Ameritas Advisor Services

Frequently Asked Questions

The Ameritas No-Load Variable Annuity policy is designed to help your clients invest on a tax-deferred basis to meet their long-term financial goals, especially to supplement income during retirement. The policy provides two methods for providing a guaranteed stream of income: annuitization and the Guaranteed Lifetime Withdrawal Benefit (GLWB) rider.

Q: What is annuitization?

A: When the policy is annuitized, the policy values are allocated to our general account and payments are fixed based on a fixed rate of interest.

Q: What is the GLWB rider?

A: The purpose of the rider is to provide a guaranteed series of annualized withdrawals from the contract, regardless of the policy value, without annuitizing. Withdrawals continue for your client's lifetime or that of the last surviving Covered Person(s). Your client remains invested in variable subccounts and chooses from one of the four asset allocation models offered by Ameritas.

Q: Who are the Covered Person(s)?

A: Covered Person(s) mean:

• The owner(s) of the policy or;

• The annuitant(s) if the owner of the policy is a non-natural person, such as a trust or;

• The spouse(s) at the time the joint spousal option is selected.

Q: How does the GLWB rider work?

A: There are four distinct phases to the rider which are described below:

• Inactive Phase

  • No charges for the rider are deducted from the policy value.
  • No restrictions are imposed on withdrawals other than those provided by the base policy.

  • No restrictions are imposed on asset allocations other than those provided by the base policy.

  • Clients chooses when and if to end the Inactive Phase and enter the Accumulation or Withdrawal Phases.

• Accumulation Phase

  • Clients chooses when to activate the rider and enter the Accumulation Phase.

  • Once the rider is activated,  the value of the policy will be tracked to calculate the future base for taking withdrawals.

  • Clients will have downside protection and growth potential, provided they pay the rider charge

  • Restrictions are imposed on withdrawals.

  • Clients choose from one of four asset allocation models.

  • There will be a Rider Charge deducted from the policy value.

  • Clients choose when to end the Accumulation Phase and enter the Withdrawal Phase.

Withdrawal Phase

• Clients choose when to enter the Withdrawal Phase from either the Inactive Phase or the Accumulation Phase.
• On the date a client enters the Withdrawal Phase, the Benefit Base is calculated.
• Clients start taking withdrawals up to the Lifetime Withdrawal Benefit Amount (LWBA), which is calculated as a percentage of the Benefit Base and varies by age.
• There are restrictions imposed on withdrawals greater than the LWBA, and withdrawals greater than the LWBA will reduce the Benefit Base.
• Clients must choose from one of the four asset allocation models we provide.
• The Rider Charge will continue to be deducted from the policy value.

• Guaranteed Phase
  • The Lifetime Withdrawal Benefit Amount payments continue to be made, although the policy value has been reduced to zero. The Guaranteed Phase is described fully in the prospectus.

Q: Which phase is the annuity policy in at issue?

Q: How will my client be charged?

A: There will be a Rider Charge deducted monthly  from the policy value. Annual charges for the GLWB begin only after it is activated:

• 0.60% current  (0.95% maximum) for the single life option and
• 0.75% current (1.10% maximum) for the joint spousal option.

Q: Are there investment option restrictions?

Q: Do clients have to activate the GLWB rider?

A: No. Activation of the rider is not required. The rider can be activated at any time while your clients own the policy and are over age 50.

Q: Can clients terminate the GLWB rider?

A: Yes. Clients can terminate the GLWB rider at any time with written notice. Note the rider cannot be added back to the policy after it is terminated.

Q: What happens at death?

A: Upon the death of the last Covered Person(s), the beneficiary will select to receive either the Death Benefit as provided by the policy and riders, or the distribution of the Remaining Balance accomplished through the payment of the LWBA, until the Remaining Balance is zero. If the last surviving Covered Person(s) dies and the policy value is zero as of the date of death, any Remaining Balance will be distributed to the Beneficiary through the payment of the LWBA until the Remaining Balance is zero. (Note: there is no guaranteed that a plicy will have a Remaining Balance on the death of the last Covered Person(s)).

A full description of the rider is available in your policy and in your current prospectus.

The rider may not be approved in all states. The GLWB rider is not available on previously-issued business.

Guarantees are based upon the claims-paying ability of the issuing company and do not apply to the investment performance or account value of the underlying variable portfolios. Any gains withdrawn are taxed as ordinary income and may result in federal tax penalties if taken before age 59½.

Thed Ameritas No-Load Variable Annuity (Form 6150) is issued by Ameritas Life Insurance Corp. and underwritten by affiliate Ameritas Investment Corp. Variable annuitiesare suitable for long-term investing, particularly for retirement, and are subject to invsestment risk, including possible loss of principal. Before investing, carefully consider the investment objectives, risks, charges and expenses, and other important information about the policy issuer and underlying investment options. This information can be found in the policy and investment option prospectuses available on this website. Read the prospectuses carefully before investing.