Common use of Allowance for Expenses Clause in Contracts

Allowance for Expenses. The Reinsurer will pay the Ceding Company an ---------------------- Allowance for Expenses for each Accounting Period equal to the sum of a) plus b) plus c) plus d) plus e) plus f), where: a) equals the product of i) times ii), where: i) equals $12.50 times the quota share percentage of the annuities reinsured hereunder, as described in Schedule A; and ii) equals the number of annuities reinsured hereunder and described inSchedule A, that are inforce at the end of the current Accounting Period; b) equals the product of i) times ii), where: i) equals $75.00 times the quota share percentage of the annuities reinsured hereunder, as described in Schedule A; and ii) equals the number of annuities reinsured hereunder and described in Schedule A, that were issued during the current Accounting Period; c) equals the product of i) times ii), where: i) equals 0.0030; and ii) equals that amount of the Reinsurance Premiums received on non-qualified policies received during the current Accounting Period; d) equals the product of i) times ii), where: i) equals 0.0180; and ii) equals the amount of the Reinsurance Premiums received during the current Accounting Period; e) equals the product of i) times ii), where: i) risks charges from Schedule D for the cost of Minimum Guaranteed Death Benefits (MGDB) in excess of the policyholders' account values; and ii) equals the quota share of the average Account Value in the Variable Separate Accounts of annuities reinsured hereunder. Average Account Value is equal to one-half the sum of the Account Value reinsured hereunder at the beginning of the current Accounting Period and the Account Value reinsured hereunder at the end of the current Accounting Period; f) equals a quota share of any rider charges deducted during the current accounting period for any VAGLB Riders attached to annuities reinsured hereunder. See Schedule A, below, for information on VAGLB and Living Benefits. g) amounts in a) i) and b) i) above will be adjusted annually on January 1, for inflation at the change in the Consumer Price Index (CPI-U as determined by Department of Labor and published in the Wall Street Journal).

Allowance for Expenses. The Reinsurer will pay the Ceding Company an ---------------------- Allowance for Expenses for each Accounting Period equal to the sum of a(i) plus b(ii) plus c(iii) plus d(iv) plus e) plus f(v), where: (i) For policy maintenance, equals (a) times (b), where: (a) equals the product of i) times ii), where: i) equals $12.50 14.60 times the quota share percentage of the Venture annuities reinsured hereunder, as described in Schedule A; and iiand (b) equals the number of Venture annuities reinsured hereunder and described inSchedule in Schedule A, that are inforce at the end of the current Accounting Period; b; (ii) For policy issuance, equals the product of i(a) times ii(b), where: i: (a) equals $75.00 112.50 times the quota share percentage of the Venture annuities reinsured hereunder, as described in Schedule A; and iiand (b) equals the number of Venture annuities reinsured hereunder and described in Schedule A, that were issued during the current Accounting Period; c; (iii) For DAC proxy tax, equals the product of i(a) times ii(b), where: i (a) equals 0.00300.0036; and iiand (b) equals that amount of the Reinsurance Premiums received on non-qualified policies received during the current Accounting Period; dpolicies; (iv) equals the product For other costs and risks, an allowance of i(a) times ii(b), where: i: (a) equals 0.0180.0005125; and ii) equals the amount of the Reinsurance Premiums received during the current Accounting Period; e) equals the product of i) times ii), where: i) risks charges from Schedule D for the cost of Minimum Guaranteed Death Benefits and (MGDB) in excess of the policyholders' account values; and iib) equals the quota share of the average Account Value in the Variable Separate Accounts of annuities reinsured hereunder. Average Account Value is equal to one-half the sum of the Account Value reinsured hereunder at the beginning of the current Accounting Period and the Account Value reinsured hereunder account values at the end of the current Accounting Period; fPeriod on the annuities reinsured hereunder. (v) (a) minus (b), times (c), where: (a) equals a the quota share of any rider charges deducted during the current accounting period for any VAGLB Riders attached to account value at the end of the Accounting Period of the annuities reinsured hereunder. See Schedule A. (b) equals the Modified Coinsurance Reserve at the end of the Accounting Period of the annuities reinsured hereunder. (c) equals the LIBOR Rate divided by 4, belowwhere the LIBOR Rate equals the 3 month LIBOR rate (as published in the Wall Street Journal), for information plus .01, determined on VAGLB and Living Benefits. gthe first business day of the Accounting Period. (vi) amounts Amounts in a) i(i)(a) and b) i(ii)(a) above are for 1994. They will be adjusted annually on January 1, for inflation at the change in the Consumer Price Index (CPI-CPI- U as determined by Department of Labor and published in the Wall Street Journal).

Allowance for Expenses. The Reinsurer will pay the Ceding Company an ---------------------- Allowance for Expenses for each Accounting Period equal to the sum of a) plus b) plus c) plus d) plus e) plus f), where: : a) equals the product of i) times ii), where: i) equals $12.50 times the quota share percentage of the annuities reinsured hereunder, as described in Schedule A; and ii) equals the number of annuities reinsured hereunder and described inSchedule A, that are inforce at the end of the current Accounting Period; b) equals the product of i) times ii), where: i) equals $75.00 times the quota share percentage of the annuities reinsured hereunder, as described in Schedule A; and ii) equals the number of annuities reinsured hereunder and described in Schedule A, that were issued during the current Accounting Period; c) equals the product of i) times ii), where: i) equals 0.0030; and ii) equals that amount of the Reinsurance Premiums received on non-qualified policies received during the current Accounting Period; d) equals the product of i) times ii), where: i) equals 0.0180; and ii) equals the amount of the Reinsurance Premiums received during the current Accounting Period; e) equals the product of i) times ii), where: i) risks charges from Schedule D for the cost of Minimum Guaranteed Death Benefits (MGDB) in excess of the policyholders' account values; and ii) equals the quota share of the average Account Value in the Variable Separate Accounts of annuities reinsured hereunder. Average Account Value is equal to one-half the sum of the Account Value reinsured hereunder at the beginning of the current Accounting Period and the Account Value reinsured hereunder at the end of the current Accounting Period; f) equals a quota share of any rider charges deducted during the current accounting period for any VAGLB Riders attached to annuities reinsured hereunder. See Schedule A, below, for information on VAGLB and Living Benefits. g) amounts in a) i) and b) i) above will be adjusted annually on January 1, for inflation at the change in the Consumer Price Index (CPI-U as determined by Department of Labor and published in the Wall Street Journal).

Allowance for Expenses. The Reinsurer ANLIC (Hawaii) will pay to Anchor as ---------------------- reimbursement for servicing the Ceding Company Annuities pursuant to Section 2.7 and for managing the assets in the Separate Accounts pursuant to Section 2.3, (i) the sum of (x) an ---------------------- Allowance for Expenses for each Accounting Period amount equal to the product of the Reinsurance Percentage times 13 basis points per anum of the sum of a(A) plus bthe aggregate average daily Separate Account Value of all Annuities, and (B) plus c) plus d) plus e) plus f), where: a) equals the product aggregate Transferred Fixed Account Values of i) times ii), where: i) equals $12.50 times the quota share percentage of the annuities reinsured hereunder, as described in Schedule A; and ii) equals the number of annuities reinsured hereunder and described inSchedule A, that are inforce all Annuities determined at the end of the current Accounting Period less the ---- Fixed Account Coverage Percentage of any Fixed Account Transfers for the Accounting Period plus the Fixed Account Coverage Percentage of any Separate ---- Account Transfers for the Accounting Period; b, and (y) equals the greater of (A) an amount equal to the product of i) times ii), where: i) equals $75.00 times the quota share percentage of the annuities reinsured hereunder, as described in Schedule A; and ii) equals the number of annuities reinsured hereunder and described in Schedule A, that were issued during the current Accounting Period; c) equals the product of i) times ii), where: i) equals 0.0030; and ii) equals that amount of the Reinsurance Premiums received on non-qualified policies received during the current Accounting Period; d) equals the product Percentage times 13 basis points per anum of i) times ii), where: i) equals 0.0180; and ii) equals the amount of the Reinsurance Premiums received during the current Accounting Period; e) equals the product of i) times ii), where: i) risks charges from Schedule D for the cost of Minimum Guaranteed Death Benefits (MGDB) in excess of the policyholders' account values; and ii) equals the quota share of the average Account Value in the Variable Separate Accounts of annuities reinsured hereunder. Average Account Value is equal to one-half the sum of (xx) the aggregate average daily Separate Account Value reinsured hereunder at of all Annuities, and (yy) the beginning aggregate Transferred Fixed Account Values of the current Accounting Period and the Account Value reinsured hereunder all Annuities determined at the end of the current Accounting Period less the Fixed Account ---- Coverage Percentage of any Fixed Account Transfers for the Accounting Period plus the Fixed Account Coverage Percentage of any Separate Account Transfers for - the Accounting Period; f, or (B) equals a quota share $55.00 for each Annuity per anum, and (ii) the Reinsurance Percentage of any rider charges deducted during the current accounting period for any VAGLB Riders attached to annuities reinsured hereunder. See Schedule Aamount of the Other Charges, belowprovided, for information on VAGLB and Living Benefits. g) amounts in a) i) and b) i) above will be adjusted annually on January 1however, for inflation at the change -------- ------- that in the Consumer Price Index (CPI-U as determined event that a Successor Servicer is appointed pursuant to the Servicing Agreement and the Department approves a lower amount to be paid to Anchor by Department virtue of Labor and published in the Wall Street Journal)responsibilities then being performed by the Successor Servicer, the amount payable to Anchor pursuant to Section 4.4(i) shall be the product of the Reinsurance Percentage times the lower amount approved by the Department.

Allowance for Expenses. The Reinsurer will pay the Ceding Company an ---------------------- Allowance for Expenses for each Accounting Period equal to the sum of a) plus b) plus c) plus d) plus e) plus f), where: a) equals the product of i) times ii), where: i) equals $12.50 times the quota share percentage of the annuities reinsured hereunder, as described in Schedule A; and ii) equals the number of annuities reinsured hereunder and described inSchedule in Schedule A, that are inforce at the end of the current Accounting Period; b) equals the product of i) times ii), where: i) equals $75.00 times the quota share percentage of the annuities reinsured hereunder, as described in Schedule A; and ii) equals the number of annuities reinsured hereunder and described in Schedule A, that were issued during the current Accounting Period; c) equals the product of i) times ii), where: i) equals 0.0030; and ii) equals that amount of the Reinsurance Premiums received on non-qualified policies received during the current Accounting Period; d) equals the product of i) times ii), where: i) equals 0.0180; and ii) equals the amount of the Reinsurance Premiums received during the current Accounting Period; Period e) equals the product of i) times ii), where: i) risks charges from Schedule D for the cost of Minimum Guaranteed Death Benefits (MGDB) in excess of the policyholders' account values; and ii) equals the quota share of the average Account Value in the Variable Separate Accounts of annuities reinsured hereunder. Average Account Value is equal to one-half the sum of the Account Value reinsured hereunder at the beginning of the current Accounting Period and the Account Value reinsured hereunder at the end of the current Accounting Period; f) equals a quota share of any rider charges deducted during the current accounting period for any VAGLB Riders attached to annuities reinsured hereunder. See Schedule A, below, for information on VAGLB and Living Benefits. g) amounts in a) i) and b) i) above will be adjusted annually on January 1, for inflation at the change in the Consumer Price Index (CPI-U as determined by Department of Labor and published in the Wall Street Journal).

Allowance for Expenses. The Reinsurer will pay the Ceding Company an ---------------------- Allowance for Expenses for each Accounting Period equal to the sum of a(i) plus b(ii) plus c(iii) plus d(iv) plus e) plus f(v), where: (i) Is for policy maintenance, and equals (a) times (b), where: (a) equals the product of i) times ii), where: i) equals $12.50 16.43 times the quota share percentage of the Venture annuities reinsured hereunder, as described in Schedule A; and iiand (b) equals the number of Venture annuities reinsured hereunder and described inSchedule in Schedule A, that are inforce in force at the end of the current Accounting Period; ; (ii) Is for policy issuance, and equals (a) times (b) equals the product of iplus (c) times ii(d), where: i: (a) equals $75.00 126.55 times the quota share percentage of the Venture annuities reinsured hereunder, as described in Schedule A; and iiand (b) equals the number of Venture annuities reinsured hereunder and described in Schedule A, that were issued during the current Accounting Period; ; (c) equals 0.00005 ; and (d) equals the product quota share percentage of ithe gross premiums collected during the Accounting Period on the annuities reinsured hereunder. (iii) Is for DAC proxy tax, and equals (a) times ii(b), where: i (a) equals 0.00300.0036; and iiand (b) equals that amount of the Reinsurance Premiums received on non-qualified policies received during the current Accounting Period; dpolicies; (iv) Is for other costs and risks allowance and equals the product of i(c) times iithe sum of (a) and (b), where: i: (a) equals 0.0180[*] plus; (b) Asset Factor as determined in Schedule F divided by [*]; and ii) equals the amount of the Reinsurance Premiums received during the current Accounting Period; e) equals the product of i) times ii), where: i) risks charges from Schedule D for the cost of Minimum Guaranteed Death Benefits and (MGDB) in excess of the policyholders' account values; and iic) equals the quota share of the average Account Value in Values at the Variable Separate Accounts end of the Accounting Period on the annuities reinsured hereunder. Average Account Value is . (v) Is a Development Allowance equal to one-half (a) minus (b), times (c) where: (a) equals the sum quota share of the Account Value account value at the end of the Accounting Period of the annuities reinsured hereunder hereunder. (b) equals the quota share of the account value at the beginning of the current Accounting Period and the Account Value reinsured hereunder at the end of the current Accounting Period; f) equals a quota share of any rider charges deducted during the current accounting period for any VAGLB Riders attached to annuities reinsured hereunder. (c) [*]. See Schedule A, below, for information on VAGLB and Living Benefits. g) amounts Amounts in a) i(i)(a) and b) i(ii)(a) above are for 1997. Such amounts will be adjusted annually on January 1, for each succeeding year for inflation at the change in the Consumer Price Index (CPI-U [*] for the prior year as determined by Department of Labor and published in the Wall Street Journal).

Allowance for Expenses. The Reinsurer will pay the Ceding Company an ---------------------- Allowance as Allowances for Expenses for each Accounting Period equal to the sum of a(i) plus b(ii) plus c(iii) plus d(iv) plus e) plus f(v), where: (i) For policy maintenance, equals (a) equals the product of i) times ii(b), where: i: (a) equals $12.50 [*] times the quota share percentage of the Venture annuities reinsured hereunder, as described in Schedule A; and ii: and (b) equals the number of Venture annuities reinsured hereunder and described inSchedule in Schedule A, that are inforce at the end of the current Accounting Period; b; (ii) For policy issuance, equals the product of i(a) times ii(b), where: i; (a) equals $75.00 [*] times the quota share percentage of the Venture annuities reinsured hereunder, as described in Schedule A; and iiand (b) equals the number of Venture annuities reinsured hereunder and described in Schedule A, that were issued during the current Accounting Period; c; (iii) For DAC proxy tax, equals the product of i(a) times ii(b), where: i (a) equals 0.0030; and ii[*] and (b) equals that amount of the Reinsurance Premiums received on non-qualified policies received during the current Accounting Period; dpolicies; (iv) equals the product For other costs and risks, an allowance of i(a) times ii(b), where: i: (a) equals 0.0180; and ii) equals the amount of the Reinsurance Premiums received during the current Accounting Period; e) equals the product of i) times ii), where: i) risks charges from Schedule D for the cost of Minimum Guaranteed Death Benefits [*] and (MGDB) in excess of the policyholders' account values; and iib) equals the quota share of the average Account Value in the Variable Separate Accounts of annuities reinsured hereunder. Average Account Value is equal to one-half the sum of the Account Value reinsured hereunder at the beginning of the current Accounting Period and the Account Value reinsured hereunder account values at the end of the current Accounting Period; fPeriod on the annuities reinusured hereunder. (v) (a) minus (b), times (c), where: (a) equals a the quota share of any rider charges deducted during the current accounting period for any VAGLB Riders attached to account value at the end of the Accounting Period of the annuities reinsured hereunder. See Schedule A, below, for information on VAGLB and Living Benefits. g. (b) amounts equals the Modified Coinsurance Reserve at the end of the Accounting Period of the annuities reinsured hereunder. (c) [*] (vi) Amounts in a) i(i)(a) and b) i(ii)(a) above are for 1994. They will be adjusted annually on January 1, for inflation at the change in the Consumer Price Index (CPI-U as determined by Department of Labor and published in the Wall Street Journal).