Exhibit (4)(f)
LIMITATION PROVISIONS
The contract is amended at issue to include these provisions. They apply even
though the contract may state otherwise:
NON-FORFEITABLE AND NON-TRANSFERABLE
1. Co-Annuitant and/or co-owners are not permitted under this contract.
2. The Annuitant will always be the owner of this contract except when a
transfer is made to a former spouse in accord with a divorce decree as
provided in Section 408 (d) (6) of the Internal Revenue Code of 1954, as
amended (the "Code"). The rights of an Annuitant cannot be forfeited.
3. This contract may not be sold, assigned, discounted or pledged for any
purpose to anyone except us. No part of the value of this contract may be
used to buy life insurance.
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RETIREMENT OPTIONS
For settlements that start while the Annuitant is living:
The Annuitant/owner's entire interest (the cash value) must be distributed or,
if an annuity option is selected, annuity payments must begin, no later than
April 1st of the calendar year next following the end of the calendar year in
which the Annuitant attains age 70 1/2.
Any annuity option must provide for payments (a) over the life of the Annuitant,
or the lives of the Annuitant and a contingent payee, or (b) over a period not
extending beyond the life expectancy of the Annuitant, or the joint and last
survivor expectancy. For purposes of determining the maximum payment period
under (b), the life expectancy and joint and last survivor expectancy are
computed by use of the return multiples contained in section 1.72-9 of the
Income Tax Regulations. If the Annuitant's spouse is not the contingent
payee, the method of settlement selected must assure that at least 50% of the
present value of the amount available for settlement is paid within the life
expectancy of the Annuitant.
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DEATH OPTIONS
Except for one made in accord with the Retirement Options above, a settlement
may not be chosen unless one of these next three sentences is true:
1. The amount available for settlement with the beneficiary or contingent
payee will be distributed within five years of the date of death of the
person by reason of whose death the amount became available.
2. That amount will be payable commencing not later than 1 year following such
date of death to the beneficiary or contingent payee who is a natural
person to be paid in his or her own right, and settlement will be made
under Option 2 or under Option 1 for a period not to exceed the life
expectancy, computed by use of the return multiples contained in section
1.72-9 of the Income Tax Regulations, of the beneficiary or contingent
payee.
3. The beneficiary is the Annuitant's spouse and settlement as described in 1.
or 2. above will start no later than the date on which the Annuitant would
have attained age 70 1/2.
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So that the contract may meet the requirements of an individual retirement
annuity within the meaning of Section 408 (b) of the Code:
1. We do not expect that any dividends may be payable during the accumulation
period. If any dividends are declared, they will be credited on the next
contract anniversary and only used to increase the annuity benefits.
2. The maximum purchase we will accept for any one tax year of the Annuitant
is (a) the lesser of $2,000 or 100% of the amount that is included in the
gross income of the Annuitant; or (b) a greater amount if allowed under the
Code. But a purchase payment will not be considered in applying the maximum
if we have been furnished with evidence that it came from one of these
distributions:
a. A qualifying rollover paid to a participant or, if he or she is
deceased, to his or her spouse from a plan described in Section 401
(a) or 403 (a) of the Code.
b. A qualifying one paid to a participant or, if he or she is deceased,
to his or her spouse from an annuity contract described in section 403
(b) of the Code.
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WVQ 2 88
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c. One from an individual retirement account or annuity as described in
Section 408 (a) or (b) of the Code, that is not an inherited
individual retirement account or annuity as described in Section 408
(d)(3)(c) of the Code.
A change might be needed later to conform this contract to the requirements of
the Internal Revenue Code, regulations or published rulings or to the
requirements of the Employee Retirement Income Security Act of 1974. If so, we
will have the right to make the change(s) without a signed request and to
provide a form of amendment to the contract.
Endorsed by attachment on the Contract Date
The Prudential Insurance Company of America.
By /s/ Xxxxxxx X. Xxxxx
Secretary
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WVQ 2 88
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