Deferred, Indexed Annuity Example

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6/17/13 Midland National Life Insurance Company

Transcript of Deferred, Indexed Annuity Example

  • 1. Personalized Hypothetical IllustrationMNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractPrepared For:Valued AnnuitantIssue State: GAAgent/Representative:McNeill, DonDate Prepared: 06/17/2013This is an illustration only, not an offer or contract. It is not intended to predict future This illustration is not valid unless all pages are present.performance. Benefits are subject to the terms and conditions of the annuity contract. Page 1 of 24
  • 2. Personalized Hypothetical IllustrationMNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 2 of 24Table of Contents Cover Page 1Table of Contents 2General Product Terms 3Crediting Method Terminology 4Index Account Option Crediting Methods 5Guaranteed Lifetime Withdrawal Benefit Feature (GLWB) 6Annuity Payout Options 8Projected Illustrated Values 8Allocation Selection Information 9MOST RECENT PeriodHypothetical Contract Values Based on Guaranteed Rates 10Credited Interest Rates Based on Guaranteed Rates 11Hypothetical Contract Values Based on Current Rates 12Credited Interest Rates Based on Current Rates 13HIGHEST Index Growth PeriodHypothetical Contract Values Based on Guaranteed Rates 14Credited Interest Rates Based on Guaranteed Rates 15Hypothetical Contract Values Based on Current Rates 16Credited Interest Rates Based on Current Rates 17Lowest Index Growth PeriodHypothetical Contract Values Based on Guaranteed Rates 18Credited Interest Rates Based on Guaranteed Rates 19Hypothetical Contract Values Based on Current Rates 20Credited Interest Rates Based on Current Rates 21Projected Accumulation Graph 22Market Value Adjustment (MVA) 23Disclosure 24
  • 3. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractGENERAL PRODUCT TERMSIn order to fully understand how the MNL IncomeVantage 14 works, youshould have clear knowledge of the terms used and definitions. Listed beloware some basic terms and their definitions. Please refer to the productbrochure and disclosure for more information.PREMIUMThe premium is the amount paid into the annuity contract.ACCUMULATION VALUEThe Accumulation Value is the sum of premiums paid and interest credited, ifany, less withdrawals.DEATH BENEFITThe Death Benefit is equal to the Accumulation Value and is paid to yourbeneficiary.SURRENDER VALUEThe Surrender Value is the amount that is available at the time of surrender.The Surrender Value is equal to the Accumulation Value, subject to theMarket Value Adjustment (which may be referred to as Interest Adjustment inyour contract), less applicable surrender charges, and applicable statepremium taxes. The Surrender Value will never be less than the minimumrequirements set forth by state laws, at the time of issue, in the state wherethe contract is delivered.SURRENDER CHARGESA surrender charge is assessed on anyamount withdrawn, whether as a partialor full surrender, that exceeds thePenalty-Free Withdrawal (also known asPenalty-Free Partial Surrender) amount.Please keep in mind that a partial or fullsurrender during the surrender chargeperiod could result in a loss of premium.This table details thedeclining surrender charges:CONTRACTYEARSURRENDERCHARGE %1 10%2 10%3 10%4 10%5 10%6 9%7 8%8 7%9 6%10 5%11 4%12 3%13 2%14 1%MARKET VALUE ADJUSTMENTThe MNL IncomeVantage 14 includes a Market Value Adjustment (whichmay be referred to as Interest Adjustment in your contract) that is appliedonly during the surrender charge period to full surrenders and to any partialsurrender in excess of the applicable Penalty-Free Partial SurrenderAllowance. This adjustment may decrease or increase the Surrender Valuedepending on the change in interest rates during the period since youpurchased your MNL IncomeVantage 14 annuity. See the Market ValueAdjustment section at the end of this illustration for more information.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 3 of 24
  • 4. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractGENERAL PRODUCT TERMS (Continued)PENALTY-FREE WITHDRAWALSOnce each Contract Year after the first contract anniversary, you may take apenalty-free withdrawal (also known as a Penalty-Free Partial Surrender),without surrender charges, or Market Value Adjustment, of up to 5% of yourAccumulation Value.WITHDRAWAL OPTIONSPrior to the Maturity Date (the contract anniversary when the Annuitant is age115) you may withdraw from the value of your Contract in the following ways:1) At any time prior to the Maturity Date, you may surrender theContract for its Surrender Value.2) After the first Contract Year and upon your request, you mayselect a Pay-Out Option as provided in the Pay-OutProvisions section of the Contract. Your payment amountunder this Pay-Out Option will be calculated based on yourSurrender Value at the time the Pay-Out Option is elected. Bycurrent company practice, additional options may beavailable based on your Accumulation Value at the time thepayment is elected.3) After the Surrender Charge Period, full and partial surrendersmay be taken without surrender charges.The general intent of this product is for generating future lifetime income.Individuals who are not planning to utilize the Guaranteed Living WithdrawalBenefit (GLWB) feature for future retirement income, or who intend to takewithdrawals prior to utilizing the GLWB feature, will not experience the fullbenefit of this product.CREDITING METHOD TERMINOLOGYThere are several account options available within the MNL IncomeVantage14. Each of Midland Nationals crediting methods and available indexesperform differently in various market scenarios. There is not one particularmethod or index that performs better than the other methods and indexeswhen observed in all marketing scenarios.INDEX ACCOUNTSome or all of your premiums may be allocated to the Indexed Account whichoffers several different indexes and/or crediting methods. This annuity offersthe ability to earn interest credits associated with the changes in severaldistinct indexes without the risk of directly participating in stock, bond orequity investments.FIXED ACCOUNTPremium allocated to the Fixed Account will earn the current interest rate andis credited daily. This rate will be guaranteed for the entire contract year andwill renew annually on each contract anniversary and will never fall below theMinimum Guaranteed Fixed Account Interest Rate. It is important to note thatthe Fixed Account interest rate is never applied to premiums allocated to theIndex Accounts.CREDITED INTEREST RATEThe rate of interest credited to the Accumulation Value.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 4 of 24
  • 5. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractINDEX ACCOUNT OPTION CREDITING METHODSDAILY AVERAGE WITH INDEX MARGINThis method for determining any Interest Credit uses a Daily Averagecalculation to determine a percentage gain or loss in the index during yourcontract year. This is done by comparing the difference between the index onthe first day of the contract year and the Index Daily Average during the year(usually 252 trading days), subject to an Index Margin. The Interest Credit willnever be less than zero.MONTHLY AVERAGING WITH PARTICIPATION RATEThis method for determining any Interest Credit uses a Monthly Averagecalculation to determine a percentage gain or loss in the index during yourcontract year. This is based on comparing the difference between the indexon the first day of the contract year and the average of the twelve subsequentmonthly index values over the contract year. On each contract anniversarythis change, multiplied by the Participation Rate, is used to determine theInterest Credit for that year. The annual Interest Credit will never be less thanzero.MONTHLY POINT-TO-POINT WITH INDEX CAP RATEThis calculation method for determining any Interest Credit uses the monthlychanges in the index, subject to a monthly Index Cap Rate. The InterestCredit is credited annually and is based on the sum of all the monthlypercentage changes in the indexwhich could be positive or negative. Oneach contract anniversary, these monthly changes, each not to exceed themonthly Index Cap Rate, are added together to determine the Interest Creditfor that year. Negative monthly returns have no downside limit and willreduce the Interest Credit, but the Interest Credit will never be less than zero.ANNUAL POINT-TO-POINT WITH INDEX CAP RATEAnnual Point-to-Point measures index growth using two points in time; thebeginning index value and the ending index value. Index linked gains arecalculated based on the difference between these two values. The IndexGrowth, if any, is then subject to an Index Cap Rate. The annual InterestCredit will never be less than zero.INVERSE PERFORMANCE TRIGGER WITH DECLARED PERFORMANCERATEThe Inverse Performance Trigger (or Annual Declared Rate NegativePerformance Option) credits a Declared Performance Rate of interest whenthe index stays the same or goes down throughout the year. The applied ratewill never be less than zero, and will never be more than the DeclaredPerformance Rate.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 5 of 24
  • 6. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractGUARANTEEED LIFETIME WITHDRAWAL BENEFITFEATURE (GLWB)The MNL INCOMEVANTAGE 14 INCLUDES A GUARANTEED LIFETIMEWITHDRAWAL BENEFIT FEATURE, OR GLWBThis benefit is included automatically on the MNL IncomeVantage 14 andguarantees that a specified amount, the Lifetime Payment Amount (LPA),can be withdrawn each Contract Year for the life of the Annuitant, even if theAccumulation Value of the Contract and the GLWB Value are both reducedto zero, provided no excess withdrawals are ever taken. On day one, thecontract will begin to accumulate a GLWB Value. After the first ContractYear, provided the Annuitant is at least age 50, an LPA determined by theAnnuitant age and current GLWB Value is available for lifetime income. Thisincome is available without a surrender charge, Market Value Adjustment (ifapplicable) or electing an annuity payout option.GLWB VALUEThe GLWB Value is used as the basis for calculating the annual lifetimeincome payments (called Lifetime Payment Amounts). This value is not thebasis for calculating the Death Benefit or penalty-free withdrawals and cannotbe withdrawn as a lump sum. This value can grow based on the GLWBBonus and GLWB Stacking Roll-Up credits. The GLWB Value initially equals100% of your premium, plus the GLWB Bonus.GLWB BONUSThe MNL IncomeVantage 14 has a 5% bonus on the GLWB Value for allpremiums added in the first five years.This bonus is added only to the GLWB Value. This bonus does not apply tothe Accumulation Value.GLWB STACKING ROLL-UP CREDITOn each contract anniversary, during the GLWB Stacking Roll-Up CreditPeriod (the first 20 Contract Years starting at the Policy Issue Date or untilthe Lifetime Payment Election Date), the current GLWB Value will beincreased by an amount equal to 5% of the current GLWB Value, plus thedollar amount of interest credited, if any, to the Accumulation Value duringthe Contract Year, provided no partial surrenders were taken during thatContract Year.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 6 of 24
  • 7. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractGUARANTEED LIFETIME WITHDRAWAL BENEFITFEATURE (GLWB) (Continued)GLWB LIFETIME PAYMENT AMOUNT (LPA)You choose how frequently you receive your lifetime income payments:monthly, quarterly, semi-annually or annually. When you first elect lifetimeincome payments, your payments will be based on your current GLWB Valuemultiplied by a percentage based on the Annuitants current attained age(Lifetime Payment Percentage, see chart to the right). Payments can bestarted and stopped at any time. Thereafter, on each contract anniversary,your lifetime income payments may increase based on the Lifetime PaymentPercentage that applies to the Annuitants current attained age and currentGLWB Value. This may positively impact future lifetime income payments.However, future payments will not decrease so long as you dont withdrawmore than this amount in any Contract Year.Annuitant(s)/Covered Person(s) Age at IssueValued Annuitant 65Lifetime Payment Percentage*Single Life Joint LifeAttained Age Percentage Attained Age Percentage50-59 4.25% 50-59 3.75%60 4.75% 60 4.25%61 4.85% 61 4.35%62 4.95% 62 4.45%63 5.05% 63 4.55%64 5.15% 64 4.65%65 5.25% 65 4.75%66 5.35% 66 4.85%67 5.45% 67 4.95%68 5.55% 68 5.05%69 5.65% 69 5.15%70 5.75% 70 5.25%71 5.85% 71 5.35%72 5.95% 72 5.45%73 6.05% 73 5.55%74 6.15% 74 5.65%75 6.25% 75 5.75%76 6.35% 76 5.85%77 6.45% 77 5.95%78 6.55% 78 6.05%79 6.65% 79 6.15%80+ 6.75% 80+ 6.25%The Lifetime Payment Amount may decrease if total partial surrenders duringa Contract Year exceed the GLWB Value Partial Surrender Allowance.* Your Lifetime Payment Percentage is determined by the attained age of the youngestAnnuitant/covered person.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 7 of 24
  • 8. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractANNUITY PAYOUT OPTIONSShould you decide to receive an income from your annuity, you will haveseveral income options from which to choose, including: Life, Life with PeriodCertain, Income for Specified Period, Income for a Specified Amount and Jointand Survivor Income. By current Company practice, you may elect an annuitypayout option and receive an income based on the Accumulation Value(without surrender charges or Interest Adjustment) after the first Contract Yearif you choose a Life Income option. You can also receive an income based onthe Accumulation Value if your annuity has been inforce for at least five yearsand payments will be over at least a 10 year period.See the table below for an example of a hypothetical 10 Year Period Certainpayout based on the illustrated Accumulation Values from the Most RecentPeriod.AccumulationValue at MaturityMonthlyFactors/$1000Monthly AnnuityIncomeGuaranteedRates$0 8.96 $0.00CurrentRates$0 8.96 $0.00MATURITY DATEThis is the date when a payout option must be elected and annuity paymentsbegin. The Maturity Date is the contract anniversary when the annuitant is age115.PROJECTED ILLUSTRATED VALUESThis illustration assumes the index will repeat historical performance and thatthe annuitys current non-guaranteed elements, such as Index Caps,Participation Rates or other interest crediting adjustments, will not change. Itis likely that the index will not repeat historical performance, the non-guaranteed elements will change, and actual values will be higher or lowerthan those in this illustration but will not be less than the minimumguarantees. The values in this illustration are not guarantees or evenestimates of the amounts you can expect from your annuity. Please reviewthe disclosure document provided with your illustration and Buyers Guide formore detailed information.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 8 of 24
  • 9. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractALLOCATION SELECTION INFORMATIONAllocation Option Current Declared Rate GuaranteedRateAllocationPercentageS&P 500 Monthly Point-to-Point (MPP) 1.80% Monthly Index Cap Rate 1% 100%ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 9 of 24
  • 10. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractMOST RECENT PERIOD from 12/31/2002 to 12/31/2012Hypothetical Contract ValuesBased on Guaranteed RatesThis chart illustrates values based on the ten most recent years of historical index performance, selected withdrawals, the initial allocation and guaranteed rates shown on page 9 of this illustration. Theseguaranteed rates are effective as of the date of this illustration and are subject to change at any time. These values shown are not guarantees or even estimates of the amounts you can expect from yourannuity; actual results may be higher or lower.GLWB FeatureEND OFYEARStart Age/End AgePremiumAnnualWithdrawals(Beginning ofYear)AccumulationValue/Death BenefitSurrenderValue^CreditedInterest RateGLWB StackingRoll-Up Credit*GLWB Value~LifetimePaymentPercentageLifetimePaymentAmount#1 65 / 66 $100,000 $0 $107,650 $88,375 7.65% 12.29% $117,900 5.35% $6,3082 66 / 67 $0 $0 $109,179 $89,259 1.42% 6.30% $125,324 5.45% $6,8303 67 / 68 $0 $0 $109,179 $90,151 0.00% 5.00% $131,590 5.55% $7,3034 68 / 69 $0 $0 $115,151 $91,053 5.47% 9.54% $144,141 5.65% $8,1445 69 / 70 $0 $0 $115,151 $91,963 0.00% 5.00% $151,348 5.75% $8,7036 70 / 71 $0 $0 $115,151 $92,883 0.00% 5.00% $158,916 5.85% $9,2977 71 / 72 $0 $0 $115,151 $93,812 0.00% 5.00% $166,862 5.95% $9,9288 72 / 73 $0 $0 $115,151 $94,750 0.00% 5.00% $175,205 6.05% $10,6009 73 / 74 $0 $0 $115,151 $95,697 0.00% 5.00% $183,965 6.15% $11,31410 74 / 75 $0 $0 $115,151 $96,654 0.00% 5.00% $193,163 6.25% $12,07311 75 / 76 $0 $12,073 $104,078 $85,428 0.97% 0.00% $181,091 6.35% -12 76 / 77 $0 $12,073 $92,898 $74,088 0.97% 0.00% $169,018 6.45% -13 77 / 78 $0 $12,073 $81,609 $62,636 0.97% 0.00% $156,945 6.55% -14 78 / 79 $0 $12,073 $70,211 $70,211 0.97% 0.00% $144,872 6.65% -15 79 / 80 $0 $12,073 $58,702 $58,702 0.97% 0.00% $132,800 6.75% -16 80 / 81 $0 $12,073 $47,082 $47,082 0.97% 0.00% $120,727 6.75% -17 81 / 82 $0 $12,073 $35,348 $35,348 0.97% 0.00% $108,654 6.75% -18 82 / 83 $0 $12,073 $23,502 $23,502 0.97% 0.00% $96,582 6.75% -19 83 / 84 $0 $12,073 $11,540 $11,540 0.97% 0.00% $84,509 6.75% -20 84 / 85 $0 $12,073 $0 $0 0.00% 0.00% $72,436 6.75% -30 94 / 95 $0 $12,073 $0 $0 0.00% 0.00% $0 6.75% -50 114 / 115 $0 $12,073 $0 $0 0.00% 0.00% $0 6.75% -Total Withdrawals: $482,908 1.42%+^ Reflects the maximum MVA. The death benefit will be at least as great as the Surrender Value.+ Annual Effective Rate over first ten years.* Expressed as an annual effective interest rate based on the GLWB Value.~ The GLWB Value includes any GLWB Bonus.# At the start of lifetime income, annual payments are reflected in the Annual Withdrawals column. TheLifetime Payment Amount is based on the youngest Annuitant/Covered Person. The youngestcovered person is age 65 as of the illustration date and is age 75 when Lifetime Income Paymentsbegin.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 10 of 24
  • 11. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractMOST RECENT PERIOD from 12/31/2002 to 12/31/2012Credited Interest RatesBased on Guaranteed RatesThis chart shows the percentage of interest credited for the Hypothetical Contract Values on the previous page. These interest credit rates are based on the historical index growth, the selected index andcrediting method, and guaranteed rates as shown on page 9 of this illustration. These interest credit percentages shown are not guarantees or even estimates of the amounts you can expect from yourannuity; actual results may be higher or lower.Index Option Based Interest CreditIndex Return S&P 500S&P 500 MPP Total Credited Interest RateAlloc. % 100%END OF YEAR1 26.38% 7.65% 7.65%2 8.99% 1.42% 1.42%3 3.00% 0.00% 0.00%4 13.62% 5.47% 5.47%5 3.53% 0.00% 0.00%6 -38.49% 0.00% 0.00%7 23.45% 0.00% 0.00%8 12.78% 0.00% 0.00%9 0.00% 0.00% 0.00%10 13.41% 0.00% 0.00%11+* 4.95% 0.97% 0.97%Annual Effective Rate (First 10 years): 4.95% 1.42% 1.42%* The projected rate in years 11 and after is based on repeating the most recent tenyear index performance as an annual effective rate.Abbreviation DefinitionMPP Monthly Point-to-PointILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 11 of 24
  • 12. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractMOST RECENT PERIOD from 12/31/2002 to 12/31/2012Hypothetical Contract ValuesBased on Current RatesThis chart illustrates values based on the ten most recent years of historical index performance, selected withdrawals, the initial allocation and current rates shown on page 9 of this illustration. Theseguaranteed rates are effective as of the date of this illustration and are subject to change at any time. These values shown are not guarantees or even estimates of the amounts you can expect from yourannuity; actual results may be higher or lower.GLWB FeatureEND OFYEARStart Age/End AgePremiumAnnualWithdrawals(Beginning ofYear)AccumulationValue/Death BenefitSurrenderValue^CreditedInterest RateGLWB StackingRoll-Up Credit*GLWB Value~LifetimePaymentPercentageLifetimePaymentAmount#1 65 / 66 $100,000 $0 $107,650 $88,375 7.65% 12.29% $117,900 5.35% $6,3082 66 / 67 $0 $0 $113,442 $89,259 5.38% 9.91% $129,587 5.45% $7,0623 67 / 68 $0 $0 $113,442 $90,151 0.00% 5.00% $136,066 5.55% $7,5524 68 / 69 $0 $0 $124,672 $91,053 9.90% 13.25% $154,100 5.65% $8,7075 69 / 70 $0 $0 $124,672 $91,963 0.00% 5.00% $161,805 5.75% $9,3046 70 / 71 $0 $0 $124,672 $92,883 0.00% 5.00% $169,895 5.85% $9,9397 71 / 72 $0 $0 $124,672 $93,812 0.00% 5.00% $178,390 5.95% $10,6148 72 / 73 $0 $0 $124,672 $94,750 0.00% 5.00% $187,309 6.05% $11,3329 73 / 74 $0 $0 $124,672 $95,697 0.00% 5.00% $196,675 6.15% $12,09610 74 / 75 $0 $0 $129,734 $96,654 4.06% 7.57% $211,570 6.25% $13,22311 75 / 76 $0 $13,223 $119,587 $84,266 2.64% 0.00% $198,347 6.35% -12 76 / 77 $0 $13,223 $109,172 $71,753 2.64% 0.00% $185,124 6.45% -13 77 / 78 $0 $13,223 $98,481 $59,115 2.64% 0.00% $171,901 6.55% -14 78 / 79 $0 $13,223 $87,509 $87,509 2.64% 0.00% $158,678 6.65% -15 79 / 80 $0 $13,223 $76,247 $76,247 2.64% 0.00% $145,455 6.75% -16 80 / 81 $0 $13,223 $64,688 $64,688 2.64% 0.00% $132,231 6.75% -17 81 / 82 $0 $13,223 $52,823 $52,823 2.64% 0.00% $119,008 6.75% -18 82 / 83 $0 $13,223 $40,646 $40,646 2.64% 0.00% $105,785 6.75% -19 83 / 84 $0 $13,223 $28,146 $28,146 2.64% 0.00% $92,562 6.75% -20 84 / 85 $0 $13,223 $15,317 $15,317 2.64% 0.00% $79,339 6.75% -30 94 / 95 $0 $13,223 $0 $0 0.00% 0.00% $0 6.75% -50 114 / 115 $0 $13,223 $0 $0 0.00% 0.00% $0 6.75% -Total Withdrawals: $528,926 2.64%+^ Reflects the maximum MVA. The death benefit will be at least as great as the Surrender Value.+ Annual Effective Rate over first ten years.* Expressed as an annual effective interest rate based on the GLWB Value.~ The GLWB Value includes any GLWB Bonus.# At the start of lifetime income, annual payments are reflected in the Annual Withdrawals column. TheLifetime Payment Amount is based on the youngest Annuitant/Covered Person. The youngestcovered person is age 65 as of the illustration date and is age 75 when Lifetime Income Paymentsbegin.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 12 of 24
  • 13. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractMOST RECENT PERIOD from 12/31/2002 to 12/31/2012Credited Interest RatesBased on Current RatesThis chart shows the percentage of interest credited for the Hypothetical Contract Values on the previous page. These interest credit rates are based on the historical index growth, the selected index andcrediting method, and current rates as shown on page 9 of this illustration. These interest credit percentages shown are not guarantees or even estimates of the amounts you can expect from your annuity;actual results may be higher or lower.Index Option Based Interest CreditIndex Return S&P 500S&P 500 MPP Total Credited Interest RateAlloc. % 100%END OF YEAR1 26.38% 7.65% 7.65%2 8.99% 5.38% 5.38%3 3.00% 0.00% 0.00%4 13.62% 9.90% 9.90%5 3.53% 0.00% 0.00%6 -38.49% 0.00% 0.00%7 23.45% 0.00% 0.00%8 12.78% 0.00% 0.00%9 0.00% 0.00% 0.00%10 13.41% 4.06% 4.06%11+* 4.95% 2.64% 2.64%Annual Effective Rate (First 10 years): 4.95% 2.64% 2.64%* The projected rate in years 11 and after is based on repeating the most recent tenyear index performance as an annual effective rate.Abbreviation DefinitionMPP Monthly Point-to-PointILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 13 of 24
  • 14. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractHIGHEST Index Growth PeriodHypothetical Contract ValuesBased on Guaranteed RatesThis chart illustrates values based on the most favorable ten year period out of the last twenty years of historical index performance, selected withdrawals, the initial allocation and guaranteed rates shown onpage 9 of this illustration. These guaranteed rates are effective as of the date of this illustration and are subject to change at any time. These values shown are not guarantees or even estimates of theamounts you can expect from your annuity; actual results may be higher or lower.GLWB FeatureEND OFYEARStart Age/End AgePremiumAnnualWithdrawals(Beginning ofYear)AccumulationValue/Death BenefitSurrenderValue^CreditedInterest RateGLWB StackingRoll-Up Credit*GLWB Value~LifetimePaymentPercentageLifetimePaymentAmount#1 65 / 66 $100,000 $0 $117,410 $88,375 17.41% 21.58% $127,660 5.35% $6,8302 66 / 67 $0 $0 $119,746 $89,259 1.99% 6.83% $136,379 5.45% $7,4333 67 / 68 $0 $0 $119,746 $90,151 0.00% 5.00% $143,198 5.55% $7,9484 68 / 69 $0 $0 $119,746 $91,053 0.00% 5.00% $150,358 5.65% $8,4955 69 / 70 $0 $0 $119,746 $91,963 0.00% 5.00% $157,876 5.75% $9,0786 70 / 71 $0 $0 $119,746 $92,883 0.00% 5.00% $165,770 5.85% $9,6987 71 / 72 $0 $0 $119,746 $93,812 0.00% 5.00% $174,059 5.95% $10,3568 72 / 73 $0 $0 $119,746 $94,750 0.00% 5.00% $182,762 6.05% $11,0579 73 / 74 $0 $0 $123,231 $95,697 2.91% 6.91% $195,384 6.15% $12,01610 74 / 75 $0 $0 $124,981 $96,654 1.42% 5.90% $206,903 6.25% $12,931$0 2.25%+^ Reflects the maximum MVA. The death benefit will be at least as great as the Surrender Value.+ Annual Effective Rate over first ten years.* Expressed as an annual effective interest rate based on the GLWB Value.~ The GLWB Value includes any GLWB Bonus.# At the start of lifetime income, annual payments are reflected in the Annual Withdrawals column. TheLifetime Payment Amount is based on the youngest Annuitant/Covered Person. The youngestcovered person is age 65 as of the illustration date and is age 75 when Lifetime Income Paymentsbegin.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 14 of 24
  • 15. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractHIGHEST Index Growth PeriodCredited Interest RatesBased on Guaranteed RatesThis chart shows the percentage of interest credited for the Hypothetical Contract Values on the previous page. These interest credit rates are based on the historical index growth, the selected index andcrediting method, and guaranteed rates as shown on page 9 of this illustration. These interest credit percentages shown are not guarantees or even estimates of the amounts you can expect from yourannuity; actual results may be higher or lower.Index Option Based Interest CreditIndex Return S&P 500S&P 500 MPP Total Credited Interest RateAlloc. % 100%END OF YEAR1 34.11% 17.41% 17.41%2 20.26% 1.99% 1.99%3 31.01% 0.00% 0.00%4 26.67% 0.00% 0.00%5 19.53% 0.00% 0.00%6 -10.14% 0.00% 0.00%7 -13.04% 0.00% 0.00%8 -23.37% 0.00% 0.00%9 26.38% 2.91% 2.91%10 8.99% 1.42% 1.42%Annual Effective Rate (First 10 years): 10.19% 2.25% 2.25%Index Highest Index Growth PeriodS&P500 Index 12/31/1994 to 12/31/2004Abbreviation DefinitionMPP Monthly Point-to-PointILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 15 of 24
  • 16. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractHIGHEST Index Growth PeriodHypothetical Contract ValuesBased on Current RatesThis chart illustrates values based on the most favorable ten year period out of the last twenty years of historical index performance, selected withdrawals, the initial allocation and current rates shown onpage 9 of this illustration. These current rates are effective as of the date of this illustration and are subject to change at any time. These values shown are not guarantees or even estimates of the amountsyou can expect from your annuity; actual results may be higher or lower.GLWB FeatureEND OFYEARStart Age/End AgePremiumAnnualWithdrawals(Beginning ofYear)AccumulationValue/Death BenefitSurrenderValue^CreditedInterest RateGLWB StackingRoll-Up Credit*GLWB Value~LifetimePaymentPercentageLifetimePaymentAmount#1 65 / 66 $100,000 $0 $117,410 $88,375 17.41% 21.58% $127,660 5.35% $6,8302 66 / 67 $0 $0 $125,781 $89,259 7.13% 11.56% $142,414 5.45% $7,7623 67 / 68 $0 $0 $127,429 $90,151 1.31% 6.16% $151,183 5.55% $8,3914 68 / 69 $0 $0 $127,429 $91,053 0.00% 5.00% $158,742 5.65% $8,9695 69 / 70 $0 $0 $127,671 $91,963 0.19% 5.15% $166,921 5.75% $9,5986 70 / 71 $0 $0 $127,671 $92,883 0.00% 5.00% $175,267 5.85% $10,2537 71 / 72 $0 $0 $127,671 $93,812 0.00% 5.00% $184,031 5.95% $10,9508 72 / 73 $0 $0 $127,671 $94,750 0.00% 5.00% $193,232 6.05% $11,6919 73 / 74 $0 $0 $137,438 $95,697 7.65% 10.05% $212,661 6.15% $13,07910 74 / 75 $0 $0 $144,832 $96,654 5.38% 8.48% $230,688 6.25% $14,418$0 3.77%+^ Reflects the maximum MVA. The death benefit will be at least as great as the Surrender Value.+ Annual Effective Rate over first ten years.* Expressed as an annual effective interest rate based on the GLWB Value.~ The GLWB Value includes any GLWB Bonus.# At the start of lifetime income, annual payments are reflected in the Annual Withdrawals column. TheLifetime Payment Amount is based on the youngest Annuitant/Covered Person. The youngestcovered person is age 65 as of the illustration date and is age 75 when Lifetime Income Paymentsbegin.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 16 of 24
  • 17. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractHIGHEST Index Growth PeriodCredited Interest RatesBased on Current RatesThis chart shows the percentage of interest credited for the Hypothetical Contract Values on the previous page. These interest credit rates are based on the historical index growth, the selected index andcrediting method, and current rates as shown on page 9 of this illustration. These interest credit percentages shown are not guarantees or even estimates of the amounts you can expect from your annuity;actual results may be higher or lower.Index Option Based Interest CreditIndex Return S&P 500S&P 500 MPP Total Credited Interest RateAlloc. % 100%END OF YEAR1 34.11% 17.41% 17.41%2 20.26% 7.13% 7.13%3 31.01% 1.31% 1.31%4 26.67% 0.00% 0.00%5 19.53% 0.19% 0.19%6 -10.14% 0.00% 0.00%7 -13.04% 0.00% 0.00%8 -23.37% 0.00% 0.00%9 26.38% 7.65% 7.65%10 8.99% 5.38% 5.38%Annual Effective Rate (First 10 years): 10.19% 3.77% 3.77%Index Highest Index Growth PeriodS&P500 Index 12/31/1994 to 12/31/2004Abbreviation DefinitionMPP Monthly Point-to-PointILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 17 of 24
  • 18. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractLOWEST Index Growth PeriodHypothetical Contract ValuesBased on Guaranteed RatesThis chart illustrates values based on the least favorable ten year period out of the last twenty recent years of historical index performance, selected withdrawals, the initial allocation and guaranteed ratesshown on page 9 of this illustration. These guaranteed rates are effective as of the date of this illustration and are subject to change at any time. These values shown are not guarantees or even estimates ofthe amounts you can expect from your annuity; actual results may be higher or lower.GLWB FeatureEND OFYEARStart Age/End AgePremiumAnnualWithdrawals(Beginning ofYear)AccumulationValue/Death BenefitSurrenderValue^CreditedInterest RateGLWB StackingRoll-Up Credit*GLWB Value~LifetimePaymentPercentageLifetimePaymentAmount#1 65 / 66 $100,000 $0 $100,190 $88,375 0.19% 5.18% $110,440 5.35% $5,9092 66 / 67 $0 $0 $100,190 $89,259 0.00% 5.00% $115,962 5.45% $6,3203 67 / 68 $0 $0 $100,190 $90,151 0.00% 5.00% $121,760 5.55% $6,7584 68 / 69 $0 $0 $100,190 $91,053 0.00% 5.00% $127,848 5.65% $7,2235 69 / 70 $0 $0 $103,106 $91,963 2.91% 7.28% $137,156 5.75% $7,8866 70 / 71 $0 $0 $104,570 $92,883 1.42% 6.07% $145,478 5.85% $8,5107 71 / 72 $0 $0 $104,570 $93,812 0.00% 5.00% $152,752 5.95% $9,0898 72 / 73 $0 $0 $110,290 $94,750 5.47% 8.74% $166,109 6.05% $10,0509 73 / 74 $0 $0 $110,290 $95,697 0.00% 5.00% $174,415 6.15% $10,72710 74 / 75 $0 $0 $110,290 $96,654 0.00% 5.00% $183,136 6.25% $11,446$0 0.98%+^ Reflects the maximum MVA. The death benefit will be at least as great as the Surrender Value.+ Annual Effective Rate over first ten years.* Expressed as an annual effective interest rate based on the GLWB Value.~ The GLWB Value includes any GLWB Bonus.# At the start of lifetime income, annual payments are reflected in the Annual Withdrawals column. TheLifetime Payment Amount is based on the youngest Annuitant/Covered Person. The youngestcovered person is age 65 as of the illustration date and is age 75 when Lifetime Income Paymentsbegin.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 18 of 24
  • 19. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractLOWEST Index Growth PeriodCredited Interest RatesBased on Guaranteed RatesThis chart shows the percentage of interest credited for the Hypothetical Contract Values on the previous page. These interest credit rates are based on the historical index growth, the selected index andcrediting method, and guaranteed rates as shown on page 9 of this illustration. These interest credit percentages shown are not guarantees or even estimates of the amounts you can expect from yourannuity; actual results may be higher or lower.Index Option Based Interest CreditIndex Return S&P 500S&P 500 MPP Total Credited Interest RateAlloc. % 100%END OF YEAR1 19.53% 0.19% 0.19%2 -10.14% 0.00% 0.00%3 -13.04% 0.00% 0.00%4 -23.37% 0.00% 0.00%5 26.38% 2.91% 2.91%6 8.99% 1.42% 1.42%7 3.00% 0.00% 0.00%8 13.62% 5.47% 5.47%9 3.53% 0.00% 0.00%10 -38.49% 0.00% 0.00%Annual Effective Rate (First 10 years): -3.03% 0.98% 0.98%Index Lowest Index Growth PeriodS&P500 Index 12/31/1998 to 12/31/2008Abbreviation DefinitionMPP Monthly Point-to-PointILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 19 of 24
  • 20. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractLOWEST Index Growth PeriodHypothetical Contract ValuesBased on Current RatesThis chart illustrates values based on the least favorable ten year period out of the last twenty years of historical index performance, selected withdrawals, the initial allocation and current rates shown onpage 9 of this illustration. These current rates are effective as of the date of this illustration and are subject to change at any time. These values shown are not guarantees or even estimates of the amountsyou can expect from your annuity; actual results may be higher or lower.GLWB FeatureEND OFYEARStart Age/End AgePremiumAnnualWithdrawals(Beginning ofYear)AccumulationValue/Death BenefitSurrenderValue^CreditedInterest RateGLWB StackingRoll-Up Credit*GLWB Value~LifetimePaymentPercentageLifetimePaymentAmount#1 65 / 66 $100,000 $0 $100,190 $88,375 0.19% 5.18% $110,440 5.35% $5,9092 66 / 67 $0 $0 $100,190 $89,259 0.00% 5.00% $115,962 5.45% $6,3203 67 / 68 $0 $0 $100,190 $90,151 0.00% 5.00% $121,760 5.55% $6,7584 68 / 69 $0 $0 $100,190 $91,053 0.00% 5.00% $127,848 5.65% $7,2235 69 / 70 $0 $0 $107,855 $91,963 7.65% 11.00% $141,905 5.75% $8,1606 70 / 71 $0 $0 $113,657 $92,883 5.38% 9.09% $154,803 5.85% $9,0567 71 / 72 $0 $0 $113,657 $93,812 0.00% 5.00% $162,543 5.95% $9,6718 72 / 73 $0 $0 $124,909 $94,750 9.90% 11.92% $181,922 6.05% $11,0069 73 / 74 $0 $0 $124,909 $95,697 0.00% 5.00% $191,018 6.15% $11,74810 74 / 75 $0 $0 $124,909 $96,654 0.00% 5.00% $200,569 6.25% $12,536$0 2.25%+^ Reflects the maximum MVA. The death benefit will be at least as great as the Surrender Value.+ Annual Effective Rate over first ten years.* Expressed as an annual effective interest rate based on the GLWB Value.~ The GLWB Value includes any GLWB Bonus.# At the start of lifetime income, annual payments are reflected in the Annual Withdrawals column. TheLifetime Payment Amount is based on the youngest Annuitant/Covered Person. The youngestcovered person is age 65 as of the illustration date and is age 75 when Lifetime Income Paymentsbegin.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 20 of 24
  • 21. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractLOWEST Index Growth PeriodCredited Interest RatesBased on Current RatesThis chart shows the percentage of interest credited for the Hypothetical Contract Values on the previous page. These interest credit rates are based on the historical index growth, the selected index andcrediting method, and current rates as shown on page 9 of this illustration. These interest credit percentages shown are not guarantees or even estimates of the amounts you can expect from your annuity;actual results may be higher or lower.Index Option Based Interest CreditIndex Return S&P 500S&P 500 MPP Total Credited Interest RateAlloc. % 100%END OF YEAR1 19.53% 0.19% 0.19%2 -10.14% 0.00% 0.00%3 -13.04% 0.00% 0.00%4 -23.37% 0.00% 0.00%5 26.38% 7.65% 7.65%6 8.99% 5.38% 5.38%7 3.00% 0.00% 0.00%8 13.62% 9.90% 9.90%9 3.53% 0.00% 0.00%10 -38.49% 0.00% 0.00%Annual Effective Rate (First 10 years): -3.03% 2.25% 2.25%Index Lowest Index Growth PeriodS&P500 Index 12/31/1998 to 12/31/2008Abbreviation DefinitionMPP Monthly Point-to-PointILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 21 of 24
  • 22. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractProjected Accumulation Value Based on Current Rates Over a 10 Year PeriodThis graph shows the projected Accumulation Values based on historical index performance determined by the three historical indexing periods, the initial allocation, withdrawal selections and current ratesshown on page 9 of the illustration.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 22 of 24
  • 23. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractMARKET VALUE ADJUSTMENT (MVA)When you make a withdrawal, the amount you receive may be increased ordecreased by a Market Value Adjustment, also known as Interest Adjustment,depending on the change in interest rates since your annuity purchase. If interestrates on which the MVA is based go up after you buy your annuity, the MVA willlikely decrease the amount you receive. If interest rates go down, the MVA willlikely increase the amount you receive.A Market Value Adjustment is applied only during the surrender period to fullsurrenders and any partial surrenders in excess of the Penalty-Free PartialSurrender Allowance. Changes in the policy value due to Market Value Adjustmentare not quoted in this illustration.The graph below shows the Projected Surrender Value under sample MVAscenarios as described below during the initial guarantee period of the contractbased on the initial premium amount and the assumption that there are no partialwithdrawals.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 23 of 24
  • 24. MNL IncomeVantageSM14Flexible Premium Deferred AnnuityNon-Qualified ContractIt is important to carefully consider the benefits and limitations of a GLWB feature to ensure thatit is consistent with your personal goals and needs.Premium taxes: Accumulation Value will be reduced for premium taxes as required by the stateof residence. These taxes are not reflected in the illustrated values.The Dow Jones Industrial AverageSMis a product of Dow Jones Indexes, the marketing nameand a licensed trademark of CME Group Index Services LLC ("CME Indexes"), and has beenlicensed for use. "Dow Jones", "Dow Jones Industrial AverageSM", "DJIASM" and "Dow JonesIndexes" are service marks of Dow Jones Trademark Holdings, LLC ("Dow Jones"), have beenlicensed to CME Indexes and sublicensed for use for certain purposes by Midland National.Midland Nationals MNL IncomeVantage 14 is based on the Dow Jones Industrial AverageSM,are not sponsored, endorsed, sold or promoted by Dow Jones, CME Indexes or their respectiveaffiliates and none of them makes any representation regarding the advisability of investing insuch product(s)."Standard & Poors", "S&P", "S&P 500", "Standard & Poors 500", "Standard & PoorsMidCap 400" and "S&P MidCap 400are trademarks of The McGraw-Hill Companies, Inc. andhave been licensed for use by Midland National. The product(s) is not sponsored, endorsed, soldor promoted by Standard & Poors and Standard & Poors makes no representation regardingthe advisability of purchasing the product(s).The Nasdaq-100, Nasdaq-100Index and Nasdaqare registered trademarks of the NasdaqStock Market Inc. (which with its affiliates are the "Corporations") and are licensed for use byMidland National. The Product(s) have not been passed on by the Corporations as to theirlegality or suitability. The MNL IncomeVantage 14 is not issued, endorsed, sold or promoted bythe Corporations. THE CORPORATIONS MAKE NO WARRANTIES AND BEAR NO LIABILITYWITH RESPECT TO THE MNL INCOMEVANTAGE.The Gold Price Index Option credits interest based on the change in the price of gold per troyounce in US Dollars as established by the Afternoon (PM) London Gold Market Fixing Price. TheAfternoon (PM) London Gold Market Fixing Price is available at the website[www.goldfixing.com], and also can be found at Bloomberg. com under the symbol[GOLDLNPM:IND.] We reserve the right to add, remove or revise availability of the Gold PriceIndex Option, or to substitute a different widely published benchmark for the price of gold for theuse in the Gold Price Index Option should the Company in its discretion determine that the useof the Afternoon (PM) London Gold Market Fixing Price is no longer is commercially reasonable.The Gold Price Index Option does not constitute a purchase of or direct investment in gold.All references to The London Gold Market Fixing prices are used with the permission of TheLondon Gold Market Fixing Limited and have been provided for informational purposes only. TheLondon Gold Market Fixing Limited accepts no liability or responsibility for the accuracy of theprices or the underlying product to which the prices may be referenced.ILLUSTRATION SNAPSHOT GLWB FEATURESAnnuitant Name: Valued Annuitant GLWB Bonus: 5.00%Annuitant Gender: Male GLWB Roll-Up Credit: 5.00% + interest creditedAnnuitant Age: 65State: GA ILLUSTRATED WITHDRAWALSPremium: $100,000.00 Lifetime Income Payments beginning in contract year 11Illustration Date: 06/17/2013This illustration is not valid unless all pages are present.Page 24 of 24
  • 25. MNL IncomeVantage 14Input Summary ReportProducerProducer McNeill, DonOwner InformationOwner InformationOwner Type Same as Annuitant(s)Annuitant InformationAnnuitant Type IndividualClient Name Valued AnnuitantGender MaleIssue Age 65IllustrationPeriod Illustrated Accumulation OnlyIllustration Effective Date 06/17/2013Market Non-Qualified ContractAccumulation BenefitsGuaranteed Minimum Accumulation Benefit FalseGuaranteed Minimum Withdrawal Benefit True LifetimeGuaranteed Minimum Income Benefit FalseGuaranteed Minimum Death Benefit Account ValueInitial ContributionAmount $100,0001035 Exchange Amount $01035 Exchange Basis $0Periodic PaymentsMode AnnualScheduled Payments Value Adjustment From - Through$0.00 $0.00 2 - MWithdrawalsMode AnnualScheduled Withdrawals Type Value Adjustment From - ThroughNone 2 - 10Lifetime Income Payments $0.00 $0.00 11 - MPerformance ModelIllustration Based On Custom Subaccount AllocationSubaccount AssumptionsPast Performance Duration Longest Common PeriodIllustrate Dollar Cost Averaging FalseSubaccount S&P500 Index 100.00 %Rebalance Subaccount NoneReports OptionsYears to Illustrate Maturity