Prepared For. Prepared On. Prepared By

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1 Prepared For John Client Prepared On August 5, 2013 Prepared By Joe nt Guaranteed Lifetime Riders Outlook Plus 5 Security Life (Advisor XL) Guaranteed Lifetime Withdrawal Rider Security Secure Annuity Freedom Rider

2 Overview General Information John Client, age 62 starts after 3 years at age 65 State: Colorado Premium $ 100,000 (non-qualified) For products that use market interest, a rate of 1.50% is used For products that use the CPI, an inflation rate of 2.00% is used Guaranteed Lifetime Riders Security Life (Advisor XL) Guaranteed Lifetime Withdrawal Rider Security Secure Annuity First year benefit: $7,277 Lifetime income value (30 Years): $218,303 Outlook Plus 5 First year benefit: $7,053 Lifetime income value (30 Years): $211,587 Freedom Rider First year benefit: $6,326 Lifetime income value (30 Years): $189,770 created by AnnuityWatch.com, Inc. and is based on our understanding of the product at the time and is Page 2 of 13

3 Payout By This report shows the value of waiting. Each year you wait the income you can receive will increase. The roll up rate will continue to grow and the payout rate will continue to increase for most riders. Security Life (Advisor XL) Guaranteed Lifetime Withdrawal Rider Security Secure Annuity With 8.00% Premium Bonus Outlook Plus 5 With 9.00% Premium Bonus Freedom Rider With 4.00% Premium Bonus Rollup Payout Single LifeTime Payment , , , , , ,677 Enhanced , ,277 14, , ,928 15, , ,634 17, , ,401 18, , ,232 20, , ,134 11, , ,112 12, , ,172 13, , ,321 14, , ,567 15, , ,917 16, , ,380 18, , ,964 19, , ,681 21, , ,539 23, , ,552 25, , ,732 27, , ,091 30, , ,644 32, , ,408 35, , ,398 38, , ,910 38, , ,422 39, , ,934 39, , ,446 40, , ,958 40, , ,977 Rollup ,000 Payout Single LifeTime Payment , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,580 Rollup ,000 Payout Single LifeTime Payment , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,043 created by AnnuityWatch.com, Inc. and is based on our understanding of the product at the time and is Page 3 of 13

4 Ledger Comparison The Ledger Comparison shows the values for each rider selected and the cumulative payout value at 5 year intervals. Security Life (Advisor XL) Guaranteed Lifetime Withdrawal Rider Security Secure Annuity With 8.00% Premium Bonus Outlook Plus 5 With 9.00% Premium Bonus Freedom Rider With 4.00% Premium Bonus Roll-up , , ,649 LifeTime Payment , , ,028 7, ,751 7, ,474 7, ,198 7,277 5 Year Total 36, ,921 7, ,644 7, ,367 7, ,091 7, ,814 7, Year Total 72, ,537 7, ,260 7, ,984 7, ,707 7, ,430 7, Year Total 109, ,153 7, ,876 7, ,600 7, ,323 7, , Year Total 145, , , , , , Year Total 181, , , , , , Year Total 218,303 Roll-up , , ,302 LifeTime Payment , , ,182 7, ,129 7, ,076 7, ,023 7,053 5 Year Total 35, ,970 7, ,917 7, ,864 7, ,811 7, ,758 7, Year Total 70, ,706 7, ,653 7, ,600 7, ,547 7, ,494 7, Year Total 105, ,441 7, ,388 7, ,335 7, ,282 7, , Year Total 141, , , , , , Year Total 176, , , , , , Year Total 211,587 Roll-up , , ,514 LifeTime Payment , , ,514 6, ,514 6, ,514 6, ,514 6,326 5 Year Total 31, ,514 6, ,514 6, ,514 6, ,514 6, ,514 6, Year Total 63, ,514 6, ,514 6, ,514 6, ,514 6, ,514 6, Year Total 94, ,514 6, ,514 6, ,514 6, ,514 6, ,514 6, Year Total 126, ,514 6, ,514 6, ,514 6, ,514 6, ,514 6, Year Total 158, ,514 6, ,514 6, ,514 6, ,514 6, ,514 6, Year Total 189,770 created by AnnuityWatch.com, Inc. and is based on our understanding of the product at the time and is Page 4 of 13

5 Annual Ledger The Annual Ledger shows the detail annual calculation revealing how the rider works reflecting all roll up rates, payout rates and fees. Guaranteed Lifetime Withdrawal Rider Security Life (Advisor XL) Security Secure Annuity Year Begin Year Interest Rider Fee End Year Roll-up Guaranteed Lifetime Amount Total Enhanced Total End Year w/out Rider , , , , , , , , , , , , , , , , , ,277 7,277 14,554 14, , , ,188 95, ,028 7,277 14,554 14,554 29, , , ,119 88, ,751 7,277 21,830 14,554 43, , , ,050 81, ,474 7,277 29,107 14,554 58, , , , ,198 7,277 36,384 14,554 72, , , ,055 95,921 7,277 43,661 7,277 80, , , ,942 88,644 7,277 50,937 7,277 87, , , ,792 81,367 7,277 58,214 7,277 94, , , ,603 74,091 7,277 65,491 7, , , , ,376 66,814 7,277 72,768 7, , , , ,109 59,537 7,277 80,044 7, , , , ,802 52,260 7,277 87,321 7, , , , ,455 44,984 7,277 94,598 7, , , , ,067 37,707 7, ,875 7, , , , ,637 30,430 7, ,151 7, , , , ,153 7, ,428 7, , , ,876 7, ,705 7, , , ,600 7, ,982 7, , , ,323 7, ,258 7, , , , ,535 7, , , , ,812 7, , , , ,089 7, , , , ,365 7, , , , ,642 7, , , , ,919 7, , , , ,196 7, , , , ,473 7, , , , ,749 7, , , , ,026 7, , , , ,303 7, , ,915 created by AnnuityWatch.com, Inc. and is based on our understanding of the product at the time and is Page 5 of 13

6 Rider Description Guaranteed Lifetime Withdrawal Rider Security Life (Advisor XL) Security Secure Annuity The Security Secure Annuity issued by Security Life Insurance Company is designed to ease some of your financial concerns in retirement and offer you reassurance through a series of important features and guarantees: Guaranteed lifetime With your annuity, you can purchase an optional Guaranteed Lifetime Withdrawal Rider that guarantees you income for your lifetime and allows you to know the guaranteed minimum income you will have available under the Rider. It s important to know that taking out any excess withdrawals in any given year will reduce the guaranteed income you may withdraw under the Rider. Home Healthcare Doubler When you select the optional Guaranteed Lifetime Withdrawal Rider, if you become unable to perform at least two of the six basic activities of daily living, you can double the income you receive under the Rider for up to five years. This can help ease some of the concerns related to significant health issues as you age. There are conditions to this increase, including a two-year waiting period. Lifetime Lifetime Annual : Refers to the amount of income you may withdraw each year under the br> : Used to compute the Lifetime Annual and the charge for the Guaranteed Lifetime Withdrawal Rider. The is not an amount that is available for withdrawal or as a death benefit. Lifetime Withdrawal : The Lifetime Annual is calculated by multiplying the by a withdrawal percentage that is based on the age of the person receiving income. If the Lifetime Annual is to be paid on joint lives, the Lifetime Withdrawal is lower and is based on the youngest life covered. This withdrawal percentage is the Lifetime Withdrawal. Maximum Annual Withdrawal Pecentage: Single Joint % 4.00% % 4.10% % 4.20% % 4.30% % 4.40% % 4.50% % 4.60% % 4.70% Single Joint % 4.80% % 4.90% % 5.00% % 5.10% % 5.20% % 5.30% % 5.40% % 5.50% Single Joint % 5.60% % 5.70% % 5.80% % 5.90% % 6.00% % 6.10% % 6.20% % 6.30% Single Joint % 6.40% % 6.50% % 6.60% % 6.70% % 6.80% % 6.90% % 7.00% % 7.10% Single Joint % 7.20% % 7.30% % 7.40% % 7.50% At a glance, here are some of the important benefits of the optional Guaranteed Lifetime Withdrawal Rider: Guaranteed increase (roll-up) of 7.00% compounded annually in your for each year you delay taking income, up to age 85, to the end of the current 10 years or until age 85 year roll-up term, or to the date you begin taking income under the Rider, whichever comes first. The roll-up is applied only on contract anniversaries. The roll-up may be extended for an additional 10 years or until age 85 years, up to two times, for a total of 30 years, to age 85, or to the date you begin taking income under the Rider, whichever comes first. For each year you delay taking income, you will receive an additional 0.10% increase in your lifetime withdrawal rate, up to a maximum rate of 8.00% for single life and 7.50% for joint lives at age 90 or later. You will receive a predictable amount of income for the rest of your life as long as you don t take other withdrawals. You can also guarantee income for you and your spouse s lives. 7.00% Roll-up One of the features of the Guaranteed Lifetime Withdrawal Rider is the ability to delay taking income and build even more financial security for you and your family. When you delay taking income, the will increase by at least 7.00% each year during the roll-up term. On each contract anniversary prior to taking income under the Rider, your increases by a minimum of 7.00% no matter what happens to the market or your account value. You can continue to delay taking income with an option to renew the 7.00% roll-up at the end of each 10 years or until age 85-year roll-up term (up to two times), for a total of 30 years, or until you reach age 85, or until you begin taking lifetime income withdrawals, whichever comes first. This increase in your 7.00 is guaranteed, no matter what happens to your annuity s actual account value. created by AnnuityWatch.com, Inc. and is based on our understanding of the product at the time and is Page 6 of 13

7 Rider Description Guaranteed Lifetime Withdrawal Rider Security Life (Advisor XL) Security Secure Annuity Automatically step-up your 7.00 Prior to the income start date, on each contract anniversary, if your contract s Account Value is greater than your 7.00 after the roll-up of 7.00%, then your 7.00 will increase to equal your Account Value. In this way, on your contract anniversary during the roll-up term, your 7.00 will always be the greater of the 7.00 after the 7.00%% roll-up or your Account Value. This is called an annual step-up. The annual step-up applies to the for each year you delay taking income up to age 85, to the end of the current 10-year roll-up term, or to the date you begin taking income under the Rider, whichever comes earliest. Once you begin taking your lifetime income, the 7.00%% roll-up stops. However, if your Account Value is higher than your on any contract anniversary, then your will step-up on the contract anniversary to the higher amount. Purchase Payments are not permitted once you begin taking lifetime income. Guaranteed predictable amount of income for the rest of your life When you purchase the Guaranteed Lifetime Withdrawal Rider with your Security Secure Annuity, you are guaranteeing a future income stream for the rest of your life. You will know the guaranteed minimum you will receive on a monthly, quarterly or annual basis so you can better prepare for tomorrow s needs. How much you receive depends on the amount you put into your contract, the age at which you begin taking income from the contract, and whether you want your income to last as long as you live or as long as both you and your spouse live. The longer you wait to take income, the higher the payout when you begin. This is also true of the joint life option. It s important to know that taking out excess withdrawals in any given year will reduce the Lifetime Annual you may withdraw from your contract by more than the dollar amount withdrawn. Home Healthcare Doubler If you become unable to perform at least two of the six basic activities of daily living, your Guaranteed Lifetime Withdrawal Rider. allows you to double the Lifetime Withdrawal for up to five years to help ease some of the burdens you may experience during this time. This important feature means you can take extra income for a time of need without affecting the amount of your Lifetime Annual after the five-year period. After the five-year period, the Lifetime Withdrawal used to calculate Lifetime Annual will revert back to the original rate. created by AnnuityWatch.com, Inc. and is based on our understanding of the product at the time and is Page 7 of 13

8 Annual Ledger Outlook Plus 5 The Annual Ledger shows the detail annual calculation revealing how the rider works reflecting all roll up rates, payout rates and fees. Year Begin Year Interest Rider Fee End Year Roll-up Guaranteed Lifetime Amount Total End Year w/out Rider , , , , , , , , , , , , , , ,053 7, , , , ,182 7,053 14, , , , ,129 7,053 21, , , , ,076 7,053 28, , , , ,023 7,053 35, , , ,671 92,970 7,053 42, , , ,049 85,917 7,053 49, , , ,381 78,864 7,053 56, , , ,665 71,811 7,053 63, , , ,901 64,758 7,053 70, , , ,089 57,706 7,053 77, , , ,228 50,653 7,053 84, , , ,316 43,600 7,053 91, , , ,354 36,547 7,053 98, , , ,340 29,494 7, , , , ,274 22,441 7, , , , ,388 7, , , ,335 7, , , ,282 7, , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,525 created by AnnuityWatch.com, Inc. and is based on our understanding of the product at the time and is Page 8 of 13

9 Rider Description Outlook Plus 5 Outlook Plus 5, is available to add as a rider to your equity indexed annuity only at the time of purchase. The Withdrawal Payment is the amount you choose to receive each year. The Maximum Guaranteed Annual Withdrawal Payment is guaranteed to be paid for your lifetime if no Additional Withdrawals are taken. Your age must be at least 60 before Withdrawal Payments may begin. You may begin taking Withdrawal Payments as early as the first Policy Anniversary or any Policy Anniversary you choose after that. The Withdrawal Payments taken under this rider are deducted from the annuity s Account Value and will not incur any withdrawal charges. There is an Annual Rider Charge for this benefit on each Policy Anniversary, beginning with the first. The Annual Rider Charge is determined on the Policy Date and is 0.75%. This rate is guaranteed not to change while this rider is in force unless Restart (as described below) is elected and will never exceed the maximum rate of 1.50%. There is a Rider Bonus added to the Period Withdrawal Payment. The Rider Bonus is the Rider Bonus of 5.00 of the rider multiplied by the premium received during the first Policy Year. The Rider Bonus is credited with interest at the same rate as the Account Value of the Policy. The Rider Bonus is available on a pro-rata basis based on the Rider Bonus Vesting Schedule. Additional Withdrawals, full surrender, or annuitization of the Policy. This means the Rider Bonus will not be available in all Policy Years. The Rider Bonus is fully included in the Account Value for purposes of the Death. The Outlook Plus 5, rider has two periods, the Period and the Withdrawal Period. Each period is described as follows. During the Period The Period Withdrawal Payment has a 4.00% interest rate that is guaranteed each year during the Period. The Period Withdrawal Payment initially equals the premium paid, plus the applicable premium bonus. Additional premiums paid and premium bonuses, if applicable, will be added to the Period Withdrawal Payment when they are received. Withdrawals made from the Account Value will reduce the Period Withdrawal Payment. As the Payment grows, so do your guaranteed Withdrawal Payments for life. Restart During the Period, you may Restart the 4.00% guaranteed interest rate anytime after the fifth Policy Year. At the time you Restart the Period, the following will happen: The 4.00% guaranteed interest rate on the Period Withdrawal Payment will be guaranteed from Restart; The Period Withdrawal Payment will be increased to the annuity s Account Value, if larger; and The Annual Rider Charge may change, but will not be higher than the maximum guaranteed charge of 1.50%. You must wait five years after each Restart before beginning a new Period. Withdrawals Withdrawals may be made at anytime as provided by the annuity. Withdrawals from your annuity will reduce the Period Withdrawal Payment by the same percentage reduction made to the annuity s Account Value. The Period ends when you begin taking Withdrawal Payments. At that time, the Withdrawal Period begins. During the Withdrawal Period The Withdrawal Payment amount you choose to receive is guaranteed to be paid for your lifetime if it does not exceed the Maximum Guaranteed Annual Withdrawal Payment. The Maximum Guaranteed Annual Withdrawal Payment will remain level unless there is a Step-Up in the Withdrawal Payment, or you take an Additional Withdrawal. You may receive your Withdrawal Payment annually, semi-annually, quarterly, or monthly. Each payment must be at least $100. Any election to start or stop Withdrawal Payments must be received at Insurance Company at least 20 days prior to the Policy Anniversary. When the Withdrawal Period begins: The Guaranteed Withdrawal Percentage is determined; The Withdrawal Payment is increased to the annuity s Account Value if it is larger; The Maximum Guaranteed Annual Withdrawal Payment is calculated; Any outstanding loan must be repaid; and No more loans or Systematic Withdrawals of Interest from the Account Value of the Policy may be taken. The Guaranteed Withdrawal Percentage is based on your age at the beginning of the Withdrawal Period. This percentage will not change during the Withdrawal Period. The Maximum Guaranteed Annual Withdrawal Payment equals the Withdrawal Payment multiplied by the Guaranteed Withdrawal Percentage. Maximum Annual Withdrawal Pecentage: Single Joint % 4.00% Single Joint % 6.00% created by AnnuityWatch.com, Inc. and is based on our understanding of the product at the time and is Page 9 of 13

10 Rider Description Outlook Plus % 4.50% % 5.00% % 5.50% % 6.50% % 7.00% Example: Five years ago, you purchased an annuity with Outlook Plus 5 with $100,000 and have now decided to begin Withdrawal Payments. The Withdrawal Payment is now $121,665 after five years of 4% interest and your Guaranteed Withdrawal Percentage is 6.5%. At this time, your Maximum Guaranteed Annual Withdrawal Payment is $7,908 and your annuity s Account Value is $131,317. Therefore, the Withdrawal Payment is increased to the Account Value and your Maximum Guaranteed Annual Withdrawal Payment is $8,536. Step-Up On each Policy Anniversary during the Withdrawal Period, the Withdrawal Payment will be compared to the annuity s Account Value. If the Account Value is larger than the Withdrawal Payment, the Withdrawal Payment will Step-Up to the Account Value. Following the Step-Up, the Maximum Guaranteed Annual Withdrawal Payment is recalculated and increased, based on this higher Withdrawal Payment. These payments are guaranteed for your lifetime. Additional Withdrawals An Additional Withdrawal is any withdrawal that is not a Withdrawal Payment and may be made at anytime during the Withdrawal Period. An Additional Withdrawal will reduce the Withdrawal Payment by the same percentage that the annuity s Account Value is reduced, including any surrender charges that may apply. The Maximum Guaranteed Annual Withdrawal Payment will change to equal the Guaranteed Withdrawal Percentage multiplied by the Withdrawal Payment after the Additional Withdrawal. The new Maximum Guaranteed Annual Withdrawal Payment will become effective on the Policy Anniversary following the Additional Withdrawal. Rider Bonus Vesting Schedule For purposes of Additional Withdrawals, full surrenders, or annuitization, the Rider Bonus is available on a pro-rata basis based on the Rider Bonus Vesting Schedule shown below: Rider Bonus Vesting Schedule Policy Year Percentage 1-7 0% 8 25% 9 50% 10 and Later 100% Therefore, in accordance with the Rider Bonus Vesting Schedule above, if you take any Additional Withdrawals, fully surrender, or annuitize in years 1-7, no portion of the Rider Bonus will be available to you, and only a limited portion will be available in years 8 and 9. Beginning in Policy Year 10, the full Rider Bonus will be available. Required Minimum Distributions (RMDs) If the RMD payment is greater than the Maximum Guaranteed Annual Withdrawal Payment, the additional amount withdrawn to meet the RMD payment will not be considered an Additional Withdrawal. created by AnnuityWatch.com, Inc. and is based on our understanding of the product at the time and is Page 10 of 13

11 Annual Ledger The Annual Ledger shows the detail annual calculation revealing how the rider works reflecting all roll up rates, payout rates and fees. Freedom Rider Year Begin Year Interest Rider Fee End Year Roll-up Guaranteed Lifetime Amount Total End Year w/out Rider , , , , , , , , , , , , , , ,326 6, , , , ,514 6,326 12, , , , ,514 6,326 18, , , , ,514 6,326 25, , , , ,514 6,326 31, , , , ,514 6,326 37, , , , ,514 6,326 44, , , ,265 57, ,514 6,326 50, , , ,265 50, ,514 6,326 56, , , ,265 44, ,514 6,326 63, , , ,265 37, ,514 6,326 69, , , ,265 30, ,514 6,326 75, , , ,265 23, ,514 6,326 82, , , ,265 15, ,514 6,326 88, , , ,265 8, ,514 6,326 94, , , , ,514 6, , , ,514 6, , , ,514 6, , , ,514 6, , , ,514 6, , , ,514 6, , , ,514 6, , , ,514 6, , , ,514 6, , , ,514 6, , , ,514 6, , , ,514 6, , , ,514 6, , , ,514 6, , , ,514 6, , ,474 created by AnnuityWatch.com, Inc. and is based on our understanding of the product at the time and is Page 11 of 13

12 Rider Description Freedom Rider The Freedom Rider is an optional guaranteed minimum withdrawal benefit rider (available at an additional charge) that must be elected at the time of application. Offered with a 6.75% annual roll-up feature. The roll-up amounts are current guaranteed rates. Fidelity and Guaranty Life reserves the right to lower each of these rates for future sales of Freedom RiderSM to not less than the minimum guaranteed rate of 3% annually. INCOME BASE The is the value used to determine the withdrawal benefits. The initial is equal to either the initial premium paid plus any vested premium bonus or the account value, depending on when the rider became effective. The Freedom Rider is made up of two periods, an Period and a Withdrawal Period. Period During the Period, the increases or rolls up for a 10-year period at an annualized 6.75% provided the annuitant does not elect to begin taking withdrawals. The Period and roll-up end when the client elects to begin receiving income payments, and the Withdrawal Period begins. During the Period, the Freedom Rider offers the unique benefit of restarting a new 10-year period, which extends the Period and continues the annualized 6.75% increase. Restart The ability to Restart a new 10 years roll-up period and continue the Period offers clients a tremendous amount of flexibility and control. For example, perhaps your client has planned on needing income payments after nine years. After a few years, it becomes apparent that he/she really does not need to begin receiving income for another 10 years. Electing a Restart would allow your client to continue to capitalize on the 6.75% roll-up feature, while still allowing access to the money should financial circumstances change again. A Restart must be elected on a contract anniversary and can occur after 10 years and prior to the end of 10 years years. The is increased to the account value, if greater, at the time of Restart, which may cause the Cost-of-Rider Charge to increase. A Restart does not start a new set of surrender charges, and only one Restart is permitted. If no Restart is elected during the first 10 years, the roll-up ends (although annual rider charges continue). Withdrawal Period The Withdrawal Period begins when the owner elects to begin taking Freedom Rider Withdrawal Payments. The Period ends and cannot be reinstated. No additional premium payments will be accepted once the Withdrawal Period has begun. The will increase to the account value (Step-up), if the account value is larger at the time of election. The Freedom Rider Withdrawal Payment The amount the owner chooses to withdraw each contract year during the Withdrawal Period. Payments cannot be elected until the first contract anniversary. Owner must be at least age 50 Payments may be annual, semiannual, quarterly, or monthly and must be $100 or greater Payments may be stopped and started at any time, as needed by the client Guaranteed Withdrawal Percentage stays the same, unless a Step-up occurs Freedom Rider payments exceeding contract surrender charge-free withdrawal limits may be subject to surrender charges. Guaranteed Withdrawal Payment The maximum amount that can be withdrawn each contract year (provided no Excess Withdrawals have been made) without negatively affecting the. This is the amount guaranteed to be paid for the annuitant s lifetime. Calculated by multiplying the by the Guaranteed Withdrawal Percentage, and is based on the age of the annuitant at the time income payments are elected. Established at the beginning of the Withdrawal Period and changes only at Step-up or in the case of an Excess Withdrawal. Guaranteed Withdrawal Percentage Determined at the beginning of the Withdrawal Period, and based on the annuitant s age at the time. The percentage is updated at the time of a Step-up and then based on the annuitant s age at that time. Spousal s (Joint Annuitants) The Freedom Rider offers the ability to determine income based upon the lives of two people who are legal spouses. In the case of joint annuitants, the Guaranteed Withdrawal Percentage is determined by the age of the younger of the two annuitants at the time income payments are elected. The Guaranteed Withdrawal Payment is guaranteed to be paid until the death of the second annuitant. Spousal Continuation In the case of a single annuitant, the legal spouse may step into the contract upon the owner s death: If in the Period, the benefits will be based on the successor owner, but charges will continue to be based on the first owner. If in the Withdrawal Period, Freedom Rider Withdrawal Payments will continue until the account value is reduced to zero. The Guaranteed Withdrawal Percentage will remain the percentage at the time of the first owner s death. Step-up A Step-up occurs when the is increased to the account value, if the account value is larger. A Step-up will occur automatically and is available each contract anniversary during the Withdrawal Period. The Guaranteed Withdrawal Payment is recalculated at the time of Step-up and will equal the newly Stepped-up multiplied by the new Guaranteed Withdrawal Percentage (based on the annuitant s age at the time of Step-up). On bonus annuities with a vesting schedule, the bonus will continue to vest even after income payments begin, which may result in a Step-up. Excess Withdrawal A withdrawal made that causes total withdrawals for the contract year to exceed the Guaranteed Withdrawal Payment amount. This will negatively affect the Guaranteed Withdrawal Payment amount. The annuitant has two options when this occurs: 1. Receive unpaid portion of the Freedom Rider Withdrawal Payments for the contract year as a part of the withdrawal with no further installment payments until the next contract year. 2. Receive the larger withdrawal amount and continue to receive remaining installments of the Freedom Rider Withdrawal Payments as scheduled. created by AnnuityWatch.com, Inc. and is based on our understanding of the product at the time and is Page 12 of 13

13 Rider Description Freedom Rider Cost-of-Rider Charges The Freedom Rider is an optional benefit rider that can be added to Fidelity & Guaranty Life annuities for an additional annual charge. Annual charges are deducted from the account value through the and Withdrawal periods on each anniversary, beginning at the end of the first contract year. Charges are calculated as a percentage of the account value on the anniversary after the interest has been credited. Charges will be set at issue for the initial 10-year roll-up period. The guaranteed maximum charge for all rider versions is 1% of account value and is levied on the contract anniversary after interest is credited. Termination The Freedom Rider terminates and the rider charge ceases when any of the following occur: Contract terminates for any reason. Annuitization occurs. Client chooses to cancel the Freedom Rider (may be cancelled at any time). created by AnnuityWatch.com, Inc. and is based on our understanding of the product at the time and is Page 13 of 13