diff --git a/terraform/example.tf b/terraform/example.tf
index 9c50490..eb5d092 100644
--- a/terraform/example.tf
+++ b/terraform/example.tf
@@ -43,7 +43,7 @@ data "aws_ami" "linux2" {
 
 variable "instance_key" {
   description = "Name of EC2 Keypair"
-  default = "lifecycled-example"
+  default     = "lifecycled-example"
 }
 
 module "example" {
diff --git a/terraform/modules/example/cloud-config.yml b/terraform/modules/example/cloud-config.yml
index 3064cf2..67fd326 100644
--- a/terraform/modules/example/cloud-config.yml
+++ b/terraform/modules/example/cloud-config.yml
@@ -1,7 +1,4 @@
 #cloud-config
-package_update: true
-packages:
-  - aws-cfn-bootstrap
 write_files:
   - path: "/etc/systemd/system/lifecycled.service"
     permissions: "0644"
@@ -23,23 +20,6 @@ write_files:
 
       [Install]
       WantedBy=multi-user.target
-  - path: "/usr/local/scripts/cloudformation-signal.sh"
-    permissions: "0744"
-    owner: "root"
-    content: |
-      #! /usr/bin/bash
-
-      set -euo pipefail
-
-      function await_unit() {
-        echo -n "Waiting for $1..."
-        while ! systemctl is-active $1 > /dev/null; do
-            sleep 1
-        done
-        echo "Done!"
-      }
-
-      await_unit lifecycled.service
   - path: "/usr/local/scripts/lifecycle-handler.sh"
     permissions: "0744"
     owner: "root"
@@ -52,13 +32,10 @@ write_files:
       sleep 120
       echo "goodbye from the handler"
 runcmd:
-  - | 
+  - |
     aws s3 cp s3://${artifact_bucket}/${artifact_key} /usr/local/bin/lifecycled
     chmod +x /usr/local/bin/lifecycled
     chown root:root /usr/local/bin/lifecycled
     echo "lifecycled ${artifact_etag} installed"
   - |
     systemctl enable lifecycled.service --now
-  - |
-    /usr/local/scripts/cloudformation-signal.sh
-    /opt/aws/bin/cfn-signal -e $? --stack ${stack_name} --resource AutoScalingGroup --region ${region}
diff --git a/terraform/modules/example/main.tf b/terraform/modules/example/main.tf
index 6517f4e..8b23789 100644
--- a/terraform/modules/example/main.tf
+++ b/terraform/modules/example/main.tf
@@ -36,30 +36,61 @@ data "template_file" "main" {
   }
 }
 
-# The autoscaling group
-module "asg" {
-  source  = "telia-oss/asg/aws"
-  version = "0.2.0"
-
-  name_prefix       = "${var.name_prefix}"
-  user_data         = "${data.template_file.main.rendered}"
-  vpc_id            = "${var.vpc_id}"
-  subnet_ids        = "${var.subnet_ids}"
-  await_signal      = "true"
-  pause_time        = "PT5M"
-  health_check_type = "EC2"
-  instance_policy   = "${data.aws_iam_policy_document.permissions.json}"
-  min_size          = "${var.instance_count}"
-  instance_type     = "${var.instance_type}"
-  instance_ami      = "${var.instance_ami}"
-  instance_key      = "${var.instance_key}"
-  tags              = "${var.tags}"
+resource "aws_launch_configuration" "main" {
+  name_prefix          = "${var.name_prefix}"
+  image_id             = "${var.instance_ami}"
+  instance_type        = "${var.instance_type}"
+  key_name             = "${var.instance_key}"
+  iam_instance_profile = "${aws_iam_instance_profile.ec2.name}"
+  security_groups      = ["${aws_security_group.main.id}"]
+
+  user_data = "${data.template_file.main.rendered}"
+
+  lifecycle {
+    create_before_destroy = true
+  }
+}
+
+resource "aws_autoscaling_group" "main" {
+  name                 = "${var.name_prefix}-${aws_launch_configuration.main.name}"
+  launch_configuration = "${aws_launch_configuration.main.id}"
+  vpc_zone_identifier  = ["${var.subnet_ids}"]
+
+  min_size         = "0"
+  desired_capacity = "${var.instance_count}"
+  max_size         = "1"
+
+  lifecycle {
+    create_before_destroy = true
+  }
+
+  initial_lifecycle_hook {
+    name                 = "${var.name_prefix}-lifecycle"
+    default_result       = "CONTINUE"
+    heartbeat_timeout    = 60
+    lifecycle_transition = "autoscaling:EC2_INSTANCE_TERMINATING"
+    notification_target_arn = "${aws_sns_topic.main.arn}"
+    role_arn                = "${aws_iam_role.lifecycle_hook.arn}"
+  }
+}
+
+resource "aws_security_group" "main" {
+  name        = "${var.name_prefix}-sg"
+  description = "Allow access to lifecycled instances"
+  vpc_id      = "${var.vpc_id}"
+
+  egress {
+    from_port   = 0
+    to_port     = 0
+    protocol    = "-1"
+    cidr_blocks = ["0.0.0.0/0"]
+  }
 }
 
 # Allow SSH ingress if a EC2 key pair is specified.
 resource "aws_security_group_rule" "ssh_ingress" {
   count             = "${var.instance_key != "" ? 1 : 0}"
-  security_group_id = "${module.asg.security_group_id}"
+  security_group_id = "${aws_security_group.main.id}"
   type              = "ingress"
   protocol          = "tcp"
   from_port         = 22
@@ -147,31 +178,48 @@ data "aws_iam_policy_document" "permissions" {
   }
 }
 
+resource "aws_iam_instance_profile" "ec2" {
+  name = "${var.name_prefix}-ec2-instance-profile"
+  role = "${aws_iam_role.ec2.name}"
+}
+
+resource "aws_iam_role" "ec2" {
+  name               = "${var.name_prefix}-ec2-role"
+  assume_role_policy = "${data.aws_iam_policy_document.ec2_assume.json}"
+}
+
+resource "aws_iam_role_policy" "ec2" {
+  name   = "${var.name_prefix}-ec2-permissions"
+  role   = "${aws_iam_role.ec2.id}"
+  policy = "${data.aws_iam_policy_document.permissions.json}"
+}
+
+data "aws_iam_policy_document" "ec2_assume" {
+  statement {
+    effect  = "Allow"
+    actions = ["sts:AssumeRole"]
+
+    principals {
+      type        = "Service"
+      identifiers = ["ec2.amazonaws.com"]
+    }
+  }
+}
+
 # SNS topic for the lifecycle hook
 resource "aws_sns_topic" "main" {
   name = "${var.name_prefix}-lifecycle"
 }
 
-# Lifecycle hook
-resource "aws_autoscaling_lifecycle_hook" "main" {
-  name                    = "${var.name_prefix}-lifecycle"
-  autoscaling_group_name  = "${module.asg.id}"
-  lifecycle_transition    = "autoscaling:EC2_INSTANCE_TERMINATING"
-  default_result          = "CONTINUE"
-  heartbeat_timeout       = "60"
-  notification_target_arn = "${aws_sns_topic.main.arn}"
-  role_arn                = "${aws_iam_role.lifecycle.arn}"
-}
-
 # Execution role and policies for the lifecycle hook
-resource "aws_iam_role" "lifecycle" {
+resource "aws_iam_role" "lifecycle_hook" {
   name               = "${var.name_prefix}-lifecycle-role"
   assume_role_policy = "${data.aws_iam_policy_document.asg_assume.json}"
 }
 
-resource "aws_iam_role_policy" "lifecycle" {
-  name   = "${var.name_prefix}-lifecycle-permissions"
-  role   = "${aws_iam_role.lifecycle.id}"
+resource "aws_iam_role_policy" "lifecycle_hook" {
+  name   = "${var.name_prefix}-lifecycle-asg-permissions"
+  role   = "${aws_iam_role.lifecycle_hook.id}"
   policy = "${data.aws_iam_policy_document.asg_permissions.json}"
 }