Exhibit 10.46


 


IVY FUNDS VARIABLE INSURANCE PORTFOLIOS


SERVICE PLAN


 


Effective April 30, 2009


 


 


This
Plan is adopted by Ivy Funds Variable Insurance Portfolios (the “Trust”), on
behalf of each series of the Trust other than the Money Market series (each a “Fund”)
pursuant to Rule 12b-1 under the Investment Company Act of 1940, as
amended (the “Act”), to provide for payment by the Trust of certain expenses in
connection with the provision of personal services to the owners of variable
life insurance policies or variable annuity contracts funded by shares of the
Funds (“Policies”) and/or maintenance of the accounts of such Policies (“Policyowners”).  Payments under the Plan are to be made to
Waddell & Reed, Inc. (“W&R”).


 


Service
Fee


With
respect to each Fund, the Trust is authorized to pay to W&R an amount not
to exceed on an annual basis .25 of 1% of the Fund’s average net assets as a “service
fee” to finance Policyowner servicing by W&R, its affiliated companies,
broker-dealers who may sell the Fund’s shares and other third parties and to
encourage and foster the maintenance of Policyowner accounts.  The amounts shall be payable to W&R daily
or at such other intervals as the board of trustees may determine.


 


FINRA
Definition


The
“service fee” shall be considered a payment made by the Trust for personal
service and/or maintenance of Policyowner accounts, as such is now defined by
the Financial Industry Regulatory Authority (“FINRA”), provided, however, if
FINRA adopts a definition of “service fee” for purposes of Rule 2830 and
FINRA Conduct Rules that differs from the definition of “service fee” as
presently used, or if FINRA adopts a related definition intended to define the
same concept, the definition of “service fee” as used herein shall be
automatically amended to conform to the FINRA definition.


 


Quarterly
Reports


W&R
shall provide to the board of trustees of the Trust, and the board of trustees
shall review, at least quarterly a written report of the amounts so expended of
the service fee paid or payable to it under this Plan and the purposes for
which such expenditures were made.


 


Approval
of Plan


This
Plan shall become effective as to a Fund when it has been approved by a vote of
at least a majority of that Fund’s outstanding voting securities (as defined in
the Act) and by a vote of the board of trustees of the Trust and of the
trustees who are not interested persons of the Trust and have no direct or
indirect financial interest in the operation of the Plan or any agreement
related to this Plan (other than as trustees of the Trust or as Policyowners) (“independent
trustees”) cast in person at a meeting called for the purposes of voting on
such Plan.


 


Continuance


 


 

















 


This
Plan shall continue in effect for a period of one (1) year and thereafter
from year to year only so long as such continuance is approved by the trustees,
including the independent trustees, as specified hereinabove for the adoption
of the Plan by the trustees and independent trustees.


 


Trustee
Continuation


In
considering whether to adopt, continue or implement this Plan, the trustees
shall have a duty to request and evaluate, and W&R shall have a duty to
furnish, such information as may be reasonably necessary to an informed
determination of whether this Plan should be adopted, implemented or continued.


 


Termination


This
Plan may be terminated as toa Fund at any time by a vote of a majority of the
independent trustees of the Trust by a vote of the majority of the outstanding
voting securities of that Fund without penalty. 
On termination, the payment of all service fees shall cease, and the
Trust shall have no obligation to W&R to reimburse it for any cost or
expenditure it has made or may make to service Policyowner accounts.


 


Amendments


This
Plan may not be amended to increase materially the amount to be spent by a Fund
for personal service and/or maintenance of Policyowner accounts without
approval of the shareholders of that Fund, and all material amendments of this
Plan must be approved in the manner prescribed for the adoption of the Plan as
provided hereinabove.


 


Trustees


While
this Plan is in effect, the selection and nomination of the trustees who are
not interested persons of the Fund shall be committed to the discretion of the
trustees who are not interested persons of the Trust.


 


Records


Copies
of this Plan and reports made pursuant to this Plan shall be preserved as
provided in Rule 12b-1(f) under the Act.


 


 


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