THE INSURED XXXXXXX XXX VARIABLE LIFE INSURANCE POLICY
POLICY OWNER XXXXXXX XXX EQUITABLE
VARIABLE LIFE INSURANCE COMPANY
FACE AMOUNT $100,000 [EVLICO LOGO]
POLICY NUMBER SPECIMEN
EQUITABLE VARIABLE LIFE INSURANCE COMPANY
A Stock Life Insurance Company
Agrees
o To pay the insurance benefits of this policy to the Beneficiary upon receiving
proof of the Insured's death; and
o To provide you (the policy Owner) with the other rights and benefits of this
policy.
These agreements are subject to the provisions of this policy.
THE DEATH BENEFIT OF THIS POLICY DURING THE FIRST POLICY YEAR WILL EQUAL THE
FACE AMOUNT SHOWN ON PAGE 3. THEREAFTER, IT MAY INCREASE OR DECREASE EACH YEAR
AS DESCRIBED ON PAGE 5 DEPENDING UPON THE INVESTMENT EXPERIENCE OF THIS POLICY,
BUT SHALL NEVER BE LESS THAN THE FACE AMOUNT.
THE CASH VALUE OF THIS POLICY WILL VARY FROM DAY TO DAY. IT MAY INCREASE OR
DECREASE DEPENDING UPON THE INVESTMENT EXPERIENCE OF THIS POLICY.
Premiums are shown on page 3 and are fixed as to amount. They will not vary with
the investment experience of this policy.
RIGHT TO EXAMINE POLICY. You may examine this policy and if for any reason you
are not satisfied with it, you may cancel it by returning the policy with a
written request for cancellation to our Administrative Office by the later of:
(a) the 10th day after you receive it; or (b) the 45th day after Part 1 of the
application was signed. If you do this, we will refund the premium that was
paid.
SPECIMEN SPECIMEN
Xxxxx Xxxxx Secretary Xxxxxxxx Xxxxxxx President
Whole Life Plan. Variable insurance payable upon death. Guaranteed
Minimum Death Benefit. Fixed premiums payable for life.
Non-Participating. Investment experience reflected in benefits.
Investment options described on page 6.
No. 85-11
EQUITABLE
VARIABLE LIFE INSURANCE COMPANY
[EVLICO LOGO]
0000 Xxxxxx xx xxx Xxxxxxxx, Xxx Xxxx
CONTENTS
Insurance benefits 2
Policy owner and beneficiary 4
Premiums, grace, lapse, reinstatement 4
Death Benefit 5
Cash Value 5
Loans 5
The Separate Account 6
Investment Options,
allocations, transfers 6
Options on Lapse 7
Exchange of Policy 8
General Provisions 8
Payment Options 10
Basis of Values 12
(Net rates of return, variable adjustment amount, benefit base, calculation of
cash values)
Any additional benefit riders and a copy of the application are at the back of
the policy.
IN THIS POLICY:
"We," "our" and "us" mean Equitable Variable Life Insurance Company.
"You" and "your" mean the Owner of the policy at the time an Owner's right is
exercised.
ADMINISTRATIVE OFFICE
The address of our Administrative Office is shown on page 3. You should send
premiums and requests to that address unless instructed otherwise.
INSURANCE BENEFITS
The insurance benefits we pay at the Insured's death include:
o the Death Benefit described on page 5;
o plus any additional benefits due from riders to this policy;
o plus or minus any adjustment for the last premium;
o minus any loan (and loan interest) on the policy.
We will add interest to the resulting amount for the period from the date of
death to the date of payment. It will be computed at the interest rate we are
then paying under the Deposit Option on page 10.
We will pay these benefits only if premiums have been paid as called for by this
policy. However, even if premiums have been discontinued we may still pay
certain benefits. See Options on Lapse, page 7.
Payment of these benefits may also be affected by other provisions of this
policy. See the Suicide Exclusion, Incontestability, and Age and Sex clauses on
page 8. Special exclusions or limitations (if any) are listed on page 3.
No. 85-11 Page 2
POLICY INFORMATION
THE INSURED XXXXXXX XXX REGISTER DATE MAR 1, 1985
POLICY OWNER XXXXXXX XXX DATE OF ISSUE MAR 1, 1985
FACE AMOUNT $100,000 ISSUE AGE, SEX 35 MALE
POLICY NUMBER SPECIMEN BENEFICIARY XXXXXXXX X. XXX
************************* BENEFITS AND PREMIUMS TABLE **************************
BENEFITS ANNUAL PREMIUM PREMIUM PERIOD
LIFE INSURANCE - VARIABLE $1369.00 FOR LIFE
THE FIRST PREMIUM IS $1369.00 AND IS DUE ON OR BEFORE DELIVERY OF THE POLICY.
SUBSEQUENT PREMIUMS ARE DUE ON MAR 01, 1986 AND EVERY 12 MONTHS THEREAFTER
DURING THE PREMIUM PERIOD IN ACCORDANCE WITH THE ABOVE PREMIUM TABLE.
**************************** TABLE OF NET ANNUAL PREMIUMS **********************
BEGINNING OF NET ANNUAL
POLICY YEAR PREMIUM
1 $ 910.00
2 AND LATER 1210.00
********************* INVESTMENT ALLOCATION OF NET ANNUAL PREMIUMS *************
INVESTMENT DIVISIONS: COMMON STOCK 50%
MONEY MARKET 50%
****ADMINISTRATIVE OFFICE: EQUITABLE VARIABLE LIFE INSURANCE COMPANY ***********
SPECIMEN REGIONAL SERVICE CENTER
000 XXXXXXXX XX.
CITY, STATE 10001
V85-11-3 STANDARD Page 3
POLICY INFORMATION CONTINUED
THE INSURED XXXXXXX XXX REGISTER DATE MAR 1, 1985
FACE AMOUNT $100,000 DATE OF ISSUE MAR 1, 1985
POLICY NUMBER SPECIMEN ISSUE AGE, SEX 35 MALE
******************************************* TABULAR VALUES ********************************************
TABULAR ACCOUNT VALUES AT ENDS OF POLICY YEARS*
END OF TABULAR END OF TABULAR END OF TABULAR
POLICY ACCOUNT POLICY ACCOUNT POLICY ACCOUNT
YEAR VALUES YEAR VALUES YEAR VALUES
1 $ 741 9 $10,269 17 $22,017
2 1,812 10 11,613 18 23,642
3 2,919 11 12,990 19 25,294
4 4,059 12 14,404 20 26,970
5 5,234 13 15,854 AGE 60 35,717
6 6,442 14 17,341 AGE 62 39,379
7 7,683 15 18,864 AGE 65 44,956
8 8,959 16 20,424 AGE 70 54,270
****************************************** TABULAR CASH VALUES ****************************************
THE CASH VALUE OF THIS POLICY MAY BE GREATER OR LESS THAN AMOUNTS SHOWN
AND IS NOT GUARANTEED AS TO DOLLAR AMOUNT
SEE PAGE 5 FOR CASH VALUE PROVISION
INTERIM TABULAR CASH VALUES IN FIRST POLICY YEAR*
INTERIM INTERIM INTERIM
END OF TABULAR END OF TABULAR END OF TABULAR
POLICY CASH POLICY CASH POLICY CASH
MONTH VALUES MONTH VALUES MONTH VALUES
1 $0 5 $ 9 9 $257
2 0 6 71 10 318
3 0 7 133 11 380
4 0 8 195 12 442
TABULAR CASH VALUES AT ENDS OF POLICY YEARS*
INTERIM INTERIM
END OF TABULAR END OF TABULAR
POLICY CASH POLICY CASH
YEAR VALUES YEAR VALUES
1 $ 442 6 $ 5,724
2 1,413 7 6,939
3 2,421 8 8,321
4 3,474 9 9,910
5 4,569 10 11,613
FOR YEARS 11 AND LATER THE TABULAR CASH VALUE IS THE SAME AS THE TABULAR ACCOUNT
VALUE.
*THESE VALUES DO NOT REFLECT LOANS. VALUES NOT SHOWN WILL BE FURNISHED ON
REQUEST.
V85-11-3-A PAGE 3A
POLICY INFORMATION CONTINUED
TABLE OF NET SINGLE PREMIUMS
For $1.00 of Variable Adjustment Amount or Paid-Up Whole Life Insurance. Values
shown are applicable on policy anniversaries. The net single premium as of a
date during a policy year shall be determined by interpolation between the
values applicable on the immediately preceding and immediately following
anniversaries.
Age of Age of Age of Age of Age of
Insured Net Insured Net Insured Net Insured Net Insured Net
(Nearest Single (Nearest Single (Nearest Single (Nearest Single (Nearest Single
Birthday) Premium Birthday) Premium Birthday) Premium Birthday) Premium Birthday) Premium
--------- ------- --------- ------- --------- ------- --------- ------- --------- -------
MALE INSURED
------------
1 $.06793 21 $.13298 41 $.26960 61 $.51232 81 $ .78748
2 .06996 22 .13727 42 .27929 62 .52668 82 .79890
3 .07217 23 .14178 43 .28925 63 .54114 83 .80994
4 .07449 24 .14654 44 .29947 64 .55567 84 .82051
5 .07695 25 .15154 45 .30996 65 .57021 85 .83053
6 .07956 26 .15683 46 .32071 66 .58475 86 .84002
7 .08233 27 .16240 47 .33175 67 .59928 87 .84903
8 .08529 28 .16825 48 .34306 68 .61381 88 .85767
9 .08841 29 .17438 49 .35467 69 .62836 89 .86607
10 .09170 30 .18079 50 .36656 70 .64291 90 .87437
11 .09515 31 .18748 51 .37873 71 .65742 91 .88276
12 .09873 32 .19444 52 .39117 72 .67183 92 .89147
13 .10239 33 .20169 53 .40385 73 .68604 93 .90078
14 .10609 34 .20921 54 .41675 74 .69994 94 .91103
15 .10981 35 .21702 55 .42983 75 .71346 95 .92248
16 .11354 36 .22510 56 .44311 76 .72658 96 .93527
17 .11729 37 .23346 57 .45657 77 .73932 97 .94925
18 .12106 38 .24210 58 .47022 78 .75171 98 .96390
19 .12491 39 .25100 59 .48406 79 .76385 99 .97831
20 .12887 40 .26017 60 .49810 80 .77578 100 1.00000
FEMALE INSURED
--------------
1 $.05530 21 $.10974 41 $.22687 61 $.43933 81 $ .74977
2 .05695 22 .11370 42 .23500 62 .45334 82 .76454
3 .05873 23 .11784 43 .24334 63 .46766 83 .77888
4 .06061 24 .12214 44 .25191 64 .48221 84 .79268
5 .06260 25 .12661 45 .26072 65 .49695 85 .80588
6 .06469 26 .13128 46 .26977 66 .51186 86 .81848
7 .06690 27 .13613 47 .27909 67 .52697 87 .83051
8 .06923 28 .14118 48 .28868 68 .54232 88 .84204
9 .07168 29 .14643 49 .29853 69 .55797 89 .85318
10 .07425 30 .15189 50 .30866 70 .57395 90 .86404
11 .07695 31 .15756 51 .31906 71 .59022 91 .87477
12 .07976 32 .16344 52 .32974 72 .60671 92 .88557
13 .08267 33 .16956 53 .34070 73 .62329 93 .89667
14 .08569 34 .17592 54 .35191 74 .63983 94 .90835
15 .08880 35 .18251 55 .36339 75 .65619 95 .92090
16 .09200 36 .18935 56 .37515 76 .67234 96 .93445
17 .09531 37 .19642 57 .38722 77 .68824 97 .94891
18 .09872 38 .20371 58 .39965 78 .70391 98 .96381
19 .10226 39 .21122 59 .41247 79 .71940 99 .97831
20 .10593 40 .21895 60 .42569 80 .73470 100 1.00000
V85-11-3B Page 3B
POLICY INFORMATION CONTINUED
DESCRIPTION OF INVESTMENT DIVISIONS
THE ASSETS IN EACH INVESTMENT DIVISION ARE INVESTED IN SHARES OF A DESIGNATED
PORTFOLIO OF AN INVESTMENT COMPANY. EACH PORTFOLIO REPRESENTS A DIFFERENT CLASS
(OR SERIES) OF SHARES ISSUED BY THE XXXXXX RIVER FUND, INC.
COMMON STOCK DIVISION - WE EXPECT THE INVESTMENTS IN THIS PORTFOLIO WILL BE,
PRIMARILY, COMMON STOCKS AND OTHER EQUITY-TYPE INVEST-
MENTS.
MONEY MARKET DIVISION - WE EXPECT THE INVESTMENTS IN THIS PORTFOLIO WILL BE,
PRIMARILY, SHORT-TERM (NOT TO EXCEED ONE YEAR) MONEY
MARKET INSTRUMENTS, SUCH AS: UNITED STATES (U.S.)
GOVERNMENT AND U.S. GOVERNMENT AGENCY SECURITIES; BANK
MONEY INSTRUMENTS; TIME DEPOSITS; CERTIFICATES OF
DEPOSIT; HIGH GRADE COMMERCIAL PAPER, INCLUDING MASTER
DEMAND NOTES; AND REPURCHASE AGREEMENTS COVERING U.S.
GOVERNMENT OBLIGATIONS AND CERTIFICATES OF DEPOSIT.
INVESTMENT RESULTS WILL REFLECT FLUCTUATIONS IN MARKET VALUES OF SECURITIES.
PLEASE REFER TO THE CURRENT PROSPECTUS FOR THE XXXXXX RIVER FUND, INC. FOR A
COMPLETE DESCRIPTION OF THE FUND AND THE DESIGNATED PORTFOLIOS.
V85-11-3C PAGE 3C
POLICY OWNER AND BENEFICIARY
OWNER. The Owner of this policy is the Insured unless otherwise stated in the
application, or later changed. As Owner, you can exercise all the rights in this
policy while the Insured is living. You do not need the consent of anyone who
has only a conditional or future ownership interest in this policy.
BENEFICIARY. The Beneficiary is as stated in the application, unless later
changed. If two or more persons are named, those surviving the Insured will
share equally unless otherwise stated.
We will pay any benefit for which there is no stated Beneficiary living at the
death of the Insured to the children of the Insured who then survive, in equal
shares. If none survive, we will pay the estate of the Insured.
CHANGES. While the Insured is living, you may change the Owner or Beneficiary by
written notice in a form satisfactory to us. The change will take effect on the
date you sign the notice, except that it will not apply to any payment we make
or other action we take before we receive the notice at our Administrative
Office. If you change the Beneficiary, any previous arrangement you made under
the Payment Options provision on page 10 is cancelled.
ASSIGNMENT. You may assign this policy, but we will not be bound by an
assignment unless it is in writing and we have received it at our Administrative
Office. Your rights and those of any other person referred to in this policy
will be subject to the assignment. We assume no responsibility for the validity
of any assignment.
PREMIUMS
AMOUNTS AND DUE DATES. Page 3 shows the amounts and due dates of premiums and
the period for which they are to be paid. Each premium is payable on or before
its due date at our Administrative Office.
You may write and ask us to change the frequency of premium payment. If we
approve the change, the new premium will be determined on the rate scale for
this policy.
GRACE PERIOD. We allow a grace period of 31 days for payment of each premium,
after the first premium. The insurance will continue during the grace period. If
a premium is paid during the grace period, then all benefits under this policy
will be the same as if such premium had been paid on its due date.
LAPSE. If a premium is not paid by the end of its grace period, the policy will
lapse as of the premium due date. If this occurs, all insurance ends, except as
stated in Options on Lapse on page 7. Additional benefit riders do not continue
beyond the grace period of an unpaid premium.
REINSTATEMENT. You may reinstate this policy within five years after lapse if:
(1) the policy has not been given up for its net cash value; (2) you provide
evidence of insurability satisfactory to us; and (3) you pay the larger of: (a)
all overdue premiums with interest at 6% per year compounded annually; or (b)
110% of the difference between the following Items (i) and (ii). Item (i) is the
excess of the cash value immediately after reinstatement over the cash value
immediately before reinstatement. Item (ii) is any policy loan, and accrued loan
interest, in effect when any option on lapse became effective, with loan
interest to the date of reinstatement. A reinstatement will take effect as of
the date we approve it.
Upon reinstatement this policy will have the same Benefit Base and the same
Variable Adjustment Amount as to each investment division (as these are
determined in the Variable Adjustment Amount provision on page 12) as if default
had not occurred. Also, upon reinstatement this policy will have a loan equal to
the sum of the following Items (i) and (ii). Item (i) is any loan, and accrued
loan interest, in effect at the date any option on lapse became effective, with
loan interest to the date of reinstatement. Item (ii) is any loan arising after
the date any option on lapse became effective, with loan interest to the date of
reinstatement.
PREMIUM ADJUSTMENT. We will add to the insurance benefits any part of the last
premium paid that applies to a period beyond the policy month in which the
Insured dies. If the Insured dies during the grace period of an unpaid premium,
we will deduct from the benefits the part of the overdue premium for one policy
month.
V85-11-4 Page 4
DEATH BENEFIT
The Death Benefit equals:
o the face amount shown on page 3;
o plus the sum, if positive, of the Variable Adjustment Amounts, for each
investment division in which you have a cash value, for the policy year
in which the Insured dies.
However, the Death Benefit will in no event be less than the amount of Paid-up
Whole Life Insurance that could be bought by the cash value plus the difference
if any between the Tabular Account Value and the Tabular Cash Value at the
Insured's death on the basis of the Table of Net Single Premiums on page 3B.
A description of how the Variable Adjustment Amount for each investment division
is determined is on page 12.
CASH VALUE
You may give up this policy for its net cash value at any time while the Insured
is living. The net cash value is the cash value minus any loan and loan
interest.
We will determine the net cash value on the date we receive your signed request
for it at our Administrative Office. The policy will terminate on the date you
send the policy and the request to us.
CASH VALUE. The cash value of the policy will vary daily with the performance of
the investment divisions in which you have a cash value. See page 13 for a
description of how cash values are determined.
LOANS
You may get a loan on this policy while it has a loan value and it is not being
continued as Fixed Extended Term Insurance under the Options on Lapse on page 7.
This policy will be the sole security for the loan.
The amount of the loan may not be more than the loan value. Except when used to
pay premiums, a loan must be at least $100 more than any existing loan and loan
interest. Any existing loan and loan interest will be deducted from the new
loan. We may also deduct any unpaid premium then due.
A loan, whether you repay it or not, will have a permanent effect on the
Variable Adjustable Amounts, Death Benefit and cash value under this policy. It
will have no effect on the amount of the premiums payable under this policy.
We will allocate loans to the investment divisions based on your net cash value
in each investment division as of the dates the loans are made. We will allocate
loan repayments to the investment divisions based on the amount of your
outstanding loans as to each investment division as of the dates repayments are
made. See page 13 for a description of how the cash value in each investment
division is determined.
LOAN VALUE. The loan value is a percentage of the cash value on the next premium
due date (or the next policy anniversary if this has become a paid-up policy)
assuming that the Actual Net Rate of Return (see page 12) is exactly 4-1/2% a
year from the date of the loan to such due date or anniversary, discounted at
5-1/2% a year from the date of the loan to such due date or anniversary. Such
percentage is: (a) 90% during the first ten policy years while the policy is not
lapsed; and (b) 100% after the tenth policy year, and at any time during the
first ten policy years while the policy is lapsed and is being continued under
the Variable or Fixed Reduced Paid-Up Insurance Option.
LOAN INTEREST. Interest on a loan accrues daily, at an annual rate of 5-1/2%.
Interest is due on each policy anniversary. If the interest is not paid when
due, it will be added to the loan and bear interest at the loan rate.
When a loan plus loan interest first exceeds the cash value, we will mail to you
and any assignee of record at last known addresses a notice that the policy will
terminate if such excess amount is not repaid within 31 days after we mailed
such notice.
REPAYMENT. You may repay a loan and loan interest in whole or in part at any
time while the Insured is living and this policy is in effect. However, if this
policy has lapsed and you are continuing insurance under one of the Options on
Lapse on page 7, any loan that was deducted in determining the benefit on lapse
may not be repaid unless this policy is reinstated. We will deduct any existing
loan and loan interest from any benefits we pay at the Insured's death.
V85-11-4 Page 5
THE SEPARATE ACCOUNT
The Separate Account is our Separate Account I (in unit investment trust form).
We established and we maintain it under the laws of New York State. Realized and
unrealized gains and losses from the assets of the Separate Account are credited
or charged against it without regard to our other income, gains, or losses.
Assets are put in the Separate Account to support this policy and other variable
life insurance policies. Assets may be put in the Separate Account for other
purposes, but not to support contracts or policies other than variable life
insurance.
The assets of the Separate Account are our property. The portion of its assets
equal to the reserves and other policy liabilities with respect to the Separate
Account will not be chargeable with liabilities arising out of any other
business we conduct. We may transfer assets of the Separate Account in excess of
such reserves and liabilities to our general account. We may transfer assets of
an investment division in excess of the reserves and other liabilities with
respect to that division to another investment division or to our general
account.
We will value the assets of each investment division on each business day. A
business day is generally any day on which the New York Stock Exchange is open
for trading.
INVESTMENT DIVISIONS. The Separate Account consists of "investment divisions".
Each division may invest its assets in a separate class (or series) of shares of
a designated investment company. Each class represents a separate portfolio in
the investment company. The investment divisions available on the Register Date
are described on page 3C. If we add or remove investment divisions, we will send
you a new Page 3C reflecting this.
We have the right to change designated investment companies. We have the right
to add or remove investment divisions. We have the right to withdraw assets of a
class of policies to which this policy belongs from an investment division and
put them in another investment division. We also have the right to combine any
two or more investment divisions. The term "investment division" in this policy
shall then refer to any other investment division in which the assets of a class
of policies to which this policy belongs were placed. If we make any such change
we will send you a new Page 3C reflecting it.
We have the right to:
1. register or deregister the Separate Account under the Investment Company
Act of 1940;
2. run the Separate Account under the direction of a committee, and to
discharge such committee at any time;
3. restrict or eliminate any voting rights of policyowners, or other
persons who have voting rights as to the Separate Account; and
4. operate the Separate Account by making direct investments or in any
other form. If we do so, we may invest the assets of the Separate
Account in any legal investments. We will rely upon our own and outside
counsel for advice in this regard. Also, unless otherwise required by
law or regulation, the investment advisor or any investment policy may
not be changed without our consent.
CHANGE IN INVESTMENT OBJECTIVE OR POLICY. We will notify you of any material
change in an investment objective or policy of any investment company that is
invested in by an investment division to which net premiums have been allocated
under this policy.
If required by law or regulation, the investment policy of the Separate Account
will not be changed unless approved by the Superintendent of Insurance of New
York State or deemed approved in accordance with such law or regulation. If so
required, the process for getting such approval is filed with the insurance
supervisory official of the jurisdiction in which this policy is delivered.
INVESTMENT OPTIONS
ALLOCATION OF NET ANNUAL PREMIUMS. If premiums are duly paid, we will allocate
to each investment division at the beginning of each policy year a percentage of
the Net Annual Premium shown on page 3 for that year. Such allocations will be
based on the allocation percentages then in effect. The allocation percentages
for the first policy year are as designated in the application for this policy.
Unless you change them, such percentages shall also apply in later years.
V85-11-6 Page 6
INVESTMENT OPTIONS CONTINUED
You may change the allocation percentages for policy years after the first by
notifying us in writing of the new percentages. Each allocation percentage
greater than zero must be a whole number of not more than 100%. The sum of the
percentages must equal 100%. A change will take effect on the next policy
anniversary if we receive the notice at our Administrative Office at least 7
days before such anniversary.
TRANSFER OF BENEFIT BASE. You may ask us to transfer all or part of your Benefit
Base (defined on page 12) in one investment division to another. Only two such
transfers may be made in a policy year. We will make the transfer as of the date
we receive your written request for it at our Administrative Office.
OPTIONS ON LAPSE
You have a number of options if the policy lapses. You may apply for
reinstatement. If there is a net cash value, you may withdraw it and give up the
policy. Or, you may continue insurance under one of the following options:
FIXED REDUCED PAID-UP INSURANCE. This is fixed benefit insurance for the
Insured's lifetime and for the amount that the net cash value will buy.
VARIABLE REDUCED PAID-UP INSURANCE. This is variable benefit insurance for the
Insured's lifetime that you may choose if the net cash value is at least $5,000.
The amount of insurance for the policy year in which lapse occurs (the Variable
Reduced Paid-Up Face Amount) is the amount that the net cash value will buy on
the basis of the Table of Net Single Premiums on page 3B. Thereafter, the amount
of insurance equals the amount for the policy year in which lapse occurs plus or
minus the sum of the Variable Adjustment Amounts (whether positive or negative)
for each investment division under this policy in which you have a cash value,
for the policy year in which the Insured dies. However, the amount of insurance
will in no event be less than the amount of Paid-up Whole Life Insurance that
could be bought on the basis of the Table of Net Single Premiums on page 3B by
the cash value at the Insured's death.
FIXED EXTENDED TERM INSURANCE. This is fixed benefit term insurance for an
amount equal to the Death Benefit on the date of lapse, minus any unpaid loan
and loan interest. The insurance will continue from the date of lapse for as
long a term period as the net cash value will buy. In no event, however, will
this period be less than 90 days if premiums have been paid for at least three
months before lapse and there is no loan on this policy. This option is not
available if so stated on page 3.
An Option on Lapse will become effective on the date your written request for it
is received at our Administrative Office. If your request is not received within
three months after the date of lapse, Fixed Extended Term Insurance will become
effective automatically at the end of such three month period. Fixed Reduced
Paid-Up Insurance will apply instead if the Fixed Extended Term Insurance option
is not available.
If the Insured dies after the grace period but within three months after the
date of lapse and before an Option on Lapse becomes effective, the greater of
the benefit under Fixed Reduced Paid-Up or Fixed Extended Term Insurance will
apply. In this case, any restriction on page 3 as to the availability of Fixed
Extended Term Insurance will not apply.
We will determine the amounts of these options as of the date the option becomes
effective. We will use net cash values as of the date the option becomes
effective. A term period will begin as of the date of lapse (the due date of the
unpaid premium). We will use net single premiums for the Insured's age as of the
date of lapse. We will deduct any unpaid loan and loan interest from any
benefits we pay at the Insured's death if a loan is made while the policy is
being continued as Variable or Fixed Reduced Paid-Up Insurance.
V85-11-6 Page 7
EXCHANGE OF POLICY
You may exchange this policy for a policy of permanent fixed benefit insurance
on the life of the Insured. You may make such an exchange within 24 months after
the Date of Issue shown on page 3. We will not require evidence of insurability.
We will require:
1. That this policy be in effect on the date of exchange with all premiums due
having been paid; and
2. Repayment of any loan and loan interest on this policy.
The date of exchange will be the later of: (a) the date you send us this policy
and the signed request on our form for such exchange; or (b) the date we receive
at our Administrative Office any sum due to be paid for such exchange.
THE NEW POLICY. The new policy will be our Adjustable Life Plan, and will be on
a level premium whole life plan (with premiums payable for life), subject to our
rules in effect on the date of exchange. It will have an insurance amount equal
to the face amount of this policy. The new policy will have the same Register
Date, Date of Issue, and Issue Age as this policy. Premiums for the new policy
will be based on our rates in effect on its Register Date for the same class of
risk as under this policy. Any additional benefit riders in this policy will be
included in the new policy only if we were offering them with the new policy as
of its Date of Issue.
Upon request you will be told the amount of the first premium for the new
policy, and of any extra sum required or allowance to be made for a premium,
cash value or policy account adjustment that takes appropriate account of the
premiums, cash and policy account values under this policy and under the new
policy. A detailed statement of the method of computing such an adjustment has
been filed, if required, with the insurance supervisory official of the
jurisdiction in which this policy is delivered.
GENERAL PROVISIONS
THE CONTRACT. This insurance is granted in consideration of payment of the
required premiums. This policy and the application (a copy of which is attached
at issue) constitute the entire contract. The rights conferred by this policy
are in addition to those provided by applicable Federal and State laws and
regulations.
The contract may not be modified, nor may any of our rights or requirements be
waived, except in writing signed by our President, one of our Vice Presidents,
or by our Secretary or Treasurer.
INCONTESTABILITY. All statements made in the application are representations and
not warranties. We have the right to contest the validity of this policy based
on material misstatements made in the application. However, this policy will
become incontestable after it has been in effect during the lifetime of the
Insured for two years from the Date of Issue shown on page 3.
No statement shall be used to contest a claim unless contained in the
application.
See any additional benefit riders for modifications of this provision that apply
to them.
AGE AND SEX. If the Insured's age or sex has been misstated, any benefits will
be those that the premium paid would have purchased at the correct age and sex.
SUICIDE EXCLUSION. If the Insured commits suicide, while sane or insane, within
two years after the Date of Issue shown on page 3, our liability will be limited
to the payment of a single sum equal to the premiums paid, minus any loan and
loan interest.
POLICY PERIODS AND ANNIVERSARIES. Policy years, policy months, policy
anniversaries and premium periods are measured from the Register Date. Each
policy month begins on the same day in each calendar month as in the Register
Date. If the end of a premium period or policy year is indicated by an age, it
ends on the policy anniversary nearest the birthday on which the Insured reaches
that age.
POLICY CHANGES. You may change this policy to another plan of insurance or add
additional benefit riders or make other changes, subject to our rules at the
time of change.
V85-11-8 PAGE 8
GENERAL PROVISIONS CONTINUED
REPORTS. Each policy year after the first we will give you a report showing the
Death Benefit and the cash value as of the first day of such year. The amount of
any existing loan and the accrued loan interest for the previous policy year
will also be shown. No such reports will be given while this policy is lapsed
except when it is being continued as Variable Reduced Paid-Up Insurance. We will
also give you such other reports as may be required by law.
BASIS OF COMPUTATION. Cash values, reserves and net single premiums are based on
the Commissioners 1980 Standard Ordinary Mortality Table. For any extended term
insurance, they are based instead on the Commissioners 1980 Extended Term
Insurance Table. Continuous functions are used with interest compounded annually
at 4-1/2%.
The cash values and paid-up insurance benefits are equal to or more than those
required by law. If so required, we have filed a detailed statement of the
method of computing values and benefits with the insurance supervisory official
of the jurisdiction in which this policy is delivered. The tabular cash value at
the end of each policy year after the tenth policy year equals the reserve.
Reserves referred to in this policy are not less than reserves determined
according to the Commissioners Reserve Valuation Method. Our expense and
mortality results will not adversely affect the dollar amount of insurance
benefits or cash values.
DETERMINATION AND PAYMENT OF VARIABLE BENEFITS. As long as this policy is not
being continued under one of the fixed benefit Options on Lapse, we will make
payments under this policy as follows:
o A cash value will be paid within 7 days after we receive your policy and
request at our Administrative Office;
o A loan will be paid within 7 days after we receive your request at our
Administrative Office; and
o The insurance benefits will be paid within 7 days after we receive at
our Administrative Office proof of the Insured's death and all other
requirements deemed necessary before such payment may be made.
We may not be able to determine the value of the assets of the investment
divisions if: (1) the New York Stock Exchange is closed; (2) the Securities and
Exchange Commission requires trading to be restricted or declares an emergency;
or (3) the Securities and Exchange Commission by order permits us to defer
payments for the protection of our policy Owners. During such times we may
defer:
1. Determination and payment of cash values;
2. Payment of loans;
3. Determination of a change in a Variable Adjustment Amount, and payment
of any portion of the Death Benefit equal to the Variable Adjustment
Amount;
4. Any requested transfer of Benefit Base;
5. Use of insurance benefits under the Payment Options; and
6. Determination and payment of any Variable Reduced Paid-Up Insurance.
DEFERMENT UNDER OPTIONS ON LAPSE. We may defer payment of a cash value and the
making of a loan for up to six months after we receive a request at our
Administrative Office if this policy is being continued under one of the fixed
benefit Options on Lapse. We will allow interest, at a rate of at least 3% a
year, on any cash value payment we defer for 30 days or more.
V85-11-8 PAGE 9
PAYMENT OPTIONS
Payments under these options will not be affected by the investment experience
of any investment division after proceeds are applied under such options.
Instead of having the insurance benefits or net cash value paid immediately in
one sum, you can choose another form of payment for all or part of them. If you
do not arrange for this before the Insured dies, the Beneficiary will have this
right when the Insured dies. Arrangements you make, however, cannot be changed
by the Beneficiary after the Insured's death. The options are:
1. DEPOSIT OPTION: Left on deposit for a period mutually agreed upon, with
interest paid at the end of each month, each 3 months, each 6 months or
each 12 months, as chosen.
2. INSTALMENT OPTIONS:
A. FIXED PERIOD: Paid in equal instalments for a specified number of
years (not more than 30). The instalments will not be less than those
shown in the Table of Guaranteed Payments on page 11.
B. FIXED AMOUNT: Paid in instalments as mutually agreed upon until the
amount applied, together with interest on the unpaid balance, is used
up.
3. LIFE INCOME OPTIONS:
Paid as a monthly income for life in an amount we determine but not
less than shown in the Table of Guaranteed Payments on page 11. We
guarantee payments for life and in any event for 10 years, 20 years,
or until the payments we make equal the amount applied (called "refund
certain"), according to the "certain" period chosen.
4. OTHER: We will apply the sum under any other option requested that we make
available at the time of the Insured's death or net cash value withdrawal.
We guarantee interest under Option 1 at the rate of 3% a year and under Option 2
at 3-1/2% a year, or such higher rates as we may determine. We may allow excess
interest under Options 1 and 2.
The payee under an option may name and change a successor payee for any amount
we would otherwise pay the payee's estate.
Any arrangements involving more than one of the options, or a payee who is not a
natural person (for example, a corporation) or who is a fiduciary, must have our
approval. Also, details of all arrangements will be subject to our rules at the
time the arrangement takes effect. These include rules on: the minimum amount we
will apply under an option and minimum amounts for instalment payments;
withdrawal or commutation rights; naming payees and successor payees; and
proving age and survival.
Choices (or any later changes) under these options will be made and will take
effect in the same way as a change of Beneficiary. Amounts applied under these
options will not be subject to the claims of creditors or to legal process, to
the extent permitted by law.
V85-11-10 Page 10
TABLE OF GUARANTEED PAYMENTS
(MINIMUM AMOUNT FOR EACH $1,000 APPLIED)
OPTION 2A
FIXED PERIOD INSTALMENTS
------------------------
Number
of Years' Monthly Annual
Instalments Instalment Instalment
----------- ---------- ----------
1 $84.70 $1000.00
2 43.08 508.60
3 29.21 344.86
4 22.28 263.04
5 18.12 213.99
6 15.36 181.32
7 13.38 158.01
8 11.91 140.56
9 10.76 127.00
10 9.84 116.18
11 9.09 107.34
12 8.47 99.98
13 7.94 93.78
14 7.49 88.47
15 7.11 83.89
16 6.77 79.89
17 6.47 76.37
18 6.20 73.25
19 5.97 70.47
20 5.76 67.98
21 5.57 65.74
22 5.40 63.70
23 5.24 61.85
24 5.10 60.17
25 4.97 58.62
26 4.84 57.20
27 4.73 55.90
28 4.63 54.69
29 4.54 53.57
30 4.45 52.53
If instalments are paid each 3 months, they will be 25.32% of the annual
instalments. If they are paid each 6 months, they will be 50.43% of the annual
instalments.
OPTION 3
MONTHLY LIFE INCOME
-------------------
10 Years Certain 20 Years Certain Refund Certain
---------------------- ----------------------- ----------------------
AGE Male Female Male Female Male Female
--- ---- ------ ---- ------ ---- ------
50 $4.50 $3.96 $4.27 $3.89 $ 4.28 $3.87
51 4.58 4.02 4.32 3.94 4.35 3.93
52 4.67 4.09 4.38 4.00 4.42 3.99
53 4.75 4.16 4.44 4.06 4.50 4.05
54 4.85 4.24 4.50 4.12 4.58 4.11
55 4.94 4.32 4.56 4.18 4.66 4.18
56 5.04 4.40 4.62 4.24 4.74 4.25
57 5.15 4.49 4.68 4.31 4.83 4.33
58 5.26 4.58 4.74 4.38 4.93 4.41
59 5.37 4.68 4.81 4.45 5.03 4.49
60 5.49 4.78 4.86 4.52 5.13 4.58
61 5.62 4.89 4.92 4.59 5.24 4.67
62 5.75 5.00 4.98 4.66 5.35 4.77
63 5.88 5.12 5.04 4.73 5.48 4.88
64 6.03 5.25 5.09 4.80 5.60 4.99
65 6.17 5.39 5.14 4.88 5.74 5.10
66 6.32 5.53 5.19 4.95 5.88 5.22
67 6.48 5.68 5.24 5.01 6.03 5.35
68 6.64 5.83 5.28 5.08 6.18 5.49
69 6.80 6.00 5.32 5.14 6.35 5.64
70 6.97 6.17 5.35 5.20 6.53 5.79
71 7.15 6.34 5.38 5.26 6.71 5.96
72 7.32 6.53 5.41 5.30 6.91 6.13
73 7.50 6.72 5.43 5.35 7.12 6.32
74 7.67 6.92 5.45 5.38 7.34 6.52
75 7.85 7.12 5.47 5.42 7.58 6.73
76 8.02 7.32 5.48 5.44 7.82 6.96
77 8.19 7.53 5.49 5.46 8.09 7.21
78 8.36 7.75 5.50 5.48 8.38 7.47
79 8.52 7.96 5.50 5.49 8.67 7.75
80 8.67 8.16 5.51 5.50 9.00 8.05
81 8.81 8.36 5.51 5.51 9.34 8.39
82 8.94 8.55 5.51 5.51 9.70 8.73
83 9.06 8.73 5.51 5.51 10.10 9.12
84 9.16 8.90 5.51 5.51 10.52 9.53
85 & over 9.26 9.05 5.51 5.51 10.96 9.97
Amounts for Monthly Life Income are based on age nearest birthday when income
starts. Amounts for ages not shown will be furnished on request.
V85-11-10 PAGE 11
BASIS OF VALUES
ACTUAL NET RATE OF RETURN (ACTUAL NRR). For each investment division, the Actual
NRR for a policy year reflects the division's:
o dividends received from the investment company;
o plus realized and unrealized capital gains of the division's investment
in the investment company;
o minus realized and unrealized capital losses of the division's
investment in the investment company;
o minus any charges for taxes or amounts set aside as a reserve for taxes;
o minus a charge not exceeding .50% per year for mortality and expense
risks.
The Actual NRR for each investment division will be increased to the extent that
expenses of the investment division exceed the charges for securities brokers'
commissions, transfer taxes, and other fees relating to securities transactions
and a charge for investment management expenses of .25% per year.
The Actual NRR for a period less than a year will be calculated in a consistent
manner.
BASE NET RATE OF RETURN (BASE NRR). The Base NRR is 4-1/2% per year. (It is a
pro-rata part of 4-1/2% for periods of less than a year.)
If the Actual NRR for all investment divisions always equals the Base NRR, then:
o the Death Benefit will always equal the Face Amount; and
o the cash value at the end of each policy year will equal the tabular
cash value shown on page 3A.
VARIABLE ADJUSTMENT AMOUNT (VAA). The VAA for a policy year is the amount of
insurance in effect for that policy year due to investment performance in past
years. On each policy anniversary we will determine a new VAA for the next
policy year. We will do this independently for each investment division, taking
into account the Actual NRR for the last policy year.
The VAA for each investment division is zero for the first policy year and, if
the policy lapses and the Variable Reduced Paid-Up Insurance option takes
effect, for the remainder of the policy year in which lapse occurs. For other
policy years, the VAA for each investment division will equal the VAA for that
account for the last policy year, plus the VAA Change Amount for that division.
A VAA does not change during a policy year.
VAA CHANGE AMOUNT. For each policy year after the first, the VAA Change Amount
for each investment division may be positive or negative. It will equal the
product of the following Items (1) and (2), divided by Item (3).
(1) The Actual NRR for the investment division minus the Base NRR for that
policy year, or for the part of the policy year since lapse during which
the Variable Reduced Paid-Up Insurance option takes effect.
(2) The Benefit Base for the investment division as of the last policy
anniversary. (For the policy year immediately following a lapse of the
policy where the Variable Reduced Paid-Up Insurance option is in effect,
use instead the net cash value as of the date of lapse.)
(3) The Net Single Premium per $1.00 of VAA for the current policy
anniversary as shown on page 3B.
BENEFIT BASE. For each investment division, the Benefit Base on the Register
Date is the product of the following Items (1) and (2):
(1) The Allocation Percentage designated in the application for this policy.
(2) The Net Annual Premium for the first policy year.
If the policy has not lapsed, on policy anniversaries the Benefit Base for an
investment division is the sum of the following Items (1) and (2), minus item
(3):
(1) The allocation percentage for that anniversary, multiplied by the sum of
the following Items (a) and (b):
(a) The Tabular Account Value on that anniversary.
(b) The Net Annual Premium for that anniversary.
V85-11-12 Page 12
BASIS OF VALUES CONTINUED
(2) The Net Single Premium for the VAA for that investment division on that
anniversary.
(3) Any outstanding loan, plus loan interest, for the investment division as
of that policy anniversary.
If the policy has lapsed and the Variable Reduced Paid-Up Insurance option has
taken effect, on policy anniversaries the Benefit Base for an investment
division is the following Item (1) minus Item (2):
(1) The cash value in the investment division on that policy anniversary.
(2) Any outstanding loan, plus loan interest, for the investment division as
of that policy anniversary.
The Net Annual Premiums, Tabular Account Values and Net Single Premiums are
shown on pages 3, 3A and 3B, respectively.
For each investment division, the VAA Change Amount will also reflect the effect
of:
1. All new policy loans and repayments during the previous policy year; and
2. All transfers of Benefit Base to or from that investment division during
the previous policy year.
In addition, if you have changed the allocation percentages, we will reallocate
the VAA's among the investment divisions.
CALCULATION OF CASH VALUES. The cash value of this policy on any date is the sum
of your cash values in each investment division on that date. Your cash value in
each investment division on any date is determined as follows:
(1) While the policy is not lapsed, the sum of the immediately following Items
(a), (c) and (d).
(2) More than three months after the policy has lapsed and while it is being
continued under the Variable Reduced Paid-Up Insurance option, the sum of
the immediately following Items (b), (c) and (d).
(a) The tabular cash value on that date, multiplied by the allocation percentage
for that investment division in effect on the last policy anniversary.
(b) The product of the following Items (i) and (ii):
(i) The product of the Net Single Premium on that date per $1.00 of
Paid-Up Whole Life Insurance as shown on page 3B, and the Variable
Reduced Paid-Up Face Amount defined on page 7.
(ii) The following amount immediately before the date on which the cash
value is being determined: The cash value in that investment division,
divided by the total cash value in this policy.
(c) The Net Single Premium on that date for the current VAA for that investment
division.
(d) If the date is not a policy anniversary, the product of the following Items
(i) and (ii):
(i) The Actual NRR for the investment division minus the Base NRR for the
time elapsed since the last policy anniversary.
(ii) The Benefit Base for the investment division on the last policy
anniversary.
If a premium is due and unpaid, then within three months after the due date your
cash value in each investment division is the sum of the following Items (1) and
(2):
(1) Your cash value in that investment division as of the due date of the
unpaid premium.
(2) The product of the following Items (a) and (b):
(a) The Actual NRR for the investment division minus the Base NRR for
the time elapsed since such due date.
(b) The cash value in that investment division on such due date.
For each investment division, the cash value will also reflect the effect of:
1. All new policy loans and repayments since the last policy anniversary;
and
2. All transfers of Benefit Base to or from that investment division since
the last policy anniversary.
V85-11-12 Page 13
BASIS OF VALUES CONTINUED
More than three months after the due date of an unpaid premium, if you continue
the policy under one of the fixed benefit Options on Lapse, your cash value will
equal the reserve for the policy. In such case, the cash value within 30 days
after a policy anniversary will never be less than the cash value on that
anniversary.
If you transfer all of the Benefit Base in an investment division to another
investment division or if you have a policy loan allocated to an investment
division and your Benefit Base in that investment division is zero, we will
cancel the VAA and any policy loan as to such investment division and reallocate
them to each other investment division proportionately. Also, the premium
allocation percentage for such investment division will be reduced to zero and
the percentage for each other investment division will be increased
proportionately.
TABULAR CASH AND ACCOUNT VALUES (TCV AND TAV). The tables on page 3A show
interim TCV's at the end of each month in the first policy year, and TCV's at
the end of policy years. We will determine the TCV and TAV on other dates in a
consistent manner with allowance for time elapsed and premiums paid. Any TCV's
and TAV's not shown will be furnished on request.
V85-11-14 Page 14
VARIABLE EQUITABLE
LIFE VARIABLE LIFE INSURANCE COMPANY
INSURANCE [EVLICO LOGO]
POLICY Home Office: 0000 Xxxxxx xx xxx Xxxxxxxx, Xxx Xxxx, Xxx Xxxx 00000
Whole Life Plan. Variable insurance payable upon death. Guaranteed
Minimum Death Benefit. Fixed premiums payable for life.
Non-Participating. Investment experience reflected in benefits.
Investment options described on page 6.
No. 85-11
