EXHIBIT 1.A.(13)(e)
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RIDER FOR TERM INSURANCE BENEFIT
ON LIFE OF INSURED DECREASING AMOUNT
This benefit is a part of this contract only if it is listed on a contract data
page.
BENEFIT
We will pay an amount under this benefit if we receive due proof that the
Insured died: (1) in the term period for the benefit; and (2) while this
contract is in force and not in default past the last day of the grace period.
But our payment is subject to all the provisions of this rider and of the rest
of this contract.
We show the Initial Amount of this benefit on a contract data page. We also show
the term period for the benefit there. The term period starts on the contract
date. The anniversary at the end of the term period is part of that period.
AMOUNTS PAYABLE
The amount we will pay depends on when death occurs. In the Table of Amounts of
Insurance on a contract data page we show the amount we will pay if death occurs
in a given contract year.
BENEFIT PREMIUMS AND CHARGES
We show the premiums for this benefit in the Schedule of Premiums in the
contract data pages. From each premium payment, we make the deductions shown
under Schedule of Deductions from Premium Payments in these pages and the
balance is the invested premium amount which is added to the contract fund.
Benefit premiums and monthly charges stop on the anniversary at the end of the
term period.
The monthly charge for this benefit is deducted on each monthly date from the
contract fund. The amount of that charge is included in the Schedule of Monthly
Deductions from the contract fund.
CONVERSION TO ANOTHER PLAN OF INSURANCE
RIGHT TO CONVERT
You may convert this benefit to a new contract of life insurance on the
Insured's life. You will not have to prove that the Insured is insurable.
CONDITIONS
The amount of insurance that would have been payable under this benefit if the
Insured had died just before the contract date of the new contract (see the
Table of Amounts for this benefit on a contract data page) must be large enough
to meet the minimum for a new contract, as we describe under Contract
Specifications. You must ask for the conversion in a form that meets our needs,
while this contract is in force and not in default past the last day of the
grace period, and at least five years before the end of the term period for this
benefit. We may require you to send us the contract.
The new contract will not take effect unless the premium for it is paid while
the Insured is living and within 31 days after its contract date. If the premium
is paid as we state, it will be deemed that the new contract took effect on its
contract date and that this benefit ended just before that date.
PREMIUM CREDIT
If we receive your request for conversion before the fifth anniversary of this
contract, we will allow a premium credit. Upon conversion to a new contract with
scheduled premiums, we will allow a credit, as described below, on each premium
that is due or scheduled for payment during the first year of the new contract.
Upon conversion to a new contract without scheduled premiums, we will allow a
credit as of the contract date provided you pay any required minimum initial
premium for the new contract.
If this benefit has been in force for at least one year on the contract date of
the new contract, we will allow the full credit described below. If this benefit
has been in force for less than one year as of that date, the credit will be
reduced on a pro-rata basis taking into consideration the portion of a year for
which this benefit has then been in force.
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The full credit is equal to the premiums for the term insurance being converted
that were due, on the premium mode in effect at the time of conversion, during
the twelve months preceding the date of the new contract. Extra premiums or
charges for extra risks or extra benefits other than a waiver benefit are not
considered in determining this credit.
If the new contract has scheduled premiums, we will reduce each premium due or
scheduled for payment in the first year of the new contract to consider either
the full or reduced credit, as appropriate. If more than one premium is due or
scheduled for payment, we will apportion any credit between them. If the new
contract does not have scheduled premiums, we will pay either the full or
reduced credit, as appropriate, into the new contract as of the contract date
provided you pay any required minimum initial premium for the new contract.
CONTRACT DATE
If this contract is not in default, you may choose any contract date for the new
contract that is not more than 31 days after nor more than 31 days before the
date we receive your request, and not less than five years before the end of the
term period for this benefit. If this contract is in default but not past the
last day of the grace period, the contract date for the new contract will be the
date on which this contract went into default.
CONTRACT SPECIFICATIONS
The new contract will be in the same rating class as this contract. We will set
the issue age, premiums and charges for the new contract in accordance with our
regular rules in use on its contract date.
Except as we state in the next sentence, the new contract may be any life or
endowment policy we regularly issue on its contract date for the same rating
class, amount, issue age and sex. It may not be: a single-premium contract; one
that insures anyone in addition to the Insured; one that includes or provides
for term insurance, other than extended insurance; one with premiums that
increase after a stated time, if its first premium is less than 80% of any later
premium; or one with any benefit other than the basic insurance benefit and the
waiver benefit we refer to below. A waiver benefit may either waive or pay
premiums in the event of the Insuredos total disability.
The basic amount of the new contract may be any amount you ask for as long as it
is at least $10,000 and not more than 80% of the amount we would have paid under
this benefit if the Insured had died just before the contract date of the new
contract. (Since $10,000 is 80% of $12,500, the amount we would have paid must
be at least $12,500 for conversion to be possible.) If the amount you want is
smaller than the smallest amount we would regularly issue on the plan you want,
we will issue a new contract for as low as $10,000 on the Life Paid Up at Age 85
plan if you ask us to.
If this contract has a benefit for waiving premiums in the event of the
Insuredos total disability, we will include a waiver benefit in the new contract
if its premium period runs to at least the Insured's attained age 85 and if we
would include a waiver benefit in other contracts like the new one.
We will not deny a waiver benefit that we would have allowed under this
contract, and that we would otherwise allow under the new contract, just because
total disability started before the contract date of the new contract. But any
premium to be waived or paid for disability under the new contract must be on
the monthly mode, unless we agree otherwise. We will not waive or pay any
premium under the new contract unless it has a waiver benefit, even if we have
waived premiums under this contract due to the Insuredos total disability.
Any waiver benefit in the new contract will be the same one, with the same
provisions, that we put in other contracts like it on its contract date. In any
of these paragraphs, when we refer to other contracts, we mean contracts we
would regularly issue on the same plan as the new contract and for the same
rating class, amount, issue age and sex.
CHANGES
You may be able to have this benefit changed to a new contract of life insurance
other than in accordance with the requirements for conversion that we state
above. But any change may be made only if we consent, and will be subject to
conditions and charges that are then determined.
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TERMINATION OF BENEFIT
This benefit will end on the earliest of:
1. the end of its term period;
2. the end of the last day of the grace if the contract is in default; it will
not continue if either extended insurance or reduced paid-up insurance
takes effect;
3. the end of the last day before the contract date of any other contract to
which the benefit is converted or changed;
4. the date the contract is surrendered under its Cash Value Option; and
5. the date the contract ends for any other reason.
Further, if you ask us in a form that meets our needs, we will cancel the
benefit as of the first monthly date on or after the date we receive your
request. Contract premiums and monthly charges due then and later will be
reduced accordingly.
THIS SUPPLEMENTARY BENEFIT RIDER ATTACHED TO THIS CONTRACT ON THE CONTRACT DATE
The Prudential Insurance Company of America.
By /s/ SPECIMEN
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Secretary
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