Depository Trust and Clearing Corporation

DTCC INSURANCE & RETIREMENT SERVICES

September 2015 ENHANCEMENT RELEASE REQUIREMENTS DOCUMENT

Requirements Overview

This document provides the detailed changes made to the I&RS record layouts as part of the September 2015 Enhancement Release. These changes are based on submitted recommendations made by I&RS participants. All enhancements were reviewed and approved by the I&RS Review Board.

The actual enhancement requests can be found in the Participant Section of our website (http://www.dtcc.com/products/insurance) under Enhancements, and then Current Release. The enhancement numbers are listed (IPS00###) next to each request in this document.

Important Information: Do not use the enhancement documents on the I&RS website for programming. The Draft Record Layouts and Requirements Document (this document) should be used for this purpose. The original enhancement request forms are provided to know the originator of the request and understand the business case for the change.

Products Included in this Enhancement:

APP/SUB – Initial Applications & Subsequent Premiums

COM – Commissions

FAR – Financial Activity Reporting

POV - Positions and Values, which is made up of 3 types:  PVF – Positions & Values Full Refresh File  PNF – Positions New Business File  PFF – Positions Focused File

DTCC Confidential (Yellow) Depository Trust and Clearing Corporation

2015 September Enhancement Release Dates (subject to change)

Test Thursday, September 3rd

Turnover Times (all ET): APP/SUB - 4pm COM – 4pm FAR – 4pm (FAR Test Cycle Change - 9am September 4th) POV – 4pm

Production Thursday, September 24th

Turnover Times (all ET): APP/SUB - 6pm COM – 6pm FAR – 6pm POV – 6pm

Submitting Firms: Any files submitted after the times listed above will be edited based on September 2015 Release changes.

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Receiving Firms: Times listed above are the last cycles that the files will be received in the old format.Enhancement Changes

1. APP/SUB – Initial Application & Subsequent Premiums

IPS00491 – APP – Add Beneficiary Country of Citizenship Field (Optional)

A Carrier has a need to receive the Beneficiary Citizenship in the DTCC app/sub file for new business transactions. This is to support In Good Order requirements for a joint GMWB rider when the spouse is the Primary Beneficiary. This is captured within the Firelight order entry platform, but not able to be transmitted via the DTCC app/sub file since the field does not exist. Other order entry platforms would potentially be updated to support capturing this information once the field is defined in the layout.

1) Add “Beneficiary Country of Citizenship” field to B 33/22 Beneficiary Record

 Item #4451  A/N  Byte Location – 232-234 3 bytes  Optional  Populate using Country Code list (DTCC does not edit)

2. COM – Commissions

IPS00490 – COM – Increase Party Looping and Modify Code List (Optional)

These changes are to align COM Party reporting with POV and FAR.

1) Increase Contract Party Record (22/04) Looping from 10 to 99 occurrences per Contract Record #1 (22/01)

2) Modifications to the Party Role Code List #2340

a) Add “PI” – Insured

b) Change the name of OK Owner/Annuitant to OK Owner/Annuitant or Owner/Insured

3. FAR – Financial Activity Reporting

IPS00490 – FAR – Increase Party Looping and Modify Code List (Optional)

DTCC Confidential (Yellow) Depository Trust and Clearing Corporation These changes are to align FAR Contract Entity reporting with POV and COM.

1) Increase Contract Entity Record (43/02) Looping from 25 to 99 occurrences per Contract Record (43/01)

2) Modifications to the Contract Entity Role Code List #5030

a) Add “PI” – Insured

b) Add “JI” – Joint Insured

c) Change the name of G2 Annuitant/Insured to G2 Annuitant

d) Change the name of HC Joint Annuitant/Insured to HC Joint Annuitant

IPS00492 – FAR – Modify Test Output Cycles (Required)

This change is to align FAR with POV test output cycles.

1) Change FAR test output cycles times to 9 am, 12 pm, 3 pm and 6 pm.

Note: There are no changes to production cycle times.

4. POV – Positions & Valuations

IPS00493 – POV – Add Arrangement Sub Types to SF Sub Type List (Optional)

New Arrangement Sub Types are being added to IFT Web Service transactions and need to be added to Positions.

1) Add the following codes to the Service Feature Sub-Type Code List #3612

a) 55 – Interest Only, Surrender-Free Amount Withdrawal

Definition: Amount of interest or gain from the contract or policy without triggering Carrier Surrender charges

4 Depository Trust and Clearing Corporation b) 56 – Required Minimum Distribution – Calculated

Definition: Pre-determined Carrier calculated withdrawal amount required to meet the necessary RMD rules. This calculation may be specific to the current tax year.

c) 57 – Required Minimum Distribution – Specified Amount Definition: Client specified withdrawal amount required to meet the necessary RMD rules.

APPENDIX

Documentation Changes

Date Changes 05/06/2015 Initial Version

DTCC Confidential (Yellow)