[Aetna logo] Aetna Life Insurance and Annuity Company
Home Office: 000 Xxxxxxxxxx Xxxxxx
Xxxxxxxx, Xxxxxxxxxxx 00000
(000) 000-0000
Aetna Life Insurance and Annuity Company, herein called
Aetna, agrees to pay the benefits stated in this Contract.
Specifications
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Plan
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Type of Plan
SPECIMEN
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Contract Holder
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Annuitant
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Contract No.
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Effective Date
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This Contract is delivered in NEW YORK and is Subject to the Laws of that
Jurisdiction
THE VARIABLE FEATURES OF THE GROUP CONTRACT ARE DESCRIBED IN PARTS III AND IV.
Right to Cancel
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The Contract Holder may cancel this Contract within 10 days of receiving it by
returning this Contract along with a written notice to Aetna at the above
address or to the agent from whom it was purchased. Within 7 days after it
receives the notice of cancellation and this Contract at its Home Office, Aetna
will return the entire consideration paid.
This page, the following pages, and the application make up the entire Contract.
Signed at the Home Office on the Effective Date.
/s/Xxxxxx Xxxxxxx /s/Xxxxx X. Xxxxxxxxx
President Secretary
Group Variable, Fixed, or Combination Annuity Contract
Nonparticipating
ALL PAYMENTS AND VALUES PROVIDED BY THE GROUP CONTRACT, WHEN BASED ON INVESTMENT
EXPERIENCE OF A SEPARATE ACCOUNT, ARE VARIABLE AND ARE NOT GUARANTEED AS TO
FIXED DOLLAR AMOUNT. THIS CONTRACT CONTAINS A MARKET VALUE ADJUSTMENT FORMULA.
APPLICATION OF A MARKET VALUE ADJUSTMENT MAY RESULT IN EITHER AN INCREASE OR
DECREASE IN THE CURRENT VALUE. THE MARKET VALUE ADJUSTMENT FORMULA DOES NOT
APPLY TO A GUARANTEED TERM AT THE TIME OF ITS MATURITY.
Specifications
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Guaranteed There is a guaranteed interest rate for Purchase Payment(s)
Interest Rate held in the ALIAC Guaranteed Account (see Contract Schedule
I).
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Deductions from There will be deductions for mortality and expense risks and
the Separate administrative fees (see Contract Schedule I and II).
Account
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Deduction from Purchase Payment(s) are subject to a deduction for premium
Purchase taxes, if any (see 3.01).
Payment(s)
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Surrender There will be a charge deducted upon surrender (see Contract
Fee Schedule I).
This Contract is a legal contract and constitutes the entire legal
relationship between Aetna and the Contract Holder.
READ THIS CONTRACT CAREFULLY. This Contract sets forth, in detail, all of the
rights and obligations of both you and Aetna. IT IS THEREFORE IMPORTANT THAT YOU
READ THIS CONTRACT CAREFULLY.
2
Contract Schedule I
Accumulation Period
Separate Account
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Separate Account: Variable Annuity Account B
Charges to Separate A daily charge is deducted from any portion of the
Account: Current Value allocated to the Separate Account. The
deduction is the daily equivalent of the annual
effective percentage shown in the following chart:
Administrative Charge 0.15%
Mortality Risk Charge 0.35%
Expense Risk Charge 0.90%
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Total Separate Account
Charges 1.40%
Separate Account Funds: During the Accumulation Period the Funds available with
this Contract are:
Aetna Variable Fund
Aetna Income Shares
Aetna Variable Encore Fund (money market fund)
Aetna Investment Advisers Fund, Inc.
Aetna Ascent Variable Portfolio
Aetna Crossroads Variable Portfolio
Aetna Legacy Variable Portfolio
Aetna Variable Index Plus Portfolio
The Xxxxx American Fund - Xxxxx American Balanced
Portfolio
The Xxxxx American Fund - Xxxxx American Income and
Growth Portfolio
The Xxxxx American Fund - Xxxxx American Growth
Portfolio
The Xxxxx American Fund - Xxxxx American Midcap Growth
Portfolio
The Xxxxx American Fund - Xxxxx American Leveraged
Allcap Portfolio
The Xxxxx American Fund - Xxxxx American Small
Capitalization Portfolio
Fidelity Investments Variable Insurance Products Fund -
High Income Portfolio
Fidelity Investments Variable Insurance Products Fund -
Equity-Income Portfolio
Fidelity Investments Variable Insurance Products Fund -
Growth Portfolio
Fidelity Investments Variable Insurance Products Fund -
Overseas Portfolio
Fidelity Investments Variable Insurance Products Fund
II - Investment Grade Bond Portfolio
Fidelity Investments Variable Insurance Products Fund
II - Asset Manager Portfolio
Fidelity Investments Variable Insurance Products Fund
II - Index 500 Portfolio
Fidelity Investments Variable Insurance Products Fund
II -Contrafund Portfolio
3
Contract Schedule I (Cont'd)
Accumulation Period
Separate Account (Cont'd)
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Separate Account Funds Federated American Leaders Fund II
(Cont'd) Federated Fund for U.S. Government Securities II
Federated American Leaders Fund II
Federated Utility Fund II
Janus Aspen Series - Aggressive Growth Portfolio
Janus Aspen Series - Balanced Portfolio
Janus Aspen Series - Flexible Income Portfolio
Janus Aspen Series - Growth Portfolio
Janus Aspen Series - Short-Term Bond Portfolio
Janus Aspen Series - Worldwide Growth Portfolio
Lexington Emerging Markets Fund
Lexington Natural Resources Trust
MFS Emerging Growth Series
MFS Research Series
MFS Total Return Series
MFS World Governments Series
MFS Value Series
TCI Portfolios, Inc. - TCI International
TCI Portfolios, Inc. - TCI Growth
TCI Portfolios, Inc. - TCI Balanced
ALIAC Guaranteed Account (AG Account)
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Minimum Guaranteed 3.0%.
Interest Rate (effective
annual rate of return):
Separate Account and AG Account
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Minimum Initial Purchase $5,000
Payment:
Maximum Initial Purchase $1,000,000
Payment Without Home
Office Approval:
Transfers: An unlimited number of Transfers may be made
during the Accumulation Period. Aetna allows 12
free Transfers in any calendar year. Thereafter,
Aetna reserves the right to charge $10 for each
subsequent Transfer.
Minimum Transfer $500
Amount:
Maintenance Fee: The annual Maintenance Fee is $30. If the Current
Value is $50,000 or more on the date the
Maintenance Fee is to be deducted, the Maintenance
Fee is $0.
4
Contract Schedule I (Cont'd)
Accumulation Period
Separate Account and AG Account (Cont'd)
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Surrender Fee: For each surrender, the Surrender Fee will be
determined as follows:
Length of Time from Deposit of Net Surrender Fee
Purchase Payment (Years) (as percentage of
Net Purchase Payment)
Less than 1 year 7%
1 or more but less than 2 years 6%
2 or more but less than 3 years 5%
3 or more but less than 4 years 4%
4 or more but less than 5 years 3%
5 or more but less than 6 years 2%
6 or more but less than 7 years 1%
7 years or more 0%
Systematic Withdrawal The specified payment or specified percentage may
Option (SWO) not be greater than 10% of the Current Value at
Percentage: time of election.
SWO Minimum Initial $20,000
Current Value:
SWO Minimum Payment $100
Amount:
See 1. GENERAL DEFINITIONS for explanations.
5
Contract Schedule II
Annuity Period
Separate Account
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Charges to Separate A daily charge at an annual effective rate of
Account: 1.25% for Annuity mortality and expense risks. The
administrative charge is established upon election
of an Annuity option. This charge will not exceed
0.25%.
Variable Annuity Assumed If a Variable Annuity is chosen, an assumed annual
Annual Net Return Rate: net return rate of 5.0% may be elected. If 5.0% is
not elected, Aetna will use an assumed annual net
return rate of 3.5%.
The assumed annual net return rate factor for 3.5%
per year is 0.9999058.
The assumed annual net return rate factor for 5.0%
per year is 0.9998663.
If the portion of a Variable Annuity payment for
any Fund is not to decrease, the Annuity return
factor under the Separate Account for that Fund
must be:
(a) 4.75% on an annual basis plus an annual
return of up to 0.25% to offset the
administrative charge set at the time Annuity
payments commence if an assumed annual net
return rate of 3.5% is chosen; or
(b) 6.25% on an annual basis plus an annual
return of up to 0.25% to offset the
administrative charge set at the time Annuity
payments commence, if an assumed annual net
return rate of 5% is chosen.
Fixed Annuity
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Minimum Guaranteed 3.0%
Interest Rate (effective
annual rate of return):
See 1. GENERAL DEFINITIONS for explanations.
6
TABLE OF CONTENTS
I. GENERAL DEFINITIONS
Page
1.01 Account ............................................................ 10
1.02 Accumulation Period ................................................ 10
1.03 Adjusted Current Value ............................................. 10
1.04 ALIAC Guaranteed Account (AG Account) .............................. 10
1.05 Annuitant .......................................................... 10
1.06 Annuity ............................................................ 10
1.07 Beneficiary ........................................................ 10
1.08 Certificate Holder ................................................. 10
1.09 Code ............................................................... 10
1.10 Contract ........................................................... 10
1.11 Contract Holder..................................................... 10
1.12 Current Value ...................................................... 11
1.13 Deposit Period ..................................................... 11
1.14 Fixed Annuity ...................................................... 11
1.15 Fund(s) ............................................................ 11
1.16 General Account .................................................... 11
1.17 Guaranteed Rate -- AG Account ...................................... 11
1.18 Guaranteed Term .................................................... 11
1.19 Guaranteed Term(s) Groups .......................................... 11
1.20 Maintenance Fee .................................................... 12
1.21 Market Value Adjustment (MVA)....................................... 12
1.22 Matured Term Value ................................................. 12
1.23 Matured Term Value Transfer ........................................ 12
1.24 Maturity Date ...................................................... 12
1.25 Net Purchase Payment(s) ............................................ 12
1.26 Nonunitized Separate Account ....................................... 12
1.27 Purchase Payment(s) ................................................ 12
1.28 Rebalancing Program ................................................ 12
1.29 Reinvestment ....................................................... 12
7
Page
1.30 Separate Account ................................................... 13
1.31 Surrender Value .................................................... 13
1.32 Transfers .......................................................... 13
1.33 Valuation Period (Period) .......................................... 13
1.34 Variable Annuity ................................................... 13
II. GENERAL PROVISIONS
2.01 Change of Contract ................................................. 13
2.02 Change of Fund(s) .................................................. 14
2.03 Nonparticipating Contract .......................................... 14
2.04 Payments and Elections ............................................. 14
2.05 State Laws ......................................................... 15
2.06 Control of Contract ................................................ 15
2.07 Designation of Beneficiary ......................................... 15
2.08 Misstatements and Adjustments ...................................... 15
2.09 Incontestability ................................................... 15
2.10 Grace Period ....................................................... 15
2.11 Individual Certificate ............................................. 15
III. PURCHASE PAYMENT, CURRENT VALUE, AND SURRENDER PROVISIONS
3.01 Net Purchase Payment ............................................... 16
3.02 Certificate Holder's Account ....................................... 16
3.03 Fund(s) Record Units -- Separate Account ........................... 16
3.04 Net Return Factor(s) -- Separate Account ........................... 16
3.05 Fund Record Unit Value -- Separate Account ......................... 17
3.06 Market Value Adjustment ............................................ 17
3.07 Transfer of Current Value from the Funds or ALIAC Guaranteed Account 18
3.08 Notice to the Certificate Holder ................................... 19
3.09 Loans .............................................................. 19
3.10 Systematic Withdrawal Option (SWO) ................................. 19
3.11 Death Benefit Amount ............................................... 21
3.12 Death Benefit Options Available to Beneficiary ..................... 22
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Page
3.13 Liquidation of Surrender Value ..................................... 23
3.14 Surrender Fee ...................................................... 24
3.15 Payment of Surrender Value ......................................... 24
IV. ANNUITY PROVISIONS
4.01 Choices to be Made ................................................. 24
4.02 Terms of Annuity Options ........................................... 25
4.03 Death of Annuitant/Beneficiary ..................................... 26
4.04 Fund(s) Annuity Units -- Separate Account .......................... 27
4.05 Fund(s) Annuity Unit Value -- Separate Account ..................... 27
4.06 Annuity Net Return Factor(s) -- Separate Account ................... 27
4.07 Annuity Options .................................................... 28
9
I. GENERAL DEFINITIONS
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1.01 Account: A record established for each Certificate
Holder to maintain the value of the Net
Purchase Payment held on his/her behalf
during the Accumulation Period.
1.02 Accumulation Period: The period during which the Net Purchase
Payment(s) are applied to a Contract to
provide future Annuity payment(s).
1.03 Adjusted Current Value: The Current Value of a Contract plus or minus
any aggregate ALIAC Guaranteed Account MVA,
if applicable. (See 1.21)
1.04 ALIAC Guaranteed An accumulation option where Aetna guarantees
Account (AG Account): stipulated rate(s) of interest for specified
periods of time. All assets of Aetna,
including amounts in the Nonunitized Separate
Account, are available to meet the guarantees
under the AG Account.
1.05 Annuitant: The person whose life is measured for
purposes of the Guaranteed Death Benefit and
the duration of Annuity payments under this
Contract.
1.06 Annuity: Payment of an income:
(a) For the life of one or two persons;
(b) For a stated period; or
(c) For some combination of (a) and (b).
1.07 Beneficiary: The individual or estate entitled to receive
any payment from the Contract upon the death
of the Annuitant, or if the Certificate
Holder is different from the Annuitant, upon
the death of the Certificate Holder. If the
Account is held by joint Certificate Holders,
the survivor will be deemed the designated
Beneficiary and any other Beneficiary on
record will be treated as the contingent
Beneficiary.
1.08 Certificate Holder: A person who purchases an interest in this
Contract as evidenced by a certificate. Aetna
reserves the right to limit ownership to
natural persons. If more than one Certificate
Holder owns an account, each Certificate
Holder will be a joint Certificate Holder.
Unless we allow otherwise in response to a
written request prior to Contract issue, any
joint Certificate Holder must be the spouse
of the other joint Certificate Holder. Joint
Certificate Holders have joint ownership
rights and both must authorize exercising any
ownership rights unless Aetna allows
otherwise. If the account is owned by a
nonnatural person, the death benefit will be
paid at the death of the Annuitant.
1.09 Code: The Internal Revenue Code of 1986, as it may
be amended from time to time.
1.10 Contract: This agreement between Aetna and the Contract
Holder.
1.11 Contract Holder: The entity to which a group Contract is
issued.
10
1.12 Current Value: As of the most recent Valuation Period, the
Net Purchase Payment and any additional
amount deposited pursuant to 3.11 plus any
interest added to the portion allocated to
the ALIAC Guaranteed Account; and plus or
minus the investment experience of the
portion allocated to the Funds since deposit;
less all Maintenance Fees deducted, any
amounts surrendered and any amounts applied
to an Annuity.
1.13 Deposit Period: A calendar week, a calendar month, a calendar
quarter, or any other period of time
specified by Aetna during which Net Purchase
Payment(s), Transfers and Reinvestments are
accepted into the ALIAC Guaranteed Account
for one or more Guaranteed Terms. Aetna
reserves the right to extend the Deposit
Period.
1.14 Fixed Annuity: An Annuity with payments that do not vary in
amount.
1.15 Fund(s): The open-end management investment companies
(mutual funds) in which the Separate Account
invests (see Contract Schedule I for specific
fund options).
1.16 General Account: The Account holding the assets of Aetna,
other than those assets held in Aetna's
separate accounts.
1.17 Guaranteed Rate -- Aetna will declare the interest rate
AG Account: applicable to a specific Guaranteed Term at
the start of the Deposit Period for that
Guaranteed Term. The rate is guaranteed by
Aetna for that Deposit Period and the ensuing
Guaranteed Term. The Guaranteed Rate is an
annual effective yield. That is, interest is
credited daily at a rate that will produce
the Guaranteed Rate over the period of a
year. No Guaranteed Rate will ever be less
than the Minimum Guaranteed Rate shown on
Contract Schedule I.
1.18 Guaranteed Term: The period of time for which the AG Account
Guaranteed Rate is guaranteed on Net Purchase
Payments, Transfers and Reinvestments made
into a current Deposit Period for the AG
Account. Such period begins on the day
following the close of the Deposit Period and
ends on the designated Maturity Date.
Guaranteed Terms are offered at Aetna's
discretion for various lengths of time
ranging up to and including ten years.
During a Deposit Period, Aetna may make
available any number of Guaranteed Terms. The
Contract Holder may allocate Net Purchase
Payments and Transfers into any or all of the
available Guaranteed Terms.
1.19 Guaranteed Term(s) All AG Account Guaranteed Term(s) with the
Groups: same length of time from the close of the
Deposit Period until the designated Maturity
Date.
1.20 Maintenance Fee: The Maintenance Fee (see Contract Schedule I)
will be deducted during the Accumulation
Period from the Current Value on each
anniversary of the date the Contract is
established and upon surrender of the entire
Contract.
11
1.21 Market Value Adjustment An adjustment that may apply to an amount
(MVA): withdrawn or transferred from an AG Account
Guaranteed Term prior to the end of that
Guaranteed Term. The adjustment reflects the
change in the value of the investment due to
changes in interest rates since the date of
deposit and is computed using the formula
given in 3.06. The adjustment is expressed
as a percentage of each dollar being
withdrawn or transferred.
1.22 Matured Term Value: The amount payable on an AG Account
Guaranteed Term's Maturity Date.
1.23 Matured Term Value During the calendar month following an AG
Transfer: Account Maturity Date, the Certificate Holder
may notify Aetna's Home Office in writing to
Transfer or surrender all or part of the
Matured Term Value, plus interest at the new
Guaranteed Rate accrued thereon, from the AG
Account without an MVA. This provision only
applies to the first such written request
received from the Certificate Holder during
this period for any Matured Term Value.
1.24 Maturity Date: The last day of an AG Account Guaranteed
Term.
1.25 Net Purchase Payment(s): The Purchase Payment less premium taxes, if
applicable.
1.26 Nonunitized Separate A separate account subject to the laws of New
Account: York set up by Aetna under Title 38, Section
38a-433, of the Connecticut General Statutes,
that holds assets for AG Account Terms. There
are no discrete units for this Account. The
Certificate Holder does not participate in
the investment gain or loss from the assets
held in the Nonunitized Separate Account.
Such gain or loss is borne entirely by Aetna.
These assets may be chargeable with
liabilities arising out of any other business
of Aetna.
1.27 Purchase Payment(s): Payment(s) accepted by Aetna at its Home
Office. Aetna reserves the right to refuse to
accept any Purchase Payment at any time for
any reason. No advance notice will be given
to the Contract Holder.
1.28 Rebalancing Program: A program that allows Contract Holders to
have portions of their Current Value
automatically reallocated annually to a
specified percentage. Only the portion of the
Current Value held in the separate account
can be rebalanced. Contract Holders may
participate in this program by completing the
Rebalancing Section of the enrollment form,
or by requesting the service in writing from
the Company's Home Office. Reallocations
under the Rebalancing Program will not be
counted for purposes of any transfer
limitations imposed under the contract.
1.29 Reinvestment: Aetna will mail a notice to the Contract
Holder at least 18 calendar days and not more
than 45 days before a Guaranteed Term's
Maturity Date.
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1.29 Reinvestment (Cont'd): This notice will contain the Terms available
during current Deposit Periods with their
Guaranteed Rate, and projected Matured Term
Value. If no specific direction is given by
the Certificate Holder prior to the Maturity
Date, each Matured Term Value will be
reinvested in the current Deposit Period for
a Guaranteed Term of the same duration. If a
Guaranteed Term of the same duration is
unavailable, each Matured Term Value will
automatically be reinvested in the current
Deposit Period for the next shortest
Guaranteed Term available. If no shorter
Guaranteed Term is available, the next longer
Guaranteed Term will be used. Aetna will mail
a confirmation statement to the Certificate
Holder the next business day after the
Maturity Date. This notice will state the
Guaranteed Term and Guaranteed Rate which
will apply to the reinvested Matured Term
Value.
1.30 Separate Account: A separate account that buys and holds shares
of the Fund(s). Income, gains or losses,
realized or unrealized, are credited or
charged to the Separate Account without
regard to other income, gains or losses of
Aetna. Aetna owns the assets held in the
Separate Account and is not a trustee as to
such amounts. This Separate Account generally
is not guaranteed and is held at market
value. The assets of the Separate Account, to
the extent of reserves and other contract
liabilities of the Account, shall not be
charged with other Aetna liabilities.
1.31 Surrender Value: The amount payable by Aetna upon the
surrender of any portion of an account.
1.32 Transfers: The movement of invested amounts among the
available Fund(s) and the AG Account under
this Contract during the Accumulation Period.
1.33 Valuation Period (Period): The period of time for which a Fund
determines its net asset value, usually from
4:15 p.m. Eastern time each day the New York
Stock Exchange is open until 4:15 p.m. the
next such day, or such other day that one or
more of the Funds determines its net asset
value.
1.34 Variable Annuity: An Annuity with payments that vary with the
net investment results of one or more Funds
held under the Separate Account.
II. GENERAL PROVISIONS
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2.01 Change of Contract: Only an authorized officer of Aetna may
change the terms of this contract. Aetna will
notify the Contract Holder in writing at
least 30 days before the effective date of
any change. Any change will not affect the
amount or terms of any Annuity which begins
before the change.
Aetna may make any change that affects the AG
Account Market Value Adjustment (3.06) with
at least 30 days' advance written notice to
the Contract Holder and the Certificate
Holder. Any such change shall become
effective for any new Term and will be
applicable only if it is more favorable to
the Contract Holder and/or the Certificate
Holder.
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2.01 Change of Contract Any change that affects any of the following
Cont'd: under this Contract will not apply to
Accounts in existence before the effective
date of the change:
(a) Net Purchase Payment (3.01)
(b) AG Account Guaranteed Rate (1.04)
(c) Net Return Factor(s) -- Separate Account
(3.04)
(d) Current Value (1.12)
(e) Surrender Value (1.31)
(f) Fund(s) Annuity Unit Value -- Separate
Account (4.05)
(g) Annuity Options (4.07)
(h) Fixed Annuity Guaranteed Interest Rates
(4.01)
(i) Transfers (1.32).
This Contract may be changed as deemed
necessary by Aetna to comply with federal or
state law. Any such change is subject to the
prior approval of the New York Insurance
Department.
2.02 Change of Fund(s): The assets of the Separate Account are
segregated by Fund. If the shares of any Fund
are no longer available for investment by the
Separate Account or if in our judgment,
further investment in such shares should
become inappropriate in view of the purpose
of the contract, Aetna may cease to make such
Fund shares available for investment under
the Contract prospectively, or Aetna may
substitute shares of another Fund for shares
already acquired. Aetna may also, from time
to time, add additional Funds. Aetna reserves
the right to substitute shares of another
Fund for shares already acquired without a
proxy vote.
Any elimination, substitution or addition of
Funds will be done in accordance with federal
securities laws and are subject to the
approval of the Superintendent of the New
York Insurance Department and Aetna will
notify the Contract Holder of such change.
2.03 Nonparticipating Contract: The Contract Holder, Certificate Holder's or
Beneficiaries will not have a right to share
in the earnings of Aetna.
2.04 Payments and Elections: While the Certificate Holder is living, Aetna
will pay the Certificate Holder any Annuity
payments as and when due. After the
Certificate Xxxxxx's death, or at the death
of the first Certificate Holder if the
Account is owned jointly, any Annuity
payments required to be made will be paid in
accordance with 4.03. Aetna will determine
other payments and/or elections as of the end
of the Valuation Period in which the request
is received at its Home Office. Such payments
will be made within 7 calendar days of
receipt at its Home Office of a written claim
for payment which is in good order, except as
provided in 3.15.
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2.05 State Laws: The Contract and the Certificate's comply
with the laws of the state in which they are
delivered. Any surrender, death, or Annuity
payments are equal to or greater than the
minimum required by such laws. Annuity tables
for legal reserve valuation shall be as
required by state law. Such tables may be
different from Annuity tables used to
determine Annuity payments.
2.06 Control of Contract: This is a Contract between the Contract
Holder and Aetna. The Contract Holder has
title to the Contract. Nothing in the group
annuity contract invalidates or impairs any
right granted to the Certificate Holder. The
Certificate Holder has all other rights to
amounts held in his or her Account.
Each Certificate Holder shall own all amounts
held in his or her Account. Each Certificate
Holder may make any choices allowed by this
Contract for his or her Account. Certificate
Holder choices made under this contract must
be in writing. If the Account is owned
jointly, both joint Certificate Holders must
authorize any Certificate Holder change in
writing. Until receipt of such choices at
Aetna's Home Office, Aetna may rely on any
previous choices made.
The Account may not be attached, alienated,
or subject to the claims of creditors of the
Contract Holder or the Certificate Holder
except to the extent permitted by law.
The Certificate Holder may assign or transfer
his or her rights under the Contract. Aetna
reserves the right not to accept assignment
or transfer to a nonnatural person. Any
assignment or transfer made must be submitted
to Aetna's Home Office in writing and will
not be effective until accepted by Aetna.
2.07 Designation of Each Certificate Holder shall name his or her
Beneficiary: Beneficiary. If the Account is owned jointly,
both joint Certificate Holders must agree in
writing to the Beneficiary designated. The
Beneficiary may be changed at any time.
Changes to a Beneficiary must be submitted to
Aetna's Home Office in writing and will not
be effective until accepted by Aetna.
2.08 Misstatements and If Aetna finds the age or sex of any
Adjustments: Annuitant to be misstated, the amount payable
under the Contract shall be adjusted for the
correct age or sex; the amount of any
underpayment or overpayment, with interest at
six per cent per year, shall be credited to,
or charged against, the current or next
succeeding payment or payments to be made by
Aetna under the Contract.
2.09 Incontestability: Aetna cannot cancel the Contract because of
any error of fact on the application. Aetna
cannot cancel an Account because of any error
of fact on the enrollment form.
2.10 Grace Period: This Contract will remain in effect even if
Purchase Payments are not continued.
2.11 Individual Certificates Aetna shall issue a certificate to each
Certificate Holder. The certificate will
summarize certain provisions of the contract.
Certificates are for information only and are
not a part of the Contract.
15
III. PURCHASE PAYMENT, CURRENT VALUE, AND SURRENDER PROVISIONS
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3.01 Net Purchase Payment: This amount is the actual Purchase Payment
less any premium tax. Aetna will generally
deduct the premium tax when Annuity benefits
are elected (see Part IV). If Aetna
determines that under applicable state law,
it must pay a premium tax when the Purchase
Payment is received or at any other time, it
will deduct the tax at that time.
The Net Purchase Payment will be credited
among:
(a) The current Deposit Period(s) for
Guaranteed Terms under the AG Account;
and
(b) The Fund(s) in which the Separate Account
invests.
For each Net Purchase Payment, the
Certificate Holder shall tell Aetna the
allocation percentage to be applied to the
current Deposit Period for each of the
available Guaranteed Terms in the AG Account
and/or each Fund. If allocation instructions
are not received along with any subsequent
Net Purchase Payment, the allocation will be
the same as that indicated on the original
application. If the same Guaranteed Term is
no longer available, the Net Purchase Payment
will be allocated to the next shortest
Guaranteed Term available in the current
Deposit Period. If no shorter Guaranteed Term
is available, the next longer Guaranteed Term
will be used.
The minimum acceptable additional Purchase
Payment is shown on Contract Schedule I. The
maximum acceptable Purchase Payment without
Home Office approval is also provided on
Contract Schedule I.
3.02 Certificate Holder's Aetna will maintain an Account for each
Account: Certificate Holder.
3.03 Fund(s) Record Units -- The portion of the Net Purchase Payment(s)
Separate Account: applied to each Fund under the Separate
Account will determine the number of Fund
record units for that Fund. This number is
equal to the portion of the Net Purchase
Payment(s) applied to each Fund divided by
the Fund record unit value (see 3.05) for the
Valuation Period in which the Purchase
Payment is received in good order at Aetna's
Home Office.
3.04 Net Return Factor(s) -- The net return factor(s) are used to compute
Separate Account: all Separate Account record units for any
Fund.
The net return factor for each Fund is equal
to 1.0000000 plus the net return rate.
The net return rate is equal to:
(a) The value of the shares of the Fund held
by the Separate Account at the end of the
Valuation Period; minus
(b) The value of the shares of the Fund held
by the Separate Account at the start of
the Valuation Period; plus or minus
16
3.04 Net Return Factor(s) -- (c) Taxes (or reserves for taxes) on the
Separate Account Separate Account (if any); divided by
(Cont'd) (d) The total value of the Fund record units
and Fund Annuity units of the Separate
Account at the start of the Valuation
Period; minus
(e) A daily Separate Account charge at an
annual rate as shown on Contract
Schedule I for mortality and expense
risks, which may include profit; and a
daily administrative charge.
A net return rate may be more or less than
0%. The value of a share of the Fund is equal
to the net assets of the Fund divided by the
number of shares outstanding.
3.05 Fund Record Unit A Fund record unit value is computed by
Value -- Separate Account: multiplying the net return factors for the
current Valuation Period by the Fund record
unit value for the previous Period. The
dollar value of Fund record units, Separate
Account assets, and Variable Annuity payments
may go up or down due to investment gain or
loss.
3.06 Market Value Except as noted below, there will be an MVA
Adjustment: for a withdrawal from the AG Account before
the end of a Guaranteed Term when the
withdrawal is due to:
(a) a Transfer; except for Transfers as
specified in 1.23, AG Account Matured
Term Value Transfer;
(b) A full or partial surrender (including a
15% free withdrawal under 3.14), except
for a partial withdrawal under the
Systematic Withdrawal Option (see 3.10);
or
(c) An election of Annuity option 2 (see
4.07).
Full and partial surrenders and Transfers
made within six months after the date of the
Annuitant's death will be the greater of:
(a) The aggregate MVA amount which is the
sum of all market value adjusted amounts
calculated due to a withdrawal of
amounts. This total may be greater or
less than the Current Value of those
amounts; or
(b) The applicable portion of the Current
Value in the AG Account. After the
six-month period, the surrender or
Transfer will be the aggregate MVA
amount, which may be greater or less
than the Current Value of those amounts.
The greater of the aggregate MVA amount or
the applicable portion of the Current Value
applies to amounts withdrawn from the AG
Account on account of an election of Annuity
options 3 or 4 (see 4.07).
17
3.06 Market Value Market value adjusted amounts will be equal
Adjustment (Cont'd): to the amount withdrawn multiplied by the
following ratio:
x
---
365
(1 + i)
---------------
x
---
365
(1 + j)
Where:
i is the Deposit Period Yield
j is the Current Yield
x is the number of days remaining,
(computed from Wednesday of the week
of withdrawal) in the Guaranteed Term.
The Deposit Period Yield will be determined
as follows:
(a) At the close of the last business day of
each week of the Deposit Period, a yield
will be computed as the average of the
yields on that day of U.S. Treasury
Notes which mature in the last three
months of the Guaranteed Term.
(b) The Deposit Period Yield is the average
of those yields for the Deposit Period.
If withdrawal is made before the close
of the Deposit Period, it is the average
of those yields on each week preceding
withdrawal.
The Current Yield is the average of the
yields on the last business day of the week
preceding withdrawal on the same U.S.
Treasury Notes included in the Deposit Period
Yield.
In the event that no U.S. Treasury Notes
which mature in the last three months of the
Guaranteed Term exist, Aetna reserves the
right to use the U.S. Treasury Notes that
mature in the following quarter.
If U.S. Treasury Notes are no longer
available, a suitable replacement index,
subject to approval of the Superintendent of
the New York Insurance Department, would then
be utilized.
A detailed description of the MVA has been
filed with the Superintendent of the New York
Insurance Department.
3.07 Transfer of Current Before an Annuity option is elected, all or
Value from the Funds any portion of the Adjusted Current Value may
or AG Account: be transferred from any Fund or Guaranteed
Term of the AG Account:
(a) To any other Fund; or
(b) To any Guaranteed Term of the AG Account
available in the current Deposit Period.
18
3.07 Transfer of Current Value Transfer requests can be submitted as a
from the Funds or percentage or as a dollar amount. The
AG Account (Cont'd): minimum transfer amount is shown on Contract
Schedule I. Within a Guaranteed Term Group,
the amount to be surrendered or transferred
will be withdrawn first from the oldest
Deposit Period, then from the next oldest,
and so on until the amount requested is
satisfied.
The Certificate Holder may make an unlimited
number of Transfers during the Accumulation
Period. The number of free Transfers allowed
by Aetna is shown on Contract Schedule I.
Additional Transfers may be subject to a
Transfer fee as shown on Contract Schedule I.
Amounts transferred as a Matured Term Value
on or within one calendar month of the Term's
Maturity Date do not count against the annual
Transfer limit.
Amounts applied to Guaranteed Terms of the AG
Account may not be transferred to the Funds
or to another Guaranteed Term during the
Deposit Period or for 90 days after the close
of the Deposit Period except for a Matured
Term Value(s) during the calendar month
following the Term's Maturity Date.
Transfers from Guaranteed Terms of the AG
Account are subject to the MVA provisions in
3.06.
3.08 Notice to the The Certificate Holder will receive quarterly
Contract Holder: statements from Aetna of:
(a) The value of any amounts held in:
(1) The AG Account; and
(2) The Fund(s) under the Separate
Account.
(b) The number of any Fund(s) record units;
and
(c) The Fund(s) record unit value.
Such number or values will be as of a
specific date no more than 60 days before the
date of the notice.
3.09 Loans: Loans are not available under this Contract.
3.10 Systematic Withdrawal The following distribution options may be
Option (SWO): elected by the Certificate Holder or a
Beneficiary during the Accumulation Period. A
distribution option under which a portion of
the Accounts' Current Value will
automatically be surrendered and distributed
each year. SWO payments will be calculated on
the Accounts' full Current Value. The
distributed amount is withdrawn pro rata from
each investment option used under the
Account. A Surrender Fee will not be deducted
from any portion of the Current Value which
is paid as a distribution under SWO.
Certificate Holders should consult their tax
advisers prior to requesting this
distribution option. Aetna will not be
responsible for any adverse tax consequences
due to receiving SWO payments.
(a) Amount of Distribution: The Certificate
Holder or a Beneficiary may elect one of
the three payment methods described
below.
19
3.10 Systematic Withdrawal (1) Specified Payment: Payments of a
Option (SWO) designated dollar amount. The
(Cont'd): annual amount may not be greater
than the percentage of the
Account's Current Value on the date
of the SWO election as shown on
Contract Schedule I. This annual
dollar amount will remain constant.
The minimum SWO payment amount is
shown on Contract Schedule I. If
SWO payments are made more
frequently than annually, the
designated annual amount is divided
by the number of payments due each
year; or
(2) Specified Period: Payments made
over a designated period of time of
at least 10 years. The annual
amount is calculated by dividing
the Current Value as of December 31
of the year prior to the payment
year by the number of payment years
remaining; or
(3) Specified Percentage: Payments of a
designated percentage which cannot
be greater than the percentage of
the Current Value at the time of
election as shown on Contract
Schedule I. The percentage may be
changed by written request. Aetna
reserves the right to limit the
number of times the percentage may
be changed. The annual amount is
calculated by multiplying the
Current Value as of December 31 of
the year prior to the payment year
by the designated percentage.
Payments upon the Contract Xxxxxx's
death will continue to the Beneficiary
in the manner described in 3.11.
(b) Minimum Initial Current Value: The
Minimum Initial Current Value required
to begin SWO is shown on Contract
Schedule I. If after election of this
option the Current Value is insufficient
to make a scheduled SWO payment, Aetna
will distribute the entire balance.
(c) Date of Distribution: The Contract
Holder or a Beneficiary shall specify
the first payment date. The earliest
allowable first payment date is the date
on which the Contract Holder attains age
59 1/2. The latest allowable SWO payment
date is the month of the Annuitant's
90th birthday. As elected by the
Contract Holder, SWO payments will be
made on a monthly, quarterly,
semi-annual or annual basis. If SWO
payments are made more frequently than
annually, the designated annual amount
is divided by the number of payments due
each year. Subsequent payments will be
made on the 15th of the appropriate
months or on such other date as Aetna
may designate or allow.
(d) Election and Revocation: SWO may be
elected by the Certificate Holder or a
Beneficiary if elected after the
Certificate Holders death by submitting
a completed and signed election form to
Aetna's Home Office. Once elected, this
option may be revoked by the Certificate
Holder or Beneficiary, if elected after
the Certificate Xxxxxx's death, by
submitting a written request to Aetna at
its Home Office. Any revocation will
apply only to amounts not yet paid. SWO
may be elected only once by the
Certificate Holder or by the
Beneficiary.
20
3.11 Death Benefit Amount: If the Certificate Holder or Annuitant dies
before Annuity payments start, the
Beneficiary is entitled to a death benefit
under the Account. If the Account is owned
jointly, the death benefit is paid at the
death of the first joint Certificate Holder
to die. The claim date is the date when proof
of death and the Beneficiary's claim are
received in good order at Aetna's Home
Office. The amount of the death benefit is
determined as follows:
(a) Death of Annuitant less than 85 years of
age: The guaranteed death benefit is the
greatest of:
(1) The sum of all Net Purchase
Payment(s) made to the Account (as
of the date of death) minus the sum
of all amounts surrendered, applied
to an Annuity, or deducted from the
Account;
(2) The highest step-up value as of the
date of death. A step-up value is
determined on each anniversary of
the Effective Date. Each step-up
value is calculated as the
Account's Current Value on the
Effective Date anniversary,
increased by the amount of any
Purchase Payment(s) made, and
decreased by the sum of all amounts
surrendered, deducted, and/or
applied to an Annuity option since
the Effective Date anniversary.
(3) The Account's Current Value as of
the date of death.
The excess, if any, of the guaranteed
death benefit value over the Account's
Current Value is determined as of the
date of death. Any excess amount will be
deposited to the Account and allocated
to Aetna Variable Encore Fund as of the
claim date. The Current Value on the
claim date plus any excess amount
deposited becomes the Account's Current
Value.
(b) Death of Annuitant age 85 or greater:
The death benefit is the greatest of:
(1) The sum of all Net Purchase
Payment(s) made to the Account (as
of the date of death) minus the sum
of all amounts surrendered, applied
to an Annuity, or deducted from the
Account;
(2) The highest step-up value prior to
the Certificate Holder's 85th
birthday. A step-up value is
determined on each anniversary of
the Effective Date. Each step-up
value is calculated as the
Account's Current Value on the
Effective Date anniversary,
increased by the amount of any
Purchase Payment(s) made, and
decreased by the sum of all amounts
surrendered, deducted, and/or
applied to an Annuity option since
the Effective Date anniversary.
(3) The Account's Current Value as of
the date of death.
21
3.11 Death Benefit Amount The excess, if any, of the guaranteed
(Cont'd): death benefit value over the Account's
Current Value is determined as of the
date of death. Any excess amount will
be deposited in the Account and
allocated to Aetna Variable Encore
Fund as of the claim date. The Current
Value on the claim date plus any excess
amount deposited, becomes the Account's
Current Value.
(c) Death of the Certificate Holder if the
Certificate Holder is not the Annuitant:
The death benefit amount is the
Account's Adjusted Current Value on the
Claim Date. A Surrender Fee may apply to
any full or partial surrender (see 3.14
and Contract Schedule I).
(d) At the death of a surviving spouse
Xxxxxxxxxxx who continued the Account in
his or her own name, the death benefit
amount is equal to the Account's Current
Value less any applicable Surrender Fee
on the amount of any Purchase Payment(s)
made since the death of the Certificate
Holder.
3.12 Death Benefit Options Prior to any election, or until amounts must
Available to Beneficiary: be otherwise distributed under this section,
the Current Value of the account will be
retained in the Account. The Beneficiary has
the right under the Contract to allocate or
reallocate any amount to any of the available
investment options (subject to an MVA, as
applicable). The following options are
available to the Beneficiary:
(a) When the Certificate Holder is the
Annuitant: If the Certificate
Holder/Annuitant dies, and:
(1) If the Beneficiary is the
Certificate Holder's surviving
spouse, the Beneficiary may
exercise all rights under the
Contract and continue in the
Accumulation Period, or may elect
(i), (ii), or (iii) below. Under
the Code, distributions from the
Account are not required until the
Spousal Beneficiary's death. The
Spousal Beneficiary may elect to:
(i) Apply some or all of the
Adjusted Current Value of the
Account to Annuity option 2, 3
or 4 (see 4.07);
(ii) Apply some or all of the
Adjusted Current Value to
Annuity option 1 (see 4.07);
or
(iii) Receive, at any time, a lump
sum payment equal to the
Adjusted Current Value of the
Account.
(2) If the Beneficiary is other than
the Certificate Holder's surviving
spouse, then options (i), (ii), or
(iii) under (1) above apply. Any
portion of the Adjusted Current
Value of the Account not applied to
Annuity option 2, 3 or 4 within one
year of the Certificate Holder's
death, must be distributed within
five years of the date of death.
(3) If no Beneficiary exists, a lump
sum payment equal to the Adjusted
Current Value will be made to the
Certificate Holder's estate.
22
3.12 Death Benefit Options (b) When the Certificate Holder is not
Available to Beneficiary the Annuitant and the Certificate
(Cont'd) Holder dies; and:
(1) If the Beneficiary is the
Certificate Holder's surviving
spouse, the Beneficiary may
exercise all rights under the
Contract and continue in the
Accumulation Period, or may elect
(i), (ii), or (iii) below. Under
the Code, distributions from the
Account are not required until the
spousal Beneficiary's death. The
spousal Beneficiary may elect to:
(i) Apply some or all of the
Adjusted Current Value of the
Account to Annuity option 2, 3
or 4 (see 4.07);
(ii) Apply some or all of the
Surrender Value to Annuity
option 1 (see 4.07); or
(iii) Receive, at any time, a lump
sum payment equal to the
Surrender Value.
(2) If the Beneficiary is other than
the Certificate Holder's surviving
spouse, then options (i), (ii), or
(iii) under (1) above apply. Any
portion of the Adjusted Current
Value not applied to Annuity option
2, 3 or 4 within one year of the
Certificate Holder's death, must be
distributed within five years of
the date of death.
(3) If no Beneficiary exists, a lump
sum payment equal to the Surrender
Value will be made to the
Certificate Holder's estate.
(c) When the Certificate Holder is not the
Annuitant and the Annuitant dies: The
Beneficiary must elect Annuity option 2,
3 or 4 within 60 days of the date of
death or the gain, if any, will be
includible in the Beneficiary's income
in the tax year in which the Annuitant
dies.
3.13 Liquidation of All or any portion of the Account's Current
Surrender Value: Value may be surrendered at any time as
requested by the Certificate Holder.
Surrender requests can be submitted as a
percentage of the Account's Adjusted Current
Value or as a specific dollar amount. Net
Purchase Payment amounts are withdrawn first,
and then the excess value, if any. For any
partial surrender, amounts are withdrawn on a
pro rata basis from the Fund(s) and/or the
Guaranteed Term(s) Groups of the AG Account
in which the Current Value is invested.
Within a Guaranteed Term Group, the amount to
be surrendered or transferred will be
withdrawn first from the oldest Deposit
Period, then from the next oldest, and so on
until the amount requested is satisfied.
After deduction of the Maintenance Fee, if
applicable, the surrendered amount shall be
reduced by a Surrender Fee, if applicable.
An MVA may apply to amounts surrendered from
the AG Account.
23
3.14 Surrender Fee: The Surrender Fee only applies to the Net
Purchase Payment(s) portion surrendered and
varies according to the elapsed time since
deposit (see Contract Schedule I). Net
Purchase Payment amounts are withdrawn in the
same order they were applied.
No Surrender Fee is deducted from any portion
of the Net Purchase Payment which is paid:
(a) To a Beneficiary due to the Annuitant's
death before Xxxxxxx payments start, up
to a maximum of the aggregate Net
Purchase Payment(s) minus the total of
all partial surrenders, amounts applied
to an Annuity and deductions made prior
to the Annuitant's date of death;
(b) As a premium for an Annuity option 2, 3
or 4 under this Contract (see 4.07);
(c) As a distribution under the SWO
provision (see 3.10);
(d) At least 12 months after the date of the
first Purchase Payment to the Account,
in an amount equal to or less than 15%
of the Current Value. This applies to
the first surrender request, partial or
full, in a calendar year. The Current
Value is calculated as of the date the
surrender request is received in good
order at Aetna's Home Office. This
waiver is not available to the Contract
Holder while SWO is in effect; or
(e) For a full surrender where the Account's
Current Value is $2,500 or less and no
surrenders have been taken from the
Contract within the prior 12 months.
3.15 Payment of Under certain emergency conditions, Aetna may
Surrender Value: defer payment:
(a) For a period of up to 6 months (unless
not allowed by state law); or
(b) As provided by federal law under the
Investment Company Act of 1940.
IV. ANNUITY PROVISIONS
--------------------------------------------------------------------------------
4.01 Choices to be Made: The Certificate Holder may tell Aetna to
apply any portion of the Adjusted Current
Value (minus any premium tax) for an Annuity
under option 2, 3, or 4 (see 4.07). The first
Annuity payment may not be earlier than one
calendar year after the initial Purchase
Payment nor later than the first day of the
month following the Annuitant's 90th
birthday.
When an Annuity option is chosen, Aetna must
also be told if payments are to be made
other than monthly and whether to pay:
(a) A Fixed Annuity using the General
Account;
(b) A Variable Annuity using any of the
Fund(s) available under this Contract for
Annuity purposes; or
(c) A combination of (a) and (b).
24
4.01 Choices to be Made If a Fixed Annuity is chosen, the Annuity
(Cont'd): purchase rate for the option chosen reflects
at least the Minimum Guaranteed Interest
Rate (see Contract Schedule II), but may
reflect a higher interest rate. If a Variable
Annuity is chosen, the initial Annuity
payment for the option chosen reflects the
assumed annual return rate elected. (see
Contract Schedule II).
4.02 Terms of Annuity
Options:
(a) When payments start, the age of the
Annuitant plus the number of years for
which payments are guaranteed must not
exceed 95.
(b) An Annuity option may not be elected if
the first payment would be less than $50
or if the total payments in a year would
be less than $250 (less if required by
state law). Aetna reserves the right to
increase the minimum first Annuity
payment amount and the minimum annual
Annuity payment amount based upon
increases reflected in the Consumer
Price Index-Urban, (CPI-U) since July 1,
1993.
(c) If a Fixed Annuity under option 2, 3 or
4 is chosen and a larger payment would
result from applying the Surrender Value
or, if greater, 95% of what the
surrender would be if there were no
surrender fee, to a current Aetna single
premium immediate Annuity, Aetna will
make the larger payment.
(d) For purposes of calculating the
guaranteed first payment of a Variable
Annuity or the payments for a Fixed
Annuity, the Annuitant's and second
Annuitant's adjusted age will be used.
The Annuitant's and second Xxxxxxxxx's
adjusted age is his or her age as of the
birthday closest to the Annuity
commencement date reduced by one year
for Annuity commencement dates occurring
during the period of time from July 1,
1993 through December 31, 1999. The
Annuitant's and second Xxxxxxxxx's age
will be reduced by two years for Annuity
commencement dates occurring during the
period of time from January 1, 2000
through December 31, 2009. The
Annuitant's and second Annuitant's age
will be reduced by one additional year
for Annuity commencement dates occurring
in each succeeding decade.
The Annuity purchase rates for options
3 and 4 are based on mortality from 1983
Table a.
(e) Assumed Annual Net Return Rate is the
interest rate used to determine the
amount of the first Annuity payment
under a Variable Annuity as shown on
Contract Schedule II. The Separate
Account must earn this rate plus enough
to cover the mortality and expense risks
charges (which may include profit) and
administrative charges if future
Variable Annuity Payments are to remain
level, (see Annuity return factor under
Variable Annuity Assumed Annual Net
Return Rate on Contract Schedule II).
(f) Once elected, Annuity payments cannot be
commuted to a lump sum except for
Variable Annuity payments under option 2
(see 4.07). The life expectancy of the
Annuitant and the Annuitant and second
Annuitant shall be irrevocable upon the
election of an Annuity option.
25
4.03 Death of Annuitant/ (a) Certificate Holder is Annuitant: When
Beneficiary: the Certificate Holder is the Annuitant
and the Annuitant dies under option 2 or
3, or both the Annuitant and the second
Annuitant die under option 4(d), the
present value of any remaining
guaranteed payments will be paid in one
sum to the Beneficiary, or upon election
by the Beneficiary, any remaining
payments will continue to the
Beneficiary. If option 4 has been
elected and the Certificate Holder dies,
the remaining payments will continue to
the successor payee. If no successor
payee has been designated, the
Beneficiary will be treated as the
successor payee. If the Account has
joint Certificate Holders, the surviving
joint Certificate Holder will be deemed
the successor payee.
(b) Certificate Holder is Not Annuitant:
When the Certificate Holder is not the
Annuitant and the Certificate Holder
dies, the remaining payments under
options 2, 3 or 4 will continue to the
successor payee. If no successor payee
has been designated, the Beneficiary
will be treated as the successor payee.
If the Account has joint Certificate
Holders, the surviving joint Certificate
Holder will be deemed the successor
payee.
If the Annuitant dies under option 2 or
3, or if both the Annuitant and the
second Annuitant die under option 4(d),
the present value of any remaining
guaranteed payments will be paid in one
sum to the Beneficiary, or upon the
election by the Beneficiary, any
remaining payments will continue to the
Beneficiary. If option 4 has been
elected, and the Annuitant dies, the
remaining payments will continue to the
Certificate Holder.
(c) No Beneficiary Named/Surviving: If there
is no Beneficiary under option 2, 3 or
4, the present value of any remaining
payments will be paid in one sum to the
Certificate Holder, or if the
Certificate Holder is not living, then
to the Certificate Holder's estate.
(d) If the Beneficiary designated under
option 1 dies, the amount held plus
accrued interest will be paid in one sum
to a successor Beneficiary, if any,
named by the designated Beneficiary. If
there is no successor Beneficiary, the
lump sum will be paid to the designated
Beneficiary's estate.
(e) If the Beneficiary or the successor
payee dies while receiving Annuity
payments, the present value of any
remaining guaranteed payments will be
paid in one sum to the successor
Beneficiary/payee, or upon election by
the successor Beneficiary/payee, any
remaining payments will continue to the
successor Beneficiary/payee. If no
successor Beneficiary/payee has been
designated, the present value of any
remaining guaranteed payments will be
paid in one sum to the
Beneficiary's/payee's estate.
(f) The present value will be determined as
of the Valuation Period in which proof
of death acceptable to Aetna and a
request for payment is received at
Aetna's Home Office. The interest rate
used to determine the first payment will
be used to calculate the present value.
26
4.04 Fund(s) Annuity Units -- The number of each Fund's Annuity units is
Separate Account: based on the amount of the first Variable
Annuity payment which is equal to:
(a) The portion of the Current Value applied
to pay a Variable Annuity (minus any
premium tax); divided by
(b) 1,000; multiplied by
(c) The payment rate for the option chosen.
Such amount, or portion, of the variable
payment will be divided by the appropriate
Fund Annuity unit value (see 4.05) on the
tenth Valuation Period before the due date of
the first payment to determine the number of
each Fund Annuity units. The number of each
Fund Annuity units remains fixed. Each future
payment is equal to the sum of the products
of each Fund Annuity unit value multiplied by
the appropriate number of Units. The Fund
Annuity unit value on the tenth Valuation
Period prior to the due date of the payment
is used.
4.05 Fund(s) Annuity Unit For any Valuation Period, a Fund Annuity unit
Value -- Separate value is equal to:
Account:
(a) The value for the previous Period;
multiplied by
(b) The Annuity net return factor(s) (see
4.06 below) for the Period; multiplied
by
(c) A factor to reflect the assumed annual
net return rate (see Contract Schedule
II).
The dollar value of a Fund Annuity unit value
and Annuity payments may go up or down due to
investment gain or loss.
4.06 Annuity Net Return The Annuity net return factor(s) are used to
Factor(s) -- Separate compute Annuity payments for any Fund.
Account:
The Annuity net return factor(s) for each
Fund is equal to 1.0000000 plus the net
return rate.
The net return rate is equal to:
(a) The value of the shares of the Fund held
by the Separate Account at the end of a
Valuation Period; minus
(b) The value of the shares of the Fund held
by the Separate Account at the start of
the Valuation Period; plus or minus
(c) Taxes (or reserves for taxes) on the
Separate Account (if any); divided by
(d) The total value of the Fund record units
and Fund Annuity units of the Separate
Account at the start of the Valuation
Period; minus
(e) A daily charge for Annuity mortality and
expense risks, which may include profit,
and a daily administrative charge (at
the annual rate as shown on Contract
Schedule II).
A net return rate may be more or less than
0%.
The value of a share of the Fund is equal to
the net assets of the Fund divided by the
number of shares outstanding.
Payments shall not be changed due to changes
in the mortality or expense results or
administrative charges.
27
4.07 Annuity Options: Option 1 -- Payments for a Stated Period of
Time -- An Annuity will be paid for the
number of years chosen. The number of years
must be at least 5 and not more than 30.
If payments for this option are made under a
Variable Annuity, the present value of any
remaining payments may be withdrawn at any
time. If a withdrawal is requested within 3
years after the start of payments, it will be
treated as a surrender and any applicable
Surrender Fee will be applied (see 3.14).
If a nonspouse Beneficiary elects this option
at the death of the Contract Holder, the
period selected may not extend beyond the
Beneficiary's life expectancy.
Option 2 -- Life Income -- An Annuity will be
paid for the life of the Annuitant. If also
chosen, Aetna will guarantee payments for 60,
120, 180, or 240 months.
Option 3 -- Life Income Based upon the Lives
of Two Annuitants -- An Annuity will be paid
during the lives of the Annuitant and a
second Annuitant. Payments will continue
until both Annuitants have died. When this
option is chosen, a choice must be made of:
(a) 100% of the payment to continue after
the first death;
(b) 66 2/3% of the payment to continue after
the first death;
(c) 50% of the payment to continue after the
first death;
(d) Payments for a minimum of 120 months
with 100% of the payment to continue
after the first death; or
(e) 100% of the payment to continue at the
death of the second Annuitant and 50% of
the payment to continue at the death of
the Annuitant.
Other Options -- Aetna may make other options
available as allowed by the laws of the state
in which this Contract and the Certificate is
delivered.
28
OPTION 1
Payments for a Stated Period of Time
Amount of First Monthly Payment for Each $1,000
After Deduction of any Charge for Premium Taxes
Rates for a Fixed Annuity with Guaranteed Interest Rate of 3.0%
Guaranteed Monthly Quarterly Semi-Annual Annual
Years Rate Payment Payment Payment Payment
--------------------------------------------------------------------------------
5 3.00% 17.91 53.59 106.78 $ 211.99
6 3.00% 15.14 45.30 90.27 179.22
7 3.00% 13.16 39.39 78.49 155.83
8 3.00% 11.68 34.96 69.66 138.31
9 3.00% 10.53 31.52 62.81 124.69
10 3.00% 9.61 28.77 57.33 113.82
11 3.00% 8.86 26.52 52.85 104.93
12 3.00% 8.24 24.65 49.13 97.54
13 3.00% 7.71 23.08 45.98 91.29
14 3.00% 7.26 21.73 43.29 85.95
15 3.00% 6.87 20.56 40.96 81.33
16 3.00% 6.53 19.54 38.93 77.29
17 3.00% 6.23 18.64 37.14 73.74
18 3.00% 5.96 17.84 35.56 70.59
19 3.00% 5.73 17.13 34.14 67.78
20 3.00% 5.51 16.50 32.87 65.26
21 3.00% 5.32 15.92 31.72 62.98
22 3.00% 5.15 15.40 30.68 60.92
23 3.00% 4.99 14.92 29.74 59.04
24 3.00% 4.84 14.49 28.88 57.33
25 3.00% 4.71 14.09 28.08 55.76
26 3.00% 4.59 13.73 27.36 54.31
27 3.00% 4.47 13.39 26.68 52.97
28 3.00% 4.37 13.08 26.06 51.74
29 3.00% 4.27 12.79 25.49 50.60
30 3.00% 4.18 12.52 24.95 49.53
29
OPTION 2
Life Income
Amount of First Monthly Payment for Each $1,000
After Deduction of any Charge for Premium Taxes
Rates for a Fixed Annuity with Guaranteed Interest Rate of 3.0%
Payments Guaranteed for a Stated Period of Months
Adjusted None 60 120 180 240
Age of ------------------------------------------------------------------------------
Annuitant Male Female Male Female Male Female Male Female Male Female
--------------------------------------------------------------------------------------------
50 $ 4.27 $ 3.90 $ 4.26 $ 3.90 $ 4.22 $ 3.89 $ 4.17 $ 3.86 $ 4.08 $ 3.82
51 4.34 3.97 4.33 3.96 4.30 3.95 4.23 3.92 4.14 3.88
52 4.43 4.03 4.41 4.03 4.37 4.01 4.30 3.98 4.20 3.93
53 4.51 4.10 4.50 4.10 4.45 4.08 4.37 4.04 4.26 3.99
54 4.60 4.18 4.59 4.17 4.54 4.15 4.45 4.11 4.32 4.04
55 4.70 4.25 4.68 4.25 4.62 4.22 4.53 4.18 4.39 4.11
56 4.80 4.34 4.78 4.33 4.72 4.30 4.61 4.25 4.45 4.17
57 4.91 4.42 4.89 4.41 4.82 4.38 4.69 4.32 4.51 4.23
58 5.03 4.52 5.00 4.51 4.92 4.47 4.78 4.40 4.58 4.30
59 5.15 4.61 5.12 4.60 5.03 4.56 4.87 4.48 4.65 4.37
60 5.28 4.72 5.25 4.70 5.14 4.66 4.96 4.57 4.71 4.44
61 5.43 4.83 5.39 4.81 5.27 4.76 5.06 4.66 4.78 4.51
62 5.58 4.95 5.53 4.93 5.39 4.87 5.16 4.75 4.84 4.58
63 5.74 5.08 5.69 5.05 5.53 4.99 5.26 4.85 4.90 4.65
64 5.91 5.21 5.85 5.18 5.66 5.10 5.36 4.95 4.96 4.72
65 6.10 5.36 6.03 5.32 5.81 5.22 5.46 5.05 5.02 4.79
66 6.30 5.51 6.21 5.47 5.96 5.36 5.56 5.16 5.08 4.86
67 6.51 5.67 6.41 5.63 6.12 5.50 5.66 5.26 5.13 4.93
68 6.73 5.85 6.62 5.80 6.28 5.65 5.77 5.37 5.18 5.00
69 6.97 6.04 6.84 5.98 6.44 5.80 5.86 5.49 5.23 5.06
70 7.23 6.25 7.07 6.18 6.61 5.97 5.96 5.60 5.27 5.12
71 7.51 6.47 7.32 6.39 6.79 6.14 6.05 5.71 5.31 5.18
72 7.80 6.71 7.58 6.62 6.96 6.32 6.14 5.83 5.34 5.23
73 8.12 6.98 7.85 6.86 7.14 6.50 6.23 5.94 5.37 5.28
74 8.46 7.26 8.14 7.12 7.32 6.69 6.31 6.04 5.40 5.32
75 8.82 7.57 8.45 7.40 7.50 6.89 6.38 6.14 5.42 5.35
Rates are based on mortality from 1983 Table a.
Rates for ages not shown will be provided on request and will be computed
on a basis consistent with the rates in the above tables.
30
OPTION 3
Life Income for Two Payees
Amount of First Monthly Payment for Each $1,000
After Deduction of any Charge for Premium Taxes
(Annuitant is Male and Second Annuitant is Female)
Rates for a Fixed Annuity with Guaranteed Interest Rate of 3.0%
Adjusted Ages
-------------------
Second
Annuitant Annuitant Option 4a Option 4b Option 4c Option 4d Option 4e
----------------------------------------------------------------------------------------------
55 50 $ 3.69 $ 4.05 $ 4.27 $ 3.69 $ 4.13
55 55 3.88 4.25 4.47 3.87 4.25
55 60 3.06 4.47 4.71 4.06 4.36
60 55 3.99 4.44 4.71 3.98 4.55
60 60 4.24 4.71 4.99 4.23 4.70
60 65 4.49 5.01 5.32 4.48 4.85
65 60 4.38 4.97 5.32 4.38 5.10
65 65 4.72 5.33 5.70 4.71 5.32
65 70 5.07 5.75 6.17 5.05 5.54
70 65 4.93 5.68 6.15 4.91 5.86
70 70 5.40 6.21 6.70 5.36 6.18
70 75 5.89 6.82 7.40 5.81 6.49
75 70 5.69 6.68 7.32 5.62 6.92
75 75 6.37 7.45 8.15 6.23 7.40
75 80 7.07 8.34 9.16 6.78 7.85
Rates are based on mortality from 1983 Table a.
The rates assume the Annuitant is Male and the Second Annuitant is Female.
Rates for ages not shown will be provided on request and will be computed
on a basis consistent with the rates in the above tables.
31
OPTION 3
Life Income for Two Payees
Amount of First Monthly Payment for Each $1,000
After Deduction of any Charge for Premium Taxes
(Annuitant is Female and Second Annuitant is Male)
Rates for a Fixed Annuity with Guaranteed Interest Rate of 3.0%
Adjusted Ages
--------------------
Second
Annuitant Annuitant Option 4a Option 4b Option 4c Option 4d Option 4e
----------------------------------------------------------------------------------------------
55 50 $ 3.75 $ 4.07 $ 4.26 $ 3.75 $ 3.98
55 55 3.88 4.25 4.47 3.87 4.06
55 60 3.99 4.44 4.71 3.98 4.12
60 55 4.06 4.47 4.71 4.06 4.37
60 60 4.24 4.71 4.99 4.23 4.47
60 65 4.38 4.97 5.32 4.38 4.54
65 60 4.49 5.01 5.32 4.48 4.89
65 65 4.72 5.33 5.70 4.71 5.02
65 70 4.93 5.68 6.15 4.91 5.14
70 65 5.07 5.75 6.17 5.05 5.60
70 70 5.40 6.21 6.70 5.36 5.79
70 75 5.69 6.68 7.32 5.62 5.96
75 70 5.89 6.83 7.40 5.81 6.63
75 75 6.37 7.45 8.15 6.23 6.92
75 80 6.78 8.11 8.99 6.54 7.15
Rates are based on mortality from 1983 Table a.
The rates assume the Annuitant is Female and the Second Annuitant is Male.
Rates for ages not shown will be provided on request and will be computed
on a basis consistent with the rates in the above tables.
32
OPTION 1
Payments for a Stated Period of Time
Amount of First Monthly Payment for Each $1,000
After Deduction of any Charge for Premium Taxes
Rates for a Variable Annuity with Assumed Net Return Rate of 3.5%
Guaranteed Monthly Quarterly Semi-Annual Annual
Years Rate Payment Payment Payment Payment
--------------------------------------------------------------------------------
5 3.50% 18.12 54.19 107.92 213.99
6 3.50% 15.35 45.92 91.44 181.32
7 3.50% 13.38 40.01 79.69 158.01
8 3.50% 11.90 35.59 70.88 140.56
9 3.50% 10.75 32.16 64.05 127.00
10 3.50% 9.83 29.42 58.59 116.18
11 3.50% 9.09 27.18 54.13 107.34
12 3.50% 8.46 25.32 50.42 99.98
13 3.50% 7.94 23.75 47.29 93.78
14 3.50% 7.49 22.40 44.62 88.47
15 3.50% 7.10 21.24 42.31 83.89
16 3.50% 6.76 20.23 40.29 79.89
17 3.50% 6.47 19.34 38.51 76.37
18 3.50% 6.20 18.55 36.94 73.25
19 3.50% 5.97 17.85 35.54 70.47
20 3.50% 5.75 17.22 34.28 67.98
21 3.50% 5.56 16.65 33.15 65.74
22 3.50% 5.39 16.13 32.13 63.70
23 3.50% 5.24 15.66 31.19 61.85
24 3.50% 5.09 15.24 30.34 60.17
25 3.50% 4.96 14.85 29.56 58.62
26 3.50% 4.84 14.49 28.85 57.20
27 3.50% 4.73 14.15 28.19 55.90
28 3.50% 4.63 13.85 27.58 54.69
29 3.50% 4.53 13.57 27.02 53.57
30 3.50% 4.45 13.30 26.49 52.53
33
OPTION 1
Payments for a Stated Period of Time
Amount of First Monthly Payment for Each $1,000
After Deduction of any Charge for Premium Taxes
Rates for a Variable Annuity with Assumed Net Return Rate of 5.0%
Guaranteed Monthly Quarterly Semi-Annual Annual
Years Rate Payment Payment Payment Payment
--------------------------------------------------------------------------------
5 5.00% 18.74 56.00 111.33 219.98
6 5.00% 15.99 47.77 94.96 187.64
7 5.00% 14.02 41.90 83.30 164.59
8 5.00% 12.56 37.52 74.58 147.35
9 5.00% 11.42 34.11 67.81 133.99
10 5.00% 10.51 31.40 62.42 123.34
11 5.00% 9.77 29.19 58.03 114.66
12 5.00% 9.16 27.36 54.38 107.45
13 5.00% 8.64 25.81 51.31 101.39
14 5.00% 8.20 24.50 48.69 96.21
15 5.00% 7.82 23.36 46.44 91.75
16 5.00% 7.49 22.37 44.47 87.88
17 5.00% 7.20 21.51 42.75 84.48
18 5.00% 6.94 20.74 41.23 81.47
19 5.00% 6.71 20.06 39.88 78.80
20 5.00% 6.51 19.46 38.68 76.42
21 5.00% 6.33 18.91 37.59 74.28
22 5.00% 6.17 18.42 36.62 72.35
23 5.00% 6.02 17.98 35.73 70.61
24 5.00% 5.88 17.57 34.93 69.02
25 5.00% 5.76 17.20 34.20 67.57
26 5.00% 5.65 16.87 33.53 66.25
27 5.00% 5.54 16.56 32.92 65.04
28 5.00% 5.45 16.28 32.35 63.93
29 5.00% 5.36 16.01 31.83 62.90
30 5.00% 5.28 15.77 31.35 61.95
34
OPTION 2
Life Income
Amount of First Monthly Payment for Each $1,000
After Deduction of any Charge for Premium Taxes
Rates for a Variable Annuity with Assumed Net Return Rate of 3.5%
Payments Guaranteed for a Stated Period of Months
Adjusted None 60 120 180 240
Age of --------------------------------------------------------------------------
Annuitant Male Female Male Female Male Female Male Female Male Female
----------------------------------------------------------------------------------------
50 $ 4.56 $ 4.20 $ 4.55 $ 4.19 $ 4.51 $ 4.18 $ 4.45 $ 4.15 $ 4.36 $ 4.11
51 4.64 4.26 4.62 4.25 4.58 4.24 4.51 4.21 4.42 4.16
52 4.72 4.32 4.70 4.32 4.66 4.30 4.58 4.26 4.48 4.21
53 4.80 4.39 4.79 4.38 4.74 4.36 4.65 4.32 4.53 4.27
54 4.89 4.46 4.87 4.46 4.82 4.43 4.73 4.39 4.59 4.32
55 4.99 4.54 4.97 4.53 4.91 4.50 4.80 4.46 4.65 4.38
56 5.09 4.62 5.07 4.61 5.00 4.58 4.88 4.53 4.72 4.44
57 5.20 4.71 5.17 4.70 5.10 4.66 4.96 4.60 4.78 4.50
58 5.32 4.80 5.29 4.79 5.20 4.75 5.05 4.68 4.84 4.57
59 5.44 4.90 5.41 4.88 5.31 4.84 5.14 4.76 4.91 4.63
60 5.57 5.00 5.53 4.99 5.42 4.93 5.23 4.84 4.97 4.70
61 5.71 5.11 5.67 5.09 5.54 5.03 5.32 4.93 5.03 4.77
62 5.86 5.23 5.81 5.21 5.66 5.14 5.42 5.02 5.09 4.84
63 6.02 5.36 5.97 5.33 5.79 5.25 5.51 5.11 5.16 4.91
64 6.20 5.49 6.13 5.46 5.93 5.37 5.61 5.21 5.21 4.98
65 6.38 5.64 6.31 5.60 6.07 5.49 5.71 5.31 5.27 5.05
66 6.58 5.79 6.49 5.75 6.22 5.63 5.81 5.41 5.32 5.12
67 6.79 5.95 6.69 5.91 6.38 5.76 5.91 5.52 5.38 5.18
68 7.02 6.13 6.89 6.08 6.53 5.91 6.01 5.63 5.42 5.25
69 7.26 6.32 7.11 6.26 6.70 6.06 6.11 5.74 5.47 5.31
70 7.52 6.53 7.35 6.45 6.86 6.23 6.20 5.85 5.51 5.37
71 7.80 6.75 7.59 6.66 7.03 6.39 6.29 5.96 5.54 5.42
72 8.09 6.99 7.85 6.89 7.21 6.57 6.38 6.07 5.57 5.47
73 8.41 7.26 8.12 7.13 7.38 6.75 6.46 6.17 5.60 5.51
74 8.75 7.54 8.41 7.39 7.55 6.94 6.53 6.28 5.63 5.55
75 9.12 7.85 8.71 7.66 7.73 7.13 6.61 6.38 5.65 5.59
Rates are based on mortality from 1983 Table a.
Rates for ages not shown will be provided on request and will be computed
on a basis consistent with the rates in the above tables.
35
OPTION 2
Life Income
Amount of First Monthly Payment for Each $1,000
After Deduction of any Charge for Premium Taxes
Rates for a Variable Annuity with Assumed Net Return Rate of 5.0%
Payments Guaranteed for a Stated Period of Months
Adjusted None 60 120 180 240
Age of ------------------------------------------------------------------------------
Annuitant Male Female Male Female Male Female Male Female Male Female
--------------------------------------------------------------------------------------------
50 $ 5.48 $ 5.12 $ 5.46 $ 5.11 $ 5.41 $ 5.09 $ 5.34 $ 5.06 $ 5.24 $ 5.01
51 5.55 5.17 5.53 5.17 5.48 5.14 5.40 5.11 5.29 5.05
52 5.63 5.23 5.61 5.23 5.55 5.20 5.46 5.16 5.34 5.10
53 5.71 5.30 5.69 5.29 5.62 5.26 5.53 5.22 5.40 5.15
54 5.80 5.37 5.77 5.36 5.70 5.33 5.60 5.27 5.45 5.20
55 5.89 5.44 5.86 5.43 5.79 5.39 5.67 5.34 5.51 5.25
56 5.99 5.52 5.96 5.51 5.87 5.47 5.74 5.40 5.56 5.31
57 6.10 5.60 6.06 5.59 5.97 5.54 5.82 5.47 5.62 5.37
58 6.21 5.69 6.17 5.67 6.06 5.62 5.90 5.54 5.68 5.42
59 6.33 5.79 6.29 5.77 6.17 5.71 5.98 5.61 5.74 5.48
60 6.46 5.89 6.41 5.87 6.28 5.80 6.06 5.69 5.79 5.55
61 6.60 6.00 6.55 5.97 6.39 5.90 6.15 5.77 5.85 5.61
62 6.75 6.11 6.69 6.08 6.51 6.00 6.24 5.86 5.91 5.67
63 6.91 6.23 6.84 6.20 6.64 6.10 6.33 5.95 5.96 5.73
64 7.09 6.37 7.00 6.33 6.77 6.22 6.42 6.04 6.02 5.80
65 7.27 6.51 7.18 6.46 6.91 6.34 6.52 6.13 6.07 5.86
66 7.47 6.66 7.36 6.61 7.05 6.46 6.61 6.23 6.12 5.92
67 7.68 6.82 7.55 6.76 7.20 6.60 6.70 6.33 6.16 5.99
68 7.91 7.00 7.76 6.93 7.35 6.74 6.80 6.43 6.21 6.04
69 8.15 7.19 7.98 7.11 7.51 6.89 6.89 6.54 6.25 6.10
70 8.41 7.39 8.21 7.30 7.67 7.04 6.97 6.64 6.28 6.15
71 8.69 7.62 8.45 7.51 7.83 7.21 7.06 6.74 6.32 6.20
72 8.99 7.86 8.70 7.73 8.00 7.38 7.14 6.85 6.35 6.25
73 9.31 8.12 8.97 7.97 8.16 7.55 7.21 6.95 6.37 6.29
74 9.65 8.41 9.26 8.23 8.33 7.73 7.29 7.04 6.39 6.33
75 10.02 8.72 9.65 8.50 8.50 7.92 7.35 7.14 6.41 6.36
Rates are based on mortality from 1983 Table a.
Rates for ages not shown will be provided on request and will be computed
on a basis consistent with the rates in the above tables.
36
OPTION 3
Life Income for Two Payees
Amount of First Monthly Payment for Each $1,000
After Deduction of any Charge for Premium Taxes
(Annuitant is Male and Second Annuitant is Female)
Rates for a Variable Annuity with Assumed Net Return Rate of 3.5%
Adjusted Ages
----------------------------------------------------------------------------------------------
Second
Annuitant Annuitant Option 4a Option 4b Option 4c Option 4d Option 4e
----------------------------------------------------------------------------------------------
55 50 $ 3.97 $ 4.35 $ 4.56 $ 3.97 $ 4.42
55 55 4.16 4.54 4.76 4.15 4.54
55 60 4.34 4.76 5.00 4.34 4.64
60 55 4.27 4.73 5.00 4.26 4.83
60 60 4.51 4.99 5.27 4.50 4.98
60 65 4.76 5.29 5.60 4.75 5.13
65 60 4.66 5.25 5.61 4.65 5.39
65 65 4.99 5.61 5.99 4.98 5.60
65 70 5.34 6.03 6.46 5.31 5.81
70 65 5.19 5.97 6.44 5.17 6.14
70 70 5.67 6.49 6.99 5.62 6.47
70 75 6.16 7.10 7.68 6.07 6.77
75 70 5.95 6.96 7.61 5.87 7.20
75 75 6.64 7.73 8.43 6.48 7.68
75 80 7.33 8.62 9.45 7.02 8.13
Rates are based on mortality from 1983 Table a.
The rates assume the Annuitant is Male and the Second Annuitant is Female.
Rates for ages not shown will be provided on request and will be computed
on a basis consistent with the rates in the above tables.
37
OPTION 3
Life Income for Two Payees
Amount of First Monthly Payment for Each $1,000
After Deduction of any Charge for Premium Taxes
(Annuitant is Female and Second Annuitant is Male)
Rates for a Variable Annuity with Assumed Net Return Rate of 3.5%
Adjusted Ages
--------------------
Second
Annuitant Annuitant Option 4a Option 4b Option 4c Option 4d Option 4e
----------------------------------------------------------------------------------------------
55 50 $ 4.03 $ 4.36 $ 4.55 $ 4.03 $ 4.41
55 55 4.16 4.54 4.76 4.15 4.54
55 60 4.27 4.73 5.00 4.26 4.83
60 55 4.34 4.76 5.00 4.34 4.64
60 60 4.51 4.99 5.27 4.50 4.98
60 65 4.66 5.25 5.61 4.65 5.39
65 60 4.76 5.29 5.60 4.75 5.13
65 65 4.99 5.61 5.99 4.98 5.60
65 70 5.19 5.97 6.44 5.17 6.14
70 65 5.34 6.03 6.46 5.31 5.81
70 70 5.67 6.49 6.99 5.62 6.47
70 75 5.95 6.96 7.61 5.87 7.20
75 70 6.16 7.10 7.68 6.07 6.77
75 75 6.64 7.73 8.43 6.48 7.68
75 80 7.04 8.39 9.29 6.79 8.70
Rates are based on mortality from 1983 Table a.
The rates assume the Annuitant is Female and the Second Annuitant is Male.
Rates for ages not shown will be provided on request and will be computed
on a basis consistent with the rates in the above tables.
38
OPTION 3
Life Income for Two Payees
Amount of First Monthly Payment for Each $1,000
After Deduction of any Charge for Premium Taxes
(Annuitant is Male and Second Annuitant is Female)
Rates for a Variable Annuity with Assumed Net Return Rate of 5.0%
Adjusted Ages
---------------------
Second
Annuitant Annuitant Option 4a Option 4b Option 4c Option 4d Option 4e
----------------------------------------------------------------------------------------------
55 50 $ 4.88 $ 5.26 $ 5.48 $ 4.88 $ 5.34
55 55 5.04 5.44 5.66 5.04 5.43
55 60 5.21 5.65 5.89 5.21 5.53
60 55 5.15 5.63 5.91 5.14 5.73
60 60 5.37 5.87 6.16 5.37 5.86
60 65 5.61 6.16 6.49 5.60 6.01
65 60 5.52 6.14 6.51 5.51 6.28
65 65 5.83 6.49 6.87 5.82 6.47
65 70 6.17 6.90 7.33 6.13 6.67
70 65 6.04 6.84 7.34 6.00 7.03
70 70 6.49 7.35 7.87 6.44 7.33
70 75 6.97 7.96 8.56 6.87 7.62
75 70 6.77 7.84 8.51 6.68 8.08
75 75 7.45 8.60 9.33 7.27 8.55
75 80 8.14 9.49 10.35 7.80 8.98
Rates are based on mortality from 1983 Table a.
The rates assume the Annuitant is Male and the Second Annuitant is Female.
Rates for ages not shown will be provided on request and will be computed
on a basis consistent with the rates in the above tables.
39
OPTION 3
Life Income for Two Payees
Amount of First Monthly Payment for Each $1,000
After Deduction of any Charge for Premium Taxes
(Annuitant is Female and the Second Annuitant is Male)
Rates for a Variable Annuity with Assumed Net Return Rate of 5.0%
Adjusted Ages
--------------------
Second
Annuitant Annuitant Option 4a Option 4b Option 4c Option 4d Option 4e
----------------------------------------------------------------------------------------------
55 50 $ 4.93 $ 5.27 $ 5.46 $ 4.93 $ 5.19
55 55 5.04 5.44 5.66 5.04 5.43
55 60 5.15 5.63 5.91 5.14 5.73
60 55 5.21 5.65 5.89 5.21 5.53
60 60 5.37 5.87 6.16 5.37 5.86
60 65 5.52 6.14 6.51 5.51 6.28
65 60 5.61 6.16 6.49 5.60 6.01
65 65 5.83 6.49 6.87 5.82 6.47
65 70 6.04 6.84 7.34 6.00 7.03
70 65 6.17 6.90 7.33 6.13 6.67
70 70 6.49 7.35 7.87 6.44 7.33
70 75 6.77 7.84 8.51 6.68 8.08
75 70 6.97 7.96 8.56 6.87 7.62
75 75 7.45 8.60 9.33 7.27 8.55
75 80 7.86 9.28 10.20 7.57 9.59
Rates are based on mortality from 1983 Table a.
The rates assume the Annuitant is Female and the Second Annuitant is Male.
Rates for ages not shown will be provided on request and will be computed
on a basis consistent with the rates in the above tables.
40
[Aetna logo]
Aetna Life Insurance and Annuity Company
Home Office: 000 Xxxxxxxxxx Xxxxxx
Xxxxxxxx, Xxxxxxxxxxx 00000
(000) 000-0000
Group Variable, Fixed, or Combination Annuity Contract
Nonparticipating
ALL PAYMENTS AND VALUES PROVIDED BY THE GROUP CONTRACT, WHEN BASED ON
INVESTMENT EXPERIENCE OF A SEPARATE ACCOUNT, ARE VARIABLE AND ARE NOT
GUARANTEED AS TO FIXED DOLLAR AMOUNT. THIS CONTRACT CONTAINS A MARKET VALUE
ADJUSTMENT FORMULA. APPLICATION OF A MARKET VALUE ADJUSTMENT MAY RESULT IN
EITHER AN INCREASE OR DECREASE IN THE CURRENT VALUE. THE MARKET VALUE ADJUSTMENT
FORMULA DOES NOT APPLY TO A GUARANTEED TERM AT THE TIME OF ITS MATURITY.
