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EXHIBIT 3(g)
AMENDMENT TO SELLING AGREEMENT
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TRILLIUM(R)
SCHEDULE I - STATEMENT OF COMPENSATION
CANADA LIFE INSURANCE COMPANY OF AMERICA
AS OF JANUARY 1, 1998
Subject to the terms and conditions of this Agreement, CLAFS will pay to
Selling Firm compensation based upon the premiums and purchase payments
received from such Selling Firm, in accordance with applicable law, in the
percentages shown below, for CLICA-issued Trillium Variable Annuity, Form 20067
and any subsequent approved form:
B/D CONCESSION
OWNER'S ISSUE AGE 0-80 OWNER'S ISSUE AGE 81-85
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Option A1: 5% of premium plus .25%, on Option A2: 2.25% of premium plus .25%
an annual basis, based on account annual trail, calculated as in Option
value of associated premium, .0625% A1.
first payable at end of 5th quarter of Option B2: 3% of premium, no trail.
the associated premium, end of OWNER'S ISSUE AGE 86-90 & ADDITIONAL
following quarters thereafter. Option PREMIUM ON ISSUED POLICIES, OWNER'S AGE
A1 ONLY, the trail payable will 86-90
increase to .40% after Surrender ------------------------------------------
Charges are no longer applicable to Option A3: .50% of premium plus .50%
that premium. annual trail, calculated as in Option A1.
Option B1: 6.5% of premium, no trail.
Option C: 2% of premium plus .75%
annual trail, calculated as in Option
A1.
ADDITIONAL PREMIUM AFTER OWNER'S
ATTAINED AGE 90
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Option A4: .50% of premium plus .25%
annual trail, as calculated as in
Optionn A1.
SERVICE FEE AT ANNUITIZATION (Assumes "internal" annuity rates are used.
Service Fee is only paid on annuitized proceeds that are past any applicable
Surrender Charge period.)
I 3% if payout = or > 10 years, or a life annuity, and the amount is $0 -
$1 million;
II 1.25% on amounts over $1 million with the same payout duration as I;
III 2% if payout = or < 10 years and not a life annuity, and the amount is
$0 - $1 million;
IV 1.25% on amounts over $1 million with the same payout duration as III.
CHARGEBACKS: (i) In the event a policy is returned to CLICA pursuant to a "Free
Look" provision, the full B/D Concession paid thereon or retained by Selling
Firm pursuant to net submission of premium or purchase payment shall be charged
back to the Selling Firm. (ii) Should any premium or purchase payment on any
policy issued by CLICA be refunded for any reason, Selling Firm shall repay or
return B/D Concession received by it with respect to such premium or purchase
payment. (iii) If a policy was not issued as a result of failure of Selling
Firm to submit to CLICA an application sufficient to satisfy state insurance
laws or CLICA's eligibility requirements, then amounts paid to Selling Firm
shall be returned or repaid. (iv) If a policy was tendered to CLICA for
redemption within 10 business days of the date of activity, then amounts paid
to Selling Firm shall be returned or repaid. (v) For annuitizations within 6
months of issue, 100% of all B/D Concession paid to Selling Firm will be
returned or repaid, offset by an amount from 1.25% to 3%, depending on the
amount and duration of payout; and for annuitizations from months 7-12 after
issue, 50% of all B/D Concession paid to Selling Firm shall be returned or
repaid, offset by an amount from 1.25% to 3%, depending on the amount and
duration of payout. For any premium or purchase payment that has been in the
Policy for more than 12 months, there shall be no chargeback on B/D Concession.
(OVER)
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To the extent permitted by law, the amount so charged back may, at the option of
CLICA, be set off against B/D Concession otherwise due Selling Firm. In
addition, such other compensation will be payable as are from time to time
agreed by the parties to the foregoing Agreement and which is in accordance with
applicable law, and will be added to this schedule.
The rates of concession specified above and any rates of concession otherwise
determined by the Company will be subject to change at any time by the Company
but no charge will affect the rates of concession in connection with any policy
effected herein for which the initial premium was due prior to the effective
date of such change. Any such changes of concession will be binding upon the
General Agent and/or Broker/Dealer when the Company sends notice thereof in
writing to him/her and will take effect from the date specified in such notice.
ADJUSTMENTS FOR ADVANCE BROKER DEALER CONCESSIONS 1035 EXCHANGES &/OR OTHER
TRANSFERS: CLICA will advance broker dealer concessions on 1035 exchanges &/or
other transfers, subject to our administrative procedures, for amounts of
$50,000 or greater. (Amount subject to change without notice) When the actual
premiums are received, there will be an adjustment, either positive or negative,
to the actual broker dealer concession previously paid. If dollar amounts are
consistently over-estimated, this privilege will be discontinued. CLICA reserves
the right to discontinue this practice at any time.
Note: If there is more than one owner of a policy, the age of the oldest owner
determines the level of payment.
