1. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. DI 1489 6/12 Understanding Financial Documentation for Individual DI and Business Overhead Expense (BOE) Insurance

2. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Disability Income insurance (Forms 4501NC, 4502GR and 4503BOE) is issued by Ameritas Life Insurance Corp. in approved states. In New York, Disability Income insurance (Forms 5501-NC, 5502-GR and 5503-BOE) is issued by Ameritas Life Insurance Corp. of New York. This information is provided by Ameritas Life Insurance Corp. (not licensed in New York) and Ameritas Life Insurance Corp. of New York. Each company is solely responsible for its own financial condition and contractual obligations. For more information about Ameritas®, visit ameritas.com Ameritas DI SM is a service mark of Ameritas Holding Company. Ameritas® is a registered service mark of Ameritas Mutual Holding Company. ©2012 Ameritas Mutual Holding Company Disclosures

3. Discover DI | from Ameritas Life/Ameritas Life of New York Financial Documentation Required in most DI and BOE situations to verify/confirm income, both earned and unearned Amount and type of coverage, along with employment situation will determine what financial documentation is required to underwrite the application Larger monthly benefit amounts require more substantial documentation For Producer use only. Not for use with clients.

4. Discover DI | from Ameritas Life/Ameritas Life of New York Financial Documentation Applicants that are self employed/business owners will need to supply documentation of business profit/loss for DI purposes Additionally they will need to supply documentation of business expenses for BOE purposes For Producer use only. Not for use with clients.

5. Discover DI | from Ameritas Life/Ameritas Life of New York Types of Financial Documentation Paystubs W-2 Forms Profit & Loss Statements For Producer use only. Not for use with clients.

6. Discover DI | from Ameritas Life/Ameritas Life of New York Types of Financial Documentation Tax Returns/Forms 1040 Schedules C, E 1120S 1120 1125-E 1065 and schedule K-1 For Producer use only. Not for use with clients.

7. Discover DI | from Ameritas Life/Ameritas Life of New York A Note of Caution The documentation and examples contained in this presentation should cover the vast majority of situations normally encountered in the course of financially underwriting most disability applicants The accompanying handouts provide a quick line by line reference with respect to determining earned/unearned income, eligible overhead expenses and other information For Producer use only. Not for use with clients.

8. Discover DI | from Ameritas Life/Ameritas Life of New York A Note of Caution Disability underwriting, and financial underwriting in particular, is far from a “black and white” exercise. Individual characteristics of a particular case may require deviation from what is suggested in this presentation or the accompanying handouts For Producer use only. Not for use with clients.

9. Discover DI | from Ameritas Life/Ameritas Life of New York Paystubs What to look for: Rate of pay Frequency of pay period Salary vs. commission vs. bonus Any deductions for group LTD coverage For Producer use only. Not for use with clients.

10. Discover DI | from Ameritas Life/Ameritas Life of New York W-2 Forms Represents an individual’s compensation for the tax year from that particular employer Box 1 represents wages/compensation paid Watch for deductions to retirement plans such as 401k. These deductions should be added to the box 1 figure to determine earned income shown on the W-2 form Is the W-2 representative of current earnings? For Producer use only. Not for use with clients.

11. Discover DI | from Ameritas Life/Ameritas Life of New York Profit/Loss Statements Typically not acceptable as the sole source of financial documentation except for smaller BOE applications Can be helpful in some unique circumstances as a supplement to other sources of information General format: revenues – expenses = profit (loss) For Producer use only. Not for use with clients.

12. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040

13. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040

14. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040

15. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040

16. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040

17. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040 – Schedule C

18. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040 – Schedule C

19. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040 – Schedule C

20. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040 – Schedule C

21. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040 – Schedule C

22. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040 – Schedule C

23. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040 – Schedule E

24. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040 – Schedule E

25. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040 – Schedule E

26. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1040 – Schedule E

27. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1120S

28. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1120S

29. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1120

30. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1120

31. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Form 1120

32. Discover DI | from Ameritas Life/Ameritas Life of New York Form 1125-E For Producer use only. Not for use with clients.

33. Discover DI | from Ameritas Life/Ameritas Life of New York Form 1065 Form 1065 is the tax return filed by partnerships Format is very similar to the 1120S filed by S-corps. Partnerships are also pass-through entities Partners share of profit/loss is reported on schedule E of the owner’s personal tax return For Producer use only. Not for use with clients.

34. Discover DI | from Ameritas Life/Ameritas Life of New York Schedule K-1 Used by both S-corporations and partnerships K-1 issued to each owner and shows the owners share of income/loss and percentage of ownership The income/loss from the K-1 is then reported on schedule E filed with the owner’s personal tax return K-1’s can serve as documentation of business profit/loss in place of the actual business tax return For Producer use only. Not for use with clients.

35. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Questions??? Disclaimer: This is a high-level overview of what your DI underwriter reviews when financially underwriting your clients for DI/BOE insurance. Financial documentation can be quite complex and additional information and/or analysis may be required, depending on your clients’ individual situations.

36. Discover DI | from Ameritas Life/Ameritas Life of New York For Producer use only. Not for use with clients. Key Contacts Your Agency or Brokerage Manager Your Regional DI Wholesale Office Your Ameritas Sales Development team The DI Product Management team