EXHIBIT 1.A.3(b)
AMENDMENT TO
SELECTED BROKER AGREEMENT
THIS Amendment to Selected Broker Agreement, dated December___, 1999,
is entered into by and between AFSG SECURITIES CORPORATION ("Distributor"), a
Pennsylvania corporation, PFL LIFE INSURANCE COMPANY ("Company"), an Iowa
corporation, and INTERSECURITIES, INC. ("Broker"), a Delaware corporation.
WITNESSETH:
WHEREAS the Distributor, the Company and the Broker have previously
entered into a Selected Broker Agreement ("the Agreement") dated January 1, 1998
and desire to adjust certain provisions of the Agreement;
NOW, THEREFORE, the parties do hereby agree to amend the Agreement as
follows:
1. The Schedule A attached hereto and by this reference made a part
hereof shall be attached to the Agreement in addition to and not as a
replacement of any existing portion of Schedule A attached to the Agreement.
2. All other terms and provisions of the Agreement not amended herein
shall remain in full force and effect. In the event of a conflict between the
Agreement and this Amendment to Selected Broker Agreement, it is understood and
agreed that the provisions of this Amendment to Selected Broker Agreement shall
control.
IN WITNESS WHEREOF, the parties hereto have caused this Amendment to
Selected Broker Agreement to be signed by their respective duly authorized
representative as of the day and year first above written.
AFSG SECURITIES CORPORATION INTERSECURITIES, INC.
(Distributor) (Broker)
By:________________________________ By:_________________________________
Title:_____________________________ Title:______________________________
PFL LIFE INSURANCE COMPANY
(Company)
By:________________________________
Title:_____________________________
SELECTED BROKER AGREEMENT
SCHEDULE A
APPLICABLE LIFE INSURANCE CONTRACTS
PFL Life Insurance Company ("Company") and AFSG Securities Corporation
("Distributor") authorize InterSecurities, Inc. ("Broker") to offer and solicit
for sale the following securities product through persons who are registered
with the NASD and in accordance with the appropriate state insurance licensing
requirements. Such persons, where required, have authorized Broker to receive
such commissions.
Commissions Payable up to Target Premium
Year 1:
90.0% of premiums received in the first policy year up to the
Policy's Target Premium.
2.50% of premiums received in the first policy year in excess
of the Policy's Target Premium.
Years 2 to 10:
2.50% of premiums received in policy years 2 to 10.
Years 11+:
0.00% of premiums received in policy year 11 and all
subsequent policy years.
TRAIL COMMISSIONS
While the agreement remains in force, and subject to its other conditions, trail
commissions will be paid beginning on the 6th policy anniversary and on each
policy anniversary thereafter on policies then in force having a Policy Value of
$5,000 or more (excluding policy loans). The amount payable will equal the trail
commission percentage shown below multiplied by the Policy Value (excluding
policy loans) on the then current policy anniversary.
0.25% of Policy Value (excluding policy loans)
CHARGEBACKS
In the event of a Free Look surrender, the Company will charge back the
commission account with an amount equal to the total commission paid out.
OTHER ADJUSTMENTS
No commissions of any kind are payable on an above policy which replaces,
exchanges or terminates another life policy of the Company or any other
subsidiary of AEGON USA, Inc. unless such replacement is accomplished in
accordance with the Company's rules in force at that time. Producers acknowledge
that replacement of a contract sold hereunder is subject to all applicable laws
and regulations, including the preparation of appropriate replacement forms and
delivery of same to applicants and to the Company. Such reports are to be
furnished in the proper format on forms provided by the Company. Commissions on
reissued, replaced or converted policies, or for issue ages not published by the
Company, are not covered under this Schedule, but may be quoted upon request to
the Company's Home Office.
The Company reserves the right to adjust or chargeback commissions for decreases
in amounts of insurance not contractually allowed and for face amounts of
insurance in excess of $5,000,000.
INTERSECURITIES, INC.
Date:_______________ By:_________________________________
Title:______________________________
PFL LIFE INSURANCE COMPANY
Date:_______________ By:_________________________________
Title:______________________________
AFSG SECURITIES CORPORATION
Date:_______________ By:_________________________________
Title:______________________________
