FREQUENTLY ASKED QUESTIONS

Why was I asked to pay additional premiums by Life Settlements Service Corp.?

Many Future First investors received correspondence from Life Settlements Service Corp., a corporation owned by the same individuals as Future First, asking them to provide additional premiums and a separate servicing fee to maintain their Future First investment. As indicated in the letter from Life Settlements Service Corp. these additional funds were requested because Future First no longer had funds sufficient to pay the premiums due on the Future First Policies. This condition is one of the reasons that the Florida Department of Insurance revoked Future First’s license to sell viaticals in Florida. The subsequent request for additional premiums and service fees from many Future First investors by Life Settlements Service Corp. prompted the Florida Department of Insurance to request the establishment of the Conservatorship.

What if I never received a request for additional premiums from Life Settlements Service Corp.?

Approximately one third of Future First investors did not receive a request for additional premium or service fees from Life Settlements Service Corp. However, whether an investor did or did not receive such a request has no bearing on the current status of the investor’s investment. All policies in which Future First invested have been placed within the Conservatorship and are being evaluated on a per policy basis to determine the status of each. Given the state of the policy records received by the Conservator, the evaluation may take some time. However, while the evaluation proceeds, the Conservator has obtained funding to maintain the policies where possible.

What is the status of my Future First investments?

The Conservator's first priority is to attempt to prevent the lapse of Future First Policies. Under the terms of the Order, Life Settlements is obligated to provide us with records regarding Policies and their lapse dates. The Conservator is attempting to take steps to ensure compliance by Life Settlements with its obligations under the Order.

If Future First has depleted its premium pool, how will the Conservator maintain the Future First policies?

The Conservator is currently in the process of evaluating the status of all policies in which Future First investors have an interest. The Conservator is also in the process of examining records of Future First to locate, collect and, where necessary, seize assets that belong to Future First. These assets will be used to the extent possible to pay the premiums due on Future First Policies, thereby preventing the lapse of the polices. At this time, and for the reasons expressed in our letter, we can not advise you to send any premium payments to the Conservator or to any insurance company.

I need money now. Can you please return my original investment funds?

Unfortunately, the Conservatorship cannot return your investment funds or any portion thereof at this time. The funds were used to purchase the Future First Policies or have been spent by Future First in some other capacity. The Conservator is aggressively pursuing and attempting to recover all assets which were purchased with Future First funds. Any distribution to investors would have to be approved by the Court in response to a plan submitted to the Court by the Conservator. We can only establish and recommend such a plan once we complete our ongoing review of all records of Future First.

What will be done with the Future First Policies?

The Conservatorship is currently exploring options to either maintain the original policies until maturity as originally planned, or to find a buyer or buyers willing to purchase the Future First Policies at a reduced amount. A plan of action will be determined once we complete our ongoing review of all records of Future First. Once we complete that review, the option deemed by the Conservator to provide the greatest return to investors will be presented to the Court for approval and you will be notified.

Can I sell my investment to an individual that I know is interested?

The Conservatorship cannot at this time assist current investors in the sale of their investment to new or different investors. Accordingly, the Conservator advises any investor that wants to sell his /her investment to seek legal counsel before doing so, as any resale of investments must be done in compliance with securities laws.

Many investors have asked us about things Future First and/or Life Settlements did in the past, the legitimacy of their business, etc.

Please understand that the Conservator was appointed to protect and maintain the Conservatorship Assets from August 9, 2002, into the future. While the Conservator will be investigating the past conduct of Future First and others, and, if appropriate, will be commencing litigation to recover monies for investors, the Conservator was not appointed to follow up on complaints regarding the actions of Future First or Life Settlements. If you have complaints or questions about the manner in which your investment was solicited, maintained, etc., please direct those to your state’s insurance department or other appropriate regulatory agency. We sympathize with your concerns, but are not in a position to be of any assistance with regard to those matters.

We will do our best to keep you informed of any changes that affect your investment as they occur or as we learn of them. Please remember that you can call the Investor Information Line at 1-866-852-6746 for updates regarding the Conservatorship.

                                                                        David M. Levine, as Conservator