Common use of NM STRENGTH AND STABILITY ACCOUNT BALANCE Clause in Contracts

NM STRENGTH AND STABILITY ACCOUNT BALANCE. The NM Strength and Stability Account is the sum of the Tier One Balance and the Tier Two Balance. Allocated Net Premiums and transfers from the Investment Account to the NM Strength and Stability Account are applied to the Tier Two Balance and may be transferred by the Company to the Tier One Balance (Section 7.3). The Tier One Balance and the Tier Two Balance earn interest at rates declared by the Company. The declared annual effective interest rates applied to the Tier One Balance and the Tier Two Balance: • are determined by the Company and declared in advance; • may differ from each other; and • will at no time be less than the Minimum Guaranteed Annual Effective Interest Rates shown on the Policy Schedule Pages (page 3). The declared annual effective interest rate applied to the Tier One Balance will not change for this Policy other than on a Policy anniversary. Tier One Balance - On any day the Tier One Balance is equal to what it was at the end of the previous day plus any of these items applicable on the current day: • interest credited on the Tier One Balance; • any Policy dividend directed to increase the Contract Fund Value; and • any transfer by the Company from the Tier Two Balance; less any of these items applicable to the Tier One Balance on the current day: • Monthly Policy Charge; • Policy loans; • withdrawals; and • service charges.

NM STRENGTH AND STABILITY ACCOUNT BALANCE. The NM Strength and Stability Account is the sum of the Tier One Balance and the Tier Two Balance. Allocated Net Premiums and transfers from the Investment Account to the NM Strength and Stability Account are applied to the Tier Two Balance and may be transferred by the Company to the Tier One Balance (Section 7.3). The Tier One Balance and the Tier Two Balance earn interest at rates declared by the Company. The declared annual effective interest rates applied to the Tier One Balance and the Tier Two Balance: • are determined by the Company and declared in advance; • may differ from each other; and • will at no time be less than the Minimum Guaranteed Annual Effective Interest Rates shown on the Policy Schedule Pages (page 3). The declared annual effective interest rate applied to the Tier One Balance will not change for this Policy other than on a Policy anniversary. Tier One Balance - On any day day, the Tier One Balance is equal to what it was at the end of the previous day plus any of these items applicable on the current day: • interest credited on the Tier One Balance; • any Policy dividend directed to increase the Contract Fund Value; and • any transfer by the Company from the Tier Two Balance; less any of these items applicable to the Tier One Balance on the current day: • Monthly Policy Charge; • Policy loans; • withdrawals; and • service charges.