Common use of Annuity Units Clause in Contracts

Annuity Units. On the Annuity Start Date, the amount of the first Variable Annuity Payment is divided by the Annuity Unit Value as of that date to determine the number of Annuity Units to be used in calculating subsequent Annuity Payments. If the Annuity Start Amount was allocated to more than one Subaccount, the first Variable Annuity Payment will be allocated to each Subaccount in the percentage corresponding to the allocation of Annuity Start Amount. The number of Annuity Units for each Subaccount is then found by dividing the amount of the first Variable Annuity Payment allocated to that Subaccount by the Annuity Unit Value for the Subaccount on the Annuity Start Date. The number of Annuity Units for the Subaccount then remains constant, unless a Transfer of Annuity Units is made. After the first Variable Annuity Payment, the dollar amount of each subsequent Annuity Payment is equal to the sum of the payment amount determined for each Subaccount. The payment amount for each Subaccount is equal to the number of Annuity Units allocated to that Subaccount multiplied by the Annuity Unit Value as of the date of the Annuity Payment. An example of an initial Variable Annuity Payment calculation for a male, age 60 is as follows: Annuity Start Amount = $100,000 $100,000 $1,000 = 100 Amount determined by reference in 1999 to Annuity Table for a male, age 60 under Option 1 $4.00 First Variable Annuity Payment 100 x $4.00 = $400 Subaccount Annuity Start Amount Allocation First Variable Annuity Payment Allocation Annuity Unit Value on Annuity Start Date Number of Annuity Units Used to Determine Subsequent Payments Growth 50% $200.00 / $1.51 = 132.4503 Growth-Income 50% $200.00 / $1.02 = 196.0784 An example of a subsequent Variable Annuity Payment calculation using the assumptions above is as follows: Subaccount Annuity Units Annuity Unit Value on Date of Subsequent Payment New Annuity Payment Amount Growth 132.4503 x $1.60 = $211.92 Growth-Income 196.0784 x $1.10 = $215.69 $427.61

Annuity Units. On the Annuity Start Date, the amount of the first Variable Annuity Payment is divided by the Annuity Unit Value as of that date to determine the number of Annuity Units to be used in calculating subsequent Annuity Payments. If the Annuity Start Amount was allocated to more than one Subaccount, the first Variable Annuity Payment will be allocated to each Subaccount in the percentage corresponding to the allocation of Annuity Start Amount. The number of Annuity Units for each Subaccount is then found by dividing the amount of the first Variable Annuity Payment allocated to that Subaccount by the Annuity Unit Value for the Subaccount on the Annuity Start Date. The number of Annuity Units for the Subaccount then remains constant, unless a Transfer of Annuity Units is made. After the first Variable Annuity Payment, the dollar amount of each subsequent Annuity Payment is equal to the sum of the payment amount determined for each Subaccount. The payment amount for each Subaccount is equal to the number of Annuity Units allocated to that Subaccount multiplied by the Annuity Unit Value as of the date of the Annuity Payment. An example of an initial Variable Annuity Payment calculation for a male, age 60 is as follows: Annuity Start Amount = $100,000 $100,000 $1,000 = 100 Amount determined by reference in 1999 to Annuity Table for a male, age 60 under Option 1 $4.00 First Variable Annuity Payment 100 x $4.00 = $400 Subaccount Annuity Start Amount Allocation First Variable Annuity Payment Allocation Annuity Unit Value on Annuity Start Date Number of Annuity Units Used to Determine Subsequent Payments Growth 50% $200.00 / ÷ $1.51 = 132.4503 Growth-Income 50% $200.00 / ÷ $1.02 = 196.0784 An example of a subsequent Variable Annuity Payment calculation using the assumptions above is as follows: Subaccount Annuity Units Annuity Unit Value on Date of Subsequent Payment New Annuity Payment Amount Growth 132.4503 x $1.60 = $211.92 Growth-Income 196.0784 x $1.10 = $215.69 $427.61

Annuity Units. On the Annuity Start Date, the amount of the first Variable Annuity Payment is divided by the Annuity Unit Value as of that date to determine the number of Annuity Units to be used in calculating subsequent Annuity Payments. If the Annuity Start Amount was allocated to more than one Subaccount, the first Variable Annuity Payment will be allocated to each Subaccount in the percentage corresponding to the allocation of Annuity Start Amount. The number of Annuity Units for each Subaccount is then found by dividing the amount of the first Variable Annuity Payment allocated to that Subaccount by the Annuity Unit Value for the Subaccount on the Annuity Start Date. The number of Annuity Units for the Subaccount then remains constant, unless a Transfer of Annuity Units is made. After the first Variable Annuity Payment, the dollar amount of each subsequent Annuity Payment is equal to the sum of the payment amount determined for each Subaccount. The payment amount for each Subaccount is equal to the number of Annuity Units allocated to that Subaccount multiplied by the Annuity Unit Value as of the date of the Annuity Payment. An example of an initial Variable Annuity Payment calculation for a male, age 60 is as follows: Annuity Start Amount = $100,000 $100,000 $1,000 = 100 Amount determined by reference in 1999 to Annuity Table for a male, age 60 under Option 1 $4.00 First Variable Annuity Payment 100 x $4.00 = $400 Subaccount Annuity Start Amount Allocation First Variable Annuity Payment Allocation Annuity Unit Value on Annuity Start Date Number of Annuity Units Used to Determine Subsequent Payments Growth Equity 50% $200.00 / ÷ $1.51 = 132.4503 Growth-Income Global 50% $200.00 / ÷ $1.02 = 196.0784 An example of a subsequent Variable Annuity Payment calculation using the assumptions above is as follows: Subaccount Annuity Units Annuity Unit Value on Date of Subsequent Payment New Annuity Payment Amount Growth Equity 132.4503 x $1.60 = $211.92 Growth-Income Global 196.0784 x $1.10 = $215.69 $427.61

Annuity Units. On the Annuity Start Date, the amount of the first Variable Annuity Payment is divided by the Annuity Unit Value as of that date to determine the number of Annuity Units to be used in calculating subsequent Annuity Payments. If the Annuity Start Amount was allocated to more than one Subaccount, the first Variable Annuity Payment will be allocated to each Subaccount in the percentage corresponding to the allocation of Annuity Start Amount. The number of Annuity Units for each Subaccount is then found by dividing the amount of the first Variable Annuity Payment allocated to that Subaccount by the Annuity Unit Value for the Subaccount on the Annuity Start Date. The number of Annuity Units for the Subaccount then remains constant, unless a Transfer of Annuity Units is made. After the first Variable Annuity Payment, the dollar amount of each subsequent Annuity Payment is equal to the sum of the payment amount determined for each Subaccount. The payment amount for each Subaccount is equal to the number of Annuity Units allocated to that Subaccount multiplied by the Annuity Unit Value as of the date of the Annuity Payment. An example of an initial Variable Annuity Payment calculation for a male, age 60 is as follows: Annuity Start Amount = $100,000 $100,000 = 100 -------- $1,000 = 100 Amount determined by reference in 1999 to Annuity Table for a male, age 60 under Option 1 $4.00 First Variable Annuity Payment 100 x $4.00 = $400 Subaccount Xxxxxxx Xxxxxxx First Unit Value Number of Annuity Start Amount Allocation First Variable Annuity Payment Allocation Annuity Unit Value on Annuity Start Date Number of Annuity Units Used to Determine Subaccount Allocation Payment Allocation Start Date Subsequent Payments Growth ---------- ------------- ------------------ ---------- -------------------- A 50% $200.00 / + $1.51 = 132.4503 Growth-Income B 50% $200.00 / + $1.02 = 196.0784 An example of a subsequent Variable Annuity Payment calculation using the assumptions above is as follows: Subaccount Annuity Units Annuity Unit Value on Date of Subsequent Payment New Annuity Payment Amount Growth 132.4503 x $1.60 = $211.92 Growth-Income 196.0784 x $1.10 = $215.69 $427.61:

Annuity Units. On the Annuity Start Date, the amount of the first Variable Annuity Payment is divided by the Annuity Unit Value as of that date to determine the number of Annuity Units to be used in calculating subsequent Annuity Payments. If the Annuity Start Amount was allocated to more than one Subaccount, the first Variable Annuity Payment will be allocated to each Subaccount in the percentage corresponding to the allocation of the Annuity Start Amount. The number of Annuity Units for each Subaccount is then found by dividing the amount of the first Variable Annuity Payment allocated to that Subaccount by the Annuity Unit Value for the Subaccount on the Annuity Start Date. The number of Annuity Units for the Subaccount then remains constant, unless a Transfer of Annuity Units is made. After the first Variable Annuity Payment, the dollar amount of each subsequent Annuity Payment is equal to the sum of the payment amount determined for each Subaccount. The payment amount for each Subaccount is equal to the number of Annuity Units allocated to that Subaccount multiplied by the Annuity Unit Value as of the date of the Annuity Payment. An A hypothetical example of an initial Variable Annuity Payment calculation for a male, age 60 is as follows: Annuity Start Amount = $100,000 $100,000 = 100 $1,000 = 100 Amount Hypothetical amount determined by reference in 1999 to Annuity Table for a male, age 60 under Option 1 $4.00 First Variable Annuity Payment 100 x $4.00 = $400 Hypothetical Subaccount Annuity Start Amount Allocation First Variable Annuity Payment Allocation Annuity Unit Value on Annuity Start Date Number of Annuity Units Used to Determine Subsequent Payments Growth Fund A 50% $200.00 / ÷ $1.51 = 132.4503 Growth-Income Fund B 50% $200.00 / ÷ $1.02 = 196.0784 An A hypothetical example of a subsequent Variable Annuity Payment calculation using the assumptions above is as follows: Hypothetical Subaccount Annuity Units Annuity Unit Value on Date of Subsequent Payment New Annuity Payment Amount Growth Fund A 132.4503 x $1.60 = $211.92 Growth-Income Fund B 196.0784 x $1.10 = $215.69 $427.61427.61 ANNUITY UNIT VALUE The Annuity Unit Value for each Subaccount was first set by SBL. The Annuity Unit Value for any subsequent Valuation Date is equal to (a) times (b) times (c), where:

Annuity Units. On the Annuity Start Date, the amount of the first Variable Annuity Payment is divided by the Annuity Unit Value as of that date to determine the number of Annuity Units to be used in calculating subsequent Annuity Payments. If the Annuity Start Amount was allocated to more than one Subaccount, the first Variable Annuity Payment will be allocated to each Subaccount in the percentage corresponding to the allocation of Annuity Start Amount. The number of Annuity Units for each Subaccount is then found by dividing the amount of the first Variable Annuity Payment allocated to that Subaccount by the Annuity Unit Value for the Subaccount on the Annuity Start Date. The number of Annuity Units for the Subaccount then remains constant, unless a Transfer of Annuity Units is made. After the first Variable Annuity Payment, the dollar amount of each subsequent Annuity Payment is equal to the sum of the payment amount determined for each Subaccount. The payment amount for each Subaccount is equal to the number of Annuity Units allocated to that Subaccount multiplied by the Annuity Unit Value as of the date of the Annuity Payment. An example of an initial Variable Annuity Payment calculation for a malean annuitant, age 60 is as follows: Annuity Start Amount = $100,000 $100,000 $1,000 = 100 Amount determined by reference in 1999 to Annuity Table for a male, age 60 under Option 1 $4.00 First Variable Annuity Payment 100 x $4.00 = $400 Subaccount Annuity Start Amount Allocation First Variable Annuity Payment Allocation Annuity Unit Value on Annuity Start Date Number of Annuity Units Used to Determine Subsequent Payments Growth Equity 50% $200.00 / ÷ $1.51 = 132.4503 Growth-Income Global 50% $200.00 / ÷ $1.02 = 196.0784 An example of a subsequent Variable Annuity Payment calculation using the assumptions above is as follows: Subaccount Annuity Units Annuity Unit Value on Date of Subsequent Payment New Annuity Payment Amount Growth Equity 132.4503 x $1.60 = $211.92 Growth-Income Global 196.0784 x $1.10 = $215.69 $427.61