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|   | A.     | As collateral security for any and all Advances and other indebtedness, the Member hereby assigns, transfers, and pledges to the Bank, its successors or assigns all of the following (collectively, the "Collateral"):                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|   |   | 1.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | all Capital Stock of the Bank now or hereafter owned by Member, and all deposit accounts now or hereafter maintained by the Member with the Bank; and |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|   |   | 2.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | such property of Member as is described on a Collateral Listing substantially in the form of Exhibit A or in such other form as may be determined by the Bank from time to time, transmitted from time to time by Member to Bank and delivered by Member to Bank as collateral hereunder and identified as such. |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|   |   | The Member shall promptly deliver the Collateral to the bank or its authorized agents, in the manner specified by the Member Policies and Procedures or as otherwise specified in writing by the Bank.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|   | B.     | The Member undertakes and agrees to keep and maintain at all times Collateral (exclusive of Bank Capital Stock and Member's deposit accounts) which has an Advance Equivalency sufficient to fully secure its Advances.  Advance Equivalency is calculated by applying the applicable Collateral Maintenance Level, as described in Exhibit B-1 for securities and Exhibit B-2 for commercial real estate mortgages ("CREM"), as applicable, to the fair market value or book value of Collateral, as reasonably determined by the Bank.  The Member acknowledges that the Bank may increase such Collateral Maintenance Levels to any amount, up to the Cap on the Collateral Maintenance Levels specified in Exhibit B-1 or B-2, by providing written notice of any such increase to the Member at least thirty (30) calendar days prior to implementing the same. The Bank and Member may jointly agree in writing to amend Exhibit B-1 or Exhibit B-2 at any time. |

|   | C.                                                                                                                                                                                                                                                                                                                                | The Bank agrees to allow the Member to withdraw any Collateral specified in a written request to the Bank, provided that the Bank reasonably determines that the remaining Collateral (exclusive of Bank Capital Stock and Member's deposit accounts), after giving effect to such withdrawal, has an advance equivalency at least equal to Member's Advances.                                                                                                                           |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |
|   | D.                                                                                                                                                                                                                                                                                                                                | The Member agrees to make, execute and deliver to the Bank such assignments, endorsements, listings, powers or other documents or instruments, or to take any such other measures as the Bank may reasonably request in order to protect its security interest in the Collateral.  The Member authorizes the Bank to file any and all financing statements and amendments thereto as the Bank reasonably deems desirable to perfect and protect its security interest in the Collateral. |
|   |                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |
|   | E.                                                                                                                                                                                                                                                                                                                                | The Member agrees to provide any information regarding the Collateral reasonably requested by the Bank and to make its books and records available to the Bank audits or verification pursuant to Section 9.                                                                                                                                                                                                                                                                             |
|   |                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |
|   | F.                                                                                                                                                                                                                                                                                                                                | Member agrees to provide any information requested by the Bank in connection with an Advance or Collateral and any information contained in any status report, schedule, or other documents requested or required hereunder and any other information given from time to time by the Member as to each item of Collateral.                                                                                                                                                               |
|   |                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |
|   | G.                                                                                                                                                                                                                                                                                                                                | Unless otherwise directed by the Member, the Bank undertakes and agrees to transfer all income received by the Bank on any Collateral to the Member's Demand Deposit Account.  Notwithstanding the foregoing, however, in the event that a default as described in Section 6 has occurred and is continuing, the Bank shall directly apply any such income received in satisfaction of the amount in default.                                                                            |
|   |                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |
|   | H.                                                                                                                                                                                                                                                                                                                                | The sole duty of the Bank with respect to any Collateral delivered by the Member shall be to use reasonable care in the custody and preservation of the Collateral.                                                                                                                                                                                                                                                                                                                      |
|   |                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |
|   | I.                                                                                                                                                                                                                                                                                                                                | Notwithstanding anything to the contrary herein, the Member agrees to promptly deliver additional Collateral to the Bank in an amount the Bank specifies:                                                                                                                                                                                                                                                                                                                                |
|   |                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |
|   |                                                                                                                                                                                                                                                                                                                              | 1.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | if the Member has a rating by one of the statistical rating organizations identified below, which is withdrawn or suspended as a result of substantial deterioration of the Member's financial condition: |
|   |                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |
|   |                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | a) | Standard & Poor's Rating Services Long-term Issuer Credit Rating; or |
|   |                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | b) | Moody's Investors Service Long-term Issuer Credit Rating; or |
|   |                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | c) | Fitch IBCA, Duff & Phelps Long-term Issuer Credit Rating; or |
|   |                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | d) | A.M. Best Ratings; or |
|   |                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |
|   |                                                                                                                                                                                                                                                                                                                              | 2.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | if the Member does not have a rating by at least one of the statistical rating organizations identified in (i) above, the Bank, in good faith, makes a reasonable determination that a material adverse change has occurred in the financial condition of the Member from that disclosed at the time of the making of any Advance, or from the condition of the Member as theretofore most recently disclosed to the Bank in any manner, or the Bank, in good faith, makes a reasonable determination that it deems itself insecure even thought the Member is not otherwise in default; |
|   |                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |
|   | provided however, that the Bank shall not specify an amount that is more than 10 percentage points higher than either the Cap on the Collateral Maintenance Level as described in paragraph B above and Exhibit B-1 for securities, or the highest permissible Collateral Maintenance Level as described in Exhibit B-2 for CREM. |

|   | A.     | No Event of Default, as defined in Section 6, with respect to the Member has occurred and is continuing or would occur as a result of the Member entering into or performing its obligations under the Agreement or any Advance.                                            |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                        |   |   |   |
|   | B.     | The Member owns and has marketable title to the Collateral free and clear of any and all liens, claims, or encumbrances of any kind, and has the right and authority to grant a security interest in the Collateral and to subject all of the Collateral to this Agreement. |
|   |   |                                                                                                                                                                                                                                                                        |   |   |   |
|   | C.     | All of the Collateral meets the standards and requirements with respect thereto established by the Member Policies and Procedures.                                                                                                                                          |
|   |   |                                                                                                                                                                                                                                                                        |   |   |   |
|   | D.     | The Member shall at all times maintain and accurately reflect the terms of this Agreement, including the Bank's interest in Collateral, and all Advances and other indebtedness on its books and records.                                                                   |
|   |   |                                                                                                                                                                                                                                                                        |   |   |   |
|   | E.     | The Member has the full power and authority and has received all corporate and governmental authorizations and approvals as may be required to enter into and perform its obligations under this Agreement and any Advance.                                                 |

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|   | A.     | Failure of the Member to pay any interest, or repay any principal or pay any other amount due in connection with any Advance and such failure has not been cured five (5) business days after receipt of notice of such failure;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |   |
|   | B.     | Breach or failure to perform by the Member of any covenant, promise, condition, obligation or liability contained or referred to herein, or any other agreement to which the Member and the Bank are parties and such breach or failure has not been cured five (5) business days after receipt of notice of such breach or failure;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |   |
|   | C.     | Proof that any representation, statement or warranty made or furnished in any manner to the Bank by or on behalf of the Member in connection with all or part of any Advance was false in any material respect when made or furnished;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |   |
|   | D.     | The issuance of any tax levy, seizure, attachment, garnishment, levy of execution or other process with respect to the Member the amount of which is greater than five percent (5%) of the Member's capital and surplus;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |   |
|   | E.     | Any suspension of payment by the Member to any creditor or any events which result in acceleration of the maturity of any indebtedness of the Member to others under any indenture, agreement or other undertaking the aggregate amount of which is greater than the lesser of five percent (5%) of Member's capital and surplus or five percent (5%) of the Bank's capital and surplus, as determined in accordance with the accounting principles governing the Member's or Bank's published financial statements, respectively; or                                                                                                                                                                                                                                                                                                                                            |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |   |
|   | F.     | Any: (i) application for, or appointment of, a receiver for, the Member or for any part of the property of the Member, (ii) voluntary dissolution of or adjudication of insolvency, or assignment for benefit of creditors, or general transfer of assets by the Member; (iii) takeover of the management of the Member by any supervisory authority; (iv) liquidation, merger, or sale of a substantial portion of the Member's assets outside of the ordinary course of the Member's business; (v) termination of the membership of the Member in the Bank; or (vi) at any time that in the case of Advances made under the provisions of 12 U.S.C. 1431(g)(4) or any successor provisions are outstanding, any increase in the creditor liabilities of the Member, excepting its liabilities to the Bank, in any manner to an amount exceeding 5% of the Member's net assets. |

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| EquiTrust Life Ins. Co.              |                    |
|--------------------------------------|-------------------------|
| Full Corporate Name of Customer      |                    |
|                                 |                    |   |
| By:                                  | /s/                     |   |
|                                 |                    |   |
| Title:                               | VP Investments          |   |
|                                 |                    |   |
| Date:                                | 12-22-08                |   |
|                                 |                    |   |
| FEDERAL HOME LOAN BANK OF DES MOINES |                    |
|                                 |                    |   |
| By:                                  | /s/                     |   |
|                                 |                    |   |
| Title:                               | Collateral Risk Manager |   |
|                                 |                    |   |
| Date:                                | 1/8/2009                |   |

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| Security Description                   | CML                                                    |
|----------------------------------------|--------------------------------------------------------|
| U.S. Treasury                          |                                                   |
|                                   | Bills, Notes and Bonds                                 | 103 | % |
| Agency Securities                      |                                                   |
|                                   | Discount Notes and Debentures                          | 105 | % |
|                                   |                                                   | GNMA, TVA, SBA, FNMA, FHLMC, |   |
|                                   |                                                   | FHLB, and SLMA |   |
| Agency MBS                             |                                                   |
|                                   | CMOs and Pass-throughs                                 | 105 | % |
|                                   |                                                   | GNMA, FNMA, and FHLMC |   |
|                                   | Home Equity Conversion Mortgages                       | 105 | % |
|                                   | Z tranches (GNMA and FNMA only)                        | 182 | % |
| Privately Issued MBS/CMOs/REMICs*      |                                                   |
|                                   | Prime - 1st liens only                            |   |
|                                   |                                                   | AAA-rated | 105 | % |
|                                   |                                                   | AA-rated | 110 | % |
|                                   |                                                   | A-rated | 115 | % |
|                                   | Prime - 2nd liens                                      |   |
|                                   |                                                   | AAA-rated | 125 | % |
|                                   |                                                   | AA-rated | 140 | % |
|                                   | Subprime - 1st liens only                         |   |
|                                   |                                                   | AAA-rated | 125 | % |
| Commercial Mortgage-backed Securities* |                                                   |
|                                   | 1st liens only - <40% interest only loans      |   |
|                                   |                                                   | AAA-rated | 112 | % |
|                                   |                                                   | AA-rated | 117 | % |
|                                   |                                                   | A-rated | 122 | % |
|                                   | 1st liens only - >40% interest only loans |   |
|                                   |                                                   | AAA-rated | 125 | % |
|                                   |                                                   | AA-rated | 140 | % |
|                                   |                                                   |   |   |   |

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| EquiTrust Life Ins. Co.              |                    |
|--------------------------------------|-------------------------|
| Full Corporate Name of Customer      |                    |
|                                 |                    |   |
| By:                                  | /s/                     |   |
|                                 |                    |   |
| Title:                               | VP Investments          |   |
|                                 |                    |   |
| Federal Home Loan Bank of Des Moines |                    |
|                                 |                    |   |
| By:                                  | /s/                     |   |
|                                 |                    |   |
| Title:                               | Collateral Risk Manager |   |