Life Insurance Field Underwriting Guide

Life Insurance Field Underwriting Guide National Life Insurance Company Life Insurance Company of the Southwest 30 % 62797 MK2312(0311) TC61418(0311) For Agent Use Only - Not For Use With the Public

Table of Contents Helpful Hints.................................. 3 Expedite your applications!.......................... 3 Insurance and General Medical Testing Guidelines........... 3 Paramedical Facilities/Laboratory Testing Services............ 4 Harbor, Foundation and Provider Requirements............. 5 Horizon, Advantage 79, SecurePlus Paragon and IncomeBuilder Requirements...................... 6 LSW Term Requirements........................... 7 National Life Product Requirements.................... 8 Rate Classes/Table Ratings.......................... 9 Elite Preferred and Preferred Risk Guidelines............... 10 Table of Height and Weight......................... 11 Financial Underwriting Guidelines..................... 12 Tentative Quotes............................... 13 Trial Application................................ 15 Informal Inquiry................................ 16 Field Underwriting Disability Income Rider................ 19 DIR Ineligible Occupation Listing...................... 20 Foreign National Guidelines......................... 21 Common Medical Impairments....................... 24 Medical Questionnaires - Help avoid APS!................. 27 Diabetes Tentative Rating Charts...................... 49 APS Guidelines................................. 51 Uninsurable Risks and Extremely Problematic Risks........... 52 Life Coverage/Disability Income Rider Probable Action......... 53 Long-Term Care Rider Probable Action................... 61 After Issue Contract Changes........................ 69 2 For Agent Use Only Not For Use With The Public

Helpful Hints for Efficient Processing New Business 1. Fully complete the application and related forms; obtain required signatures. 2. Print legibly. 3. Obtain complete details to all answers on application. 4. Use the appropriate state-approved application kits(state of execution). 5. Submit Illustration. 6. The Agent s Report must be fully completed to ensure all applications include fi nancial information, sales materials and any replacement. In addition, a completed ESI New Business Form ES0060 must be completed for every variable product application. Underwriting Tips 1. Pre-qualify the client during the telephone interview process. See listing of problematic and uninsurable risks in this guide. Contact your underwriter for a tentative quote if needed. 2. Fully complete the application and provide details to all answers. 3. Use medical questionnaires to help avoid the need for medical records. Expedite Applications; Use Oral Fluid OF Testing If ease of application and minimal testing are what your clients want we can help! In lieu of comprehensive medical testing, certain clients may qualify for oral swab testing completed at the time of the application (agent administered). This quick testing process can put you on the Fast Track for approval! Please see availability by product, age and face amount on the following pages, and look for this symbol OF where oral swab testing may be an option. Insurance & General Medical Testing Guidelines Underwriting Amount The underwriting amount is the total of the base policy(s) being applied for plus any Term Riders/APB (Additional Protection Benefi t). GIR/AIO If applying for the Guaranteed Insurability Rider or Additional Insurance Option, add one option of GIR/AIO to the underwriting amount if the proposed insured is over age 22. Refer to the Company/Product & Class Specifi c Guidelines provided. The company reserves the right to request any other evidence of insurability as it may deem necessary. 4. Collect oral fluid testing at the time of the application if required. Mail promptly. Include a copy of the lab slip with the application. 5. If a paramedical exam, blood/urine or EKG is required, schedule immediately. See listing of company-approved exam providers on page 4. 6. Consult Height & Weight Chart before quoting rate class. 7. Contact your underwriter with any questions. For Agent Use Only Not For Use With The Public 3

Inspection Reports/Personal History Interview (Ordered by Home Office) Please provide the proposed insured s phone numbers on every application regardless of the amount applied for and inform the applicant of the possibility of contact. Routine Inspection $5,000,001 and over: Inspection Required Foreign Nationals: Inspection Required Routine PHI (Phone Interview) Through $2,000,000: Underwriter Discretion $2,000,001 - $5,000,000 (all ages): Required PHI Ages 70 & over for $500,000 and over: Required PHI PHI may also be required for certain riders applied for Motor Vehicle Report (Ordered by Home Office) Ages 14 30: All applications Ages 31 40: Requested for $250,000 and over Ages 41 69: Requested for $500,000 and over Ages 70+: Requested for $100,000 and over An MVR may also be requested at the underwriter s discretion, based on the application and history. Paramedical Facilities (Ordered by Agent) Laboratory Testing Services Clinical Reference Lab is the approved testing service for oral fluid/saliva, blood profi les and urinalyses. (Use of our approved lab assures the timely transmission of test results.) Blood Profiles/Urinalysis/Oral Fluid OF Blood or oral fluid testing is required for all applicants age 15 and older. Agent administered oral fluid testing is available for certain rate classes and certain products. A full blood profi le and urinalysis is always required for Preferred and Elite Preferred consideration. A urinalysis is required whenever blood testing is needed. Please refer to the product-specifi c charts in this guide for additional information. HIV consent forms must be submitted in those states where required, for all proposed insureds age 15 and older. Completion of these forms is the agent s responsibility. Medical Testing by Other Companies We will consider a paramedical exam, EKG, treadmill and/or labs that have been completed within the last six months for another carrier if copies are made available to us. We reserve the right to request current testing. American Para Professional Systems/APPS: www.appsnational.com Exam One: www.examone.com Portamedic/Hooper Holmes: www.portamedic.com Examination Management Service/EMSI: www.exams4web.com We do not authorize medical testing to be collected via a personal physician. 4 For Agent Use Only Not For Use With The Public

Life Underwriting Requirements Harbor, Foundation and Provider Underwriting Amount Issue Age 0-14 15-30 31-40 41-50 51-60 61-65 66-70 71-80 81+ Through $50,000 A OF C OF C OF C OF D OF D OF D D D $50,001 - $100,000 A OF C OF C OF D OF D D D D D $100,001 - $150,000 A OF C OF C OF D D D D D D $150,001 - $200,000 A OF C OF D OF D E E E E E $200,001 - $250,000 A C D D E E E E E $250,001 - $300,000 A C D D E E E E E $300,001 - $500,000 A D D E E E E E E $500,001 - $1,000,000 B D E E E E E E E $1,000,001 - $3,000,000 B D E E E E E E E $3,000,001 - $5,000,000 B D E E F F F F F $5,000,001 - $10,000,000 B F F F F F F F F $10,000,001 and up B F F F F F F F F Category OF A B C D E F Medical Requirements Application and Oral Fluid Only! (for VSNT, ESNT or Standard Tobacco) Application Application and APS Application, Blood Profi le and Urine Application, Paramedical, Blood Profi le, Urine Application, Paramedical, Blood Profi le, Urine and EKG Application, MD Exam, Blood Profi le, Urine and EKG (Ages 51-69 need Stress Test in lieu of EKG for $10,000,001+) Rate Classes Harbor 1 Foundation 2 Provider 2 Elite Preferred NT ages 20-75 Preferred NT ages 20-85 ages 15-85 ages 15-75 Verifi ed Standard NT 3 ages 0-85 ages 0-85 ages 0-85 Express Standard NT 4 ages 0-85 ages 0-85 ages 0-85 Preferred Tobacco ages 20-85 ages 15-85 ages 15-75 Standard Tobacco 5 ages 20-85 ages 15-85 ages 15-85 Please note that ABR3 is not available on rated Harbor, Provider, Horizon, Advantage 79, IncomeBuilder or Paragon products and/or any reinsured policies. 1 Issue age nearest birthday 2 Issue age last birthday 3 Verifi ed Standard NT used at ages 0-14 4 Express standard class not available in PA/NJ 5 200% rating added to Standard NT rates for tobacco users up to age 19(NA in PA) For Agent Use Only Not For Use With The Public 5

Life Underwriting Requirements Horizon, Advantage 79, SecurePlus Paragon and IncomeBuilder Issue Age Underwriting Amount 0-14 15-30 31-40 41-50 51-60 61-65 66-70 71-80 81+ Through $50,000 A C C C D D D D D $50,001 - $100,000 A C C D D D D D D $100,001 - $150,000 A C C D D D D D D $150,001 - $200,000 A C D D E E E E E $200,001 - $250,000 A C D D E E E E E $250,001 - $300,000 A C D D E E E E E $300,001 - $500,000 A D D E E E E E E $500,001 - $1,000,000 B D E E E E E E E $1,000,001 - $3,000,000 B D E E E E E E E $3,000,001 - $5,000,000 B D E E F F F F F $5,000,001 - $10,000,000 B F F F F F F F F $10,000,001 and up B F F F F F F F F Category A B C D E F Medical Requirements Application Application and APS Application, Blood Profi le and Urine Application, Paramedical, Blood Profi le, Urine Application, Paramedical, Blood Profi le, Urine and EKG Application, MD Exam, Blood Profi le, Urine and EKG (Ages 51-69 need Stress Test in lieu of EKG for $10,000,001+) Note: Oral Fluid testing is not available with Horizon, Advantage 79, SecurePlus Paragon, and IncomeBuilder products Rate Classes Horizon 1 Advantage 79 1 Paragon 1 IncomeBuilder 1 Elite Preferred NT ages 20-75 ages 20-75 ages 20-75 ages 20-75 Preferred NT ages 20-85 ages 20-85 ages 20-85 ages 20-85 Standard/Verifi ed Standard NT ages 0-85 ages 20-85 ages 0-85 ages 0-85 Preferred Tobacco ages 20-85 ages 20-85 ages 20-85 ages 20-85 Standard Tobacco 2 ages 20-85 ages 20-85 ages 20-85 ages 20-85 Please note that ABR3 is not available on rated Harbor, Provider, Horizon, Advantage 79, IncomeBuilder or Paragon products and/or any reinsured policies. 1 Issue age nearest birthday 2 200% rating added to Standard NT rates for tobacco users up to age 19(NA in PA) 6 For Agent Use Only Not For Use With The Public

Life Underwriting Requirements LSW Term Underwriting Amount Issue Age 0-14 15-30 31-40 41-50 51-60 61-65 66-70 71-80 Through $50,000 A OF C OF C OF C OF D OF D OF D D $50,001 - $100,000 A OF C OF C OF D OF D D D D $100,001 - $150,000 A OF C OF C OF D D D D D $150,001 - $200,000 A OF C OF D OF D E E E E $200,001 - $250,000 A C D D E E E E $250,001 - $300,000 A C D D E E E E $300,001 - $500,000 A D D E E E E E $500,001 - $1,000,000 B D E E E E E E $1,000,001 - $3,000,000 B D E E E E E E $3,000,001 - $5,000,000 B D E E F F F F $5,000,001 - $10,000,000 B F F F F F F F $10,000,001 and up B F F F F F F F Category OF A B C D E F Medical Requirements Application and Oral Fluid Only!(for VSNT, ESNT or Standard Tobacco) Application Application and APS Application, Blood Profi le and Urine Application, Paramedical, Blood Profi le, Urine Application, Paramedical, Blood Profi le, Urine and EKG Application, MD Exam, Blood Profi le, Urine and EKG (Ages 51-69 need Stress Test in lieu of EKG for $10,000,001+) Issue Ages 1 Rate Classes Available Level Term 10-G ages 18-75 Elite Preferred NT Level Term 15-G & 15-NG ages 18-70 Preferred NT Level Term 20-G & 20-NG ages 18-65 Verifi ed Standard NT Level Term 30-G & 30-NG ages 18-50 Express Standard NT 2 (for face amounts up to $249,999 only) Preferred Tobacco Standard Tobacco 1 Issue age last birthday 2 Express Standard class not available in PA/NJ For Agent Use Only Not For Use With The Public 7

Underwriting Requirements National Life Products Issue Age 1 Underwriting Amount 0-17 18-30 31-40 41-50 51-65 66-80 81 + through 50,000 A C C C D D D 50,001-150,000 A C C D D D D 150,001-300,000 A C D D E E E 300,001-500,000 A D D E E E E 500,001-1,000,000 B D E E E E E 1,000,001-3,000,000 B D E E E E E 3,000,001-5,000,000 B D E E F F F 5,000,001-10,000,000 B F F F F F F 10,000,001 and up F F F F F F F Category A B C D E F Medical Requirements Non-medical (Ages 15-17, urinalysis required) Non-medical, APS (Ages 15-17, urinalysis required) Nonmedical, Blood Profi le, Urine Paramedical, Blood Profi le, Urine Paramedical, Blood Profi le, Urine, EKG MD Exam, Blood Profi le, Urine, EKG ( Ages 0-14, MD Exam + EKG only Ages 15-17, MD Exam, Urine, EKG only Ages 51-69 Need Stress Test in lieu of EKG for $10,000,001+) 1 Issue age nearest birthday. Proposed insureds with cardiovascular conditions should check with their physician before performing a Stress Test. Please note that ABR Critical Illness is not available on rated and/or reinsured policies. 8 For Agent Use Only Not For Use With The Public

LSW Product Underwriting Classes 1 OF Verified Standard/Standard NT Offers competitive rates for applicants who are fully underwritten, who are standard risks, and who do not use tobacco. OF Express Standard 2 NT Available to applicants who do not use products containing tobacco or nicotine who qualify as standard under quick underwriting, and to those with ratings of four tables or less, who would otherwise be substandard. Preferred Tobacco Available to applicants who use products containing tobacco or nicotine who meet all preferred guidelines (see page 10). A blood profi le and urinalysis are required for all Preferred Tobacco applicants. OF Standard Tobacco Applicants who use tobacco and who do not otherwise meet the preferred guidelines will fall into this rate class. Table Ratings converted to Percent Ratings Table 2............... Table B.............. 150% Table 3............... Table C.............. 175% Table 4............... Table D............. 200% Table 5............... Table E.............. 225% Table 6............... Table F.............. 250% Table 8............... Table H............. 300% Table 10.............. Table J............... 350% Table 12.............. Table L............. 400% Table 16.............. Table P.............. 500% Ratings are illustrated using standard or Verifi ed Standard class as the platform for Non-Smoker clients or using Standard Tobacco class as the platform for tobacco users. 1 See product-specifi c tables on pages 5-7 for rate classes available 2 Please refer to the product-specifi c charts for classes available. For Agent Use Only Not For Use With The Public 9

Elite Preferred Non-Tobacco and Preferred Criteria 1 Elite Preferred Non-Tobacco Preferred Citizenship U.S. Resident. U.S. Resident. Tobacco or Nicotine Products 2, 3 Health Alcohol/Drugs Aviation/Avocation Family History No use of tobacco or nicotine containing products of any kind within the last 24 months. Current lab testing negative for nicotine. Standard risks with no current borderline medical problems. No medical history which would have been ratable in the past. No drug or alcohol abuse or treatment within the last 10 years. No aviation, hazardous avocation or occupation. This does not include major commercial airline pilots or holiday scuba diving. No parental family history of death from cardiovascular disease or cancer prior to age 60. No use of tobacco or nicotine-containing products 4 of any kind within the past 12 months. Current lab testing negative for nicotine. Standard risk with no current borderline medical problems. No medical history which would have been ratable in the past. No drug or alcohol abuse or treatment within the last 10 years. No aviation, hazardous avocation or occupation. This does not include major commercial airline pilots or holiday scuba diving. No parental family history of death from cardiovascular disease or cancer prior to age 60. Build See Height and Weight Chart on page 11. See Height and Weight Chart on page 11. Blood Pressure Cholesterol Driving History Current untreated blood pressure with a 12-month average reading of 135/85 or better. Current untreated cholesterol of 200mg/dl or less and a Chol/HDL ratio of 4.0 or less. No alcohol related moving violations within fi ve years and no more than two moving violations within the last two years. Current blood pressure with a 12-month average reading of 140/90 or better. Cholesterol of 240mg with ratio of 8.0 or less; or total cholesterol of 240 280 with a ratio of 6.0 or less. No alcohol related moving violations within fi ve years. No ratable driving record. 1 Please refer to the National Life and LSW product-specifi c charts for classes available. 2 Not applicable for Preferred Tobacco class. 3 Products such as cigarettes, cigars, chewing tobacco, pipe, nicotine gum products, nicotine patch, etc. 4 Individual consideration will be given for infrequent cigar use. 10 For Agent Use Only Not For Use With The Public

Table of Height and Weight This chart is used as a guideline to identify the weights that are usually acceptable for standard premium rates within the rate classes shown, and to show the acceptable weight to qualify for the disability income rider. Other factors, including age or disproportion in body measurements (girth of chest and abdomen), may impact the fi nal decision. Verifi ed Standard NT Preferred NT Express & Standard & Preferred Elite Feet Inches Standard NT Tobacco Tobacco Preferred NT DIR 4 8 175 144 129 114 163 4 9 180 149 133 119 169 4 10 185 153 137 124 174 4 11 190 157 141 128 178 5 0 195 162 145 133 183 5 1 199 166 149 138 188 5 2 204 170 153 143 193 5 3 211 175 157 147 198 5 4 217 180 162 152 204 5 5 223 186 167 163 209 5 6 230 191 172 166 216 5 7 236 196 176 171 221 5 8 243 202 181 176 228 5 9 249 207 186 181 235 5 10 257 214 192 185 241 5 11 263 218 196 190 248 6 0 271 225 202 195 255 6 1 278 231 207 200 263 6 2 286 237 213 204 270 6 3 294 244 219 209 278 6 4 303 252 226 214 285 6 5 311 258 232 219 292 6 6 321 266 239 223 300 6 7 331 274 246 228 309 6 8 344 283 253 233 315 For Agent Use Only Not For Use With The Public 11

Financial Underwriting Guidelines Cover Letter The writing producer is an important source of information. Through a cover letter, he/she can provide an explanation of the purpose, need, and method used to establish the requested face amount and total line of coverage as well as any unusual aspects of the case, and competitive situations. Copies of the needs analysis and fi nancial statement should accompany applications with large face amounts. Personal Insurance While each application is underwritten based on its own merits, the following are general guidelines for personal insurance to cover income replacement and survivorship. Coverage for non-working spouses would be considered for reasonable amounts based on the working spouse s income as well as net worth and purpose of the coverage. We welcome discussions on individual situations. Issue Ages Factor 0-17 See juvenile insurance guidelines 18-40 20x annual earned income 41-50 15x annual earned income 51-60 10x annual earned income 61+ 5x annual earned income Bankruptcy We will not offer coverage to an individual with a history of Chapter 7 bankruptcy until the bankruptcy proceedings have been discharged, the client is currently working full-time, and demonstrates a fi nancial need for a reasonable amount of coverage. All applicants will be underwritten on their own merit, taking into consideration stable employment, annual income, net worth, purpose and need for coverage, as well as any emotional, anxiety and other medical concerns. Juvenile Applications Generally, we will consider a face amount of coverage on a minor applicant equal to the face amount of coverage on the parents(or legal guardian); unless state insurance law dictates otherwise. Acceptable ownership and premium payers for minors include parents/legal guardians or grandparents only. If multiple applications are submitted for the same family, a cover letter (include a copy with each application), or note on the Agent s Report, with details on the sale will help to provide more efficient processing. Please include the amount of coverage in force and applied for on the parents and any siblings. All children should be similarly insured. Larger face amounts applied for on children should include a detailed outline of the family/household income, net worth, premium funding source and other supporting information. A HIPAA form is needed for each child. The child s signature is required at age 15 and over. A HIV consent form is required at age 15 and over. Please contact your Underwriting Team with special situations. We will consider coverage for applicants currently in Chapter 11 or 13 once the applicant is making regular debt payments and they are not subject to any court imposed restrictions. 12 For Agent Use Only Not For Use With The Public

Tentative Quotes Introduction Certain medical or non-medical impairments may require pre-qualifying a proposed client for insurance coverage. The Tentative Quote process is designed to provide detailed information to the underwriter to determine possible insurability before an application is taken. The listing of Uninsurable and Problematic Risks provided in this guide should be reviewed prior to submitting a request. All quotes are tentative, non-binding and subject to change after a full underwriting work up and company retention limits. Requirements Requirements needed for a Tentative Quote: Tentative Rating Request (sample on following pages or available on website) or message with details to include: age, sex, height/weight, amount of insurance to be considered, riders requested, medical diagnosis, date diagnosed, treatment and medications, restrictions, prognosis and all other pertinent information for each medical impairment. The questionnaires provided in this guide may be helpful in obtaining critical information needed. Submission to Home Office Requests can be faxed or emailed to National Life Group as follows or obtained via phone directly to your underwriting team: Fax forms to 802-229-4726 Email NBapplicationimages@nationallife.com with completed form attached. Please allow 48 hours for reply and send a copy of quote obtained if an application is submitted. For Agent Use Only Not For Use With The Public 13

Tentative Rating Request Fax to 802-229-4726 or E-mail NBapplicationimages@nationallife.com Agent: Appt. Date: Client Last Name: Client Age (DOB): Sex: M F Height: Weight: Smoker: N Y Plan: Amt. of Insurance: Riders Requested: Diagnosis: Date Diagnosed: Treatments Received and Medications: Restrictions: Prognosis: Comments: Please allow 48 hours for a reply. 14 For Agent Use Only Not For Use With The Public

Trial Application Introduction A Trial Application may be submitted for an abbreviated review of a proposed insured s health, fi nancial, or other pertinent history to determine potential underwriting action prior to the formal application process. Any application received will be assigned a policy number and an MIB record is ordered. After initial review we will advise the agent/agency of any requirements such as an attending physicians statement (APS). Upon completion of the underwriting process, the agent/agency will be notifi ed of a tentative offer which will be subject to any necessary requirements needed for age and amount. Any tentative offer other than standard will require an adverse action letter to be sent when required by statute. Requirements Requirements needed for a Trial Application are: New Business Checklist with Trial Application clearly indicated, Fully completed Form 8121 Application for Life Insurance, and Form 8164 HIPPA Compliant Authorization. Important: No medical testing should be ordered or money collected. Submission Forms can be faxed or emailed to National Life Group as follows: Fax forms to 802-229-7592 Email forms to NBapplicationimages@nationallife.com Important: Forms must be password protected if emailing. For Agent Use Only Not For Use With The Public 15

Informal Inquiry Introduction Requirements An Informal Inquiry will provide a preliminary review for insurability. A policy number will be assigned. We will advise the agent/agency of any requirements such as an attending physicians statement (APS). Upon completion of the underwriting process, the agent/agency will be notifi ed of a tentative offer which will be subject to a formal application and any necessary requirements needed for age and amount. All quotes are tentative, non-binding and subject to change after a full underwriting work up and company retention limits. Requirements needed for an Informal Inquiry are: Form 1386 Informal Inquiry And Authorization Pursuant to Life Insurance, or a cover letter including identifying information. And Form 8164 HIPPA Compliant Authorization, or a blanket authorization form approved by National Life. Important: Authorization must be dated within last 6 months. Identifying Information Submission When using a cover letter instead of Form 1386 the following identifying information should be included. Agent Name & Number Client s Name & Address Social Security Number Date of Birth Sex Smoker Status Face Amount Policy Funding Total Life Insurance currently in force Identify Companies Dates and details of medical conditions of concern Physician Information including name, address, phone number Financial Information of concern Desired Premium Class Are there any competitive offers pending? Forms can be faxed or emailed to National Life Group as follows: Fax forms to 802-229-7592 Email forms: NBapplicationimages@nationallife.com Important: Forms must be password protected if emailing. 16 For Agent Use Only Not For Use With The Public

For Agent Use Only Not For Use With The Public 17

18 For Agent Use Only Not For Use With The Public

Field Underwriting LSW s Disability Income Rider The primary concerns in underwriting DIR include qualification for: Build Medical History Maximum Amount Eligible based on income / face amount of life coverage Occupation Build Refer to the Height and Weight chart on page 11. There is no flexibility in the maximum weight listed. Medical History Certain medical impairments will prohibit approval of DIR. A general listing of medical conditions is listed on pages 53-60 including our probable action relating to DIR. Basically, any medical impairment that may generate a substandard premium rate would not be eligible for DIR. Whenever possible, the Underwriter will consider excluding an impairment or body part from the DIR rather than denying the rider. Any injury or impairment within two years of the application will likely be excluded from the DIR depending on severity. If a prospect is currently disabled for any reason, we are unable to consider for DIR. It is crucial that the agent obtain accurate and detailed medical information when DIR is being requested so that the Underwriter may make a fair assessment. If few details are provided, additional requirements will be requested that will delay approval. Whenever possible, an underwriter will use a questionnaire in lieu of an Attending Physician Statement (APS.) Maximum Amount Available The maximum monthly benefi t available from LSW is $2,000/month, subject to underwriting and state limitations. The monthly amount cannot exceed 66% of gross monthly income (40% in California; except for 1099 employees); or $20 per $1,000 of the LSW face amount life insurance applied. (For example, a $2,000 DIR must be attached to a base policy of at least $100,000.) All in force Disability coverage with all companies will be taken into consideration when calculating the total amount eligible based on income (the 66% or 40% whichever applies). Short-term or long-term disability coverage is included in these calculations based on the scale below: Less than six months won t count towards maximum available; Six months up to but not including one year count at 50%; One year or more count at 100% Occupations Part-time employees (less than 30 hours per week) and certain occupations are not eligible for DIR coverage. See listing on next page. Ineligible occupations may be due to hazards, persistency of business, seasonal/ migrant work, or based on claims experience within the industry or company. This list is periodically updated. Self Employed persons are considered on an individual basis by the underwriter. Does the client work from his/her own home? If so, what is the percent of time spent out of the home office? Does he/she travel to meet with clients? Could they do the job without leaving the home at all? Is their occupation otherwise eligible for DIR if not for the self employment? Self employed consultants, graphic designers, (and other occupations who don t need to leave their home office to do their work) and working from their own home are not eligible for DIR. Federal and Municipal employees are eligible for DIR, but only up to the amount of their home mortgage payment or $2,000/month, whichever is less. We would require a copy of their mortgage statement to consider. Please feel free to contact your underwriter with questions. For Agent Use Only Not For Use With The Public 19

Disability Income Riders (DIR) 1 Two different DIRs are available on LSW Term, UL and IUL policies, providing coverage for disabilities due to either sickness or accident. Please see the Agent Guides for detailed information on the DIR. These riders are not approved in all states or for all products; see the National Life website for availability. Part-time employees (less than 30 hours per week) and certain occupations shown below are not eligible for DIR coverage: Actor/Actress Air Traffic Controller Amusement Park Employee Armed Forces or Coast Guard Artist/Musician Asbestos Worker Athletic Coach or Instructor Auto Body Repair Blaster Bowling Alley Employee Bridge or Dam Worker Bus Boy Bus Driver Cab Driver Carpet/Floor Installer Casino Employee Chauffeur/Limo Driver Circus Employee Delivery Person Dishwasher Diver Domestic Servant (Maid, Butler, etc.) Drivers (local delivery or long-distance) Exotic Dancer FBI Agent Federal or Municipal Employee 2 Fire Fighter Fisherman/Seaman Flight Attendant Forest Ranger Game Warden Golf Pro Housewife Immigration Officer Life Guard Logging Employee Longshoreman Migrant Worker Mine Worker Movie Industry Employee Nature/Adventure Guide Nurse Peddler Piano Mover/Safe Mover Pilot Police Officer Prison/Corrections Employee Professional Athlete Racing Employee (dog or horse) Rodeo Rider or Clown Roofer School Teacher 3 (public or private) Security Guard (armed) Self-Employed (call with specifi c info) Skating Rink Employee Steeplejack (Billboard Worker) Structural Iron Worker Subway or Tunnel Construction Worker Theater Industry Employee Truck Driver Vending Machine Worker 1 In South Carolina, Disability is defi ned as the insured s inability to perform the duties of his or her own occupation during the fi rst year of disability and has the inability to perform the duties of any occupation for which he or she is suited thereafter. 2 May purchase DIR up to monthly home mortgage amount. 3 Only DIR5 available. 20 For Agent Use Only Not For Use With The Public