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Pulling eggs is not a feature of Level 3; only collecting straws is available there. I think egg collection is part of the Level 5 perks, although you can do embryo transfers at Level 4.

If you read the descriptions of the various levels on the Upgrades page, they do make it pretty clear what comes with each one.

For Level 3 it says

The crown jewel though, must be the AI lab. Finally you can collect and save straws all year long from your studs. Use them to to produce extra foals this season or save them to use after gelding your stud.

Since only straws are mentioned, it's fairly obvious that none of the other features in the AI lab are turned on.

At level 4 it says

For the most elite stables you can not go wrong with embryo transfer. ET allows your mare to have many foals every single year.

Although it mentions using embryo transfer, it doesn't talk about pulling eggs. It's been a long time since I had a Level 4 account, and I'm not sure I ever used this feature when I did, so I'm not sure exactly how it worked. I think you would use a straw on the mare to create an embryo and then transfer it to a host mare.

Finally, at Level 5 we find

Egg collection and mass egg flush.

At last there is an explicit mention of the ability to collect eggs.

You can sell unused time on level 1-4 upgrades for IVs. The amount you get depends on how much time is left. There was also once some discussion about the benefits of keeping a lower level, inactive account in addition to a level 5 subscription as a protection if something happened to interrupt the regular payment of the Level 5 subscription.