do

the work for
you!
 Hand Outs
 Brochures
 DVDs and CDs
 Mail Outs
 Calls
 Recordings
 Website
 Third-party validations
 and now . . .
Viral Marketing Tool
Marketing experts believe the most valuable ad placement today is on
someone's internet home page.
Through a partnership with blastoff, Pre-Paid Legal Services, Inc. now
has the opportunity to expose individuals to their services through
potentially millions of homepages.
FREE... FUN... EASY...
They shop, they save. You earn, and you market PPL.
No Specific Experience Necessary

PICKENS RASMUSS DORSEY MUHAMM SMITH

Military EN Landscaping AD Grocer
Business BellSouth
Owner

DENNE MALLOY GARDNER BURGESS SELF

Custodian G.E.D. Attorney Social Worker Store Manager
The Target Market Is Huge

The Top 10%

Have
Or Can Afford
The Bottom 10% Legal Access
Have Access To
Legal Aid or
Public Defender

Target
Customer
Pre-Paid Legal Services, Inc.$15-$25
gives middle income North
America equal access to Billion Market
justice.
The Market Timing Is Perfect

100 %

75 %

50 %

25 %

0%
Less than 3% of Approximately
North Americans 80%
Have Of Europeans
A Pre-Paid Legal Have
Services Legal Coverage
Membership
Current Market Penetration

Less than 1%
penetration

1% to 3%
penetration

More than 3%
penetration

Plan not
available
This map illustrates Pre-Paid Legal Services , Inc.’s current market penetration. Percent of
®

population based on households utilization of 2.5 household members per membership.

Timing Is Key

History shows that when an industry hits a 2% market

penetration, critical mass can be achieved.

THE GROWTH OF HMO’S

60% • It took 10 Years for
HMO’s to
50%
reach 2% market
40% •After that, it took just
penetration
seven
30%
more years to reach
20% 52%
market penetration
10%

0%
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
Timing Is Key

The three major divisions of the insurance industry have

already achieved billions in market share.

100
90
80
70
60
50
40
30
20
10
0
LIFE AUTO HEALTH LEGAL
Timing

Recent National
Media Campaign
MIKE MOORE: Former Attorney General Mississippi

MIKE TURPEN: Former Attorney General Oklahoma

GRANT WOODS: Former Attorney General Arizona

ANDREW P. MILLER: Former Attorney General Virginia

THOMAS J. DONOHUE: President & CEO, U.S. Chamber of

Commerce

HARRY C. ALFORD: President & CEO, National Black Chamber of

Commerce

BILL PAUL: Former American Bar Association President

Success Stories

Now, it is time to show you how

Pre-Paid Legal really works. We’re
going to share with you real stories
from real people who have been
helped either by the membership,
the business opportunity or both.
Investment

O
R
$49 BASIC
PROGRAM
 Investment

As a FAST START Associate you

receive:
BUILDER’S PACK:
 Applications
 Brochures
 3 months FREE enhanced
Help one
website
person start  3 months FREE Televox
their business  1 Getting Started Right Book
and sell ten  3 Training CDs
$38.90  3 Recruiting DVDs
 1 Recruiting CD
memberships
= Special Executive Director support
and guidance to launch your business!

$1,496.
Action Steps

 Become a Member
 Become an Associate
 Plug into Your Area
Events

Thank you for your time.

See You Next Week

Tonight’s event was great, and we appreciate your

being here . . . but next week will be even better.

Don’t miss our special guest speaker!

Be sure to write it down because you definitely

want to be here. And be sure to bring people
with you!
Pre-Paid Legal Services, Inc.

This presentation is copyrighted material and may

not be altered in any form under any
circumstances. Alteration of this material in any
way is a violation of the company’s policies and
procedures and may result in immediate
termination of your PPLSI Associate Agreement.

Marketed by Pre-Paid Legal Services, Inc. or applicable subsidiary:

Pre-Paid Legal CasualtySM, Inc.
In Tennessee: Pre-Paid Legal Services of Tennessee, Inc.
In Florida: Pre-Paid Legal Services, Inc., of Florida
In Virginia: Legal Service Plans of Virginia, Inc.

©1999 Pre-Paid Legal Services, Inc.

11.09