Exhibit 1.A(5)(ii)
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Metropolitan Life
Insurance Company
A Mutual Company Incorporated in New York State
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Metropolitan Life Insurance Company will pay the amount of insurance and
provide the other benefits of this policy according to its provisions.
/s/ Xxxxxx X. Xxxxx /s/ Xxx Xxxxxxxxxxxxx
Xxxxxx X. Xxxxx Xxx Xxxxxxxxxxxxx
Vice-President and Secretary President and Chief Operating Officer
Insured XXXX X. XXX
Specified Face Amount
of Insurance $100,000 AS OF DATE OF POLICY
Policy Number SPECIMEN
Plan FLEXIBLE PREMIUM MULTIFUNDED LIFE
Flexible Premium Multifunded Life Insurance Policy
Life insurance payable if the insured dies before the Final Date of
Policy.
Cash Value, if any, less any policy loan and loan interest, payable on the
Final Date.
Adjustable death benefit.
Premiums payable while the insured is alive and before the Final Date of
Policy.
Premiums must be sufficient to keep the policy in force.
Not eligible for dividends.
THE CASH VALUE IN EACH INVESTMENT DIVISION OF THE SEPARATE ACCOUNT IS BASED ON
THE INVESTMENT EXPERIENCE OF THAT INVESTMENT DIVISION AND MAY INCREASE OR
DECREASE DAILY. IT IS NOT GUARANTEED AS TO DOLLAR AMOUNT. SEE THE SEPARATE
ACCOUNT PROVISION ON PAGE 11.
The cash value in the Fixed Account will be credited with interest at a
guaranteed rate shown on page 3.1. We may credit additional interest in excess
of the guaranteed rate. See the Fixed Account provision on page 10.
THE AMOUNT OR THE DURATION OF THE DEATH BENEFIT, OR BOTH, MAY BE VARIABLE OR
FIXED AS DESCRIBED IN THIS POLICY.
Right to Examine Policy--Please read this policy. You may return it to us or to
the representative through whom you bought within 10 days from the date you
receive it and within 45 days after the application is signed, whichever period
ends later. If you return this policy within this period, the policy will be
void from the beginning. We will refund any premium paid.
See Table of Contents and Company address on the last page.
READ THIS POLICY CAREFULLY. This policy is a legal contract between the policy
owner and Metropolitan Life Insurance Company.
7FM-98 1
METROPOLITAN LIFE INSURANCE COMPANY
POLICY SPECIFICATIONS
DATE OF POLICY ........................... MAY 1, 1998
INSURED'S AGE AND SEX .................... 35 MALE
FINAL DATE OF POLICY ..................... POLICY ANNIVERSARY AT AGE 95
DEATH BENEFIT ............................ OPTION A (SEE PAGE 7)
OWNER .................................... XXXX X. XXX
BENEFICIARY .............................. XXXX XXX
POLICY CLASSIFICATION .................... STANDARD NONSMOKER
INSURED
XXXX X. XXX
SPECIFIED
FACE AMOUNT
OF INSURANCE ..$100,000 AS OF DATE OF POLICY SPECIMEN ...POLICY NUMBER
PLAN ......FLEXIBLE PREMIUM MULTIFUNDED LIFE
THIS POLICY PROVIDES LIFE INSURANCE COVERAGE UNTIL THE FINAL DATE IF SUFFICIENT
PREMIUMS ARE PAID. THE PLANNED PREMIUM SHOWN BELOW MAY NEED TO BE INCREASED TO
KEEP THIS POLICY AND COVERAGE IN FORCE.
MINIMUM INITIAL PREMIUM ................................ $ XXXX ANNUALLY
PLANNED PREMIUM ........................................ $ XXXX ANNUALLY
GUARANTED MINIMUM DEATH BENEFIT PREMIUM ................ $ XXXX ANNUALLY
GUARANTED MINIMUM DEATH BENEFIT PERIOD ................. XX YEARS
SEE THE FOLLOWING PAGE 3 (CONT'D) FOR ANY ADDITIONAL BENEFITS
7FM-98 3
POLICY SPECIFICATIONS
ADDITIONAL BENEFITS
7FM-98 3 (CONT'D)
POLICY SPECIFICATIONS
GUARANTEED INTEREST RATE FOR FIXED ACCOUNTS .................. 3.0% A YEAR
(EQUAL TO
.XXXXX% A MONTH
.XXXXX% A DAY)
EXPENSE
EXPENSE CHARGE .............................. 5.5% OF GROSS
PREMIUMS RECEIVED
UNDERWRITING CHARGE FOR
INCREASES IN SPECIFIED FACE AMOUNT .......... $5 PER MONTH FOR
12 POLICY MONTHS
FOLLOWING THE
INCREASE
MAXIMUM ADMINISTRATIVE CHARGES
DURING THE FIRST TWELVE POLICY MONTHS ....... $20 PER MONTH
THEREAFTER .................................. $9 PER MONTH
MAXIMUM MORTALITY AND EXPENSE RISKS CHARGES . .075% OF THE CASH VALUE
OF THE ASSETS IN THE
SEPARATE ACCOUNT
ATTRIBUTABLE TO THIS
POLICY AT THE
BEGINNING OF EACH
POLICY MONTH.
AFTER THE FIRST TWELVE POLICY MONTHS WE MAY WAIVE A PORTION OF THE
ADMINISTRATIVE CHARGES IN ANY YEAR THE PLANNED PREMIUM IS PAID.
MAXIMUM TRANSFER CHARGE ............................ $25
SURRENDER CHARGE ................................... SEE PAGE 4.1
SPECIFIED FACE
AMOUNT LIMITS .................................... YOU MAY NOT REDUCE
YOUR SPECIFIED FACE
AMOUNT OF INSURANCE
TO LESS THAN $XXXXX
DURING THE FIRST X POLICY
YEARS OR TO LESS THAN
$XXXXX AFTER THE X POLICY
YEAR
7FM-98 3.1
Table of Guaranteed Maximum Rates for Each $1,000 of Term Insurance
(See "Cost of Term Insurance" Provision on Page 9).
--------------------------------------- ---------------------------------------
Monthly Rate* Monthly Rate*
--------------------------- ----------------------------
Age Male Female Age Male Female
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* If there is a supplemental rating of the life insurance benefit, as shown
on page 3, the monthly charges for such supplemental rating must be added
to the monthly rate determined from this table.
7FM-9804 4 AAADUC
Table of Maximum Surrender Charges
DURING POLICY SURRENDER DURING POLICY SURRENDER
YEAR CHARGE YEAR CHARGE
---- ------ ---- ------
1 X 9 X
2 X 10 X
3 X 11 X
4 X 12 X
5 X 13 X
6* X 14 X
7 X 15 X
8 X 16 and Later X
SEE PAGE 14 FOR AN EXPLANATION OF THE SURRENDER CHARGES.
* AFTER THE 5TH POLICY YEAR THE SURRENDER CHARGES WILL DECREASE EACH POLICY
MONTH.
7FM-9804.1 4.1
Description of Investment Divisions in the Separate Account
THE ASSETS IN EACH INVESTMENT DIVISION OF METROPOLITAN LIFE SEPARATE ACCOUNT UL
(SEPARATE ACCOUNT) ARE INVESTED IN SHARES OF A DESIGNATED INVESTMENT COMPANY
PORTFOLIO. EACH PORTFOLIO REPRESENTS A DIFFERENT CLASS (OR SERIES) OF SHARES
ISSUED BY METROPOLITAN SERIES FUND, INC.
DIVISION 1-- STATE STREET RESEARCH GROWTH PORTFOLIO-- The investment objective
of this portfolio is to achieve long-term growth of capital and
income, and moderate current income, by investing primarily in
common stocks that are believed to be of good quality or to have
good growth potential or which are considered to be undervalued
based on historical investment standards.
DIVISION 2-- STATE STREET RESEARCH INCOME PORTFOLIO-- The investment objective
of this portfolio is to achieve the highest possible total
return, by combining current income with capital gains consistent
with prudent investment risk and the preservation of capital, by
investing primarily in fixed-income, high-quality debt
securities.
DIVISION 3-- STATE STREET RESEARCH DIVERSIFIED PORTFOLIO-- The investment
objective of this portfolio is to achieve a high total return
while attempting to limit investment risk and preserve capital by
investing in equity securities, fixed-income debt securities, or
short-term money market instruments, or any combination thereof,
at the discretion of State Street Research.
DIVISION 4-- STATE STREET RESEARCH AGGRESSIVE GROWTH PORTFOLIO-- The
investment objective of this portfolio is to achieve maximum
capital appreciation by investing primarily in common stocks (and
equity and debt securities convertible into or carrying the right
to acquire common stocks) of emerging growth companies,
undervalued securities or special situations.
DIVISION 5-- STATE STREET RESEARCH INTERNATIONAL STOCK PORTFOLIO-- The
investment objective of this portfolio is to achieve long-term
growth of capital by investing primarily in common stocks and
equity-related securities of non-United States companies.
DIVISION 6-- METLIFE STOCK INDEX PORTFOLIO-- The investment objective of this
portfolio is to equal the performance of the Standard & Poor's
500 Composite Stock Price Index (adjusted to assume reinvestment
of dividends) by investing in the common stock of companies which
are included in the index.
DIVISION 7-- XXXXXX XXXXXX HIGH YIELD BOND PORTFOLIO-- The investment
objective of this portfolio is to achieve high total investment
return through a combination of current income and capital
appreciation. The Portfolio will normally invest at least 65% of
its assets in fixed income securities of below investment grade
quality.
DIVISION 8-- JANUS MID CAP PORTFOLIO-- The investment objective of this
non-diversified portfolio is to provide long-term growth of
capital. It pursues this objective by investing primarily in
securities issued by medium sized companies.
DIVISION 9-- X. XXXX PRICE SMALL CAP GROWTH PORTFOLIO-- The investment
objective of this portfolio is achieve long-term growth by
investing in small capitalization companies.
DIVISION 10-- XXXXXXX GLOBAL EQUITY PORTFOLIO-- The investment objective of
this portfolio is to achieve long-term growth of capital through
a diversified portfolio of marketable securities, primarily
equity securities, including common stocks, preferred stocks and
debt securities convertible into common stocks. The Portfolio
invests on a worldwide basis in equity securities of companies
which are incorporated in the U.S. or in foreign countries. It
also may invest in the debt securities of U.S. and foreign
issuers. Income is an incidental consideration.
INVESTMENT RETURNS WILL REFLECT FLUCTUATIONS IN THE MARKET VALUE OF SECURITIES.
PLEASE REFER TO THE CURRENT PROSPECTUS FOR METROPOLITAN SERIES FUND, INC. FOR A
COMPLETE DESCRIPTION OF THE FUND AND THE CURRENTLY AVAILABLE DESIGNATED
PORTFOLIOS.
7FM-9805 5 AAADUE
Definitions
This policy provides life insurance through flexible premium
payments. Net premiums are credited at your option to either a
fixed interest account ("Fixed Account") or a multifunded
separate account ("Separate Account") or both. Interest will be
credited to the Cash Value in the Fixed Account. The Cash Value
in the Separate Account will vary with investment experience. The
cost of insurance and other charges will be deducted each month
proportionately from the Fixed Account and the Separate Account.
"You" and "your" refer to the owner of this policy.
"We", "us" and "our" refer to Metropolitan Life Insurance
Company.
The "insured" named on page 3 is the person at whose death the
insurance proceeds will be payable.
The "Specified Face Amount of Insurance" as of the Date of Policy
is shown on page 3. A new page 3 will be issued to show any
change in the Specified Face Amount of Insurance that has
occurred at your request.
The "Date of Policy" is shown on page 3.
The "Final Date of Policy" is the policy anniversary on which the
insured is age 95.
Policy years and months are measured from the Date of Policy. For
example, if the Date of Policy is May 5, 2001, the first policy
month ends June 4, 2001 and the first policy year ends May 4,
2002. Similarly, the first monthly anniversary is June 5, 2001,
and the first policy anniversary is May 5, 2002.
The "Designated Office" is our Executive Office at Xxx Xxxxxxx
Xxxxxx, Xxx Xxxx, X.X. 10010. We may, by written notice, name
other offices within the United States to serve as Designated
Offices.
The "Investment Start Date" is the later of: (1) the Date of
Policy; and (2) the date we receive the first premium at our
Designated Office.
The "Allocation Date" is twenty calendar days after the
Investment Start Date.
"Issue Age" is the age of the insured shown on Page 3.
"Fixed Account" is the account under the policy to which we will
add the payments that you allocate to the Fixed Account. The
Fixed Account is part of our general account.
"Separate Account" is Metropolitan Life Separate Account UL, the
account under this policy to which we will add the payments that
you allocate to any of the Investment Divisions in the Separate
Account.
"Policy Loan Account" is the account to which we will transfer
the amount of any policy loan from the Fixed and Separate
Accounts.
"Cash Value" is the sum of: (a) the value in the Fixed Account;
(b) the value in each investment division of the Separate
Account; and (c) the value in the Policy Loan Account.
"Cash Surrender Value" is the Cash Value less any policy loan and
loan interest and any applicable surrender charge and, if the
policy is surrendered in the first policy year, less the Base
Administration Charge for each full policy month remaining to the
end of the first policy year.
To make this policy clear and easy to read, we have left out many
cross-references and conditional statements. Therefore, the
provisions of the policy must be read as a whole. For example,
our payment of the insurance proceeds (see page 7) depends upon
the payment of sufficient premiums (see page 15).
To exercise your rights, you should follow the procedures stated
in the policy. If you want to request a payment, change the
allocations of net premiums and/or Cash Value, adjust the death
benefit, change a beneficiary, change an address or request any
other action by us, you should do so on the forms prepared for
each purpose. You can get these forms from our Designated Office.
7FM-9806 6 AAADUF
Payment When Insured Dies
Insurance If the Insured dies before the Final Date of Policy, and while
Proceeds the policy is in force, an amount of money, called the insurance
proceeds, will be paid to the beneficiary. The insurance proceeds
are the sum of:
* The death benefit described below
PLUS
* Any insurance on the insured's life that may be
provided by riders to this policy
MINUS
* Any policy loan and loan interest
MINUS
* Any due and unpaid monthly deductions accruing during
a grace period.
We will pay the insurance proceeds to the beneficiary after we
receive proof of death and a proper written claim.
Death Benefit The death benefit under this policy will be either 1, 2 or 3
below, whichever is chosen and is in effect at the time of death,
but in no event less than the minimum death benefit.
1. Option A: The Specified Face Amount of Insurance.
2. Option B: The Specified Face Amount of Insurance
PLUS
The Cash Value on the date of death.
3. Option C: If death occurs prior to the policy anniversary on
which the insured is age 65:
The Specified Face Amount of Insurance.
PLUS
The Cash Value on the date of death.
On the policy anniversary on which the
insured is age 65, the Specified Face Amount
of Insurance will be recalculated to equal
the Specified Face Amount of Insurance plus
the cash value at the end of the previous
day. We will issue a new page at that time.
If death occurs on or after the policy anniversary
on which the insured is age 65:
The Specified Face Amount of Insurance.
See the Full and Partial Cash Withdrawal provision for the effect
of a partial withdrawal on the death benefit.
Alternative In no event will the death benefit be less than the amounts
Death Benefit described below:
Alternative Death Benefit
Age on Date as a Percentage of the
of Death Cash Value
40 or younger 250%
41-45 243-215
46-50 209-185
51-55 178-150
56-60 146-130
61-65 128-120
66-70 119-115
71-75 113-105
76-90 105
91-95 104-100
96 and over 100
The alternative death benefit percentage will decrease uniformly
within the age ranges shown.
7FM-9807 7 AAADUG
Payment When Insured Dies (Continued)
Guaranteed This benefit is in effect only if a Guaranteed Minimum Death
Minimum Benefit Premium and a Guaranteed Minimum Death Benefit Period is
Death Benefit shown on page 3.
If the Cash Surrender Value is not sufficient to keep this policy
in force (see Premiums provision on page 15) we will pay the
Insurance Proceeds if:
1. The insured dies during the Guaranteed Minimum Death Benefit
Period
AND
2. The total premiums paid to date, less any partial cash
withdrawals and outstanding loan, equals or exceeds the
Guaranteed Minimum Death Benefit Premium due to date.
Any increase or decrease in the Specified Face Amount of
Insurance will result in an adjustment in the Guaranteed Minimum
Death Benefit Premium, a new page 3 reflecting this change will
be issued.
We will send you a notice if the requirement in item 2. above is
not met. The notice will state the premiums which will have to be
paid and the impact that not paying the necessary premium will
have on this benefit. If sufficient premiums are not paid within
at least 61 days of the date of the notice, this benefit will
terminate and the policy will continue under the terms of the
Premiums provision.
If this benefit terminates it cannot be reinstated.
Death Benefit At any time after the second policy year, but no more than once
Adjustment every 12 months, while this policy is in force, you may change
the death benefit option or change (either increase or decrease)
the Specified Face Amount of Insurance, subject to the following:
1. In the event of a change in the death benefit option, we will
change the Specified Face Amount of Insurance as follows:
a. If you change from Option A to Option B, the Specified Face
Amount of Insurance will be decreased by the then current
cash value.
b. if you change from Option B to Option A, the Specified Face
Amount of Insurance will be increased by the then current
cash value.
c. If you change from Option C to Option A prior to the policy
anniversary on which the insured is age 65, the Specified
Face Amount of Insurance will be increased by the then
current cash value. If you make this option change later,
there will be no change in the Specified Face Amount of
Insurance.
d. If you change from Option C to Option B prior to the policy
anniversary on which the insured is age 65, there will be
no change in the Specified Face Amount of Insurance. If you
make this change later, the Specified Face Amount of
Insurance will be reduced by the then current cash value.
e. If you change from Option A to Option C, the Specified Face
Amount of Insurance will be reduced by the then current
cash value. You may change to Option C at any time on or
before the policy anniversary on which the insured is age
60.
f. If you change from Option B to Option C there will be no
change in the Specified Face Amount of Insurance. You may
change to Option C at any time on or before the policy
anniversary on which the insured is age 60.
2. The Specified Face Amount of Insurance may not be reduced to
less than the Specified Face Amount Limits shown on page 3.1,
nor may it be reduced to a level where the total premiums
already paid to date exceed the then current Internal Revenue
Service limits relating to the definition of life insurance.
7FM-9808 8 AAADUH
Payment When Insured Dies (Continued)
3. The Specified Face Amount of Insurance may not be increased
after the insured reaches age 80. For any change at your
request which would increase the death benefit, you must
provide evidence satisfactory to us of the insurability of the
insured. Each increase must be at least $5,000. A charge of $5
per month for 12 months following the increase will be added
to the monthly deductions. This charge will be part of the
monthly deduction as of the date the increase takes effect.
New withdrawal charges will apply for 15 policy years after
the increase.
4. No change in the death benefit will take effect unless the
cash surrender value after the change is equal to at least two
monthly deductions. A request for a change in the death
benefit will take effect as of the monthly anniversary which
coincides with or next follows: (a) if evidence of
insurability is required, the date we approve the request, or
(b) if not, the date of the request.
5. We will issue a new page 3 for this policy showing the change.
We may require that you send us this policy to make any
requested change.
Monthly Deduction
The deduction for any policy month is the sum of the following
amounts, determined on each monthly anniversary:
* The monthly cost of term insurance;
* The monthly mortality and expense risks charges;
* The monthly administrative charge;
* The monthly cost of any benefits provided by rider;
* For any month in which your request results in an increase in
the Specified Face Amount, the underwriting charge, as shown on
page 3.1.
Within 30 days before or 30 days after the policy anniversary,
you may choose to have the monthly deduction (excluding the
monthly mortality and expense risk charges) proportionately to
the Fixed Account and each Investment Division of the Separate
Account or all to the Fixed Account. If you choose to have the
monthly deduction charged to the Fixed Account and its value is
not sufficient to cover the deduction, the remainder will be
charged proportionately to each Investment Division of the
Separate Account. The monthly mortality and expense risk charges
will be charged proportionately to values in each Investment
Division of the Separate Account.
Cost of Term Under all death benefit options, the amount of the term insurance
Insurance for any policy month is equal to:
* The death benefit divided by one plus the monthly guaranteed
interest rate shown on page 3.1;
MINUS
* The Cash Value.
The Cash Value used in this calculation is the Cash Value before
the deduction for the monthly cost of term insurance and for any
disability waiver benefit, but after the deduction for riders and
any other charges.
The cost of term insurance for any policy month is equal to the
amount of term insurance multiplied by the monthly term insurance
rate. After the Final Date the cost of term insurance is zero.
Monthly term insurance rates will be set by us from time to time,
based on the insured's age, sex, and underwriting class. But
these rates will never be more than the maximum rates shown in
the table on page 4. Any changes in mortality charges will not
recoup past losses. Any adjustments in policy cost factors will
be by class and based on changes in such factors as mortality,
persistency and expenses.
7FM-9809 9 AAADUD
Fixed Account
Value The value of the Fixed Account on the Investment Start Date is
equal to:
1. The portion of the initial net premium which has been paid and
allocated to the Fixed Account;
MINUS
2. The portion of any monthly deductions charged to the Fixed
Account.
The value of the Fixed Account on any day on or after the
Allocation Date is equal to:
1. The value on the preceding day, with interest on such values
at the current applicable rates;
PLUS
2. Any portion of net premium paid and allocated to the Fixed
Account on that day;
PLUS
3. Any amount transfered to the Fixed Account on that day;
MINUS
4. Any amount transferred from the Fixed Account on that day;
MINUS
5. Any cash withdrawal made from the Fixed Account on that day;
MINUS
6. The portion of any transfer charge allocated to the value of
the Fixed Account;
MINUS, IF THAT DAY IS A MONTHLY ANNIVERSARY,
7. The portion of the monthly deduction which is charged to the
Fixed Account, to cover the policy month which starts on that
day.
Interest The guaranteed interest rate for the Fixed Account is shown on
Rate page 3.1.
We may declare rates of interest in excess of the guaranteed rate
on amounts in the Fixed Account at any time, subject to the
following conditions: the rate of excess interest on any net
premiums paid during a month of the year will not change until
the first day of the same month in the following year. We also
may credit different rates of excess interest to premium payments
made in different months of the year and different rates of
excess interest at the end of each twelve-month period for Cash
Value related to premiums received in a given month of each prior
year. Transfers made into the Fixed Account will be treated as
new premium payments for these purposes. However, if, within 12
months of the date of a transfer from the Fixed Account to the
Separate Account, all or part of the amount transferred is
transferred back to the Fixed Account, the interest credited to
the amount transferred back to the Fixed Account will be at the
rate that would have been credited had it remained in the Fixed
Account all along.
We will credit the guaranteed and any excess interest on every
Valuation Date. Once credited, that interest will be guaranteed
and will become part of the value in the Fixed Account from which
monthly deductions are made. The monthly deduction will be
charged against the most recent premiums paid (and transfers
made) and interest credited.
7FM-9810 10 AAADUI
Separate Account
Separate Account UL is an investment account established and
maintained by us, separate from our general account or other
separate investment accounts. It is used for flexible premium
variable life insurance policies, and if permitted by law, may be
used for other policies or contracts as well.
We own the assets in the Separate Account. Assets equal to the
reserves and other liabilities of the Separate Account will not
be charged with liabilities that arise from any other business we
conduct. We may from time to time transfer to our general account
assets in excess of such reserves and liabilities.
Income and realized and unrealized gains or losses from assets in
the Separate Account are credited to or charged against the
Separate Account without regard to our other income, gains or
losses.
The Separate Account will be valued at the end of each Valuation
Period.
A "Valuation Date" is each day on which there is enough trading
in a portfolio's securities that the current value of its shares
could be materially affected. In general, Valuation Dates will be
days when the New York Stock Exchange is open for trading. We
reserve the right, on 30 days notice, to change the basis for
such Valuation Date, as long as the basis is not inconsistent
with applicable laws.
A "Valuation Period" is the period between successive Valuation
Dates starting at the close of the New York Stock Exchange, on
each Valuation Date and ending at the close of the New York Stock
Exchange, on the next Valuation Date. We reserve the right, on 30
days notice, to change the basis for such Valuation Period, as
long as the basis is not inconsistent with applicable laws.
Investment The "Investment Divisions" are part of the Separate Account. Each
Divisions division holds a separate class (or series) of stock of a
designated investment company or companies. Each class of stock
represents a separate portfolio in an investment company.
The Investment Divisions available on the Date of Policy are
described on Page 5. We may from time to time make other
Investment Divisions available to you. We will provide you with
written notice of all material details including investment
objectives and all charges.
Our Right We reserve the right to make certain changes if, in our judgment,
to Make they would best serve the interests of the owners of policies
Changes such as this one, or would be appropriate in carrying out the
purposes of such policies. Any changes will be made only to the
extent and in the manner permitted by applicable laws. Also, when
required by law, we will obtain your approval of the changes and
the approval of any appropriate regulatory authority.
Example of the changes we may make include:
* To operate the Separate Account in any form permitted under
the Investment Company Act of 1940, or in any other form
permitted by law.
* To take any action necessary to comply with or obtain and
continue any exemptions from the Investment Company Act of
1940.
* To transfer any assets in an Investment Division to another
Investment Division, or to one or more separate accounts, or
to our general account, or add, combine, or remove Investment
Divisions in the Separate Account.
* To substitute, for the investment company shares held in any
Investment Division, the shares of another class of the
investment company or the shares of another investment company
or any other investment permitted by law.
* To change the way we assess charges, but without increasing
the aggregate amount charged to the Fixed Account and any
currently available investment division of the Separate
Account or available portfolios of the fund.
* To make any other necessary technical changes in this policy
in order to conform with any action this provision permits us
to take.
7FM-9811 11 AAADUJ
Separate Account (Continued)
If any of these changes result in a material change in the
underlying investments of an Investment Division in the Separate
Account, we will notify you of such change. If you have funds
allocated to that division, you may then make a new choice of
Investment Divisions.
Value The value of the Separate Account is the sum of the Cash Values
in each of the Investment Divisions.
The value in each Investment Division of the Separate Account on
the Allocation Date is equal to:
1. The portion of the initial net premium which has been paid and
is allocated to the Investment Division;
MINUS
2. The portion of any monthly deductions charged to the
Investment Division.
The Cash Value in each Investment Division on subsequent
Valuation Dates is equal to:
1. The Cash Value in the Investment Division on the preceding
Valuation Date;
PLUS
2. Any increase due to the investment result in the Investment
Division of the Separate Account;
PLUS
3. Any net premium payments received during the current Valuation
Period which are allocated to the Investment Division;
PLUS
4. Any net amounts transferred to the Investment Division during
the current Valuation Period;
MINUS
5. Any decrease due to the investment result in the Investment
Division of the Separate Account;
MINUS
6. Any amounts transferred from the Investment Division during
the current Valuation Period;
MINUS
7. Any cash withdrawal from the Investment Division during the
current Valuation Period;
MINUS
8. The portion of any transfer charge allocated to the value in
the Investment Division;
MINUS, IF A MONTHLY ANNIVERSARY OCCURS DURING THE CURRENT
VALUATION PERIOD,
9. The portion of the monthly deduction charged to the Investment
Division during the current Valuation Period to cover the
policy month which starts on that day.
7FM-9812 12 AAADUK
Owner's Right to Change Allocation
You can change the allocation of future net premiums to the Fixed
Account and/or the Investment Divisions of the Separate Account.
You must allocate at least 10% of net premiums to each
alternative you choose. Percentages must be in whole numbers.
(For example, 33 1/3% may not be chosen.) You must notify us in
writing, or by other means as determined by us, of a change in
the allocation percentages. The change will take effect
immediately upon receipt at our Designated Office.
You may also change the allocation of the Cash Value. To do this,
you may transfer amounts among the alternatives at any time. A
transfer charge of no more than $25 will be deducted from the
Cash Value from which amounts are transferred proportionately
among the Fixed Account and the Investment Divisions of the
Separate Account when each transfer is effected. However, no
charge will be assessed for transfers from policy loans and loan
repayments. In addition, during the first 24 policy months, no
charge will be assessed for a complete transfer of all amounts in
the Investment Divisions of the Separate Account to the Fixed
Account. Transfers must be in either dollar amounts or a
percentage in whole numbers. The minimum amount that may be
transferred is $50, or, if less, the entire value in an
Investment Division of the Separate Account or the entire value
in the Fixed Account. The maximum amount that may be transferred
from the Fixed Account in any policy year is the greater of $50
or 25% of the amount in the Fixed Account over the last 12
months. The change will take effect on the date we receive
written notice from you at our Designated Office.
Exchange During the first 24 months following the Date of Policy, the
Privilege policy owner may transfer the entire amount in the Separate
Account to the Fixed Account and allocate all future net premiums
to the Fixed Account. This will serve as an exchange of the
policy for the equivalent of a flexible premium fixed benefit
life insurance policy. There will be no charge for this transfer.
Payments During Insured's Lifetime
Payment on If the insured is alive on the Final Date of Policy, and you do
Final Date not ask us in writing to continue the policy, we will pay you the
of Policy Cash Surrender Value. Coverage under this policy will then end.
You may ask us in writing to continue this policy after the Final
Date. If you do, the death benefit will be equal to the Cash
Value. The insurance proceeds will equal the death benefit minus
any outstanding policy loan and loan interest.
Full and We will pay you all or part of the Cash Surrender Value after we
Partial Cash receive your request at our Designated Office. The Cash Surrender
Withdrawal Value will be determined as of the date we receive your request.
If you request and are paid the full Cash Surrender Value, this
policy and all our obligations under it will end. We may require
surrender of this policy before we pay you the full Cash
Surrender Value.
Each partial withdrawal of Cash Value must be at least $500. When
a partial withdrawal is made, we will reduce the Cash Value by
the amount of the partial withdrawal. The reduction in Cash Value
will be allocated in the same manner you chose to have the
Monthly Deduction applied.
The maximum amount that may be withdrawn from the Fixed Account
in any policy year is the greater of $50 or 25% of the largest
amount in the Fixed Account over the last four policy years.
If either (i) Option A is then in effect; or (ii) Option C is in
effect and the policy anniversary on which the insured is age 65
has past, we will also reduce the Specified Face Amount of
Insurance by the amount of the partial withdrawal, and a new page
3 will then be issued. We may require that you send us this
policy to make the change. Partial cash withdrawals will not
effect the Specified Face Amount of Insurance if (i) Option B is
in effect; or (ii) Option C is in effect and the withdrawal is
made prior to the policy anniversary on which the insured is age
65.
7FM-9813 13 AAADUL
Payments During Insured's Lifetime (Continued)
A partial withdrawal which would reduce the cash surrender value
to less than two monthly deductions may not be made. Also, if
either (i) Option A is in effect; or (ii) Option C is in effect
and the policy anniversary on which the insured is age 65 has
past, then a partial withdrawal may not be made if it would
reduce the Specified Face Amount of Insurance to less than the
Specified Face Amount Limits on Page 3.1, or to a level where the
premiums already paid would exceed the then current Internal
Revenue Service Limits. If you request a partial cash withdrawal
and these conditions apply, we will contact you to determine if
you want to cancel the request, withdraw a smaller amount, or
surrender the policy.
Surrender If, within the first 15 policy years, (i) you request a cash
Charges withdrawal, (ii) decrease the Specified Face Amount of Insurance,
or (iii) the policy ends because the grace period expired, we
will deduct a surrender charge from the cash value. If you
request a full cash withdrawal within the first policy year, we
will also deduct any administrative charges not paid during the
first policy year. We will also deduct a surrender charge from
the cash value if you have increased the specified face amount
and, within 15 years of the increase, (i) you request a cash
withdrawal or (ii) the policy ends because the grace period
expired. No surrender charge applies to an increase in the
Specified Face Amount of Insurance resulting from a change in the
death benefit option.
The smallest amount you can withdraw at any one time is $500. If,
in any policy year you make a partial withdrawal, we will deduct
(from the policy's cash value) a proportional amount of any
surrender charge on the amount withdrawn that is greater than 10%
of the policy's cash surrender charge. The surrender charge will
be allocated in the same manner as the monthly deductions are
allocated. If you decrease the Specified Face Amount of Insurance
we will, also, deduct a proportional amount of any surrender
charges from the policy's cash value.
The surrender charges are shown on page 4.1. If there is an
increase or decrease in the surrender charges we will send you a
new page 4.1.
Policy Loan You may also get cash by taking a policy loan upon assignment of
this policy as sole security. If there is an existing loan, you
can increase it.
The maximum amount available for a new or increased loan will be
the policy's cash surrender value less two monthly deductions.
The smallest amount you can borrow at any one time is $500.
The loan will be allocated first to the Fixed Account and then
proportionately among the Investment Divisions of the Separate
Account.
Loan interest is charged daily at the rate up to a maximum of 6%
a year, and is due at the end of each policy year. Interest not
paid within 31 days after it is due will be added to the loan
principal. It will be added as of the due date and will bear
interest at the same rate as the rest of the loan. It will be
deducted proportionately from the policy's cash value in the
Fixed Account and each Investment Division of the Separate
Account and will be transferred to the Policy Loan Account. The
amount transferred will be treated as an increased loan.
Loan You may repay all or part (but not less than $50) of a policy
Repayment loan at any time while the insured is alive and this policy is in
force. Loan repayments will be allocated in the same manner as
net premium payments.
Failure to repay a policy loan or to pay loan interest will not
terminate this policy unless the cash surrender value is less
than the monthly deduction due on a monthly anniversary. In that
case, the Grace Period provision will apply (see page 15).
Effect of When a loan is made, the cash value in each Investment Division
a Policy of the Separate Account equal to the portion of the policy loan
Loan on the allocated to each Investment Division will be transferred to a
Cash Value Policy Loan Account within the General Account. The cash value in
the Fixed Account equal to the portion of the policy loan
allocated to that Account will also be transferred to the Policy
Loan Account.
Amounts in the Policy Loan Account will be credited with interest
at a rate of 4% year. Interest credited to amounts in the Policy
Loan Account will be allocated at least once a year among the
Fixed Account and the Investment Divisions of the Separate
Account in the same proportions as net premiums are then being
allocated.
Deferment We reserve the right to defer calculation and payment of benefits
in the following circumstances:
7FM-9814 14 AAADUM
Payments During Insured's Lifetime (Continued)
1. If your policy is in force with a Cash Value in the Separate
Account, it will generally not be practical for us to
determine the investment experience of the Separate Account
during any period when the New York Stock Exchange is closed
for trading (except for customary weekend and holiday
closings), or when the Securities and Exchange Commission
restricts trading or determines that an emergency exists. In
such a case and with respect to the Separate Account, we
reserve the right to defer: (a) determination, application, or
payment of a cash withdrawal value; (b) determination of
policy loans except for a loan to pay a premium to us; (c) a
change in the allocation among the Investment Divisions of the
Separate Account; and (d) payment of the death benefit.
2. If your policy is in force with a Cash Value in the Fixed
Account, we may defer paying a cash withdrawal value from the
Fixed Account for up to 6 months from the date we receive a
request for payment. If we delay for 30 days or more, interest
will be paid at a rate not less than the guaranteed rate shown
on page 3.1 or at a rate required by law, if greater.
3. We may delay making a loan from the Fixed Account, except for
a loan to pay a premium to us, for up to 6 months from the
date you request the loan.
Premiums
Premium Premium payments other than the first premium are to be sent to
Payments our Designated Office.
No insurance will take effect before the first premium is paid.
Other premiums may be paid at any time while the policy is in
force and before the Final Date of Policy and in any amount
subject to the limits described below.
We will send premium notices, if you request in writing,
according to the planned premium shown on page 3. You may skip
planned premium payments or change their frequency and amount if
the cash surrender value is large enough to keep your policy in
force.
The premium payment may need to be increased in order to keep
this policy in force if there is any change in these assumptions
or in the amount and frequency of premium payments.
Premiums received while there is an outstanding loan will be
applied to the loan balance.
Limits After the first two policy years, additional premium payments may
be necessary to keep the policy in force depending upon actual
investment experience and the timing and frequency of the premium
payments. Each planned premium payment after the first two policy
years must be at least $200 annually and $100 semi-annually ($15
for a Special Account payment). However, any unplanned premium
payment must be at least $250.
We may increase these minimum premium limits. No increase will
take effect until 90 days after notice is sent.
The total premiums paid in a policy year may not exceed the
maximum we set for that year. When we set the maximum for total
premiums paid in a policy year, we will take account of any
requirements in federal legislation relating to the definition of
life insurance. We will return to you any premium paid in a
policy year to the extent it is more than the maximum.
Grace Period If, at any time the Guaranteed Minimum Death Benefit is not in
effect, the Cash Surrender Value on any monthly anniversary is
less than the monthly deduction for that month, there will be a
grace period of 61 days after that anniversary to pay an amount
that will cover two monthly deductions. We will send you a notice
at the start of the grace period. We will also send a notice to
any assignee on our records.
If we do not receive a sufficient amount by the end of the grace
period, your policy will end without value.
If the insured dies during the grace period, we will pay the
insurance proceeds minus any overdue monthly deduction.
7FM-9815 15 AAADUN
Premiums (Continued)
Reinstatement If the grace period has ended and you have not paid the required
premium and have not surrendered your policy for its Cash
Surrender Value, you may reinstate this policy while the insured
is alive if you:
1. Ask for reinstatement within 3 years after the end of the
grace period;
2. Provide evidence of insurability satisfactory to us; and
3. Pay a sufficient amount to keep this policy in force for at
least 2 months after the date of reinstatement; plus (a) an
amount sufficient to cover the unpaid portion of the charges
applicable during the first 12 policy months; plus (b) any
portion of the surrender charges which was not paid when the
policy ended because the cash value was not sufficient to pay
such portion of the charges: plus (c) interest on (a) to the
date of reinstatement at the rate of 6% a year.
Any policy loan and interest due when the policy ends will
be canceled. The effective date of the reinstated policy
will be the date we approve the reinstatement application.
Ownership and Beneficiary
Owner As owner, you may exercise all rights under your policy while the
insured is alive. You have the right to designate another entity
to exercise your rights with our consent. You may name a
contingent owner who would become the owner if you should die
before the insured.
Change of You may name a new owner at any time. If a new owner is named,
Ownership any earlier choice of a contingent owner, beneficiary, contingent
beneficiary or optional payment plan will be canceled, unless you
specify otherwise.
Beneficiary The beneficiary is the entitiy or entities and/or person or
persons designated by the policy owner to receive insurance
proceeds upon the death of the insured. You may name a contingent
beneficiary to become the beneficiary if all the beneficiaries
cease to exist while the insured is alive. If no beneficiary or
contingent beneficiary exists when the insured dies, the owner
(or the owner's estate, if applicable) will be the beneficiary.
While the insured is alive, the owner may change any beneficiary
or contingent beneficiary. If more than one beneficiary exists
when the insured dies, we will pay them in equal shares, unless
you have chosen otherwise.
How to Change You may change the owner, contingent owner, beneficiary or
the Owner or contingent beneficiary of this policy by written notice or
the assignment of the policy. No change is binding on us until it is
Beneficiary recorded at our Designated Office. Once recorded, the change
binds us as of the date you signed it. The change will not apply
to any payment made by us before we recorded your request. We may
require that you send us this policy to make the change.
Collateral Your policy may be assigned as collateral. All rights under the
Assignment policy will be transferred to the extent of the assignee's
interest. We are not bound by any assignment or release thereof
unless and until it is in writing and is recorded at our
Designated Office. We are not responsible for the validity of any
assignment.
Exclusions
Suicide The insurance proceeds will not be paid if the insured commits
suicide, while sane or insane, within 2 years from the Date of
Policy. Instead, we will pay the beneficiary an amount equal to
all premiums paid, without interest, less any policy loan and
loan interest and less any partial cash withdrawals. If the
insured commits suicide, while sane or insane, more than 2 years
after the Date of Policy but within 2 years from the effective
date of any increase in the death benefit, our liability with
respect to such increase will be limited to its cost.
7FM-9816 16 AAADUO
General Provisions
The Contract This policy includes any riders and, with the application
attached at issue, and any application added after Issue,
makes up the entire contract. All statements in the
application will be representations and not warranties. No
statement will be used to contest the policy unless it
appears in the application.
Limitation on No representative or other person except our President, a
Representative's Vice-President, or the Secretary may (a) make or change any
or Other Person's contract of insurance; or (b) make any binding promises about
Authority benefits; or (c) change or waive any of the terms of this
policy. Any change or waiver is valid only if made in writing
and signed by our President, Vice-President, or Secretary.
Incontestability We will not contest the validity of your policy after it has
been in force during the insured's lifetime for 2 years from
the Date of Policy. We will not contest the validity of any
increase in the death benefit after such increase has been in
force during the insured's lifetime for 2 years from its
effective date.
Age and Sex If the insured's age or sex on the Date of Policy is not
correct as shown on page 3, we will adjust the benefits under
this policy. If the Insured dies before a correction is made,
the adjusted benefits will be the amounts bought by the
monthly deduction just before the date of death, based on the
correct age and sex. Otherwise we will recompute the value of
the Cash Value by taking out the monthly cost of term
insurance for the life of the policy, using the level of
benefits bought by the monthly deduction just before we
learned the correct age and sex.
Nonparticipation This policy is not eligible for dividends; it does not
participate in any distribution of our surplus.
Computation The Fixed Account Cash Value is computed using a guaranteed
of Values minimum interest rate shown on page 3.1 .This value and the
maximum term insurance rates shown on page 4 are based on the
1980 Commissioners Standard Ordinary Mortality (sex distinct)
Table.
For substandard policy classifications, these values and
rates are based on a modified version of the 1980 CSO
Mortality Table that reflects our mortality experience.
We have filed a detailed statement of the method of
computation with the insurance supervisory official of the
state In which this policy is delivered. The values under
this policy are equal to or greater than those required by
the law of that state.
Annual Report Each year we will send you a report showing the current death
benefit, the Cash Value and any outstanding policy loans for
this policy.
It will also show the amount and type of credits to and
deductions from the Cash Value during the past policy year.
The report will also include any other information required
by state laws and regulations.
Illustration of At any time, we will provide an illustration of the future
Future Benefits benefits and values under your policy. You must ask in
writing for this illustration. The first illustration in any
policy year will be furnished free of charge. Any subsequent
request in that policy year will be subject to a service fee
set by us.
7FM-9817 17 AAADUP
Methods of Payment (Continued)
Unless otherwise requested, we may pay the insurance proceeds
when the insured dies, or the Cash Surrender Value on surrender
or on the Final Date of the policy, in one sum, or by placing the
amount in an account that earns interest. The payee will have
immediate access to all or part of the account. If requested, we
will apply the amount under one or more of the following payment
plans:
Option 1. Interest Income -- The amount applied will earn interest which
will be paid monthly. Withdrawals of at least $500 each may be
made at any time by written request.
Option 2. Installment Income for a Stated Period -- Monthly installment
payments will be made so that the amount applied, with Interest,
will be paid over the period chosen (from 1 to 30 years).
Option 2A. Installment Income of a Stated Amount -- Monthly installment
payments of a chosen amount will be made until the entire amount
applied, with interest, is paid.
Option 3. Single Life Income -- Guaranteed Payment Period -- Monthly
payments will be made during the lifetime of the payee with a
chosen guaranteed payment period of 10, 15 or 20 years.
Option 3A. Single Life Income -- Guaranteed Return -- Monthly payments will
be made during the lifetime of the payee. If the payee dies
before the total amount applied under this plan has been paid,
the remainder will be paid in one sum as a death benefit.
Option 4. Joint and Survivor Life Income -- Monthly payments will be made
jointly to two persons during their lifetime and will continue
during the remaining lifetime of the survivor. A total payment
period of 10 years is guaranteed.
Other Instead of monthly payments, you may choose to have payments made
Frequencies quarterly, semiannually or annually. Other payment plans may be
and Plans arranged with us.
Choice of A choice of a payment plan for insurance proceeds made by you in
Payment writing and recorded by us while the insured is alive will take
Plans effect when the insured dies. All other choices of payment plans
will take effect when recorded by us or later, if requested. When
a payment plan starts, we will issue a contract which will
describe the terms of the plan. We may require that you send us
this policy. We may also require proof of the payee's age.
Payment plans may be chosen:
(1) by you during the lifetime of the insured; or
(2) by the beneficiary within one year after the insured died and
before any no payments have been made, if choice was in
effect on the date of death.
A choice of a payment plan will not take effect unless each
payment under the plan would be at least $50.
Limitations If the payee is not a natural person, the choice of a payment
plan will be subject to our approval. An assignment for a loan
will modify a prior choice of payment plan. The amount due the
assignee will be payable in one sum and the balance will be
applied under the payment plan.
Payments may not be assigned and, to the extent permitted by law,
will not be subject to the claims of creditors.
Payment Plan Amounts applied under the interest income and installment payment
Rates plans will earn interest at a rate we set from time to time.
Life income plan payments will be based on a rate set by us and
in effect on the date the insurance proceeds or cash value become
payable.
7FM-9818 18 AAADUQ
Methods of Payment (Continued)
Minimum Payments under Payment Plans -- Monthly payments under Options 2, 3, 3A
and 4 for each $1,000 applied will not be less than the amounts shown in the
following Tables.
--------------------------------------------------------------------------------
Option 2. Installment Income for a Stated Period
Monthly Payments for each $1000 Applied.
--------------------------------------------------------------------------------
Minimum Amount Minimum Amount Minimum Amount
Years of Each Monthly Years of Each Monthly Years of Each Monthly
chosen Payment chosen Payment chosen Payment
--------------------------------------------------------------------------------
1 $84.47 11 $8.86 21 $5.32
2 42.86 12 8.24 22 5.15
3 28.99 13 7.71 23 4.99
4 22.06 14 7.26 24 4.84
5 17.91 15 6.87 25 4.71
6 15.14 16 6.53 26 4.59
7 13.16 17 6.23 27 4.47
8 11.68 18 5.96 28 4.37
9 10.53 19 5.73 29 4.27
10 9.61 20 5.51 30 4.18
--------------------------------------------------------------------------------
To determine the minimum amount for quarterly payment multiply the
above monthly payment by 2.99; for semiannual by 5.96; and for
annual by 11.84.
--------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------------------
Option 3. Single Life Income -- Guaranteed Payment Period Option 3A.
Minimum Amount of each Monthly Payment for each $1,000 Applied
Single Life Income -
------------------------------------------------------------ Guaranteed Return
Guaranteed Payment Period Minimum Amount of each
------------------------------------------------------------ Monthly Payment for each
$1,000 Applied
10 years 15 years 20 years
Payee's --------------------------------------------------------------------------------------
Age Male Female Male Female Male Female Male Female
-----------------------------------------------------------------------------------------------------
50 $3.63 $3.41 $3.61 $3.40 $3.57 $3.38 $3.52 $3.34
55 3.90 3.63 3.86 3.61 3.81 3.57 3.75 3.52
60 4.24 3.90 4.17 3.86 4.08 3.81 4.02 3.75
65 4.67 4.24 4.55 4.17 4.39 4.08 4.37 4.02
70 5.23 4.77 5.01 4.64 4.70 4.45 4.79 4.44
75 5.93 5.36 5.50 5.10 4.99 4.77 5.33 4.89
80 6.75 6.25 5.97 5.69 5.20 5.08 5.99 5.58
85 and over 7.60 7.09 6.33 6.13 5.31 5.25 6.81 6.30
-----------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Option 4. Joint and Survivor Life Income -- Guaranteed Period of 10 years
Minimum Amount of each Monthly Payment for each $1,000 Applied
--------------------------------------------------------------------------------
Age of One Male and Two Two
Both Payees One Female Males Females
--------------------------------------------------------------------------------
50 $3.19 $3.28 $3.13
55 3.36 3.48 3.28
60 3.58 3.72 3.48
65 3.86 4.05 3.72
70 4.23 4.48 4.05
75 4.79 5.06 4.59
--------------------------------------------------------------------------------
On request, we will provide additional information about amounts of minimum
payments.
7FM-9819 19 AAADUR
Notice
When you write to us, please give us your name, address and
policy number. Please notify us promptly of any changes. We will
write to you at your last known address.
Checks, drafts or money orders may be drawn to the order of
Metropolitan Life (or "Met Life"). They are received subject to
the condition that they may be handled for collection in
accordance with the practice of the collecting bank or banks. If
we do not receive the full amount of any check, draft or money
order, it will not constitute payment. All payments are to be
made in U.S. currency. We may refuse to accept any payments made
in a manner that applicable law requires us to refuse (such as
any large cash payment made without information that we are
required by law to obtain).
Voting for Our Board of Directors is elected by the policyholders. For
Directors details on how to vote, write to our Secretary.
Metropolitan Life Insurance Company
Xxx Xxxxxxx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000-0000
Countersigned and Delivered on__________________ By ____________________________
Table of Contents
Page
Policy Specifications 3,3.1
Table of Guaranteed
Maximum insurance Rates 4
Table of Maximum 4.1
Surrender Charges 5
Description of
investment Divisions in
the Separate Account 6
Definitions 7
Payment When Insured Dies 7
Insurance Proceeds 7
Death Benefit 7
Alternative Death Benefit 8
Guaranteed Minimum Death Benefit 8
Death Benefit Adjustment 9
Monthly Deduction 9
Cost of Term Insurance
Fixed Account 10
Value 10
Interest Rate 10
Separate Account 11
Investment Divisions 11
Our Right to Make Changes 11
Value 12
Owners Right to
Change Allocation 13
Exchange Privilege 13
Payments During Insured's Lifetime 13
Payment on Final
Date of Policy 13
Full and Partial
Cash Withdrawal 13
Surrender Charges 14
Policy Loan 14
Loan Repayment 14
Effect of a Policy Loan
on the Cash Value 14
Deferment 14
Premiums 15
Premium Payments 15
Limits 15
Grace Period 15
Reinstatement 16
Ownership and Beneficiary 16
Owner 16
Change of Ownership 16
Beneficiary 16
How to Change the Owner
or the Beneficiary 16
Collateral Assignment 16
Exclusion 16
Suicide 16
General Provisions 17
The Contract 17
Limitation on
Representative's or Other
Person's Authority 17
Incontestability 17
Age and Sex 17
Nonparticipation 17
Computation of Values 17
Annual Report 17
Illustration of Future
Benefits 17
Methods of Payment 18
Options 18
Other Frequencies
and Plans 18
Choice of Payment Plans 18
Limitations 18
Payment Plan Rates 18
Minimum Payments under Payment Plans 19
--------------------------------------------------------------
Page 2 has intentionally been left blank.
--------------------------------------------------------------
Any riders for additional benefits follow page 19.
Flexible Premium Multifunded Life Insurance Policy
Life insurance payable if the insured dies before the Final Date of Policy. Cash
value, if any, less any policy loan and loan interest, payable on the Final
Date.
Adjustable death benefit.
Premiums payable while the insured is alive and before the Final Date of Policy.
Premiums must be sufficient to keep the policy in force.
Not eligible for dividends.
7FM-98 AAADUS
