Document:

Document

Exhibit 10.3

AMERICAN EQUITY TRANSITION BENEFIT PLAN
Dated as of August 6, 2021
ARTICLE I 
PURPOSE
The purpose of the American Equity Transition Benefit Plan is to provide benefits to certain employees of the Company and other Employers whose employment is involuntarily terminated under the circumstances set forth below.  The Employer intends the Plan to qualify as an unfunded “employee benefit plan” (as such term is defined under Section 3(3) of ERISA) designed to provide severance benefits to Participants as a “welfare plan” (as such term is defined under Section 3(1) of ERISA). The Plan is effective as of August 6, 2021.  
ARTICLE II
DEFINITIONS
The following capitalized terms shall, for purposes of this Plan have the meaning described below.
Affiliate means the Holding Company or any entity which is within the definition of that term under S.E.C. Rule 12b-2 which reference to the Holding Company.
Click means the Employer’s Click incentive compensation program.
Click Basis means the Participant’s most recent Click award, determined in the sole discretion of the Employer under Click.
COBRA means the Consolidated Omnibus Budget Reconciliation Act of 1985.
COBRA Assistance means a taxable cash payment equal to such Participant’s COBRA contribution rate for the first twelve (12) months after termination of employment.
Company means American Equity Investment Life Insurance Company.
Employee means any individual employed by an Employer in the United States of America who is eligible to participate in the American Equity Investment Profit Sharing and 401(K) Plan.
Employer means any Affiliate which adopts this Plan, each with respect to its own Employees.
ERISA means the Employee Retirement Income Security Act of 1974, as amended.
Holding Company means American Equity Investment Life Holding Company.
Involuntary Termination means any of Involuntary Termination Due To Job Elimination, Involuntary Termination Due to Job Modification, or Involuntary Termination Due to Poor Fit, but in no case includes any employment termination at any time, that was attributable, in the sole discretion of the Employer, to any of (a) the Employee engaging in misconduct (as determined in the sole discretion of the Employer), (b) Employee poor job performance not qualifying for Involuntary Termination Due to Job Modification, or Involuntary Termination Due to Poor Fit, (c) the Employee resigning or retiring, including after an Employer has notified the Employee that Employer intends to involuntarily terminate the Employee, or (d) the Employee’s death.
Involuntary Termination Due to Job Elimination means an involuntary termination of an Employee's employment by an Employer that, in the sole discretion of the Employer, was because the Employee's job has been eliminated.
Involuntary Termination Due to Job Modification means an involuntary termination of an Employee's employment by an Employer that is attributable, in the sole discretion of the Employer, to changes to the level, responsibilities, education, training, qualifications, experience, or skills required to successfully perform the Employee’s job that the Employee does not possess and is unlikely, despite reasonably anticipated efforts, to possess within a reasonable period of time in light of business needs.

Involuntary Termination Due to Poor Fit means an involuntary termination of an Employee's employment by an Employer that is attributable, in the sole discretion of the Employer, to manifest poor Employee fit or misalignment for the Employee’s job due to the Employee’s lack of training, qualifications, experience, or skills required to successfully perform the Employee’s job and that the Employee is unlikely, despite reasonably anticipated efforts, to possess the necessary attributes within a reasonable period of time in light of business needs, such poor fit generally arising within a reasonable time after the Employee is placed in the job.
Participant means any Employee whose employment is terminated because of an Involuntary Termination and whom the Employer selects, in the Employer’s discretion, to be a Participant.  
Plan means this American Equity Transition Benefit Plan, as amended from time to time.
Plan Administrator means the individual designated by the Chief Human Resources Officer of the Company.
Prior Severance Arrangement means an Employee’s offer letter or other agreement or arrangement with the Company or an Affiliate (other than the Plan) that provides for the payment of severance benefits or similar payments to the Employee upon a change-in-control related to the Company or the Employee’s employment termination or cessation with the Company (or an Affiliate).
Separation Agreement and General Release means the document designated by the Employer from time to time.
Severance Benefit means a severance benefit determined in accordance with Article IV, subject to the applicable limits and/or benefit reductions set forth in the Plan. 
Short-Term Incentive Target means the Participant’s target STI Plan award, determined in the sole discretion of the Employer under the STI Plan.  
STI Plan means the American Equity Investment Life Holding Company Short-Term Performance Incentive Plan.
Tier 1 Participant means a Participant whom the Employer determines from its books and records is, as of the date of Involuntary Termination, an executive officer (as determined under SEC Rule 3b-7 or any successor rule) of the Holding Company, or an Executive Vice President of the Company.
Tier 2 Participant means a Participant who is not a Tier 1 Participant whom the Employer determines from its books and records is, as of the date of Involuntary Termination, a direct report to the Holding Company Chief Executive Officer holding a “Chief” title, or a senior managing directors title, with the Company.
Tier 3 Participant means a Participant who is neither a Tier 1 Participant nor Tier 2 Participant whom the Employer determines from its books and records is, as of the date of Involuntary Termination, holding a “Head of” title.
Tier 4 Participant means a Participant who is neither a Tier 1 Participant, nor a Tier 2 Participant, nor Tier 3 Participant.
Week's Pay means 1/52nd of the Employee's annual gross base salary as of the date of such Employee's Involuntary Termination, determined without regard to overtime, commissions, premiums, bonuses, incentive payments, incentive awards, supplemental allowances, shift allowances, living or other allowances as well as retirement benefits and other fringe benefits.
Year of Service means each year of continuous service with the Company or an Affiliate since the latest date of hire of the Employee by such Company or Affiliate, rounded to the nearest whole number, as determined by the Employer based on its books and records. 
ARTICLE III
ELIGIBILITY AND PAYMENT
3.1    Eligibility.  A Participant is entitled to a Severance Benefit only if, as determined by the Employer in its sole discretion:
(a)  The Participant does not voluntarily terminate employment with the Participant's Employer on or before the date on which the Participant's Involuntary Termination would have become effective; and
2

(b)  The Participant continues to work through the date of his or her scheduled termination in a manner which is satisfactory to the Employer and complies with all Employer policies, procedures, and guidelines. 
3.2    Severance Benefit.   A Participant is entitled to a Severance Benefit only if:  
(a)  The Employer, in its discretion, offers the Participant a Separation Agreement and General Release, the Participant agrees to such agreement, such agreement becomes final and effective (including that the Participant does not revoke acceptance in accordance with that agreement’s terms); and
(b)  The Participant does not violate the terms of the Separation Agreement and General Release, as determined by the Employer in its discretion.
3.3    Distribution of Severance Benefits.
(a)  So long as the Participant’s Separation Agreement and General Release becomes final and effective, the Participant will receive any Severance Pay in substantially equal installments beginning on the next practicable scheduled Company payday following the Separation Agreement and General Release becoming final and effective, and the last equal installment paid:
(1)  for a Tier 1, Tier 2, or Tier 3 Participant, no later than March 15th of the calendar year following the date of employment termination (or following the date of separation from service under U.S. Internal Revenue Code Section 409A, if different), except as otherwise provided in the Separation Agreement and General Release; or
(2)  for a Tier 4 Participant, no later than the earlier of (a) three (3) months after the installment payments began, or (a) March 15th of the calendar year following the date of employment termination (or following the date of separation from service under U.S. Internal Revenue Code Section 409A, if different), in each case except as otherwise provided in the Separation Agreement and General Release.  
(b)  So long as a Tier 1 Participant’s Separation Agreement and General Release becomes final and effective, the Participant will receive any COBRA Assistance in a single lump sum on the next practicable scheduled Company payday after the later of (i) election to continue coverage under the Company's Medical and Dental Plans under COBRA; or (ii)  the Separation Agreement and General Release becomes final and effective, except as otherwise provided in the Separation Agreement and General Release.
(c)  So long as the Participant’s Separation Agreement and General Release becomes final and effective, the Participant will receive Outplacement Assistance as described in Article IV, except as otherwise provided in the Separation Agreement and General Release.
3.4  Death of a Participant.  If a Participant who is offered a Separation Agreement and General Release dies before executing that agreement, such Participant shall receive no Severance Benefit.  With respect to a Participant who is offered and has executed a Separation Agreement and General Release as of the date of death the Participant’s estate  shall receive the Severance Pay Component and any COBRA Assistance prescribed in the Separation Agreement and General Release, except that  there will be no entitlement to receive any Outplacement Assistance.
3.5  Offset.  (a) To the extent permitted by law, the Company and/or its Affiliates reserve the right to offset Severance Pay by (i) any advance, loan or other monies the Participant owes the Company or any Affiliate; or (ii) any obligations the Participant owes the Company or any Affiliate, including, but not limited to, the following:  any outstanding financial obligations(s) that the Participant has to the Company or any Affiliate, including, but not limited to, expense account balances, employee advances, the value of any computer hardware or software, communications equipment or other Company- or any Affiliate-provided property in the Participant’s possession that the Participant fails to return to the Company or an Affiliate.  Additionally, since damages due to violation of any of the provisions of the Separation Agreement or release will be significant and difficult to estimate, the Company may cease payment of any and all amounts under this Plan upon becoming aware of any such violation or breach.  The Company and/or its Affiliates may also take any other action consistent with law that any of them considers in its sole discretion to be necessary and /or appropriate.
(b) To the extent that a federal, state or local law, including the Worker Adjustment and Retraining Notification Act ("WARN"), requires the Company or any Affiliate to give advance notice or make a payment to a Participant because of Involuntary Termination, layoff, plant closing, sale of business or any other similar event (collectively, "WARN Event"), then the amount of such required payment shall coordinate with and reduce Severance Pay otherwise payable under the Plan; provided, 
3

however, that in no event shall Severance Pay be reduced by this provision on account of a WARN Event below two (2) Weeks’ Pay.
3.6  Other Company, Affiliate, and Employer Arrangements.  Any other Participant rights and benefits that may be available under any other Company, Employer, or Affiliate arrangements, including any rights under long term incentive compensation plans arising upon a termination of employment with severance eligibility, shall be determined in accordance with the terms and conditions of such arrangements, including but not limited to applicable governing award agreements including any condition for execution and non-revocation of a Separation Agreement and General Release.
ARTICLE IV 
DETERMINATION OF SEVERANCE BENEFIT
4.1  Components of Severance Benefit.  The Severance Benefit offered to a Participant under a Separation Agreement and General Release, and payable only if such Separation Agreement and General Release becomes final and effective and the Participant has not violated its terms, shall consist of the elements provided in this Article IV.  Notwithstanding the foregoing provisions of this Article IV, the Employer, in its sole discretion, may at any time prior to the execution by a Participant of a Separation Agreement and General Release, increase, decrease or eliminate the Severance Benefit payable as to any given Participant or any class of Participants, based on such factors or considerations that the Employer deems relevant.
4.2  Severance Pay.  The Severance Benefit will include “Severance Pay” equal the sum of the amounts determined under clauses (a) and (b):
(a)  a “Base Salary Component”:
(1)  for a Tier 1 or Tier 2 Participant, a Base Salary Component equal to fiftytwo (52) Weeks' Pay; 
(2)  for a Tier 3 Participant, a Base Salary Component equal to two (2) Week’s Pay for each Year of Service, minimum sixteen (16) weeks, maximum thirty-six (36) weeks; or 
(2)  for a Tier 4 Participant, a Base Salary Component equal to two (2) Week’s Pay for each Year of Service, minimum twelve (12) weeks, maximum twenty-six (26) weeks.
(b)  a “Short-Term Incentive Compensation Component”:
(1)  for Participants eligible under the STI Plan:
(i)  If the Participant's last day of employment with the Employer on account of an Involuntary Termination is on or after March 16 through and including December 31 of a calendar year, then the Participant shall receive, in consideration of the STI Plan opportunity for the current calendar year, an amount based on a pro rata share of the Participant's Short-Term Incentive Target determined by the Employer in its discretion using a fraction, the numerator of which is equal to the number of the Participant's full or partial months of employment during such calendar year, and the denominator of which is twelve; or
(ii)  If the Participant’s last day of employment with the Employer on account of Involuntary Termination is on or after January 1 but prior to March 16 of a calendar year, then (a) any Short-Term Incentive Compensation Component with respect to the prior calendar year performance shall be determined consistent with the methodology of the STI Plan; and (b) the Participant shall receive no Short-Term Incentive Compensation Component with respect to the current calendar year in which the Involuntary Termination took place.
(2)  For Participants eligible under Click:
(i)  If the Participant's last day of employment with the Employer on account of an Involuntary Termination is on or after half-way through a Click period, then the Participant shall receive, in consideration of the Click opportunity for the current Click period, an amount based on a pro rata share of the Participant's Click Basis determined by the Employer in its discretion using a fraction, the numerator of which is equal to the number of the Participant's full or partial months of employment during such period, and the denominator of which is the total number of months in that Click Period; or

4

(ii)  If the Participant’s last day of employment with the Employer on account of Involuntary Termination is earlier than half-way through a Click period, then (a) any Short-Term Incentive Compensation Component with respect to any yet unpaid Click award for the prior Click Period shall be determined consistent with the methodology of Click; and (b) the Participant shall receive no Short-Term Incentive Compensation Component with respect to the current Click period in which the Involuntary Termination took place.
4.3  COBRA Assistance.  For a Tier 1 Participant only, to the extent the Participant is entitled to elect to continue coverage under the Company's Medical and Dental Plans under COBRA, and so elects COBRA coverage, the Severance Benefit will, to the extent permissible under law, include COBRA Assistance.     
4.4  Outplacement Assistance.  The Severance Benefit will include “Outplacement Assistance,” which shall be determined by a schedule determined by the Employer from time to time.  In no event shall any Plan payments for Outplacement Services be made later than March 15 of the calendar year following the calendar year of the Participant’s termination of employment.
ARTICLE V
ADMINISTRATION
5.1  Administration of the Plan.  The Plan Administrator shall be the administrator of the Plan for purposes of Section 3(16) of ERISA.  The Plan Administrator shall have full discretionary authority to control and manage the operation of the Plan.  The Plan will not compensate the Plan Administrator or its delegates for performing their Plan duties.  The Plan Administrator has full and exclusive discretionary authority to:
(a)  determine all questions relating to the eligibility, benefits, and other rights of Employees under the Plan, and all matters related thereto;
(b)  interpret, construe and administer the provisions of the Plan, summary plan description, and (solely for purposes of claims under the Plan) any Separation Agreement and General Release;
(c)  adopt any rules, procedures and forms necessary for the operation and administration of the Plan;
(d)  keep all records necessary for the operation and administration of the Plan;
(e)  take all steps necessary to comply with any ERISA reporting and disclosure requirements applicable to the Plan;
(f)  designate or employ agents (who may also be Employees of an Employer) and delegate to such agents the exercise of one or more specific powers of the Plan Administrator;
(g)  delegate any or all of its authority under the Plan to any individual, organization or committee either within the Employer or an unrelated third party; and 
(h)  retain or contract with any legal, accounting or other expert advisers (who may also be advisers to the Employer in connection with the Administrator’s operation and administration of the Plan.  
The Plan Administrator's interpretation and construction hereof, summary plan description, and (solely for purposes of claims under the Plan) any Separation Agreement and General Release, and its determinations thereunder (including under Sections 5.5 and 5.6) shall be binding and conclusive on all parties for all purposes. 
5.2  Named Fiduciary.  The Plan Administrator shall be the named fiduciary with respect to the Plan for purposes of Section 402 of ERISA.  
5.3  Right of Contract.  The Plan Administrator may contract with one or more persons to render advice with regard to any responsibility it has under this Plan.
5.4  Establishment of Administrative Procedures.  Subject to the limitations of the Plan, the Plan Administrator shall from time to time establish such procedures for the administration of this Plan as the Plan Administrator may deem desirable.
5

5.5  Claims Procedure.  Claims for benefits under this Plan may be submitted in writing to the Plan Administrator (or designee) by a claimant.  An authorized representative (including legal counsel) may act on behalf of such claimant in pursuit of a claim under Section 5.6 of the Plan. 
(a)  If it is determined that a claim for benefits is not payable, in whole or in part, the Plan Administrator (or its delegate) will provide written notification of the denial within 90 days after the claim is received from a claimant or delegate.
(b)  This notice will include:
(1)  The specific reasons for denying the claim; 
(2)  A specific reference to the Plan provisions upon which the denial is based;
(3)  A description of any additional material or information necessary for the claimant to perfect the claim, and an explanation of why this additional material or information is necessary; and  
(4)  A description of the Plan’s review procedures and the time limits applicable to such procedures, including a statement of the claimant’s right to bring a civil action under Section 502(a) of ERISA following an adverse benefit determination.  
(c)  If the Plan Administrator (or its delegate) determines that an extension of time is necessary for processing the claim, the Plan Administrator (or its delegate) shall notify the claimant in writing or electronically of such extension, the special circumstances requiring the extension and the date by which the Plan Administrator (or its delegate) expects to render the benefit determination.  In no event shall the extension exceed a period of 90 days from the end of the initial 90-day period.  If notice of the denial of a claim is not furnished within 90 days after the Plan Administrator (or its delegate) receives it (or within 180 days after such receipt if the Plan Administrator (or its delegate) determines an extension is necessary), the claim shall be deemed denied and the claimant shall be permitted to proceed to the review stage described in Section 5.7.
5.6  Appeals Procedure.  Within 60 days of receiving the notice of denial, a claimant may file a written request with the Plan Administrator (or its delegate) for appellate review by the Chief Human Resources Officer of the Company, or such individual’s designee other than the Plan Administrator, of the adverse benefit determination.  An authorized representative (including legal counsel) may act on behalf of such claimant in pursuing an appeal under Section 5.7 of the Plan. 
(a)  In connection with the claimant’s appeal of the adverse benefit determination, the claimant may submit written comments, documents, records, and other information relating to the claim for benefits, and claimants will be provided, upon request and free of charge, reasonable access to, and copies of, all documents, records, and other information relevant to the claimant’s claim for benefits. 
(b)  Claimants will be provided with a final decision in writing promptly, and within 60 days of receiving the request for review, unless the Chief Human Resources Officer of the Company, or such individual’s designee other than the Plan Administrator,  determines that special circumstances require an extension of time for processing, in which case Chief Human Resources Officer of the Company, or such individual’s designee other than the Plan Administrator, shall notify the claimant in writing or electronically of such extension, the special circumstances requiring the extension and the date by which the Plan Administrator (or its delegate) expects that the decision on the appeal of the benefit determination to be made.  In no event shall the extension exceed a period of 60 days from the end of the initial 60-day period.  
(c)  In the case of an adverse benefit determination, the claimant will be provided with a written notice that shall include:
(1)  specific reasons for the adverse determination;
(2)  a reference to the specific Plan provisions on which the determination is based;
(3)  a statement that the claimant is entitled to receive, upon request and free of charge, reasonable access to, and copies of, all documents, records, and other information relevant to the claimant’s claim for benefits; and 
(4)  a statement describing the claimant’s right to bring an action under Section 502(a) of ERISA.
(c)  For purposes of determining the appeal, the Chief Human Resources Officer of the Company, or such individual’s designee other than the Plan Administrator, shall have each of the powers and authority of the Plan Administrator
6

5.7  Plan Administrator’s Discretionary Authority.  The Plan Administrator (or its delegate) has full discretion and authority to construe and interpret all provisions of the Plan, summary plan description, any Separation Agreement and General Release (solely for purposes of claims under the Plan), and any claims for benefits, and to make any factual determinations necessary to resolve a claim.  The claimant may not bring an action in any court under the Plan until the claim and appeal rights described in Sections 5.5 and 5.6 have been exercised and exhausted, and the eligibility or benefits requested in the appeal have been denied, in whole or in part.  In addition, if a claimant does not raise a particular issue or issues during the claim and appeals process, the claimant may not raise such issue or issues in any subsequent action brought in any court.    
ARTICLE VI 
AMENDMENT AND TERMINATION
6.1  Right to Amend or Terminate.  Except as otherwise set forth below, the Plan may at any time without prior notice, for any reason, and from time to time be amended, suspended or terminated in whole or in part, in writing in a document executed by an officer of the Company.
6.2  Cessation of Eligibility.  In the event the Plan is amended, suspended or terminated, Employees shall cease to be eligible for benefits with respect to employment terminations which occur thereafter except in accordance with such amendment.  
ARTICLE VII
GENERAL
7.1  Management Decisions.  This Plan document does not fully define in any particular circumstance whether an Employee's termination of employment entitles such Employee to any Severance Benefit hereunder, and the Employer reserves the right as a management prerogative to review the circumstances regarding each Employee's termination and to determine whether such Employee is eligible for, or entitled to, a Severance Benefit hereunder, including, without limitation, whether or not the circumstances of any Employee's termination of employment falls within the definition of Involuntary Termination, whether an individual is an eligible Employee, whether an Employee has a Prior Severance Arrangement, and whether an individual should be provided with a Separation Agreement and General Release. Where any provision of this Plan provides that any determination is to be made or other action taken by the Employer, that determination or action shall be considered for all purposes an exercise within the Employer's management prerogative to determine an Employee's eligibility for, and/or entitlement to, a Severance Benefit under the Plan and the amount or form of any such Severance Benefit (and not an exercise of discretion by a Plan fiduciary such as the Plan Administrator or a named fiduciary as described in Article V, which exercise may be reviewable subject to the provisions of applicable law). Such determinations or actions by the Employer under this Plan shall, to the extent made by the person who has been designated to serve as Plan Administrator, shall be made or taken by that individual in his or her capacity as an agent of the Employer exercising authority to perform management functions delegated by the Employer, and shall not be made or taken by that individual in the capacity of Plan Administrator or named fiduciary under ERISA. 
7.2  Maximum Severance Benefit.  Notwithstanding anything else contained in this Plan, maximum severance benefits payable to a Participant shall not exceed twice the Participant's “annual compensation” within the meaning of U.S. Department of Labor Regulation 29 CFR Section 2510.3-2(b)(2)(i) as determined by the Employer during the year immediately preceding his or her Involuntary Termination.  In the event that total severance benefits would exceed this maximum, Severance Pay (and, if necessary, the Outplacement Assistance) shall be reduced so that the total severance benefits equals no more than such maximum.
7.3  No Right to Employment.  Nothing contained herein shall be construed as conferring upon an Employee or Participant the right to continue in the employ of the Employer, Company, or any Affiliate in any capacity nor interfere in any way with the right of the Employer, Company, or any Affiliate to discharge an Employee or Participant for any reason.
7.4  Employee Benefit Plans.  The Severance Benefit shall not be deemed to be salary or other compensation to the Participant for the purpose of computing benefits to which he may be entitled under any employee benefit plan or any other arrangement of the Employer, Company, or any Affiliate maintained for the benefit of its employees.  
7.5  Severance Benefit as an Unsecured Promise.  It is anticipated that the Employer, Company, or any Affiliate may establish a memorandum account on its books for the Participant as a bookkeeping convenience to reflect the anticipated Severance Benefit.  However, the Company shall not be required to segregate any funds representing such Severance Benefit and nothing in this Plan shall be construed as providing for or requiring such segregation.   In addition, neither the Employer, 
7

Company, or any Affiliate shall be deemed to be a trustee for the Participant of any Severance Benefit. The Participant and any other person or persons having or claiming a right to payments hereunder or to any interest in this Plan shall rely solely on the unsecured promise of the Company to make payments hereunder.  Nothing herein shall be construed to give the Participant or any other person or persons any right, title, interest or claim in or to any specific asset, fund, reserve, account or property of any kind whatsoever owned by the Employer, Company, or any Affiliate or in which it may have any right, title or interest now or in the future.  The rights of any such person shall be limited to those of an unsecured creditor.  
7.6  Payment from General Assets.  Payments hereunder shall at all times be made by the Employer, Company, or an Affiliate.  Title to, and beneficial ownership of, any assets that the Employer, Company, or an Affiliate may designate to pay any Severance Benefit shall at all times remain with the Employer, Company, or Affiliate, and nothing provided for herein shall cause such assets to be treated as anything other than general assets of the Employer, Company, or Affiliate.  Nothing set forth herein nor elsewhere shall preclude Employer, Company, or Affiliate if it so elects, in its sole discretion, to establish a trust under Code Section 501(c)(9) for the purpose of funding benefits payable under the Plan. Payments from any such trust shall discharge Employer, Company, or Affiliate’s obligations under the Plan.
7.7  Withholding.  Each Employer, Company, or Affiliate retain the right to deduct and withhold from any Severance Benefit all sums which it may be required to deduct or withhold pursuant to any applicable statute, law, regulation or order of any jurisdiction whatsoever.
7.8  No Assignment.  Neither the Participant nor any other person or persons entitled to any payment hereunder shall have power to transfer, assign, anticipate, mortgage or otherwise encumber any right to receive a payment in advance of any such payment and any attempted transfer, assignment, anticipation, mortgage or other encumbrance shall be void.  No payment shall be subject to seizure for the payment of public or private debts or judgments of the Participant, or be transferable by operation of law in event of the Participant's bankruptcy, insolvency or otherwise, except to the extent otherwise required by law.  
7.9  Other Policies.  Any Employer, Company, or Affiliate policies, practices, agreements or arrangements regarding severance benefits, or similar payments upon employment termination or cessation other than a Prior Severance Arrangement, are hereby superseded by this Plan.  If an Employee has a Prior Severance Arrangement, then such Employee shall not be entitled to any benefits under the Plan.
7.10  Governing Law and Litigation.  This Plan shall be governed by and construed in accordance with the laws of the State of Iowa, to the extent not preempted by ERISA or other applicable Federal law.  Any action under this Plan shall be brought in the United States District Court for the District of Iowa.  Any action by a claimant or Participant must be brought within one (1) year of the later of (a) the date the individual receives a final decision on a claim for benefits, or (b) the date the individual’s appeal is denied or deemed denied.
7.11  Construction.  
(a)  All pronouns shall include any other pronoun regardless of sex and singularity/plurality, unless the context clearly indicates otherwise.  
(b)  The word "day" or "days" means a calendar day or days, unless expressly stated otherwise.
8

7.12  Captions.  The captions of the articles, sections, and paragraphs of this Plan are for convenience only and shall not control nor affect the meaning or construction of any of its provisions.
Approved:
By:  /s/ Jennifer Bryant_________________________________ 
    Jennifer Bryant
    Executive Vice President and Chief Human Resources Officer

Adopted by the Company:
By:  /s/ Jennifer Bryant__________________________________ 
    Jennifer Bryant
    Executive Vice President and Chief Human Resources Officer

9Document

Exhibit 10.4

Separation Agreement, Waiver and General Release

The parties to this Separation Agreement, Waiver, and Release (the “Agreement”) are American Equity Investment Life Insurance Company (“Company”) and _[name]________ (“Participant”) (collectively, the “Parties”).  For good and valuable consideration, the receipt and sufficiency of which the Parties acknowledge, Participant and the Company agree as follows:
1.  Participant’s employment was, or will be, terminated effective __[date]__________ (“Termination Date”).  To the extent that Participant is a director, trustee, fiduciary, or officer of any Released Person (as defined in Section 5 of this Agreement) entity or affiliate, or is a member of any committee of any Released Person entity or affiliate, Participant hereby resigns from such capacity effective [immediately][upon the Termination Date] and agrees to execute any additional, more specific resignation documentation the Released Person may request.
2.  Provided this Agreement becomes final and effective and has not been revoked in accordance with its terms, the Company will pay and provide to Participant (or, in case of Participant death, to the Participant’s estate) cash payments in the total amount of _[amount of sev pay,  Click, STIP, pre-2022 RSU’s, in words ]_ ($_[amount in numbers]_), less deductions including, but not limited to, all applicable federal, state, and local tax withholding (the “Severance Pay”).  The Company will pay the Severance Pay in equal installments with the first payment on the first practicable Company payday after this Agreement becomes final and effective, and equal installments continuing on each  Company payday thereafter with the last installment paid no later than [the earlier of (a) three (3) months after the first installment payment, or (b)] March 15th of the calendar year following the Termination Date.  
[In addition, provided this Agreement becomes final and effective and has not been revoked in accordance with its terms, the Company will pay and provide to Participant, subject to Participant’s timely election of COBRA continuation coverage, Participant will receive a single lump sum payment of ___[amount in numbers]___ ($_amount in numbers____) for continuation of Participant’s health insurance coverage, with such payment to be made on the later of (i) the first practicable Company payday after after this Agreement becomes final and effective or (ii) the first practicable Company payday after Company receives notice that Participant has elected COBRA coverage.]
Participant agrees that if Participant is rehired by a Released Person, any payments or rights to payments under this Agreement that have not yet been paid shall terminate immediately on the date of such rehire.
3.  Provided this Agreement becomes final and effective and has not been revoked in accordance with its terms, the Company will make any payments to Participant subject to the terms of any Participant Restricted Stock Unit Agreements conditioned on a final separation agreement, as applicable (less deductions including, but not limited to, all applicable federal, state, and local tax withholding), and will provide outplacement services as provided in the American Equity Investment Life Transition Benefit Plan document (the “Plan Document”). 
4.  The payments in Sections 2 and 3 of this Agreement are considered wages and will be taxable as wages and reported on the Form W-2 issued to Participant for the tax year in which the payment is made.  Further, the payments under Sections 2 and 3 of this Agreement will be excluded from benefit eligible earnings for all employer compensation and benefits purposes including, but not limited to, any bonus and incentive, pension, retirement and welfare plans and arrangements and paid time off allowances.  The Company may offset any amounts due under this Agreement, and may coordinate any amounts due with any payments due under the WARN Act or similar law, as provided in the Plan Document.
5.  Participant knowingly and voluntarily releases the Company from all claims. Specifically, as a material inducement to the Company to enter into this Agreement, on behalf of Participant’s relatives, heirs, executors, administrators, successors, and assigns, Participant hereby fully and forever releases and discharges the Company, its past, present, and future parents, subsidiaries, affiliates, and agents and its and their past, present, and future directors, officers, employees, agents, representatives, employee benefit plans and funds, and the fiduciaries thereof, successors, and assigns of each (“Released Person(s)”) from any and all claims, actions, liability, or promises, and rights of any and every kind or nature that Participant ever had, now has, or may have, whether known or unknown, against the Released Persons arising out of any act, omission, transaction, or occurrence, up to and including the date the Participant executes this Agreement, including, but not limited to:
(a) any claim arising out of or related to employment by and/or affiliation with the Released Persons or the discontinuance of employment/affiliation with the Released Persons;
(b) any claim of employment discrimination, harassment, or retaliation under, or any alleged violation of, any federal, state, or local law, rule, regulation, ordinance or Executive Order, including, but not limited to, Title VII of the Civil Rights Act; the Americans with Disabilities Act; the Rehabilitation Act; the Age Discrimination in Employment Act (“ADEA”), as amended by the Older Workers Benefit Protection Act (“OWBPA”); the Employee Retirement Income Security Act (“ERISA”); the Family and Medical Leave Act (“FMLA”); Section 1981 of the Civil Rights Act of 1866; the Equal Pay Act; the Fair Labor 

Standards Act; the Immigration Reform and Control Act; the Uniformed Services Employment and Reemployment Rights Act; the Iowa Civil Rights Act; and Iowa’s Wage Payment and Collection Act, all as amended;
(c) any alleged violations of any duty or other employment-related obligation or other obligations arising out of contract, tort, libel or slander, defamation, public policy, law or equity, or allegations of wrongful discharge or retaliation;
(d) any expectation, anticipation, right, or claim to incentive compensation under any Company incentive compensation plan;
(e) any claim for benefit plan accruals based upon the payments enumerated in this Agreement or compensation, whether classified as back pay, front pay, or any other compensation paid by Released Persons or awarded post-separation, including, but not limited to, compensation awarded by a regulatory body, arbitration panel, or court of competent jurisdiction except as expressly set forth below; and
(f) any claim for any enhancement or differential calculation over and above the benefit vested or otherwise payable to Participant under the standard terms of any Released Person benefit plan.
6.  Participant agrees that until the later of (i) the end of twelve (12) months following the Termination Date or (ii) the completion of all payments pursuant to Sections 2 and 3 of this Agreement, Participant will not solicit any employee, customer, vendor, consultant, Independent Marketing Organization (or individual affiliate with any such organizations) of any Released Person to end, reduce the time or scope of, decline to renew, or decline to extend the sales or other business volume, time, or scope of such relationship.  
Participant also agrees that until the end of twelve (12) months following the Termination Date, Participant will not, without the prior written consent of the Company, and to the extent such consent is limited or conditioned, be employed by, engaged by, or otherwise assist, either as an individual or as a partner, joint venturer, employee, agent, consultant, officer, trustee, director, owner, part-owner, shareholder (except for less than 1% ownership of the common stock of a publicly-traded company), or in any other capacity, directly or indirectly, providing the same or similar activities, skills, experience, or expertise Participant performed for the Company any entities that a Released Party identifies as a competitor its the Compensation Discussion and Analysis publicly disclosed to the  U.S. Securities and Exchange Commission (“SEC”) within twelve (12) months on or prior to the date this Agreement becomes final and effective.  These prohibitions shall apply to each entity and its parents, subsidiaries, affiliates, or agents, or any entity with 9.9% or greater direct or indirect economic interest in any of them.  
  Participant also acknowledges and agrees that Participant shall be subject to and abide by provisions of any other agreements containing Participant post-employment obligations that Participant executed, which are incorporated by reference herein.
Any of the restrictions in this Section 6 may be waived, in writing, solely by the Company. The Company’s decision to grant such a written waiver shall reside in its sole and absolute discretion.
The Parties acknowledge that if either were to violate any section of this Agreement, including, but not limited to  Section 6, the aggrieved party would not have adequate damages at law and that it would be appropriate for a court to enter an injunction prohibiting any further violation; further, if either Party obtains a final judgment of a court of competent jurisdiction, pursuant to which either Party is determined to have breached their obligations under this Agreement, including but not limited to Section 6, the prevailing party shall be entitled to recover, in addition to any award of damages, its reasonable attorneys’ fees, costs, and expenses incurred in obtaining such judgment.  
7.  If a final and non-appealable judicial determination is made by a court or arbitrator that any of the provisions of Section 6 constitute an unreasonable or otherwise unenforceable restriction against Participant, the remaining provisions of Section 6 of this Agreement will not be rendered void but will be deemed to be modified to the minimum extent necessary to remain in force and effect for the longest period and largest scope that would not constitute such an unreasonable or unenforceable restriction (and such court shall have the power to reduce the duration or restrict or redefine the scope of such provision and to enforce such provision as so reduced, restricted or redefined).  Moreover, notwithstanding the fact that any provision of Section 6 of this Agreement is determined not to be specifically enforceable, except as otherwise provided in Section 6 of this Agreement, the Company will nevertheless be entitled to recover monetary damages as a result of Participant’s breach of any such provision.  
8.  If the Participant breaches this Agreement, or the Company believes in good faith that Participant intends to breach this Agreement, in addition to any other remedy the Company may have, including seeking injunctive relief, the payments described in Sections 2 and 3 of this Agreement will immediately forfeit.  In such case, no further payments under Sections 2 and 3 of this Agreement will be made and, upon demand by the Company, Participant agrees to repay to the Company any and all amounts paid pursuant to Sections 2 and 3 of this Agreement prior to the determination of a breach or an intent to breach, with the exception of one hundred dollars ($100.00).  
2

9.  Except as set forth herein, this Agreement does not affect any rights or benefits that vested or were otherwise payable to Participant prior to execution of this Agreement under any employee benefit plans governed by ERISA.  Participant’s rights to any ERISA plan benefits are governed exclusively by the terms of the respective plan documents that provide those benefits.  Nothing in this Agreement shall be deemed a waiver of claims for unemployment compensation benefits, worker’s compensation benefits, claims for breach of this Agreement, claims that arise after Participant signs this Agreement, and/or any claims or rights that cannot be waived by law.  Nothing in this Agreement shall prohibit Participant from making any disclosure in accordance with Section 12(a), including any disclosure to the SEC pursuant to Section 21F-17(b), of the Securities and Exchange Act of 1934, as amended, or receiving an award from the SEC in connection therewith.  Nothing in this Agreement impacts in any way Participant’s rights to indemnification from a Released Person under applicable law.  Nothing in this Agreement otherwise offers, promises, or guarantees any such indemnification. 
10.  By entering into this Agreement, each respective Party does not admit, and specifically denies, any liability, wrongdoing or violation of any law, statute, regulation, agreement or policy, and it is expressly understood and agreed that this Agreement is being entered into solely for the purpose of resolving any and all matters in controversy, disputes, causes of action, claims, contentions and differences of any kind whatsoever between the Participant and the Released Persons.
11.  By executing this Agreement, Participant acknowledges that Participant has accurately reported to the Company the daily or weekly hours Participant worked for the Company to the extent Participant has been asked to do so, that the Company has paid Participant all the salary and wages it owes Participant (including any overtime compensation or incentive compensation), that Participant has been provided with any and all leaves of absences (including those under the FMLA or other law) that Participant has requested and to which Participant was entitled, that Participant has no known workplace injuries or occupational diseases, that Participant has not been retaliated against for reporting any allegations of fraud or other wrongdoing and that Participant has had the opportunity prior to signing this Agreement to raise to the Company any concerns or complaints about these or any other matters regarding employment or affiliation with the Company.
12.  Participant agrees that: (i) the terms of this Agreement; (ii) any claims that were raised or could have been raised in any action as of the date Participant executes this Agreement; (iii) the facts underlying those claims; and, (iv) all Confidential and/or Proprietary Information Participant worked on or became aware of during employment and/or affiliation with the Company shall not be disclosed to any third parties by Participant or Participant’s agents, attorneys, or representatives.  
Furthermore, Participant acknowledges that retaining or sharing (in each case, orally, electronically, physically, or otherwise) any Confidential and/or Proprietary Information, without specific written Company permission, could result in significant damages to the Company.  Participant acknowledges that the Company reserves its right to use all legal remedies at its disposal to pursue Participant for any damages that could result from a breach of this provision.  Participant also acknowledges that the damages to the Company for breach of this and any other provision of this Agreement could be not readily calculable and that Company may, at its option, enforce the provisions of Paragraph 8 in case of any such breach.  Participant’s obligation to not disclose Confidential and/or Proprietary Information does not extend to the circumstances described below:
(a)  Neither this Section 12 nor any other provision of this Agreement prohibit or restrict Participant or Participant’s attorney from providing information or testimony to, otherwise assisting or participating in an investigation or proceeding with or brought by, or filing a charge or complaint: (i) with any government agency, law enforcement organization, legislative body, regulatory organization, or self-regulatory organization (“SRO”), including, but not limited to, the SEC, Financial Industry Regulatory Authority (“FINRA”), Commodity Futures Trading Commission (“CFTC”), Department of Justice (“DOJ”), Internal Revenue Service (“IRS”), Department of Labor (“DOL”), National Labor Relations Board (“NLRB”), and Equal Employment Opportunity Commission (“EEOC”); (ii) as required by court order or subpoena; (iii) as may be necessary for the prosecution of claims relating to the performance or enforcement of this Agreement; or (iv) from providing any other disclosure required by law.  However, by executing this Agreement Participant waives all rights to personally recover any compensation, damages, or other relief in connection with any such investigation, proceeding, charge, or complaint, except that Participant does not waive any right Participant may have to receive a monetary award from the SEC as a whistleblower or directly from any other federal, state, or local agency pursuant to a similar program.
(b) To the extent a Released Person publicly discloses this Agreement to the SEC, Participant is not prohibited from disclosing this Agreement.  Under other circumstances, Participant is not prohibited from disclosing this Agreement to a spouse, civil union or domestic partner, attorney, accountant, or tax or financial advisor, provided that such individuals are advised that they may not disclose this Agreement and have agreed to be bound by the same restrictions against disclosure that apply to Participant.
(c)  Participant is not prohibited from providing a prospective employer with information concerning former job title, salary, job responsibilities, and qualifications.
3

For purposes of this Agreement, “Confidential and/or Proprietary Information” shall mean information in any form that is proprietary and confidential to the Company and shall include, but not be limited to, the following types of information: (i) corporate information, including contractual arrangements, customer or client lists or information, distributor lists or information, plans, strategies, tactics, policies and resolutions; (ii) any litigation or negotiations; (iii) financial information, including spreadsheets, models, projections, investment strategies, undisclosed aspects of any Released Party strategy or business initiatives, including but not limited to, reinsurance or other strategies (including but not limited to execution status and/or concerns or issues), cost and performance data, debt arrangement, equity structure, investment structuring, investment partners or recipients and/or their arrangements, investors and holdings; (iv) operational information, including trade secrets, control and inspection practices, suppliers and vendors; and (v) personnel information, including personnel lists, resumes, roles, personal data, medical information, compensation, organization structure and performance evaluations concerning individuals other than Participant.  Confidential and/or Proprietary Information does not include information that is or becomes generally part of the public domain without breach of this Agreement by Participant.  Participant agrees that all Confidential and/or Proprietary Information is and shall remain the sole and exclusive property of the Company.
13.  Participant agrees to cooperate with a Released Person or its counsel to provide information, relevant documentation, and/or truthful testimony in connection with any matter in which a Released Person has an interest and as to which Participant has knowledge of any of the facts, events or circumstances at issue.  If requested, Participant agrees to meet with a Released Person representative and/or a Released Person’s counsel to truthfully provide all knowledge and information Participant has pertaining to any such matter and prepare, as necessary, for any deposition, trial, or other proceeding, including regulatory proceeding, related to such matter.  Participant’s reasonable out of pocket expenses, such as for travel, will be reimbursed.  Participant will not otherwise be entitled to further compensation for time or legal fees. 
14.  If Participant is served with a subpoena, court order, or a request by a government agency, law enforcement organization, legislative body, regulatory organization, or SRO, including, but not limited to, the SEC, FINRA, CFTC, DOJ, IRS, DOL, NLRB, or EEOC, or a comparable state or local agency, organization, or body, calling for the disclosure of this Agreement or any information concerning a Released Person, Participant agrees to give the Company a copy of such demand for information promptly by mail to: American Equity Investment Life Insurance Company, Attention: Chief Legal Officer, 6000 Westown Parkway, West Des Moines, IA 50266, unless prohibited by law.  Participant does not need prior authorization of the Company to make such a disclosure.
15.   Reference requests regarding Participant may be directed to: American Equity Investment Life Insurance Company, Attention: Chief Human Resources Officer, 6000 Westown Parkway, West Des Moines, IA 50266.
16.  Participant acknowledges that on or prior to the Termination Date, Participant delivered to Participant’s former manager (or other person designated by the Company) all Released Person property, information (including Confidential and/or Proprietary Information), documents, and other materials (including, but not limited to, keys, mobile phones, computer equipment, and identification cards), including all copies or versions, that are in Participant’s possession or control (“Released Person Material”).  Released Person Material does not include documents Participant received from an authorized representative of a Released Person regarding Participant’s employment or affiliation with the Released Person (e.g., summary plan descriptions, performance evaluations, benefit statements), any policy or product purchased from a Released Person, securities of a Released Person, materials Participant provided to a regulatory agency or other entity pursuant to Section 12(a) of this Agreement, or other materials Participant is entitled by law to retain.  Participant represents that Participant has conducted a diligent search for all Released Person Material prior to executing this Agreement.  Participant agrees that, if Participant discovers or receives any Released Person Material after signing this Agreement, Participant will return it to: American Equity Investment Life Insurance Company, Attention: Chief Human Resources Officer, 6000 Westown Parkway, West Des Moines, IA 50266, within 48 hours of discovery or receipt.
17. Pursuant to the terms of the OWBPA and the ADEA, Participant acknowledges that:
(a)  Participant has been advised to consult with an attorney before executing this Agreement and Participant has consulted or had the opportunity to consult with an attorney of Participant’s choosing concerning the terms and conditions prior to signing this Agreement.
(b)  The Company has advised Participant in writing that Participant has [twenty-one (21)][forty-five (45)] days in which to review this Agreement [and the Exhibit A included with this Agreement] and fully consider its terms prior to signing it.
(c)  Participant has read and fully understands the significance of all the terms and conditions of this Agreement.
(d)  Participant is signing this Agreement voluntarily and of free will and agrees to abide by all the terms and conditions contained herein.
(e)   Participant acknowledges and agrees that the payments in Sections 2 and 3 of this Agreement are in addition to any benefits the Participant would have otherwise received without signing this Agreement, and Participant is entering into this Agreement and releasing, waiving and discharging rights or claims only in exchange for such consideration.
(f)  This Agreement waives no rights or claims that may arise after its execution.
4

(g)  Participant may accept this Agreement by fully executing it and returning it to the Company at 6000 Westown Parkway, West Des Moines, IA 50266 attention:  Chief Human Resources Officer no later than 5:00 p.m. on the [twenty-first (21st) or forty-fifth] day after the date Participant received this Agreement or such later date as Participant or counsel for Participant and the Company have agreed to.
(h)  After this Agreement has been executed by Participant, Participant will have seven (7) days to revoke this Agreement, which Participant may do in writing by e-mail to legalnotices@american-equity.com by 5:00 p.m. on the last day of that 7-day period. This Agreement will become final and effective on the eighth (8th) day, provided Participant has not previously revoked it.
(i)  In the event that Participant does not accept this Agreement as set forth above or Participant revokes this Agreement in accordance with Section 17(h) of this Agreement, this Agreement, including, but not limited to, the obligation of the Company to make any payments and/or provide any benefit pursuant to Sections 2 or 3 of this Agreement, shall automatically be null and void.
18.  This Agreement may not be changed except in a writing that specifically references this Agreement and is signed by Participant and an officer of the Company.  This Agreement constitutes the full understanding between Participant and the Company, provided, however, that each of any other agreements containing Participant post-employment obligations that Participant executed remain in full force and effect pursuant to the terms of the respective agreement.  The Parties affirm that no other promises, representations, or agreements of any kind have been made by any person or entity whatsoever to cause the Parties to sign this Agreement, and that they fully understand the meaning and intent of this Agreement. 
19.  Iowa state law governs the interpretation of this Agreement and applies to claims for breach of it, regardless of conflict of laws principles, unless prohibited by law. Subject to the Claims Procedures set forth in the Plan Document, any dispute shall be subject to the exclusive jurisdiction and venue of the state and/or federal courts located in Des Moines, Iowa, unless prohibited by law.
20.  To the extent any of the terms of this Agreement conflict with the terms of the Plan document, the terms of the Plan Document shall prevail.  If any provision of this Agreement is held by a court of competent jurisdiction to be illegal, void, or unenforceable, such provision shall be of no force and effect and shall not impair the enforceability of any other provision of this Agreement, except that if Sections 5 or 8 of this Agreement are held to be illegal, void, or unenforceable, whether in whole or in part, this Agreement shall be voidable by the Company.
By signing below, this Agreement is agreed to and voluntarily accepted by:
 
																		
	

	  		
	Participant	  	Date	
				
	American Equity Investment Life Insurance Company	  		
					
	By:
	 	

	  		
		 	 	  	Date	
	Company Title:
		  		

5

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00336-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00336-of-00352.parquet"}]]