Q1 2020 Building Sustainable Shareholder Value Business overview Update in light of COVID-19 Business group results & highlights Capital management Asset portfolio Sustainability 2 A $26.51 billion leading global financial services organization Offices in 40,600 Employees 125,900 advisors 27 markets 2 2 2 Operating through a balanced and diversified model and focused on creating shareholder value now and in the future SUN LIFE • Q1 2020 1 Market capitalization in C$ as at March 31, 2020 3 2 As at December 31, 2019. Includes Asia joint ventures The Sun Life story • A diversified business model, with four strong pillars that can each compete, win and grow in their respective sectors and which leverage each other • Bound together by a strong balance sheet and risk culture, including no U.S. Variable Annuity or U.S. Long-Term Care • Digital transformation that is deeply embedded throughout the organization • Building on momentum created by past organic investments and acquisitions that will help drive earnings growth SUN LIFE • Q1 2020 4 Executing on our ambition to be one of the best insurance and asset management companies globally A Leader in Insurance and A Leader in U.S. Wealth Solutions in our CAN US Group Benefits Canadian Home Market A Leader in Asia A Leader in Global AM ASIA through Distribution Asset Management Excellence in Higher Growth Markets Each pillar Top quartile Disproportionate Top quartile total viewed as a Client share of top shareholder leader experience talent return SUN LIFE • Q1 2020 5 Consistently delivering value to shareholders 5-year total shareholder return1 Progress on medium-term objectives March 31, 2020 Sun Life 6.9% Medium-term objective Q1 2020 TSX 0.9% Underlying ROE2 12-14% 14.2% Canadian lifecos 0.0% Underlying EPS growth2 9% Global lifecos (1.2)% 8-10% Dividend payout ratio2 U.S. lifecos (6.2)% 42% 40-50% 1 Source: Bloomberg; Companies included in these peer groups are listed in the appendix SUN LIFE • Q1 2020 2 Underlying ROE, EPS, and dividend payout ratio are non-IFRS financial measures. See “Use of Non-IFRS 6 Financial Measures” and “Reconciliation of Select Net Income Measures” in the appendix Digital transformation deeply embedded throughout the organization Build new digital models Use digital to be personal, predictive, and proactive • Asia direct business models, including telco micro-products • Predictive models for advisor recruiting and • Lumino Health in Canada Client retention in Asia • New Absence model through • Digital Benefits Assistant and Ella in Canada FullscopeRMS in U.S. Group • Leveraging Maxwell Health to drive Benefits voluntary benefits enrolment in U.S. Digitizing current interactions Partnership ecosystem and processes • Building digital expertise and • Asia point of sale tools (needs, ecosystems illustration, application, • Making equity investments in early fulfillment) stage partners • Web and mobile functionality • Investing in key technologies to drive in Canada and Asia global growth • Expanded web capabilities and • Exploring partnerships with start-ups streamlined claims experience and accelerators in the U.S. SUN LIFE • Q1 2020 7 Showcasing a balanced and diversified business Business diversification Geographic diversification Q1 2020 underlying net income1,2 Q1 2020 underlying net income1,2 Run-off UK 13% Asset 6% Asia Management Canada 18% 28% 29% Wealth 13% U.S. Group Individual 19% Asset Insurance Insurance Management 19% 27% 28% 1 Excludes Corporate Support SUN LIFE • Q1 2020 2 Represents a non-IFRS financial measure. See “Use of Non-IFRS Financial Measures” and “Reconciliation of Select Net Income Measures” in the appendix to these slides 8 Leveraging global trends • Demographic shifts: changing population including the aging of Baby Boomers and growth of Millennials • Digital transformation: digital, data and analytics changing Client behaviours and expectations • Downloading of responsibility: increasing shift in responsibility from governments and employers to individuals • Growing prosperity in Asia: growing demand for products and services as hundreds of millions of people move to the middle class SUN LIFE • Q1 2020 9 Business overview Update in light of COVID-19 Business group results & highlights Capital management Asset portfolio Sustainability 10 Supporting our employees, Clients, and communities through COVID-19 Employees and Advisors Clients Communities • 95% of employees globally working • Strong service continuity • Donated more than $2 million globally from home to help support efforts focused on health • Longer grace periods for premium payments care, elder care and addressing food security • Rolled out free virtual healthcare services, needs through Lumino Health, to employees in Canada • Strong communication outreach • MFS has donated personal protective equipment • Created a Mental Health Resources Reference • Accelerated digital tools to Boston area hospitals, in addition to funds guide as well as conducted virtual town halls on • Enhanced digital tools including e- donated to several COVID-19 related causes mental health signatures • Rolled out virtual healthcare services to • Donated 600,000 surgical masks to hospitals in • Extra cleaning and protective measures put in Group Benefits and Individual Clients in Canada place to protect and support business critical Canada employees working in our offices • Supported various front-line organizations across • Expansion of coverage the U.S., UK, and Ireland • Increased communication with frequent town • Bridging coverage for members who halls and ‘Ask me anything’ sessions with Senior have been furloughed in the U.S. • Across Asia, we have donated to food banks and Management across the organization • Extended coverage to include more provided hand sanitizer to various communities hospitals/clinics in Asia • Significant use of digital collaboration tools • Extending benefit limits and offering • Digital life insurance coverage donated in the additional cash benefits to cover hospital Philippines and China to doctors, nurses, and • Supporting advisors with virtual tools expenses, expediting claims, and waiving other medical support staff as a way of saying waiting periods in Asia thank you for their efforts to stop the spread of COVID-19 SUN LIFE • Q1 2020 11 Business overview Update in light of COVID-19 Business group results & highlights Capital management Asset portfolio Sustainability 12 Business group performance Reported net income ($ millions) Underlying net income1 ($ millions) Impact of currency increased reported net income by $7M Impact of currency increased underlying net income by $7M 256 242 239 237 227 237 219 164 161 150 155 124 122 100 80 CORP CORP CAN U.S. AM ASIA CAN U.S. AM ASIA (19) (42) (37) (44) (70) Q1’19 Q1’20 SUN LIFE • Q1 2020 1 Represents a Non-IFRS financial measure. See “Use of Non-IFRS Financial Measures” and “Reconciliation of Select Net Income Measures” in the appendix 13 Canada is a growth market for Sun Life Q1’20 highlights Underlying net income1 ($ millions) • Assisting those experiencing financial hardship during the 1,036 1,012 1,031 COVID-19 pandemic by extending the option to defer their 949 premiums for a period of time • Rolled out virtual health care services through Lumino Health Interest on par seed to our Group Benefits Clients, which will support Clients through capital 2017 2018 2019 LTM the global health crisis, helping to relieve some of their stress, Q1’202 support social distancing efforts across the country and Asset under management1 alleviate the load on Canada’s emergency health care system ($ millions) 199,840 • Sun Life Global Investments (SLGI) AUM of $27 billion1, 9% 189,784 176,417 177,436 growth over prior year; $1 billion SLGI net sales1 supported by continued strong fund performance 1 Represents a non-IFRS financial measure. See “Use of Non-IFRS SUN LIFE • Q1 2020 Financial Measures” in the appendix 2017 2018 2019 Q1’20 14 2 Last twelve months at March 31, 2020 Shaping the industry and capitalizing on opportunities in Canada Shaping the market through innovation Optimizing our business through financial and digital discipline and focused prioritization to drive strong earnings growth • Introduction of Lumino virtual healthcare capabilities including primary care to Group and Retail Clients, and • Engaged employees driven by attracting, developing and paramedical virtual solutions to providers retaining diverse top talent • Partnered with Dialogue to offer virtual care to • Leveraging our worksite advantage our Clients1 through a mobile app or online, offering direct access to a care manager, nurse or • Defined Benefit Solutions is a leader in a growing market family physician • Sun Life Global Investments expanding wealth presence • Partnered with OnCall Health to enable • Strong expense management while increasing strategic paramedical providers on the Lumino Health investments platform to connect virtually with their patients Supporting Clients with holistic • Investment in digital capabilities enabling a seamless Client experience advice at moments that matter Client Index Score2 • Making it easier for our Clients to do business with us Personal, proactive and • Delivering personalized, relevant advice to our Clients predictive touchpoints driving improvement in • Empowering Canadians to manage their health and well 48 Client Index scores2 being +8 since 2016 SUN LIFE • Q1 2020 1 Applicable to Clients who have extended health care benefits 15 2 Client Index is a proprietary measurement to gauge our service