Exhibit 4
[LETTERHEAD OF MASSACHUSETTS MUTUAL LIFE INSURANCE COMPANY APPEARS HERE]
Flexible Purchase Payment Multi-Fund
Variable Annuity Contract
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Contract Number
Annuitant
Amount
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Dear Contract Owner:
READ YOUR CONTRACT CAREFULLY. It has been written in readable language to help
you understand its terms. We have used examples to explain some of the
provisions. These examples do not reflect the actual amounts or status of this
contract. As you read through the contract, remember the words "we", "us" and
"our" refer to Massachusetts Mutual Life Insurance Company.
We will pay the maturity benefit to the Payee when this contract matures if
the Annuitant is living at that time. If the Annuitant dies before this contract
matures, we will pay the death benefit to the Beneficiary when due proof of the
Annuitant's death is received at our Home Office. Either payment is subject to
the terms of this contract which are contained on this and the following pages.
For service or information on this contract, contact the agent who sold the
contract, any of our agency offices or our Home Office.
YOU HAVE A RIGHT TO RETURN THIS CONTRACT. If you decide not to keep this
contract, return it within ten days after you receive it. It may be returned by
delivering or mailing it to our Home Office, to any of our agency offices or to
the agent who sold the contract. Then, the contract will be as though it had
never been issued. We will promptly refund the accumulated value of this
contract on the date we receive it, plus any deductions made from the purchase
payment.
Signed for Massachusetts Mutual Life Insurance Company at Springfield,
Massachusetts.
Sincerely yours,
/s/SIGNATURE APPEARS HERE /s/SIGNATURE APPEARS HERE
President Secretary
This Contract provides that: A monthly life income is payable
beginning on the date this contract matures if
the Annuitant is living at that time
A death benefit is payable if the Annuitant dies
before this contract matures
Flexible purchase payments may be made to the
date this contract matures or to the Annuitant's
death, if earlier.
This Contract is not participating. It does not provide for the payment of
dividends.
All values and payments based on the investment performance of the Separate
Account shown on the Schedule Page are variable and not guaranteed as to dollar
amount.
Contract Summary
This Summary briefly describes some of the major contract provisions. Since it
does not go into detail, the actual provisions will control. See those
provisions for full information and any limits that may apply. The "Where To
Find It" on the inside of the back cover shows where these provisions may be
found.
We will pay a maturity benefit if the Annuitant is living on the maturity date
and the contract is in force at that time. We will pay a death benefit if the
Annuitant dies before this contract matures and while it is in force. "In force"
means that the contract has not terminated. Since this is a variable annuity
contract, neither of these benefits is guaranteed as to dollar amount. Instead,
all values and benefits which depend on the investment performance of the
Separate Account shown on the Schedule Page are variable and not guaranteed as
to dollar amount.
The first purchase payment for this contract is shown on the Schedule Page. Any
normal purchase payment elected is also shown on the Schedule Page. However,
purchase payments for this contract are flexible. Therefore, after the first one
has been paid, there is no requirement that any specific amount of purchase
payment be made on any date. Instead, within the limits stated in the contract,
any amount may be paid on any date before the maturity date or the death of the
Annuitant, if earlier.
Rights available under this contract include:
. The right to assign this contract.
. The right to change the Owner, the Payee or any Beneficiary.
. The right to redeem this contract.
. The right to make partial redemptions.
. The right to change the date this contract matures.
. The right to allocate purchase payments among the Guaranteed Principal
Account and the divisions of the Separate Account.
. The right to transfer values between the Guaranteed Principal Account
and the divisions of the Separate Account.
This contract also includes a number of Payment Options. These provide alternate
ways to pay the maturity value, the death benefit or the amount payable upon
redemption of this contract.
Part 1. The Basics Of This Contract
In this Part we discuss some basic concepts that
are necessary to understand this contract.
The Parties Involved - The Owner is the person who owns this contract, as
Owner, Annuitant, shown on our records.
Beneficiary, Irrevocable
Beneficiary, Payee The Annuitant is the person on whose life this
contract is issued. Payment of the maturity benefit
will be made if that person is living when this
contract matures. The Annuitant may be the Owner of
this contract, or someone else may be the Owner.
Example: You buy a contract on your own life and
name yourself as Owner. In this case, you
are both the Annuitant and Owner. If you
buy a contract on your spouse's life and
name yourself as Owner, then the
Annuitant and Owner are different people.
A Beneficiary is any person named on our records to
receive death proceeds after the Annuitant dies.
There may be different classes of Beneficiaries,
such as primary and secondary. These classes set
the order of payment. There may be more than one
Beneficiary in a class.
Example: Xxxxxx is named as primary (first)
Beneficiary. Xxxx and Xxxxx are named as
Beneficiaries in the secondary class. If
Xxxxxx is alive when the Annuitant dies,
she receives any death benefit. But if
Xxxxxx is dead and Xxxx and Xxxxx are
alive when the Annuitant dies, Xxxx and
Xxxxx receive any death benefit.
Any Beneficiary may be named an Irrevocable
Beneficiary. An Irrevocable Beneficiary is one
whose consent is needed to change that Beneficiary.
Also, this Beneficiary must consent to the exercise
of other contract rights.
The Payee is the person named on our records to
receive the maturity benefit when this contract
matures.
Dates - Contract Date, Two important dates (shown on the Schedule Page)
Contract Anniversary are the Contract Date and the Issue Date.
Date, Contract Year,
Issue Date, Maturity The Contract Date is the starting point for
Date determining Contract Anniversary Dates and Contract
Years. The first Contract Anniversary Date is one
year after the Contract Date. The period from the
Contract Date to the first Contract Anniversary
Date, or from one Contract Anniversary Date to the
next, is called a Contract Year.
Example: The Contract Date is June 10, 19X1. The
first Contract Anniversary Date is June
10, 19X2. The period from June 10, 19X1
to June 10, 19X2 is a Contract Year.
The Issue Date is used to determine the start of
the contestability period. We discuss
contestability below.
Another important date is the maturity date shown
on the Schedule Page. This is the date the maturity
benefit is payable unless an earlier or later
maturity date is elected. The maturity benefit will
be payable only if this contract is in force and
the Annuitant is living on the maturity date.
This Is A Legal Contract This annuity is a legal contract between the Owner
and us. The entire contract consists of the
application and the annuity, which includes any
riders. We have issued this contract in return for
the application and the payment of the first
purchase payment. Any change or waiver of its terms
must be in writing and signed by our Secretary or
an Assistant Secretary to be effective.
Trusts And Other We are not responsible for carrying out the terms
Agreements of any trust or other agreement which is not a part
of this contract. Our only responsibility is to
perform according to the terms of the contract.
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Representations And We rely on all statements made by or for the
Contestability Annuitant in the application. Legally, these
statements are considered to be representations and
not warranties. We can contest the validity of this
contract for any material misrepresentation of a
fact. To do so, however, the misrepresentation must
have been made in the application and a copy of the
application must have been attached to this
contract when issued.
We must bring any legal action to contest the
validity of this contract within two years from its
Issue Date. After that we cannot contest its
validity.
Misstatement Of Age One of the questions in the application concerns
the Annuitant's date of birth. If the date of birth
given is not correct, all benefits and amounts
payable under this contract will be what would have
been provided if the correct date of birth had been
given.
No monthly life income payments will be made unless
satisfactory proof of the Annuitant's date of birth
has been received.
Meaning Of In Force "In force" means that this contract has not
terminated. This contract is in force from its
Issue Date or, if later, the date the first
purchase payment is paid. Payment of future
purchase payments is not required to continue this
contract in force.
Home Office Our main office in Springfield, Massachusetts is
called the Home Office. The address is
Massachusetts Mutual Life Insurance Company,
Xxxxxxxxxxx, Xxxxxxxxxxxxx 00000.
Contract State This contract shall be construed according to the
laws of the state in which it was entered into.
Part 2. Purchase Payments
Purchase payments are the amounts that may be paid
to us under this contract. Purchase payments for
this contract are discussed in this Part.
The First The first purchase payment for this contract is
Purchase Payment shown on the Schedule Page. It is due on the
Contract Date. This contract will not be in force
until the first purchase payment has been paid to
us.
Normal Purchase The normal annual purchase payment for this
Payments contract is shown on the Schedule Page. Other
frequencies of payment are also shown. The
frequency for this contract is as elected in the
application. This frequency may be changed by
giving us advance written notice.
Net Purchase Payments A net purchase payment is a purchase payment we
receive less any premium tax we deduct at that
time.
Purchase Payment After the first purchase payment has been paid, we
Flexibility And Notices will send notices for the normal purchase payment
on the frequency in effect. However, payment of
those purchase payments is not required to continue
the contract in force. Instead, any amount may be
paid at any time before the maturity date, or the
death of the Annuitant if earlier. Each purchase
payment cannot be less than $50 without our
consent.
We will stop sending notices if no purchase payment
has been made for 18 consecutive months. However,
if a purchase payment is paid after that time, we
will send notices again.
We have the right to set a maximum limit on the
total amount of purchase payments that may be made
under this contract. Any such limit will not be
less than $500,000.
Where To Pay All purchase payments are payable to us at our Home
Office or at the place shown for payment on the
notice. Upon request, a receipt signed by our
Secretary or an Assistant Secretary will be given
for any purchase payment.
Part 3. Accounts, Values And Charges
This contract provides that certain values
(referred to as variable values) are based on the
investment performance of the Separate Account and
are not guaranteed as to dollar amount. This
contract also provides that other values (referred
to as fixed values) are based on the interest
credited to the Guaranteed Principal Account. This
Part gives information about these Accounts, and
the values and charges connected with them.
Allocation Of Purchase Each net purchase payment we receive will be
Payments allocated among the Guaranteed Principal Account
and the divisions of the Separate Account, as
directed in the application. This allocation will
remain in effect until changed by any later written
election satisfactory to us and received at our
Home Office.
The Separate Account The Separate Account shown on the Schedule Page is
a separate investment account which we have
established under Massachusetts law. This Separate
Account has four divisions. They are:
. The Equity Division. Amounts credited to this
division are invested in shares of MML Equity
Fund, or its successor. This Fund invests
primarily in common stocks and other equity
securities.
. The Money Market Division. Amounts credited to
this division are invested in shares of MML
Money Market Fund, or its successor. This Fund
invests primarily in short-term debt
instruments.
. The Managed Bond Division. Amounts credited to
this division are invested in shares of MML
Managed Bond Fund, or its successor. This Fund
invests primarily in fixed-income securities.
. The Blend Division. Amounts credited to this
division are invested in shares of MML Blend
Fund, or its successor. This Fund may invest
in:
. Common stocks and other equity
securities;
. Money market instruments and other debt
securities with maturities generally not
exceeding one year; and
. Bonds and other debt securities with
maturities generally exceeding one year.
We have the right to establish additional divisions
of the Separate Account from time to time. Amounts
credited to any additional divisions established
would be invested in shares of other Funds. For any
division, we have the right to substitute new
Funds.
Values in any division are variable and are not
guaranteed. They depend on the investment results
of the Separate Account shown on the Schedule Page.
Valuation Date And Variable values are determined on each valuation
Valuation Period date. A valuation date is any date on which the
New York Stock Exchange (or its successor) is open
for trading. A valuation period is the period of
time from the end of one valuation date to the end
of the next valuation date.
Accumulation Units And Accumulation units are used to measure the
Annuity Units variable values on or before the maturity date of
this contract. Annuity units are used to
determine the amount of each payment of Variable
Monthly Income after those payments have begun.
The value of any unit can vary from valuation
date to valuation date. That value reflects the
investment performance of the division of the
Separate Account applicable to that unit.
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Purchase Of The amount of each net purchase payment we receive
Accumulation Units for allocation to the Separate Account will be
applied to purchase accumulation units. The amount
applied will be apportioned among the divisions of
the Separate Account, as directed in the
application. This apportionment will remain in
effect until changed by any later written
direction satisfactory to us and received at our
Home Office.
Date Of Purchase Accumulation units will be purchased in any
division of the Separate Account as of the
valuation date which is on or next follows the
date the purchase payment is received by us, but
not earlier than the Contract Date. However, if
any purchase payment is received other than by
mail at our Home Office after the time set for
valuation of the Separate Account, that purchase
payment will be deemed to have been received on
the next day. Accumulation units will be purchased
at the unit value on the date of purchase. The
number of units purchased will be the amount
applied divided by the accumulation unit value on
the date of purchase.
Example: The amount applied is $550. The date of
purchase is June 10, 19X4. The
accumulation unit value on that date is
$10. The number of units purchased would
be 55. ($550 divided by $10 = 55). If,
instead, the unit value was $11, then the
amount applied would purchase 50 units.
($550 divided by $11 = 50).
Variable Value Of The value of the accumulation units credited to
Contract this contract in a division of the Separate
Account is equal to the accumulation unit value in
that division on the date the value is determined,
multiplied by the number of those units in that
division.
The variable value of this contract on any date is
the total of the values of this contract in each
division of the Separate Account.
The Guaranteed The Guaranteed Principal Account is part of our
Principal Account general account. It has no connection with, and
does not depend on, the investment performance of
the Separate Account.
We have the right to establish additional
guaranteed principal accounts from time to time.
Fixed Value Of Contract The fixed value of this contract is the
accumulation at interest of:
. The net purchase payments which are allocated
for this contract to the Guaranteed Principal
Account; plus
. Any amounts transferred into the Guaranteed
Principal Account for this contract from the
Separate Account; less
. Any redemptions and transfers from the
Guaranteed Principal Account for this
contract; and less
. Any administrative charges taken from the
Guaranteed Principal Account for this
contract.
Interest On Fixed Value The fixed value of this contract earns interest at
not less than an annual rate of 3 1/2%. We may
credit a higher interest rate for any period of
time. Interest is credited daily to and including
the date the fixed value is determined upon
redemption, transfer, maturity, or death.
Accumulated Value Of The accumulated value of this contract on any date
Contract is the variable value plus the fixed value, both
determined as of that date.
Administrative Charge An administrative charge will be assessed each year
on the Contract Anniversary Date. The amount of
this charge will be determined each year by us.
However, it will not be greater than $50, or any
lower limit required by law.
Each charge, when it is assessed, will be taken
from the sources set forth below and in the order
shown until the charge has been satisfied.
First, the Managed Bond Division of the Separate
Account. Second, the Blend Division of the Separate
Account. Third, the Equity Division of the Separate
Account. Fourth, the Money Market Division of the
Separate Account. Fifth, the Guaranteed Principal
Account.
If the administrative charge, or any part thereof,
is to be deducted from the Guaranteed Principal
Account, the amount deducted from that Account will
be the lesser of:
. The administrative charge, or part thereof,
not deducted from the Separate Account; or
. One percent of the value of the Guaranteed
Principal Account (before the deduction is
made) on the Contract Anniversary Date on
which the administrative charge is assessed.
For divisions of the Separate Account, the charge
will be made by a reduction in the number of
accumulation units this contract has in that
division. For the Guaranteed Principal Account, the
charge will be made by a reduction in the fixed
value this contract has in that Account.
The yearly administrative charge discussed in this
provision is in addition to any charge for
administrative expenses contained in the asset
charge discussed in the Net Investment Factor
provision in Part 7.
Deductions For Sales Sales charges are not deducted from purchase
Charges payments when received by us. Instead, we may make
deductions for sales charges from amounts payable
upon full or partial redemption of this contract.
We may also make deductions for sales charges from
the maturity value on the maturity date of this
contract.
There are, however, three limits on the deduction
for sales charges. These limits are discussed in
the next three paragraphs.
The amount we deduct for sales charges at any time,
plus any sales charges previously deducted, will
not be more than 8 1/2% of the total purchase
payments made to that time.
On the first redemption in each Contract Year, and
on maturity if no partial redemption has been made
in the Contract Year of maturity, no sales charge
will be deducted on an amount up to 10% of the
accumulated value of the contract on the date of
redemption or maturity. This 10% limit is not
cumulative. That is, any unused portion of this
limit cannot be carried over to any later
redemption or maturity.
No sales charges will be deducted if, at the
Annuitant's actual age 59 1/2 or older, the entire
redemption value or maturity value is:
. Applied under Payment Option C, E or F, either
variable or fixed.
. Applied under Payment Option B, either
variable or fixed, with payments for 10 years
or more.
. Applied to purchase a single premium immediate
life annuity sold by us or any of our
subsidiary companies.
. Applied to purchase a single premium immediate
annuity certain, with payments for 10 years or
more, sold by us or any of our subsidiary
companies.
Amount Of Sales Charge Subject to the limits discussed above, the amount
of any sales charge depends on when the contract is
matured or the redemption is made. It will be a
percent of the accumulated value of the contract at
maturity or the amount being redeemed. These
percents are:
Contract Year Percent Contract Year Percent
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First 8% Sixth 4%
Second 8% Seventh 3%
Third 7% Eighth 2%
Fourth 6% Ninth 1%
Fifth 5% Tenth and later 0%
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Part 4. Life Benefits
A variable annuity contract provides a maturity
benefit if the Annuitant is living on the maturity
date and the contract is in force at that time. It
provides a death benefit if the Annuitant dies
before the maturity date while the contract is in
force. There are other rights and benefits
available under this contract. These "Life
Benefits" are discussed in this Part.
Contract Ownership
Rights Of Owner While the Annuitant is living, the Owner may
exercise all rights given by this contract or
allowed by us. These rights include assigning this
contract, changing Beneficiaries, changing
ownership, enjoying all contract benefits and
exercising all contract options. The consent of any
Irrevocable Beneficiary is needed to exercise any
contract right.
Assigning This Contract This contract may be assigned. But for any
assignment to be binding on us, we must receive a
signed copy of it at our Home Office. We will not
be responsible for the validity of any assignment.
Once we receive a signed copy, the rights of the
Owner and the interest of any Beneficiary or any
other person will be subject to the assignment.
Changing The Owner, The Owner, the Payee or Beneficiary may be changed
Payee Or Beneficiary while the Annuitant is living. We do not limit the
number of changes that may be made. To make a
change, a written request, satisfactory to us, must
be received at our Home Office. The change will
take effect as of the date the request is signed,
even if the Annuitant dies before we receive it.
Each change will be subject to any payment we made
or other action we took before receiving the
request.
Transfers Of Values Transfers of values may be made upon written
direction received at our Home Office. These
transfers are:
. Transfers of values between divisions of the
Separate Account. These transfers will be made
by cancelling all or part of the accumulation
units in a division and applying the value of
the cancelled units to purchase units in any
other division.
. Transfers of values from one or more divisions
of the Separate Account to the Guaranteed
Principal Account. These transfers will be
made by cancelling all or part of the
accumulation units in a division and applying
the value of the cancelled units to the
Guaranteed Principal Account.
. Transfers of values from the Guaranteed
Principal Account to one or more divisions of
the Separate Account. These transfers will be
made by applying all or part of the value in
the Guaranteed Principal Account to purchase
accumulation units in one or more divisions of
the Separate Account.
Unit values will be determined as of the valuation
date which is on or next follows the date the
written direction is received at our Home Office.
Limitations On Transfers of values out of the Guaranteed Principal
Transfers Account to the Separate Account are limited to one
in each Contract Year. The maximum value of any
transfer from the Guaranteed Principal Account is
25% of the fixed value of this contract on the date
the transfer is made. However, we reserve the right
to further limit any transfer from the Guaranteed
Principal Account during any Contract Year so that
the sum of:
. That transfer; and
. All previous and concurrent partial
redemptions from the Guaranteed Principal
Account during that Contract Year;
cannot be more than 25% of the fixed value of this
contract on the date of the first such transfer or
partial redemption during that Contract Year.
We reserve the right to limit all transfers to not
more than one every 90 days. We also reserve the
right to prohibit transfers from the Guaranteed
Principal Account to the Money Market Division of
the Separate Account.
Transfers cannot be made within 30 days before this
contract matures.
Redeeming This Contract
Right To Redeem This contract may be redeemed for its cash
redemption value any time before it matures and
while the Annuitant is living. Redemption will be
effective on the date we receive this contract and
a written redemption request, satisfactory to us,
at our Home Office. A later effective date may be
elected in the redemption request.
Cash Redemption Value The cash redemption value of this contract is the
accumulated value on the valuation date which is on
or next follows the effective date of redemption
less any deductions for sales charges and less any
premium tax we deduct at that time. The accumulated
value of this contract is described in "Part 3.
Accounts, Values And Charges".
Partial Redemptions Partial redemptions may be made at any time before
this contract matures and while the Annuitant is
living. The request for a partial redemption must
state the Account (or Accounts) from which the
partial redemption will be made. For any partial
redemption from the Separate Account, the request
must also state the division (or divisions) from
which redemption will be made.
Partial redemptions from the Guaranteed Principal
Account will be made by reducing the value in that
Account to provide the partial redemption including
any sales charge deduction that applies to that
redemption. Partial redemptions from a division (or
divisions) of the Separate Account will be made by
cancelling a sufficient number of accumulation
units to provide the partial redemption including
any sales charge deduction that applies to that
redemption.
Any partial redemption will be subject to the
limits set forth below.
. Any partial redemption must be for at least
$500.
. The accumulated value of the contract
remaining after a partial redemption must be
at least $500.
We reserve the right to limit any partial
redemption from the Guaranteed Principal Account
during any Contract year so that the sum of:
. That partial redemption; and
. All previous partial redemptions from the
Guaranteed Principal Account during that
Contract Year; and
. Any previous or concurrent transfer from the
Guaranteed Principal Account during that
Contract Year;
cannot be more than 25% of the fixed value of this
contract on the date of the first such transfer or
partial redemption during that Contract Year.
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Redemption Or If, at any time, the Credited Interest Rate falls
Maturity Without below the Specified Interest Rate, this contract may
Charge be redeemed or matured without any deduction for sales
charges.
For the purpose of this provision, the following
definitions apply:
. Credited Interest Rate means the annual
equivalent of the interest rate credited to the
Guaranteed Principal Account.
. Specified Interest Rate means the Treasury Xxxx
Index (as described below) reduced by 1.40%.
On the 15th day of March, June, September, and
December, we determine the Treasury Xxxx Index to be
effective during the period beginning on the first day
of the next calendar quarter and ending on the last
day of that quarter. The Index is equal to the
arithmetic average of the discount rates established
at the regular weekly auctions of 91-day United States
Treasury Bills. Auctions occurring during the period
beginning with the 16th day of the last month of the
preceding calendar quarter and ending with the 15th
day of the last month of the current calendar quarter
are used to determine this average.
Example: On March 15, 19X2 we determine that the
Treasury Xxxx Index for the period December
16, 19X1 through March 15, 19X2 is 10.5%. We
reduce the index by 1.40%. The Specified
Interest Rate for the calendar quarter
beginning April 1, 19X2 and ending June 30,
19X2 is 9.10%.
If the regular auction program for 91-day Treasury
Bills is discontinued, we will, with the approval of
the insurance supervisory official of the state where
this contract was delivered, use a comparable index.
Within 10 days following the date that the Credited
Interest Rate falls below the Specified Interest Rate,
we will send a written notice to the Owner at the last
known address shown on our records stating that
redemption or maturity without charge can be elected
until further notice.
If the Credited Interest Rate once again becomes equal
to or greater than the Specified Interest Rate, we
will send a second written notice to the Owner at the
last known address shown on our records. This second
written notice will state that the opportunity to
redeem or mature without charge will end 60 days from
the date the second written notice was sent.
Any redemption or maturity elected under this
provision must become effective before the end of 60
days from the date the second written notice was sent.
When And How We Pay Any partial redemption made will be paid in one sum.
However, if the entire contract is redeemed, the cash
redemption value may be paid in one sum, or it may be
applied under any payment option elected. See "Part 6.
Payment Options".
We will pay all redemptions within seven days after
the written request for the redemption is received by
us at our Home Office. However:
. For redemptions from the Separate Account, this
time period is subject to any extension permitted
under federal laws, rules and regulations which
apply to redemption of variable annuity
contracts.
. For redemptions from the Guaranteed Principal
Account, we may delay payment for up to six
months from the date the request is received by
us at our Home Office. If payment is delayed 30
days or more, we will add interest at an annual
rate of 3%.
Right To Change The Maturity Date
Electing An Early Before this contract matures and while it is in force,
Maturity Date the maturity date may be changed to any date that is
earlier than the maturity date then in effect. To
elect an earlier maturity date, we require that a
written election for the change be received at our
Home Office at least 30 days before the early maturity
date wanted.
Electing A Later Before this contract matures and while it is in force,
Maturity Date the maturity date may be changed to any date that is
later than the maturity date then in effect. However,
that later maturity date must be on or before the
Contract Anniversary Date nearest the Annuitant's 85th
birthday. To elect a later maturity date, we require
that a written election be received at our Home Office
within 90 days before the maturity date then in
effect. Any rider this contract has will be cancelled
when the change is made.
Other Provisions Regarding Life Benefits
Periodic Statements While this contract is in force before the maturity
date, or the Annuitant's death if earlier, we will
send a Status Report to the Owner at least
semiannually. This Report will show:
. The number of accumulation units in each
division of the Separate Account; and
. The accumulation unit value in each division of
the Separate Account; and
. The variable value of this contract; and
. The fixed value of this contract; and
. The accumulated value of this contract.
All this information will be as of a date which is not
more than 45 days before the date the Status Report is
mailed.
We will also give the Owner any other periodic
reports, containing information about this contract,
that may be required by federal or state law.
Receipt Of Papers Any written directions, requests or other papers
received other than by mail at our Home Office after
the time set for valuation of the Separate Account
will be deemed to have been received the next day.
Contract Is Not "Not participating" means that this contract does not
Participating share in any distribution of our divisible surplus.
Part 5. Maturity Benefit And Death Benefit
The maturity benefit is the payment we will make when
this contract matures if the Annuitant is living at
that time. The death benefit is the amount of money we
will pay when we receive due proof at our Home Office
that the Annuitant has died before the contract
matures. These benefits are discussed in this Part.
Maturity Benefit
Maturity Value The maturity value is the accumulated value of this
contract on the valuation date which is on or next
follows the maturity date with these deductions:
. Any premium tax we deduct at that time.
. Any deduction for sales charges that applies.
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Monthly Life Income When this contract matures, the maturity value will be
applied to provide a monthly life income under
Variable Payment Option C, as described in "Part 6.
Payment Options". This income will be based on the
life of the Annuitant and will be paid for the
lifetime of the Annuitant. The first payment is due on
the maturity date. Future payments will be due on the
same day of the month as the maturity date. The final
payment will be the last one due before the
Annuitant's death.
There is a guarantee as to the first 120 income
payments. If the Annuitant dies before all these
payments are made, we will continue to make payments
until 120 income payments have been made.
Alternate Settlements At There are other settlements available when this
Maturity contract matures. That is, the Owner may elect to have
the maturity value applied under any other payment
option discussed in Part 6, or paid in one sum.
In any case, if an assignment of this contract is in
effect on the maturity date, we have the right to pay
the maturity value in one sum. Any amount due the
assignee will be paid to the assignee. The balance, if
any, will be paid to the Owner.
Restriction On Rights The Annuitant cannot assign, transfer or place any
restriction on this contract without the Owner's
written consent. No income payment under this contract
can be assigned, transferred or taken in advance of
its due date, and the right to receive any income
payments cannot be restricted, without the Owner's
written consent. In any case, the Owner's written
consent must be given before the Annuitant dies and
must be received at our Home Office.
Death Benefit
Amount Of Death If the Annuitant dies before this contract matures and
Benefit while it is in force, the death benefit will be the
greater of:
. The total of all purchase payments made, less
the amount of any partial redemptions, or
. The accumulated value of this contract on the
valuation date which is on or next follows the
date proof of death is received at our Home
Office,
less, in either case, any premium tax we deduct at
that time.
Interest On Maturity Or Death Benefit
Interest Payable If the maturity value is paid in one sum after this
contract matures, we will add interest from the
valuation date which is on or next follows the
maturity date to the date of payment. If the death
benefit is paid in one sum, we will add interest from
the valuation date which is on or next follows the
date proof of death is received to the date of
payment.
If the death benefit is applied under a payment
option, interest will be paid from the valuation date
which is on or next follows the date written notice of
death is received to the effective date of that
option. It will be paid in one sum to the Beneficiary
living on the effective date.
In all cases, the amount of interest will be the
greater of:
. The same as would be paid under Option D of the
payment options for the applicable period of
time. See "Part 6. Payment Options" for a
description of Option D.
. The same as would be earned by the Money Market
Division of the Separate Account, adjusted to
remove mortality and expense risk charges, for
the applicable period of time.
Part 6. Payment Options
These are Optional Methods of Settlement. They provide
alternate ways in which payment can be made. This
contract provides Fixed Income payment options. It
also provides Variable Income payment options. These
two types of options are discussed below. Any other
payment option agreed to by us may be elected.
Fixed Income Payment A Fixed Income payment option is one which provides
Options payments that are guaranteed by us under our general
account. The amounts of these payments do not depend
on the investment performance of the Separate Account.
All the payment options described in this Part are
available on a Fixed Income basis. They are described
in terms of monthly payments. However, annual,
semiannual or quarterly payments may be requested
instead. The amount of these payments will be
determined in a way which is consistent with monthly
payments and will be quoted on request.
Variable Income A Variable Income payment option is one which provides
Payment Options that payments are not guaranteed as to dollar amount.
Instead, they are based on the investment performance
of the Separate Account. Payment options B, C, E and F
are available on a Variable Income basis. Payment can
only be made monthly. The manner in which the dollar
amounts of Variable Income payments are computed is
set forth in "Part 7. Notes On Our Computations".
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Availability Of Payment All or part of the death benefit, the maturity value
Options or the cash redemption value may be applied under any
payment option. If the contract is assigned, any
amount due to the assignee will be paid in one sum.
The balance, if any, may be applied under any payment
option.
If the Schedule Page shows that this contract was
issued on a unisex rate basis, the female rates shown
in the Option C, E and F Tables apply in all cases.
The male rates in those Tables do not apply to unisex
rate contracts.
Minimum Amounts If the amount to be applied under any option is less
than $2,000, we may pay that amount in one sum
instead. If payments under a Fixed Income option
amount to less than $20 each, we have the right to
make payments at less frequent intervals. If the first
payment under a Variable Income option amounts to less
than $20, we have the right to make a one sum payment.
Option A Fixed Income Payment Option (Not available as a
Variable Income option). Each monthly payment will be
for an agreed fixed amount. The amount of each payment
may not be less than $10 for each $1,000 applied.
Interest will be credited each month on the unpaid
balance and added to it. This interest will be at a
rate determined by us, but not less than the
equivalent of 3% per year. Payments continue until the
amount we hold runs out. The last payment will be for
the balance only.
Option B Fixed Time Payment Option (Available as a Fixed Income
option and as a Variable Income option). For either
option, monthly payments will be made for any period
selected, up to 30 years. For Fixed Income Option B,
the monthly payments are equal. They depend on the
total amount applied, the period selected and the
monthly payment rates we are using when the first
payment is due. The rate for any payment will not be
less than shown in the Fixed Income Option B Table.
For Variable Income Option B, the payments are not
guaranteed as to amount and may vary during the period
selected. The Variable Income Option B Table shows the
first monthly payment for each $1,000 applied.
Fixed Income Option B Table
Minimum Monthly Payment Rates For Each $1,000 Applied
Monthly Monthly
Years Payment Years Payment
1 $84.47 16 $6.53
2 42.86 17 6.23
3 28.99 18 5.96
4 22.06 19 5.73
5 17.91 20 5.51
6 15.14 21 5.32
7 13.16 22 5.15
8 11.68 23 4.99
9 10.53 24 4.84
10 9.61 25 4.71
11 8.86 26 4.59
12 8.24 27 4.47
13 7.71 28 4.37
14 7.26 29 4.27
15 6.87 30 4.18
For quarterly payment, multiply by
2.993. For semiannual payment, multiply
by 5.963. For annual payment, multiply
by 11.839.
Variable Income Option B Table
Monthly Payment Rates For First Payment For Each
$1,000 Applied, Based On 4% Assumed Investment Rate
Monthly Monthly
Years Payment Years Payment
1 $84.84 16 $7.00
2 43.25 17 6.71
3 29.40 18 6.44
4 22.47 19 6.21
5 18.32 20 6.00
6 15.56 21 5.81
7 13.59 22 5.64
8 12.12 23 5.49
9 10.97 24 5.35
10 10.06 25 5.22
11 9.31 26 5.10
12 8.69 27 5.00
13 8.17 28 4.90
14 7.72 29 4.80
15 7.34 30 4.72
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Option C Lifetime Payment Option (Available as a Fixed Income
option and as a Variable Income option). For Fixed
Income Option C, the monthly payments are equal. For
Variable Income Option C, the payments are not
guaranteed as to amount and may vary. For either
option, the payments are based on the life of a named
person. Payments will continue for the life of that
person. The three variations are:
(1) Payments for life only. No specific number of
payments is guaranteed. Payments stop when the named
person dies.
(2) Payments guaranteed for amount applied. Payments
stop when they equal the amount applied or when the
named person dies, whichever is later. For Fixed
Income Option C, "amount applied" means the dollar
amount used to provide the income. For Variable Income
Option C, "amount applied" means a number of monthly
payments. This number is equal to the dollar amount
used to provide the income divided by the dollar
amount of the first monthly payment.
(3) Payments guaranteed for 5 or 10 years. Payments
stop at the end of the selected guaranteed period or
when the named person dies, whichever is later.
The Fixed Income Option C Table shows the minimum
monthly payment for each $1,000 applied. The Variable
Income Option C Table shows the minimum amount of the
first monthly payment for each $1,000 applied. The
actual payments will be based on the monthly payment
rates we are using when the first payment is due. They
will not be less than shown in the Table.
Fixed Income Option C Table
Minimum Monthly Payment Rates For Each $1,000 Applied
Payments Payments Guaranteed For
Age* For Life Amount 5 10 20
Male Female Only Applied Years Years Years
35 40 $3.30 $3.25 $3.29 $3.28 $3.27
40 45 3.47 3.41 3.46 3.45 3.43
45 50 3.69 3.60 3.68 3.67 3.62
50 55 3.96 3.83 3.95 3.93 3.85
55 60 4.31 4.13 4.30 4.27 4.14
60 65 4.77 4.49 4.75 4.70 4.44
65 70 5.41 4.96 5.38 5.26 4.77
70 75 6.30 5.56 6.21 5.96 5.07
75 80 7.50 6.31 7.30 6.77 5.30
80 85 9.16 7.29 8.72 7.64 5.43
85 11.48 8.54 10.46 8.44 5.49
*Age on birthday nearest the due date of the first payment. Monthly payment
rates for ages not shown will be furnished on request. Monthly payment rates for
ages over 85 are the same as those for 85.
Variable Income Option C Table
Minimum Monthly Payment Rates For First Payment For Each
$1,000 Applied, Based On 4% Assumed Investment Rate
Payments Payments Guaranteed For
Adjusted For Life Amount 5 10
Age* Only Applied Years Years
M F M F M F M F
40 $4.11 $3.92 $4.04 $3.87 $4.10 $3.91 $4.09 $3.90
45 4.31 4.07 4.20 4.01 4.30 4.06 4.28 4.05
50 4.55 4.26 4.40 4.18 4.54 4.25 4.51 4.23
55 4.85 4.50 4.64 4.39 4.83 4.49 4.78 4.47
60 5.22 4.82 4.94 4.66 5.19 4.80 5.11 4.77
65 5.70 5.23 5.31 5.00 5.66 5.21 5.53 5.15
70 6.35 5.80 5.79 5.44 6.28 5.76 6.06 5.65
75 7.23 6.59 6.40 6.00 7.08 6.52 6.70 6.28
80 8.42 7.68 7.19 6.68 8.14 7.50 7.45 7.01
85 10.07 9.10 8.21 7.47 9.51 8.70 8.25 7.72
*Age on birthday nearest the due date of the first
payment, adjusted according to the table in the
Basis Of Computation provision in Part 7. Monthly
payment rates for adjusted ages not shown will be
furnished on request. Monthly payment rates for
adjusted ages over 85 are the same as those for
85.
Option D Interest Payment Option (Not available as a Variable
Income option). We will hold any amount applied under
this option. Interest on the unpaid balance will be
paid each month at a rate determined by us. This rate
will not be less than the equivalent of 3% per year.
Option E Joint Lifetime Payment Option (Available as a Fixed
Income option and as a Variable Income option). For
Fixed Income Option E, the monthly payments are equal.
For Variable Income Option E, the payments are not
guaranteed as to amount and may vary. For either
option, the payments are based on the lives of two
named persons. While both are living, one payment will
be made each month. When one dies, payments continue
for the lifetime of the other. The two variations are:
(1) Payments for two lives only. No specific number of
payments is guaranteed. Payments stop when both
persons have died.
(2) Payments guaranteed for 10 years. Payments stop at
the end of 10 years, or when both named persons have
died, whichever is later.
The Fixed Income Option E Table shows the minimum
monthly payment for each $1,000 applied. The Variable
Income Option E Table shows the minimum amount of the
first monthly payment for each $1,000 applied. The
actual payments will be based on the monthly rates we
are using when the first payment is due. They will not
be less than shown in the Table.
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Fixed Income Option E Table
Minimum Monthly Payment Rates For Each $1,000 Applied
Payments For Two Lives Only
M50 M55 M60 M65 M70 M75
Age* F55 F60 F65 F70 F75 F80
M F
50 55 $3.53 $3.64 $3.72 $3.80 $3.85 $3.89
55 60 3.64 3.78 3.91 4.03 4.12 4.18
60 65 3.72 3.91 4.10 4.27 4.42 4.54
65 70 3.80 4.03 4.27 4.52 4.76 4.97
70 75 3.85 4.12 4.42 4.76 5.11 5.44
75 80 3.89 4.18 4.54 4.97 5.44 5.92
80 85 3.91 4.23 4.63 5.12 5.71 6.36
Payments Guaranteed For 10 Years
M50 M55 M60 M65 M70 M75
Age* F55 F60 F65 F70 F75 F80
M F
50 55 $3.52 $3.63 $3.71 $3.79 $3.84 $3.88
55 60 3.63 3.77 3.90 4.02 4.11 4.17
60 65 3.71 3.90 4.09 4.26 4.41 4.53
65 70 3.79 4.02 4.26 4.51 4.75 4.94
70 75 3.84 4.11 4.41 4.75 5.08 5.38
75 80 3.88 4.17 4.53 4.94 5.38 5.82
80 85 3.90 4.22 4.61 5.08 5.62 6.19
* Age on the birthday nearest the due date of the first payment. Monthly
payment rates for ages not shown will be furnished on request. Monthly payment
rates for ages over 85 are the same as those for 85.
Variable Income Option E Table
Minimum Monthly Payment Rates For First Payment For Each
$1,000 Applied, Based On 4% Assumed Investment Rate
Payments For Two Lives Only - Both Males
Adjusted
Age* M 50 M 55 M 60 M 65 M 70 M 75 M 80 M 85
M 50 $4.05 $4.14 $4.22 $4.29 $4.35 $4.40 $4.45 $4.48
M 55 4.14 4.25 4.35 4.45 4.54 4.62 4.69 4.74
M 60 4.22 4.35 4.49 4.63 4.76 4.88 4.98 5.05
M 65 4.29 4.45 4.63 4.81 5.00 5.17 5.32 5.44
M 70 4.35 4.54 4.76 5.00 5.25 5.49 5.72 5.91
M 75 4.40 4.62 4.88 5.17 5.49 5.83 6.16 6.46
M 80 4.45 4.69 4.98 5.32 5.72 6.16 6.63 7.08
M 85 4.48 4.74 5.05 5.44 5.91 6.46 7.08 7.74
(Continued)
Payments For Two Lives Only - Both Females
Adjusted
Age* F 50 F 55 F 60 F 65 F 70 F 75 F 80 F 85
F 50 $3.90 $3.97 $4.04 $4.09 $4.14 $4.17 $4.20 $4.22
F 55 3.97 4.07 4.15 4.23 4.30 4.36 4.40 4.43
F 60 4.04 4.15 4.27 4.39 4.49 4.58 4.65 4.70
F 65 4.09 4.23 4.39 4.55 4.70 4.84 4.95 5.04
F 70 4.14 4.30 4.49 4.70 4.91 5.12 5.30 5.45
F 75 4.17 4.36 4.58 4.84 5.12 5.42 5.70 5.93
F 80 4.20 4.40 4.65 4.95 5.30 5.70 6.10 6.46
F 85 4.22 4.43 4.70 5.04 5.45 5.93 6.46 6.98
Payments For Two Lives Only - One Male, One Female
Adjusted
Age* F 50 F 55 F 60 F 65 F 70 F 75 F 80 F 85
M 50 $3.97 $4.06 $4.15 $4.23 $4.30 $4.37 $4.42 $4.46
M 55 4.03 4.14 4.26 4.37 4.48 4.57 4.64 4.71
M 60 4.08 4.22 4.37 4.52 4.66 4.80 4.91 5.00
M 65 4.13 4.29 4.47 4.66 4.86 5.05 5.22 5.36
M 70 4.16 4.35 4.56 4.80 5.06 5.33 5.57 5.78
M 75 4.19 4.39 4.63 4.92 5.25 5.60 5.95 6.26
M 80 4.21 4.43 4.69 5.01 5.41 5.86 6.34 6.79
M 85 4.23 4.45 4.73 5.09 5.54 6.09 6.70 7.32
Payments Guaranteed For 10 Years - Two Males
Adjusted
Age* M 50 M 55 M 60 M 65 M 70 M 75 M 80 M 85
M 50 $4.04 $4.13 $4.21 $4.28 $4.34 $4.39 $4.44 $4.47
M 55 4.13 4.24 4.34 4.44 4.53 4.61 4.67 4.72
M 60 4.21 4.34 4.48 4.62 4.75 4.86 4.95 5.02
M 65 4.28 4.44 4.62 4.80 4.98 5.15 5.28 5.39
M 70 4.34 4.53 4.75 4.98 5.22 5.46 5.66 5.83
M 75 4.39 4.61 4.86 5.15 5.46 5.77 6.07 6.32
M 80 4.44 4.67 4.95 5.28 5.66 6.07 6.48 6.85
M 85 4.47 4.72 5.02 5.39 5.83 6.32 6.85 7.35
Payments Guaranteed For 10 Years - Two Females
Adjusted
Age* F 50 F 55 F 60 F 65 F 70 F 75 F 80 F 85
F 50 $3.89 $3.96 $4.03 $4.08 $4.13 $4.16 $4.19 $4.21
F 55 3.96 4.06 4.14 4.22 4.29 4.35 4.39 4.42
F 60 4.03 4.14 4.26 4.38 4.48 4.57 4.64 4.69
F 65 4.08 4.22 4.38 4.54 4.69 4.83 4.94 5.02
F 70 4.13 4.29 4.48 4.69 4.90 5.11 5.28 5.41
F 75 4.16 4.35 4.57 4.83 5.11 5.39 5.65 5.86
F 80 4.19 4.39 4.64 4.94 5.28 5.65 6.01 6.31
F 85 4.21 4.42 4.69 5.02 5.41 5.86 6.31 6.72
(Continued)
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Payments Guaranteed For 10 Years - One Male, One Female
Adjusted
Age* F 50 F 55 F 60 F 65 F 70 F 75 F 80 F 85
M 50 $3.96 $4.05 $4.14 $4.22 $4.29 $4.36 $4.41 $4.45
M 55 4.02 4.13 4.25 4.36 4.47 4.56 4.63 4.69
M 60 4.07 4.21 4.36 4.51 4.65 4.79 4.89 4.97
M 65 4.12 4.28 4.46 4.65 4.85 5.04 5.19 5.31
M 70 4.15 4.34 4.55 4.79 5.05 5.30 5.53 5.71
M 75 4.18 4.38 4.62 4.91 5.23 5.56 5.88 6.14
M 80 4.20 4.42 4.68 5.00 5.38 5.80 6.23 6.59
M 85 4.22 4.44 4.72 5.06 5.50 6.00 6.53 7.00
* Age on birthday nearest the due date of the first payment,
adjusted according to the table in the Basis Of Computation
provision in Part 7. Monthly payment rates for adjusted ages not
shown will be furnished on request. Monthly payment rates for
adjusted ages over 85 are the same as those for 85.
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Option F Joint Lifetime Payment Option With Reduced Payments (Available
as a Fixed Income option and as a Variable Income option).
Monthly payments are based on the lives of two named persons.
Payments will continue while both are living. When one dies,
reduced payments will continue for the lifetime of the other.
These reduced payments will be two-thirds of what they would
have been if both persons had continued to live. Payments stop
when both persons have died.
The Fixed Income Option F Table shows the minimum monthly
payment for each $1,000 applied. The Variable Income Option F
Table shows the minimum amount of the first monthly payment for
each $1,000 applied. The actual payments will be based on the
rates we are using when the first payment is due. They will not
be less than shown in the Table.
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Fixed Income Option F Table
Minimum Monthly Payment Rates For Each $1,000 Applied
Payments For Two Lives Only
M50 M55 M60 M65 M70 M75
Age* F55 F60 F65 F70 F75 F80
M F
50 55 $3.80 $3.94 $4.10 $4.28 $4.47 $4.66
55 60 3.94 4.11 4.30 4.51 4.73 4.96
60 65 4.10 4.30 4.52 4.77 5.05 5.33
65 70 4.28 4.51 4.77 5.08 5.42 5.77
70 75 4.47 4.73 5.05 5.42 5.85 6.30
75 80 4.66 4.96 5.33 5.77 6.30 6.88
80 85 4.86 5.19 5.61 6.13 6.77 7.51
* Age on the birthday nearest the due date of the first payment. Monthly
payment rates for ages not shown will be furnished on request. Monthly
payment rates for ages over 85 are the same as those for 85.
--------------------------------------------------------------------------
--------------------------------------------------------------------------------
Variable Income Option F Table
Minimum Monthly Payment Rates For First Payment For Each
$1,000 Applied, Based On 4% Assumed Investment Rate
Payments For Two Lives Only - Both Males
Adjusted
Age* M 50 M 55 M 60 M 65 M 70 M 75 M 80 M 85
M 50 $4.37 $4.49 $4.62 $4.77 $4.94 $5.13 $5.33 $5.53
M 55 4.49 4.63 4.78 4.95 5.14 5.35 5.57 5.81
M 60 4.62 4.78 4.95 5.15 5.37 5.61 5.87 6.14
M 65 4.77 4.95 5.15 5.37 5.63 5.92 6.22 6.54
M 70 4.94 5.14 5.37 5.63 5.94 6.28 6.65 7.04
M 75 5.13 5.35 5.61 5.92 6.28 6.69 7.15 7.65
M 80 5.33 5.57 5.87 6.22 6.65 7.15 7.72 8.35
M 85 5.53 5.81 6.14 6.54 7.04 7.65 8.35 9.15
Payments For Two Lives Only - Both Females
Adjusted
Age* F 50 F 55 F 60 F 65 F 70 F 75 F 80 F 85
F 50 $4.12 $4.23 $4.34 $4.47 $4.61 $4.78 $4.97 $5.15
F 55 4.23 4.34 4.47 4.61 4.78 4.97 5.18 5.38
F 60 4.34 4.47 4.62 4.78 4.98 5.19 5.43 5.66
F 65 4.47 4.61 4.78 4.98 5.20 5.46 5.73 6.00
F 70 4.61 4.78 4.98 5.20 5.47 5.78 6.11 6.44
F 75 4.78 4.97 5.19 5.46 5.78 6.15 6.56 6.98
F 80 4.97 5.18 5.43 5.73 6.11 6.56 7.07 7.60
F 85 5.15 5.38 5.66 6.00 6.44 6.98 7.60 8.27
Payments For Two Lives Only - One Male, One Female
Adjusted
Age* F 50 F 55 F 60 F 65 F 70 F 75 F 80 F 85
M 50 $4.24 $4.35 $4.48 $4.63 $4.80 $5.00 $5.21 $5.42
M 55 4.35 4.48 4.62 4.79 4.98 5.20 5.44 5.68
M 60 4.46 4.61 4.77 4.96 5.18 5.44 5.71 5.98
M 65 4.59 4.75 4.94 5.16 5.42 5.71 6.03 6.36
M 70 4.74 4.92 5.13 5.38 5.69 6.04 6.42 6.81
M 75 4.90 5.10 5.34 5.63 5.98 6.40 6.87 7.36
M 80 5.07 5.29 5.56 5.89 6.30 6.80 7.37 7.98
M 85 5.25 5.49 5.79 6.16 6.63 7.23 7.92 8.68
* Age on birthday nearest the due date of the first payment, adjusted
according to the table in the Basis Of Computation provision in Part 7.
Monthly payment rates for adjusted ages not shown will be furnished on
request. Monthly payment rates for adjusted ages over 85 are the same as
those for 85.
--------------------------------------------------------------------------------
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Electing A Payment To elect any option, we require that a written request,
Option satisfactory to us, be received at our Home Office. The
Owner may elect an option during the Annuitant's
lifetime. If the death benefit is payable in one sum
when the Annuitant dies, the Beneficiary may elect an
option with our consent.
Options for any amount payable to an association,
corporation, partnership or fiduciary are available
with our consent. However, a corporation or partnership
may apply any amount payable to it under Option C, E or
F if the option payments are based on the life or lives
of the Annuitant, the Annuitant's spouse, any child of
the Annuitant, or any other person agreed to by us.
Effective Date And The effective date of an option is the date the amount
Payment Date is applied under that option. For a death benefit, this
is the date that due proof of the Annuitant's death is
received at our Home Office. For a maturity value, it
is the date the contract matures. For the cash
redemption value, it is the effective date of
redemption.
The first payment is due on the effective date, except
that the first payment under Option D is due one month
later. A later date for the first payment may be
requested in the payment option election. All payment
dates will fall on the same day of the month as the
first one. No payment will become due until a payment
date. No part payment will be made for any period
shorter than the time between payment dates.
Example: Monthly payments are being made to your son on
the 1st of each month. He dies on the 10th. No part
payment is due your son or his estate for the period
between the 1st and the 10th.
Withdrawals And If provided in the payment option election, all or part
Changes of the unpaid balance under Options A or D may be
withdrawn or applied under any other option.
If provided in the payment option election, the
commuted value of the future payments under Variable
Income Option B may be withdrawn. In this case, the
number of annuity units that Variable Income Option B
has in each division of the Separate Account will be
commuted at the Assumed Investment Rate. The commuted
units in each division will be multiplied by the
annuity unit value for that division on the date the
commuted value is determined. The commuted value will
be the sum of the values determined for each division
less any deduction for sales charges that applies.
A deduction for sales charges will apply only if:
. No sales charges were deducted when the
redemption or maturity value was applied under
Variable Income Option B; and
. A deduction for sales charges would be made if
this contract was redeemed or matured in one
sum on the date commutation is made; and
. Commutation is made during the lifetime of the
person receiving the Option B payments.
The amount of the sales charge deduction will be the
same as if this contract was redeemed for an amount
equal to the commuted value (before deduction the sales
charge) on the date commutation is made.
Income Protection To the extent permitted by law, each option payment and
any withdrawal shall be free from legal process and the
claim of any creditor of the person entitled to them.
No option payment and no amount held under an option
can be taken or assigned in advance of its payment
date, unless the Owner's written consent is given
before the Annuitant dies. This consent must be
received at our Home Office.
Part 7. Notes On Our Computations
This Part covers some technical points about this
contract.
Net Investment Factor For each division of the Separate Account, the Net
Investment Factor for any valuation period is the gross
investment rate for that period plus 1.00000000 and
minus an asset charge. This asset charge will be not
more than .00003836 for each day of a valuation period.
The Net Investment Factor may be greater or less than
1.00000000.
For each division of the Separate Account, the gross
investment rate for any valuation period is equal to:
. The net earnings of that division during the
valuation period, divided by
. The value of the total assets of that division
at the beginning of the valuation period.
The net earnings of each division are equal to the
accrued investment income and capital gains and losses
(realized and unrealized) of that division reduced by
any amount charged against that division for taxes paid
or reserved for by us. The gross investment rate will
be determined by us in accordance with generally
accepted accounting principals and applicable laws,
rules and regulations. This determination shall be
conclusive upon the Owner, the Annuitant, any
Beneficiary and any assignee and any other person under
this contract.
Accumulation Unit The value of an accumulation unit in each division was
Value set at $1.00000000 on the first valuation date selected
by us. The value on any date thereafter is equal to the
product of the Net Investment Factor for that division
for the valuation period which includes that date and
the value of the corresponding accumulation unit value
on the preceding valuation date.
Annuity Unit Value All annuity unit values in each division were set at
$1.00000000 on the first valuation date selected by us.
The value on any date thereafter is equal to (a) the
Net Investment Factor for that division for the
valuation period which includes that date divided by
(b) the sum of 1.00000000 and the rate of interest for
the number of days in the valuation period, computed at
an effective annual rate equal to the Assumed
Investment Rate, and multiplied by (c) the
corresponding annuity unit value on the preceding
valuation date.
Assumed Investment The Assumed Investment Rate is the annual interest rate
Rate assumed in determining the first payment of variable
payment options. The amount of each subsequent payment
from each division of the Separate Account will depend
on the relationship between the Assumed Investment Rate
and the actual investment performance of that division.
The Assumed Investment Rate will be 4% per annum. If a
4% rate would result in a first variable payment larger
than that permitted under applicable state law, we will
select a lower rate which will comply with that law.
Adjustment Of Units We have the right to split or consolidate the number of
And Values accumulation units or annuity units credited to the
contract, with a corresponding increase or decrease in
the unit values. We may exercise this right whenever we
consider an adjustment of units to be desirable.
However, strict equity will be preserved in making any
adjustment. No adjustment will have any material effect
on the benefits, provisions or investment return of
this contract, or on the Owner, Annuitant, any
Beneficiary, any assignee or other person, or on us.
Payment Calculation Payments under a Variable Income option are calculated
Date on a payment calculation date. That date is the
earliest valuation date which is not more than 10 days
before the due date of the payment.
-22-
-23-
Computing Variable The amount payable from each division of the Separate
Income Payments Account (and which is to be applied to provide variable
income payments) will include a pro-rata share of any
amount payable from the Guaranteed Principal Account
which is to be applied to provide variable income
payments. This amount is multiplied by the rates we are
using for the option as of the date the first payment
is due. For each division, the figure which results is
multiplied by the ratio of the value of an accumulation
unit on the first payment calculation date to the value
of an accumulation unit on the date the first payment
is due. The total of the amount of income determined
for each division is the first payment. It is due on
the first payment date.
Future payments under a Variable Income option are
measured by annuity units. The number of annuity units
in each division is the portion of the first payment
provided by that division divided by the annuity unit
value for that division on the first payment
calculation date.
For payments after the first one, the annuity units in
each division are multiplied by the annuity unit value
on the payment calculation date that applies. The
payment to be made on the payment due date is the sum
of the amounts provided by each division.
Basis Of Computation In computing the minimum payments under Fixed Income
Payment Options C, E and F, we use mortality rates from
the 1983 Table "a" with Projection G for 30 years and
with female rates set back five years.
For Variable Income options C, E and F, we use
mortality rates based on the 1971 Individual Annuity
Mortality Table (1971 IAM) projected to decrease 1 1/2%
annually from 1971. The Variable Income Option C, E and
F Tables are computed for annuitants born in 1942. For
all other years of birth, the mortality improvement is
determined by adjusting the annuitant's age according
to the following table:
Date of Birth Adjustment to Actual Age
1900-1904 +8 Years
1905-1909 +7 Years
1910-1914 +6 Years
1915-1919 +5 Years
1920-1924 +4 Years
1925-1929 +3 Years
1930-1934 +2 Years
1935-1939 +1 Year
1940-1944 +0 Years
1945-1949 -1 Year
1950-1954 -2 Years
1955-1959 -3 Years
1960-1964 -4 Years
1965-1969 -5 Years
1970-1974 -6 Years
1975-1979 -7 Years
1980-1984 -8 Years
1985-1989 -9 Years
1990-1994 -10 Years
1995-1999 -11 Years
The annual interest rate used is the Assumed Investment
Rate discussed in this Part.
Guarantees All benefits, payments and values under this contract
which depend on the investment performance of the
Separate Account may increase or decrease, as discussed
in this Part. However, we guarantee that the dollar
amounts of variable benefits will not be adversely
affected by variations of actual expenses from expense
charges stated in this contract. Also, those benefits
will not be adversely affected by variations in actual
mortality from the mortality assumptions stated in this
contract.
A part of the assets of the Separate Account is the
reserve for variable benefits and liabilities which
depend on the investment performance of that Account.
That part of the assets shall not be charged with any
liabilities we have which arise from any business we
conduct which does not depend on the performance of
that Account.
The values and benefits of the Guaranteed Principal
Account under this contract are not less than those
required by the laws of the state in which this
contract is delivered.
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WHERE TO FIND IT
Page No.
The Schedule Page.................................................... 1
Part 1. - The Basics Of This Contract.................................. 2
The Parties Involved - Owner, Annuitant,
Beneficiary, Irrevocable Beneficiary,
Payee............................................................. 2
Dates - Contract Date, Contract
Anniversary Date, Contract Year, Issue
Date, Maturity Date............................................... 2
This Is A Legal Contract............................................ 2
Trusts And Other Agreements......................................... 2
Representations And Contestability.................................. 3
Misstatement Of Age................................................. 3
Meaning Of In Force................................................. 3
Home Office......................................................... 3
Contract State...................................................... 3
Part 2. - Purchase Payments............................................ 3
The First Purchase Payment.......................................... 3
Normal Purchase Payments............................................ 3
Net Purchase Payments............................................... 3
Purchase Payment Flexibility And Notices............................ 3
Where To Pay........................................................ 4
Part 3. - Accounts, Values And Charges................................. 4
Allocation Of Purchase Payments..................................... 4
The Separate Account................................................ 4
Valuation Date And Valuation Period................................. 4
Accumulation Units And Annuity Units................................ 4
Purchase Of Accumulation Units...................................... 5
Date Of Purchase.................................................... 5
Variable Value Of Contract.......................................... 5
The Guaranteed Principal Account.................................... 5
Fixed Value Of Contract............................................. 5
Interest On Fixed Value............................................. 5
Accumulated Value Of Contract....................................... 5
Administrative Charge............................................... 5
Deductions For Sales Charges........................................ 6
Amount Of Sales Charge.............................................. 6
Part 4. - Life Benefits................................................ 7
Contract Ownership................................................... 7
Rights Of Owner..................................................... 7
Assigning This Contract............................................. 7
Changing The Owner, Payee Or
Beneficiary....................................................... 7
Transfers Of Values................................................. 7
Limitations On Transfers............................................ 7
Redeeming This Contract.............................................. 8
Right To Redeem..................................................... 8
Cash Redemption Value............................................... 8
Partial Redemptions................................................. 8
Redemption Or Maturity Without Charge............................... 9
When And How We Pay................................................. 9
Right To Change The Maturity Date.................................... 10
Electing An Early Maturity Date..................................... 10
Electing A Later Maturity Date...................................... 10
Other Provisions Regarding Life Benefits............................. 10
Periodic Statements................................................. 10
Receipt Of Papers................................................... 10
Contract Is Not Participating....................................... 10
Part 5. - Maturity Benefit And Death Benefit........................... 10
Maturity Benefit..................................................... 10
Maturity Value...................................................... 10
Monthly Life Income................................................. 10
Alternate Settlements At Maturity................................... 11
Restriction On Rights............................................... 11
Death Benefit........................................................ 11
Amount Of Death Benefit............................................. 11
Interest On Maturity Or Death Benefit................................ 11
Interest Payable.................................................... 11
Part 6. - Payment Options.............................................. 12
Fixed Income Payment Options........................................ 12
Variable Income Payment Options..................................... 12
Availability Of Payment Options..................................... 13
Minimum Amounts..................................................... 13
Electing A Payment Option........................................... 21
Effective Date And Payment Date..................................... 21
Withdrawals And Changes............................................. 21
Income Protection................................................... 21
Part 7. - Notes On Our Computations.................................... 22
Net Investment Factor............................................... 22
Accumulation Unit Value............................................. 22
Annuity Unit Value.................................................. 22
Assumed Investment Rate............................................. 22
Adjustment Of Units And Values...................................... 22
Payment Calculation Date............................................ 22
Computing Variable Income Payments.................................. 23
Basis Of Computation................................................ 23
Guarantees.......................................................... 24
Any Riders and Endorsements, and a Copy of The Application For The Contract,
Follow Page 24.
Flexible Purchase Payment Multi-Fund
Variable Annuity Contract
This Contract provides that:
A monthly life income is payable beginning on the date this contract matures if
the Annuitant is living at that time
A death benefit is payable if the Annuitant dies before this contract matures
Flexible purchase payments may be made to the date this contract matures or to
the Annuitant's death, if earlier
This Contract is not participating. It does not provide for the payment of
dividends.
Notice Of Annual Meeting
The Owner is hereby notified that by virtue of this contract he or she is a
member of Massachusetts Mutual Life Insurance Company and is entitled to vote
either in person or by proxy at any and all meetings of said Company. The annual
meetings are held at its Home Office, in Springfield, Massachusetts, on the
second Wednesday of April in each year at 2 o'clock p.m.
