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Principal Deferred Income Annuity

If the initial premium or sum of all premiums exceeds $2 million, approval from the Principal Life Insurance Company is required.

Guarantees are subject to the claims-paying ability of Principal Life Insurance Company.

A flexible premium deferred income annuity

Principal Deferred Income Annuity offers a

way to convert your annuity payment(s) into

a future guaranteed income stream.

A deferred income annuity can be funded

from two sources, nonqualified and qualified

investments. One example of a qualified

investment is a traditional Individual

Retirement Account (IRA). In addition,

contracts funded with qualified investments

are eligible for a Qualified Longevity Annuity

Contract (QLAC), so long as you meet the

IRS guidelines. A QLAC allows you to extend

the start of your income past the minimum

required distribution (MRD) age of 70½.

Customize your income stream with a variety of choices

Flexible premium payments

• When you purchase this product, you can

make a $10,000 minimum annuity investment.

You can also make additional annuity

investments starting at $2,000. You will receive

a confirmation of any subsequent premium

investments and the additional income amount

purchased. You may request a refund of

additional premium investments within

10 calendar days of receiving a confirmation.

• Each payment purchases a specific amount

of guaranteed lifetime income, based on

annuity purchase rates in effect at the time

each annuity payment is made.

• Multiple premium payments will be combined

into a single guaranteed income stream that

begins on the income start date of your choice.

Choice of income start date — The income

start date is the date the deferral period ends

and your annuity payments begin. Choosing the

income start date is one of the most important

decisions you will make when you purchase

your contract. This date determines when your

income will start and also affects the income

amount. Generally, the longer the deferral

period, the higher your income payments will be.

• Deferral period: Begins on the contract issue

date and ends on the income start date.

- Minimum: 13 full months from date of

contract issue

- Maximum:

• The income start date may be deferred

until the earlier of 30 years from the issue

date or until any annuitant reaches age 95.

• For traditional IRA contracts, the Income

Start Date may not be deferred past the

calendar year in which the contract owner/

annuitant attains age 70½, or age 85 for a

Qualified Longevity Annuity Contract.

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Annuity payout options — A variety of

lifetime income options offers income for one

life or two, and a choice of death benefits.

Issue ages

• Qualified: 0–68

• Nonqualified: 0–93

• Traditional IRA; 0–68

• QLAC: 0–82

Account minimums

• Minimum initial premium payment:

$10,000 qualified and nonqualified

• Minimum subsequent premium payments:

$2,000 each

Annuity income options:

• Life with Period Certain (single or joint)*

• Life with Cash Refund (single or joint)

Return of Premiums Payments — During the

deferral period, the death benefit is “Return of

Premium.”

• With joint ownership, the death benefit is

paid upon the death of the second owner.

• If an ownership change is made, the death

benefit is paid upon the death of the original

owner. (In the case of joint ownership, this

applies after the second of the two owners dies.)

After the income start date, the death benefit

is determined by the annuity income option

elected.

Income start date adjustment option

• Prior to the Income Start Date, the client

may make a one-time change to the income

start date.

• Allows client to accelerate or defer the

income start date.

• Client may accelerate the income start date

by up to five years (provided it is no sooner

than 13 months after the latest premium

payment).

• Client may defer the income start date up

to five years from the original income start

date (must be within the maximum deferral

period limits).

Keep in mind that if you change your income

start date, your annuity income payments will

be recalculated. While the income start date

may be changed, the original annuity income

option, the income payment frequency, and

the actual day of the month payments are

received cannot be changed.

Withdrawal Feature

• Automatically issued at no additional cost

• Available to exercise after income start date.

• Policy owner must be at least age 59 ½ to

exercise the payment acceleration option.

• Allows the client to receive up to six

advanced lump-sum income payments.

• Available for nonqualified contracts receiving

monthly income payments only (not available

with other payment frequencies).

• Not available for qualified contracts.

• Limited to four requests over the life of

the contract.

• Income payments must resume before this

option may be exercised again.

*Feature not available for QLAC.

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How this feature works:

• If you elect to receive four monthly income

payments in advance, you will receive a

lump sum of four scheduled monthly income

payments.

Note: If the annuitant dies before the

income payments resume, any advanced

life contingent income payment that would

not have been paid after the death of the

annuitant must be returned.

Inflation protection features*

• Annual Increase Rider — Clients can elect

to have their income payments increase

annually by 1%, 2%, 3%, 4%, or 5%. There is

no additional fee, but income payments are

lower when this rider is elected. This rider

applies during the income phase.

• Consumer Price Index (CPI) Rider — Clients

can elect to have their income payments

adjusted annually for increases in CPI-U

(Consumer Price Index for All Urban

Consumers) (if any). There is no additional

fee, but income payments are lower when

this rider is elected. This rider applies during

the income phase.

Income payment frequency

• Monthly, quarterly, semiannually,

or annually

Additional considerations

Before purchasing this annuity, you

should consider:

• The length of time between the issue date

and the time annuity income payments

begin, to assure you have other income

available to meet any interim liquidity

needs; and

• The annuity income payment amount the

joint annuitant will receive on the income

start date.

*Feature not available for QLAC.

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Contract rider descriptions are not intended to cover all restrictions, conditions, or limitations. Refer to contract for full details.

Annuities are issued by Principal Life Insurance Company, a member of the Principal Financial Group®, Des Moines, IA 50392, principal.com. Not all products described here are available in all states of the U.S.A.

Tax-qualified retirement arrangements, such as IRAs, SEPs, and SIMPLE-IRAs, are tax deferred. You derive no additional benefit from the tax-deferral features of the annuity. Consequently, an annuity should be used to fund an IRA, or other tax-qualified retirement arrangements, to benefit from the annuity’s features other than tax deferral. These features may include guaranteed lifetime income, guaranteed minimum interest rates, and death benefits without surrender charges.

Contract SF 949 and ICC14 SF 949 Riders SF 920, SF 921, SF 923, SF 924, ICC14 SF 957, SF 957, and SF 959.

Fidelity Insurance Agency, Inc., distributes this product, but it is issued by another insurance company, which is not affiliated with any Fidelity Investments company. All guarantees are subject to the claims-paying ability of the issuing insurance company.

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