EXHIBIT 4(a)
FLEXIBLE PREMIUM VARIABLE
DEFERRED ANNUITY CONTRACT
BENEFIT PAYMENT OPTIONS
NON-PARTICIPATING, NO DIVIDENDS
GE Life and Annuity Assurance Company agrees to provide the benefits and other
rights described in this Contract in accordance with the terms of this Contract.
RIGHT TO CANCEL. WITHIN 10 DAYS AFTER THIS CONTRACT IS FIRST RECEIVED, IT MAY BE
CANCELLED FOR ANY REASON WITHOUT PENALTY BY CANCELING THE CONTRACT THROUGH OUR
ELECTRONIC SERVICE CENTER OR BY DELIVERING OR MAILING IT TO OUR ADMINISTRATIVE
OFFICE. UPON CANCELLATION, WE WILL RETURN THE GREATER OF ALL PURCHASE PAYMENTS
RECEIVED OR THE CONTRACT VALUE.
ALL PAYMENTS AND VALUES PROVIDED BY THIS CONTRACT ARE VARIABLE AND ARE NOT
GUARANTEED AS TO FIXED DOLLAR AMOUNT (SEE ARTICLES 2 AND 3).
For GE Life and Annuity Assurance Company at its home office in Richmond,
Virginia.
▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇ ▇▇▇▇▇▇ ▇. ▇▇▇▇
PRESIDENT SECRETARY
GE LIFE AND ANNUITY
ASSURANCE COMPANY
[ADMINISTRATIVE OFFICE
P. O. BOX 691
LEESBURG, VA 20178]
A STOCK COMPANY
CONTRACT DATA
CONTRACT NUMBER: [XXXXXXXXXX]
CONTRACT OWNER INFORMATION
PRIMARY JOINT
CONTRACT OWNER: [▇▇▇▇ ▇▇▇] [▇▇▇▇ ▇▇▇]
CONTRACT OWNER
ADDRESS: [▇▇▇ ▇▇▇▇ ▇▇▇▇▇▇ [▇▇▇ ▇▇▇▇ ▇▇▇▇▇▇
▇▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇▇▇▇, ▇▇▇
00000] 00000]
CONTRACT OWNER
SSN/TAX ID: [▇▇▇-▇▇-▇▇▇▇] [▇▇▇-▇▇-▇▇▇▇]
ANNUITANT INFORMATION
ANNUITANT: [▇▇▇▇ ▇▇▇] DATE OF BIRTH:
GENDER: [Male] [8/01/1964]
CONTRACT INFORMATION
TYPE OF CONTRACT: [Non-Qualified]
EFFECTIVE DATE: [December 1, 1999]
ANNUITY COMMENCEMENT
DATE: [December 1, 2054]
PRODUCT: [On-Line Variable Annuity]
INITIAL PURCHASE PAYMENT: [$1,000.00]
MINIMUM ADDITIONAL
PURCHASE PAYMENT: [$100.00]
MAXIMUM ANNUITY
ASSET CHARGE: [0.75% Annually (.002063% Daily)]
MINIMUM WITHDRAWAL: [$300.00 with a Contract Value after the
Withdrawal of no less than $1,000.00]
MAXIMUM TRANSFERS EACH
CALENDAR YEAR: [12]
MAXIMUM TRANSFER CHARGE: [$10.00]
PREMIUM TAX RATE: [00.00%]
PURCHASE PAYMENT
ALLOCATION: [25% GE Premier Growth Equity Fund
75% GE Total Return Fund]
BENEFICIARY INFORMATION
BENEFICIARY NAME: [Estate of ▇▇▇▇ ▇▇▇]
GE LIFE AND ANNUITY ASSURANCE COMPANY CONTRACT INFORMATION
GE Life and Annuity Assurance Company
[Administrative Office
P.O. Box 691
Leesburg, VA 20178]
URL: (or Internet address): [▇▇▇▇://▇▇▇.▇▇▇▇▇▇▇▇▇▇.▇▇▇]
--------------------------
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
There are currently [25] Subaccounts in the Separate Account available to the
Owner. The Owner may direct Purchase Payments under the Contract to any of the
available Subaccounts, subject to limitations. The amounts allocated to each
Subaccount will be invested at net asset value in the shares of a registered
investment company (the Funds). The available Subaccounts are:
[GE INVESTMENTS FUNDS, INC.
o International Equity Fund
o Premier Growth Equity Fund
o Value Equity Fund
o Real Estate Securities Fund
o S&P 500 Index Fund *
o Total Return Fund
o U.S. Equity Fund
o Income Fund
o Money Market Fund
FIDELITY VARIABLE INSURANCE PRODUCTS FUND III
o VIP III Growth & Income Portfolio
o VIP III Growth Opportunities Portfolio
o VIP III Mid Cap Portfolio
FIDELITY VARIABLE INSURANCE PRODUCTS FUND
o VIP Overseas Portfolio
JANUS ASPEN SERIES
o Equity Income Portfolio
o Capital Appreciation Portfolio
o High-Yield Portfolio
o Flexible Income Portfolio
o International Growth Portfolio
AIM VARIABLE INSURANCE FUNDS, INC.
o AIM V.I. Aggressive Growth Fund
o AIM V.I. Capital Appreciation Fund
o AIM V.I. Capital Development Fund
o AIM V.I. Global Utilities Fund
o AIM V.I. Government Securities Fund
o AIM V.I. Growth and Income Fund
o AIM V.I. Telecommunications Fund]
* "Standard & Poor's", "S&P", "S&P 500", "Standard & Poor's 500", and "500" are
trademarks of The ▇▇▇▇▇▇-▇▇▇▇ Companies, Inc. and have been licensed for use by
GE Investment Management Incorporated. The S&P 500 Index Fund is not sponsored,
endorsed, sold or promoted by Standard & Poor's and Standard & Poor's makes no
representation regarding the advisability of investing in the Fund.
See Article 2.03 for provisions that govern limitations, substitutions or
elimination of Funds.
TABLE OF CONTENTS
ARTICLE
1 DEFINITIONS
2 PURCHASE PAYMENTS, OPTIONS, AND BENEFITS
3 ANNUITY PAYMENT OPTION BENEFITS
4 BENEFICIARY
5 GENERAL PROVISIONS
6 ANNUITY PURCHASE RATES UNDER A VARIABLE PAYMENT OPTION
ARTICLE 1
DEFINITIONS
ACCUMULATION UNIT - A unit of measure used to calculate the Contract Value
during the accumulation period.
ADMINISTRATIVE OFFICE - The office as shown on the contract data pages to
receive written requests.
ANNUITANT - The person on whose life benefit payments are based.
ANNUITY COMMENCEMENT DATE - The date as specified on contract data pages unless
changed after issue. The date we apply the Contract Surrender Value to an
Annuity Payment Option. The date of the first payment.
ANNUITY PAYMENT OPTION - Any form of benefit payments we allow.
ANNUITY UNIT - A unit of measure used after the Annuity Commencement Date to
calculate the benefit payments.
ASSUMED INTEREST RATE - Interest rate used in calculating the benefit payments.
BENEFICIARY - The person or entity designated to receive the Death Benefit.
CODE - The Internal Revenue Code of 1986, as amended.
THE COMPANY - GE Life and Annuity Assurance Company. "We", "us", and "our"
refer to the Company.
CONTINGENT ANNUITANT - The person who, at the Annuitant's death before the
Annuity Commencement Date, may become the Annuitant.
CONTRACT - This agreement between you and the Company.
CONTRACT SURRENDER VALUE - The Contract Value, at the end of the Valuation
Period during which we receive your surrender request, less any premium tax.
CONTRACT VALUE - The sum of your Accumulation Unit values.
CONTRACT YEAR - Each one year period from the anniversary of the effective date
to the anniversary of that date in the following year. Effective date is shown
on the contract data pages.
DEATH BENEFIT - The amount payable if the death occurs before the Annuity
Commencement Date.
ELECTRONIC SERVICE CENTER - The electronic site we maintain for this Contract.
FUND - Any open-end management investment company or unit investment trust in
which a Subaccount invests.
OWNER - The individual(s) or entity who owns this Contract and receives benefit
payments after the Annuity Commencement Date. "You" and "your" refer to the
Owner or joint Owner.
PURCHASE PAYMENT - A payment we receive and apply to this Contract. "Purchase
Payment" means the same as "premium payment".
SEPARATE ACCOUNT - Our segregated investment account as shown on the contract
data pages.
SUBACCOUNT - That part of the Separate Account which invests in shares of a
particular Fund. There is a Subaccount that corresponds to each Fund.
UNIVERSAL RESOURCE LOCATOR (URL) - A standard for locating an object on the
Internet. URL may be found on the contract data pages.
VALUATION DATE - Each day the New York Stock Exchange (NYSE) is open for regular
trading. This does not include days that a Subaccount's corresponding Fund does
not value its shares.
VALUATION PERIOD - The period starting at the close of regular trading on the
NYSE on any Valuation Date and ending at the close of regular trading on the
NYSE on the next succeeding Valuation Date.
WRITTEN REQUEST - A request in writing. The request must be in a form acceptable
to us. The request must be received at our Electronic Service Center or
Administrative Office.
ARTICLE 2
PURCHASE PAYMENTS, OPTIONS AND BENEFITS
2.01 WHERE PAYABLE
You must make Purchase Payments through the Electronic Service Center or
Administrative Office.
2.02 AMOUNT AND FREQUENCY
The minimum additional Purchase Payment we will accept is shown on the contract
data pages. Purchase Payments may be made until the earliest of:
1. the Annuity Commencement Date;
2. the surrender of the Contract; and
3. payment of any Death Benefit.
We reserve the right to limit the maximum Purchase Payments we will accept.
This maximum will be based on our rules at the time of payment.
2.03 SEPARATE ACCOUNT
Purchase Payments are allocated to the Separate Account. The Separate Account is
for persons who receive benefits under variable annuity contracts. We own the
assets in the Separate Account. These assets are held separately from our other
assets. They are not part of our general account. The Separate Account is
registered with the SEC as a unit investment trust under the Investment Company
Act of 1940. The Separate Account is subject to ▇▇▇▇▇▇▇▇ ▇▇▇▇. These laws
regulate the operations of insurance companies incorporated in Virginia. The
investment policies of the Separate Account will not be changed without the
approval of the Virginia Insurance Commissioner.
The Separate Account assets equal the reserves and other contract liabilities
supported by the Separate Account. These assets will not be charged with
liabilities arising from any other business we conduct. We have the right to
transfer to our general account any assets of the Separate Account, which are
more than such reserves and other contract liabilities.
Allocations of all Purchase Payments, received within 15 days after we deliver
your Contract, will be made to the Money Market Subaccount. Delivery will be to
your personal folder and/or by U.S. Mail. The value will remain in that
Subaccount for the 15 day period. Then the Contract Value in the Subaccount will
be transferred according to your allocation instructions. This transfer will not
count against your allowable transfers as shown on the contract data pages. We
will not charge you for this transfer. Purchase Payments received after this
period will be allocated in accordance with your instructions.
The amounts allocated to each Subaccount will be invested at net asset value per
share in the shares of the corresponding Funds. The Funds are shown on the
contract data pages.
We reserve the right to eliminate the shares of any Fund. We reserve the right
to substitute the securities of a different Fund or investment company. We may
take this action if the shares of a Fund are no longer available for investment.
We may take this action if further investment in any Fund becomes inappropriate
in view of the purposes of the Contract. Where permitted by law, we may:
o create new separate accounts;
o combine separate accounts, including the Separate Account;
o transfer assets of the Separate Account to another separate account. These
assets are associated with the class of contracts to which this Contract
belongs;
o add new Subaccounts to or remove existing Subaccounts from the Separate
Account;
o combine existing Subaccounts;
o deregister the Separate Account under the Investment Company Act of 1940; and
o operate the Separate Account under the direction of a committee or any form
permitted by law.
We will notify you within 15 days of the elimination and substitution of any
Fund. Notice will be posted on the Electronic Service Center. We will send the
notice to your last known electronic address. Elimination, substitution or
addition will be subject to compliance with regulatory requirements.
We will use each Purchase Payment to buy Accumulation Units in your selected
Subaccount(s). The Subaccount's income, gains and losses, realized or unrealized
are credited to or charged against such Subaccount. The charge is made without
regard to other income, gains or losses of the Company or any other Subaccount.
We will value these assets on each Valuation Date at their fair market value.
Our valuation will use generally accepted accounting practices and regulatory
requirements.
The number of Accumulation Units purchased will be determined by dividing (a) by
(b), where:
(a) is the amount directed to the Subaccount; and
(b) is the Accumulation Unit value of the Subaccount as of the end of the
Valuation Period following our receipt of the Purchase Payment.
Your number of Accumulation Units will not change simply because of a change in
the unit value.
2.04 VALUATION OF ACCUMULATION UNITS
The Contract Value equals the sum of the Accumulation Unit values credited in
the Subaccounts.
The value of a Subaccount on any Valuation Date is the number of Accumulation
Units multiplied by the Accumulation Unit value at the end of the Valuation
Period.
Accumulation Units for each Subaccount are valued separately. Initially, the
Accumulation Unit value was arbitrarily set at the start of the Subaccount.
Thereafter, the Accumulation Unit value at the end of a Valuation Period is
equal to (a) times (b), where:
(a) is the Accumulation Unit value as of the end of the previous Valuation
Period; and
(b) is the net investment factor.
The value may vary from Valuation Period to Valuation Period.
NET INVESTMENT FACTOR
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The net investment factor is used to measure the Subaccount's investment
performance. Any Subaccount's net investment factor for a Valuation Period is
determined by (a) divided by (b), minus (c), where:
(a) is the result of:
(1) the value of the Subaccount's assets at the end of the preceding
Valuation Period; plus
(2) the investment income and capital gains, realized or unrealized,
credited to those assets at the end of the Valuation Period for
which the net investment factor is being determined; minus
(3) the capital losses, realized or unrealized, charged against those
assets during the Valuation Period; minus
(4) any amount charged against the Separate Account for taxes. This
includes any amount set aside during the Valuation Period for
taxes from the operation or maintenance of the Separate Account;
(b) is the value of the Subaccount's assets at the end of the preceding
Valuation Period; and
(c) is a factor for the Valuation Period representing the asset charge
deducted from the Subaccount. The factor is adjusted for the number of
calendar days in the Valuation Period. The maximum rates for this
charge are shown on the contract data pages.
2.05 TRANSFERS
Prior to the earliest of:
1. surrender of the Contract;
2. payment of any Death Benefit; and
3. the Annuity Commencement Date;
you may transfer amounts between Subaccounts.
A transfer will result in the redemption of Accumulation Units in one Subaccount
and the purchase of Accumulation Units in the other Subaccount. The transfer
will be accomplished at the Accumulation Unit values of each Subaccount as of
the end of the Valuation Period during which we receive the transfer request.
We do not currently charge for this service. We do reserve the right to impose a
charge in the future for transfers. Any transfer charge is provided on the
contract data pages. Any transfer charge will be taken from the amount
transferred. We reserve the right to revise the transfer privilege at any time.
On written notice, we reserve the right to limit the number of transfers as
shown on the contract data pages. We reserve the right to limit the number of
transfers to a lower number. This may be necessary for the Contract to continue
to be treated as an annuity contract by the Internal Revenue Service. We reserve
the right to refuse to execute any transfer:
1. if any of the Subaccounts that would be affected by the transfer is
unable to purchase or redeem shares of the Fund in which the Subaccount
invests; or
2. if the transfer is a result of more than one trade involving the same
Subaccount within a 30 day period;
3. if the transfer would adversely affect Accumulation Unit values. This
may occur if the transfer would affect one percent or more of the Fund's
total assets; or
4. if the transfer would adversely affect any Fund affected by the
transfer.
Where permitted by law, we may accept your authorization of third party
transfers. We may restrict the Subaccounts that will be available for transfers.
This restriction may occur during any period such third party is authorized to
act for you. We will give you prior notice of any restrictions. We will not
enforce such restrictions if you provide us with satisfactory evidence that:
1. a court of competent jurisdiction has appointed such third party to act
for you; or
2. you have appointed such third party to act for you for all of your
financial affairs.
You may also transfer between Subaccounts after the Annuity Commencement Date.
(See Article 3.09).
2.06 WITHDRAWAL OPTION
You may withdraw part of the Contract Value. The withdrawal will be effective as
of the end of the Valuation Period during which we receive a Written Request.
The withdrawal amount is subject to limitations as shown on the contract data
pages. If your withdrawal would reduce the Contract Value to less than the
minimum value, we will withdraw only that amount of Contract Value that would
reduce the remaining Contract Value to the minimum value.
Unless otherwise instructed, we will withdraw the amount requested on a pro-rata
basis from each Subaccount. We will mail or electronically transfer any payment
from our Administrative Office.
You may not withdraw amounts after the Annuity Commencement Date.
2.07 SURRENDER OPTION
You may surrender this Contract for its Contract Surrender Value. On surrender,
this Contract terminates. Surrender will be effective on the Valuation Date on
which we receive a Written Request.
You may not surrender this Contract after the Annuity Commencement Date.
2.08 DEATH OF OWNER
ENTITLEMENT
-----------
On the death of any Owner, the Beneficiary becomes entitled to all ownership
rights. If there is more than one Beneficiary, each one will share equally. You
can specify otherwise.
If any Owner dies before the Annuity Commencement Date, the Beneficiary may
elect to receive the Death Benefit. The Death Benefit equals the Contract Value
on the date of payment.
We will pay the Death Benefit on receipt of due proof of your death.
MANDATORY DISTRIBUTION RULES APPLICABLE ON ANY OWNER'S DEATH BEFORE THE ANNUITY
COMMENCEMENT DATE
GENERAL. On the death of an Owner before the Annuity Commencement Date, the
Contract Value, including interest accrued after date of death, must be
distributed in one of the following manners:
(a) in lump sum payment on receipt of proof of death;
(b) within 5 years of the Owner's date of death; or
(c) to provide an income under Annuity Payment Option 1. The first income
payment must be made no later than one year after the date of death. The
payment period must be either (1) the lifetime of the Beneficiary or (2)
the lifetime of the Beneficiary with a guarantee period. Any guarantee
period cannot exceed the Beneficiary's life expectancy.
Option "b" will control unless an election of "a" or "c" is made within 60 days
of the Owner's death. Option "c" is available only if the Beneficiary is an
individual. This Contract terminates after making the above distributions.
SPOUSES. If the Beneficiary is the spouse of the deceased Owner, such spouse
will continue the Contract as its new Owner. The provision above requiring
distributions will not apply. This provision will not apply on subsequent death
of such surviving spouse. Instead, the Contract's Death Benefit and distribution
rules will apply.
NON-NATURAL OWNERS. If any Owner is not a natural person, the death of any
Annuitant before the Annuity Commencement Date will be treated as the death of
an Owner.
MULTIPLE BENEFICIARIES. If there is more than one Beneficiary, we will treat
each Beneficiary separately with respect to his/her portion. However, only one
Annuity Payment Option may be selected.
MANDATORY DISTRIBUTION RULES APPLICABLE ON ANY OWNER'S DEATH AFTER THE ANNUITY
COMMENCEMENT DATE
If an Owner dies on or after the Annuity Commencement Date, we will continue to
distribute remaining benefits to the Beneficiary under the current Annuity
Payment Option. The remaining value must be distributed at least as rapidly as
under the method of distribution being used as of the Owner's death.
CONSTRUCTION
------------
You should construe this Contract as complying with section 72(s) of the Code.
2.09 DEATH OF ANNUITANT
BEFORE THE ANNUITY COMMENCEMENT DATE
------------------------------------
If an Annuitant is also the Owner, the Death Benefit paid will be subject to the
provisions regarding the Owner's death. If the surviving spouse of the
Owner/▇▇▇▇▇▇▇▇▇ becomes the Owner, the Contingent Annuitant becomes the
Annuitant. If no Contingent Annuitant is named, the spouse becomes the
Annuitant.
If an Annuitant who is not an Owner dies, any Contingent Annuitant becomes the
Annuitant. If no Contingent Annuitant is named, the Owner (or the younger of the
joint Owners) becomes the Annuitant.
ON OR AFTER THE ANNUITY COMMENCEMENT DATE
-----------------------------------------
On receipt of proof of death of an Annuitant or both joint Annuitants, any
remaining benefit payments under the Annuity Payment Option will be paid to the
living Owner. The payments must be made at least as rapidly as under the method
of distribution being used at death. If there is not a living Owner, payments
will be made to the Beneficiary. If there is no Beneficiary, payments will be
made to the Annuitant's estate.
2.10 POSTPONEMENT OF PAYMENTS
We will make payment within seven days from the date of withdrawal or surrender.
We will make payment within seven days from the date of approval of a lump sum
claim settlement. We may be permitted to defer such payment under the Investment
Company Act of 1940, if:
o the NYSE is closed other than customary weekend and holiday closings; or
o the SEC restricts trading on the NYSE; or
o the SEC permits postponement for the protection of Contract Owners; or
o the SEC determines an emergency exists. Due to the emergency, disposal of
securities or the determination of the values of net assets of the Separate
Account is not reasonably practical.
We will defer any payment which is derived from a check or draft recently paid
to us. We will make payment when the check or draft has been paid by the
financial institution on which it is drawn.
ARTICLE 3
ANNUITY PAYMENT OPTION BENEFITS
3.01 ANNUITY PAYMENTS
You must elect to receive payments under an Annuity Payment Option before the
Annuity Commencement Date.
If an Annuity Payment Option is not chosen before the Annuity Commencement Date,
payments will be made to you on the Annuity Commencement Date. The payments will
be made under a life annuity with payments guaranteed for 10 years.
Before the Annuity Commencement Date, you may change the Annuity Commencement
Date. Annuitant(s) can not be older than age 90 on the Annuity Commencement
Date. You must send us Written Request at least 14 days before payments are to
begin. The request will be subject to our approval. Purchase Payments may be
made until the new Annuity Commencement Date.
3.02 CHOICE OR CHANGE OF ANNUITY PAYMENT OPTION
BY OWNER - Before the Annuity Commencement Date, you may choose or change any
Annuity Payment Option.
BY BENEFICIARY - At the time proceeds are payable to a Beneficiary, a
Beneficiary may choose or change any Annuity Payment Option. The option must
meet the requirements of Code section 72(s) if proceeds are available to the
Beneficiary in a lump sum. The Beneficiary then becomes the Annuitant.
A choice or change should be made by filing a Written Request.
3.03 CHANGE IN ANNUITY PAYMENT OPTION AFTER ANNUITY COMMENCEMENT DATE
The Annuity Payment Option may not be changed after the Annuity Commencement
Date.
3.04 CHOICE OF ANNUITANT AND ANNUITY COMMENCEMENT DATE
If you are a natural person, you may change the Annuitant(s) and the Annuity
Commencement Date. Any change you make must be prior to the earliest of:
1. surrender of the Contract;
2. payment of any Death Benefit; and
3. the Annuity Commencement Date.
If you are a non-natural person, you may only change the Annuity Commencement
Date. Annuitant(s) can not be older than age 90 on the Annuity Commencement
Date. A choice or change should be made by filing a Written Request.
3.05 ANNUITY PAYMENT OPTIONS
1. Life annuity with period certain. This option provides periodic payments
during the lifetime of the Annuitant. Payments are guaranteed for at least a
minimum period. Period is selected by the Owner. Period can be 0, 10 or 20
years. If the Annuitant dies during this period, the person entitled to the
remaining payments may be able to receive the discounted value of those
payments in a lump sum. The remaining payments for the minimum period will
be discounted at the rate used in calculating the initial payment.
Discounted means we will adjust for the fact that each payment does not earn
any additional investment return. This occurs because each remaining payment
is being made early.
2. Joint life annuity. This option provides periodic payments during the joint
lifetime of the Annuitant and a joint Annuitant. The initial payment will be
determined using Table 2 in Article 6. The payments continue during the
lifetime of the surviving Annuitant after the death of the first Annuitant
to die. The payments stop when both Annuitants are dead.
On the Annuity Commencement Date, the Contract Value (less any premium tax) will
be applied to provide a variable benefit payment. Only one Annuity Payment
Option may be selected.
The payments will depend on the age and gender of the Annuitant(s) as of the
Annuity Commencement Date. The payments will be made once each month. The values
used will be calculated as of the Annuity Commencement Date. Subsequent values
will be calculated on a monthly basis thereafter. Payments will be made within
seven days following each monthly calculation.
3.06 DETERMINATION OF THE AMOUNT OF THE FIRST VARIABLE ANNUITY PAYMENT
The tables in Article 6 are used to determine the first benefit payment. They
show, for various plans, ages and genders, the monthly payment that can be
purchased with $1,000 of proceeds. The first payment is equal to (a) times (b),
divided by 1,000, where:
(a) is the Contract Value as of the Annuity Commencement Date, less any
premium taxes;
(b) is the monthly payment from the table in Article 6 for the chosen plan
and appropriate age(s) and gender(s) of the Annuitant(s). The age
used to determine the payment may be subject to an adjustment as shown
in Table 3 of Article 6.
These amounts use the 1983 `a' Individual Annuity Mortality Table, modified,
with an Assumed Interest Rate of 5%. Other options may be available.
3.07 DETERMINATION OF THE AMOUNT OF SUBSEQUENT VARIABLE ANNUITY PAYMENTS
Subsequent payments are determined by means of Annuity Units. The amount may be
greater or less than the initial payment.
The number of Annuity Units will be determined on the Annuity Commencement Date.
The number will not change unless a transfer is made. The number of Annuity
Units for a Subaccount is (a) divided by (b), where:
(a) is the portion of the first payment from that Subaccount; and
(b) is the Annuity Unit value for that Subaccount on the day the first
payment is due.
Each subsequent payment is equal to the sum of payments for each Subaccount. The
payment for a Subaccount is the number of Annuity Units for that Subaccount
times the Annuity Unit value for that Subaccount on the day that payment is due.
We guarantee that each subsequent payment will not be affected by variations in
mortality experience from the mortality assumptions on which the first payment
is based.
3.08 DETERMINATION OF ANNUITY UNIT VALUE
Initially, the Annuity Unit value was arbitrarily set at the start of the
Subaccount. The Annuity Unit value of each Subaccount for any Valuation Period
is equal to the Annuity Unit value for the preceding Valuation Period multiplied
by the product of (a) and (b), where:
(a) is the net investment factor for the Valuation Period for which the
Annuity Unit value is being calculated; and
(b) is an assumed interest rate factor equal to .99991902 raised to a power
equal to the number of days in the Valuation Period.
The assumed interest rate factor in (b) is the daily equivalent of dividing by
one plus the Assumed Interest Rate of 5%. If a plan with a different Assumed
Interest Rate is used to determine the initial payment, a different assumed
interest rate factor will be used to determine subsequent payments.
As described above, our determination of an Accumulation Unit value or Annuity
Unit value will be binding on you and any Beneficiary.
3.09 TRANSFERS
You may request the transfer of Annuity Units. We will not make more than three
transfers in a Contract Year. If a transfer is requested from a Subaccount, all
of the Subaccount's Annuity Units must be transferred to a single different
Subaccount.
The number of Annuity Units for the new Subaccount will be (a) times (b),
divided by (c), where:
(a) is the number of Annuity Units for the current Subaccount;
(b) is the Annuity Unit value for the current Subaccount; and
(c) is the Annuity Unit value for the new Subaccount.
The values of (a), (b) and (c) are determined as of the end of the Valuation
Period during which we receive the transfer request.
3.10 EVIDENCE OF SURVIVAL
If payments depend on the continuing life of an Annuitant, we may require proof
that the Annuitant is alive when each payment is due.
ARTICLE 4
BENEFICIARY
4.01 DESIGNATION
You may designate a Beneficiary(s). Unless there are joint Owners, the
designated Beneficiary(s) will receive the Death Benefit on your death.
If there are joint Owners, the surviving joint Owner will receive the Death
Benefit on the death of the first joint Owner. The surviving joint Owner will be
treated as the primary, designated Beneficiary. Any other Beneficiary
designation on record at the death of the first joint Owner will be treated as a
contingent Beneficiary.
If the surviving joint Owner, as spouse of the deceased joint Owner, continues
the Contract in lieu of receiving the Death Benefit, the designated
Beneficiary(s) will receive the Death Benefit on the death of the surviving
spouse.
Unless otherwise stated, designated Beneficiaries will share the Death Benefit
equally.
4.02 CHANGE
You may change any designated Beneficiary. A person named irrevocably may be
changed only with that person's written consent. A change of Beneficiary will
then revoke any previous designation.
A change should be made by filing a Written Request. The change will become
effective on our receipt of the request. The change will be subject to any
transaction we make before the change is recorded.
4.03 DEATH
Unless otherwise provided, if any Beneficiary dies before the Owner, that
Beneficiary's interest will go to any other named Beneficiaries, according to
their respective interests. If there are no other named Beneficiaries, benefits
will be paid to any contingent Beneficiary(s). Before the Annuity Commencement
Date, if no Beneficiary or contingent Beneficiary survives the Owner, the
proceeds will be paid to your estate.
Once a Beneficiary is entitled to the Death Benefits, the Beneficiary may name
his or her own Beneficiary(s) to receive any remaining benefits, should the
Beneficiary die before receipt of all benefits. If no Beneficiary is named, or
if the named Beneficiary predeceases the original Beneficiary, any remaining
benefits will continue to the original Beneficiary's estate. This designation
must be made by Written Request.
ARTICLE 5
GENERAL PROVISIONS
5.01 THE CONTRACT
The Contract, application, and any attached riders and endorsements is the
entire Contract. Only an authorized officer has the power to change, modify, or
waive provisions of this Contract.
We reserve the right to change the Contract for the purpose of keeping it in
compliance with federal or state law. If the Contract is amended, we will
provide you with a copy.
Any changes, modifications, or waivers must be in writing. All terms in this
Contract will have their usual and customary meaning except when specifically
defined.
5.02 THE ELECTRONIC SERVICE CENTER
The Electronic Service Center is maintained to provide information to current
and prospective customers and to enable various transactions. We may issue you a
Personal Identification Number (PIN) or password. You are responsible for any
use of this PIN or password. Instructions on how to perform various transactions
can be found at the Electronic Service Center. These procedures must be
followed.
Certain transactions require a document with a signature. Electronic requests
for transactions that require a signature will not be processed.
We will send any notices to your last known e-mail address. You should notify us
of any change in e-mail address through our Electronic Service Center or
Administrative Office. While this Contract remains in force, you agree to
receive all required documents through the Electronic Service Center. Required
documents are contracts, prospectuses, transaction confirmations and reports.
Documents will be considered to be delivered to you when they are placed in your
personal folder at the Electronic Service Center. You may revoke this provision
by sending signed, written instructions, via U.S. mail to our Administrative
Office. You should indicate that all correspondence should be sent to you via
U.S. mail.
5.03 OWNERSHIP
You may name only your spouse as a joint Owner. Joint Owners will be treated as
having equal, undivided interests, including rights of survivorship. Either
joint Owner may exercise any ownership rights.
Before the Annuity Commencement Date, you have the right to change the Annuitant
by filing a Written Request. The Annuitant may not be changed (including through
addition of a joint Annuitant) in a Contract owned in whole or part by a
non-natural person. You may also name a Contingent Annuitant by filing a Written
Request. A person named irrevocably may be changed only with that person's
written consent. The Contingent Annuitant designation does not apply after the
Annuity Commencement Date.
If a trustee is named as the Owner or Beneficiary and exercises ownership rights
or claims benefits, we will have no obligation to verify that a trust is in
effect. We will have no obligation to verify that the trustee is acting within
the scope of his/her authority. Payment of benefits to the trustee will release
us from all obligations under Contract to the extent of the payment. When
payment is made to the trustee, we have no obligation to ensure that such
payment is applied according to the terms of the trust agreement.
5.04 ASSIGNMENTS
This Contract may not be sold, assigned, discounted or pledged as loan
collateral, security for the performance of an obligation or for any other
purpose without our consent.
5.05 INCONTESTABILITY
We will not contest this Contract.
5.06 MISSTATEMENT OF AGE AND/OR GENDER
If the age and/or gender of the Annuitant has been misstated, the benefits
available will be those which the Purchase Payments would have purchased using
the correct age and/or gender. Underpayments will be made up immediately.
Overpayments will be charged against the next succeeding payments.
5.07 NONPARTICIPATING
The Contract is nonparticipating. It will not share in our surplus earnings.
5.08 VOTING RIGHTS
We will vote the Fund shares held in the Separate Account at meetings of the
various Funds. The votes will be cast according to the instructions of Owners
with interests in a Fund. You may give instructions for the number of votes
equal to your percentage interest of the Subaccount's total number of votes.
Fractional shares will be recognized.
You can not vote at any meeting of our shareholders.
5.09 OWNERSHIP OF THE ASSETS
We will have ownership and control of our assets. This includes all assets in
the Separate Account.
5.10 REPORTS
We will provide you a report at least once each Contract Year. The report will
include a statement of your number of units credited to the Separate Account and
the value of such units. This information will be as of a date not more than 30
days before the date the report is provided. At least once each Contract Year,
we will provide you a report of your investments held in the Subaccounts.
5.11 PREMIUM TAX
We will deduct any state and local government premium tax from Purchase Payments
or Contract Value. The deduction will be made when incurred or at another time
of our choosing.
5.12 MAXIMUM ISSUE AGE
An Annuitant or contingent Annuitant can not be over age 85 at issue.
ARTICLE 6
ANNUITY PURCHASE RATES UNDER A VARIABLE PAYMENT OPTION
DOLLAR AMOUNT OF FIRST MONTHLY PAYMENT WHICH IS
PURCHASED WITH EACH $1,000 APPLIED
SINGLE LIFE ANNUITIES
TABLE 1
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
SETTLEMENT MALE MALE MALE FEMALE FEMALE FEMALE
AGE WITH 0 WITH 120 WITH 240 WITH 0 WITH 120 WITH 240
MONTHS MONTHS MONTHS MONTHS MONTHS MONTHS
CERTAIN CERTAIN CERTAIN CERTAIN CERTAIN CERTAIN
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
20 $4.29 $4.29 $4.28 $4.22 $4.22 $4.21
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
25 $4.36 $4.35 $4.34 $4.27 $4.26 $4.26
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
30 $4.45 $4.44 $4.42 $4.33 $4.33 $4.32
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
35 $4.57 $4.56 $4.53 $4.42 $4.41 $4.40
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
40 $4.74 $4.72 $4.68 $4.54 $4.53 $4.51
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
45 $4.97 $4.94 $4.85 $4.70 $4.68 $4.65
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
50 $5.26 $5.21 $5.07 $4.91 $4.89 $4.83
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
51 $5.33 $5.27 $5.12 $4.97 $4.94 $4.87
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
52 $5.40 $5.33 $5.17 $5.02 $4.99 $4.92
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
53 $5.48 $5.40 $5.22 $5.08 $5.05 $4.96
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
54 $5.56 $5.48 $5.28 $5.14 $5.11 $5.01
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
55 $5.65 $5.56 $5.33 $5.21 $5.17 $5.06
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
56 $5.74 $5.64 $5.39 $5.28 $5.24 $5.12
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
57 $5.84 $5.73 $5.45 $5.36 $5.31 $5.17
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
58 $5.94 $5.82 $5.51 $5.44 $5.38 $5.23
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
59 $6.06 $5.92 $5.57 $5.52 $5.46 $5.29
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
60 $6.18 $6.03 $5.63 $5.62 $5.55 $5.35
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
61 $6.31 $6.14 $5.69 $5.72 $5.64 $5.41
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
62 $6.46 $6.26 $5.75 $5.82 $5.73 $5.48
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
63 $6.61 $6.38 $5.81 $5.94 $5.83 $5.54
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
64 $6.78 $6.51 $5.87 $6.06 $5.94 $5.61
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
65 $6.95 $6.64 $5.93 $6.19 $6.05 $5.68
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
66 $7.14 $6.78 $5.99 $6.34 $6.18 $5.75
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
67 $7.34 $6.93 $6.05 $6.49 $6.30 $5.81
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
68 $7.56 $7.08 $6.10 $6.65 $6.44 $5.88
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
69 $7.79 $7.24 $6.15 $6.83 $6.59 $5.95
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
70 $8.04 $7.40 $6.20 $7.03 $6.74 $6.01
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
71 $8.31 $7.56 $6.24 $7.24 $6.90 $6.07
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
72 $8.60 $7.73 $6.28 $7.47 $7.07 $6.13
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
73 $8.90 $7.90 $6.31 $7.72 $7.24 $6.18
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
74 $9.23 $8.08 $6.35 $7.99 $7.42 $6.23
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
75 $9.58 $8.25 $6.38 $8.29 $7.61 $6.28
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
76 $9.96 $8.42 $6.40 $8.61 $7.80 $6.31
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
77 $10.36 $8.59 $6.42 $8.95 $8.00 $6.35
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
78 $10.80 $8.76 $6.44 $9.33 $8.20 $6.38
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
79 $11.27 $8.93 $6.46 $9.74 $8.40 $6.41
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
80 $11.77 $9.09 $6.47 $10.18 $8.59 $6.43
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
81 $12.30 $9.24 $6.48 $10.67 $8.78 $6.45
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
82 $12.87 $9.38 $6.49 $11.19 $8.97 $6.46
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
83 $13.47 $9.52 $6.49 $11.76 $9.15 $6.47
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
84 $14.11 $9.64 $6.50 $12.37 $9.31 $6.48
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
85 $14.79 $9.76 $6.50 $13.03 $9.47 $6.49
------------------ ---------------- ---------------- --------------- ---------------- ---------------- ---------------
Values for ages not shown will be furnished upon request.
DOLLAR AMOUNT OF FIRST MONTHLY PAYMENT WHICH IS
PURCHASED WITH EACH $1,000 APPLIED
JOINT LIFE ANNUITIES
TABLE 2
------------------ ---------------------------------------------------------------------------------------------------
MALE FEMALE SETTLEMENT AGE
SETTLEMENT
AGE
-------- -------- -------- ------- -------- -------- -------- ------- -------- -------- -----------
35 40 45 50 55 60 65 70 75 80 85
& Over
------------------ -------- -------- -------- ------- -------- -------- -------- ------- -------- -------- -----------
35 $4.29 $4.34 $4.38 $4.42 $4.45 $4.48 $4.51 $4.53 $4.54 $4.55 $4.56
------------------ -------- -------- -------- ------- -------- -------- -------- ------- -------- -------- -----------
40 $4.32 $4.37 $4.43 $4.49 $4.54 $4.59 $4.63 $4.67 $4.69 $4.71 $4.72
------------------ -------- -------- -------- ------- -------- -------- -------- ------- -------- -------- -----------
45 $4.34 $4.41 $4.49 $4.57 $4.64 $4.72 $4.78 $4.84 $4.88 $4.91 $4.94
------------------ -------- -------- -------- ------- -------- -------- -------- ------- -------- -------- -----------
50 $4.36 $4.44 $4.53 $4.64 $4.75 $4.86 $4.96 $5.05 $5.12 $5.17 $5.21
------------------ -------- -------- -------- ------- -------- -------- -------- ------- -------- -------- -----------
55 $4.37 $4.46 $4.58 $4.70 $4.85 $5.00 $5.15 $5.29 $5.41 $5.50 $5.56
------------------ -------- -------- -------- ------- -------- -------- -------- ------- -------- -------- -----------
60 $4.39 $4.48 $4.61 $4.76 $4.94 $5.15 $5.36 $5.57 $5.77 $5.92 $6.03
------------------ -------- -------- -------- ------- -------- -------- -------- ------- -------- -------- -----------
65 $4.40 $4.50 $4.64 $4.81 $5.02 $5.28 $5.57 $5.88 $6.19 $6.45 $6.65
------------------ -------- -------- -------- ------- -------- -------- -------- ------- -------- -------- -----------
70 $4.40 $4.51 $4.66 $4.84 $5.08 $5.38 $5.75 $6.18 $6.64 $7.07 $7.43
------------------ -------- -------- -------- ------- -------- -------- -------- ------- -------- -------- -----------
75 $4.41 $4.52 $4.67 $4.87 $5.13 $5.47 $5.90 $6.44 $7.08 $7.74 $8.35
------------------ -------- -------- -------- ------- -------- -------- -------- ------- -------- -------- -----------
80 $4.41 $4.53 $4.68 $4.89 $5.16 $5.52 $6.01 $6.65 $7.46 $8.41 $9.36
------------------ -------- -------- -------- ------- -------- -------- -------- ------- -------- -------- -----------
85 & Over $4.41 $4.53 $4.69 $4.90 $5.18 $5.56 $6.08 $6.80 $7.76 $8.97 $10.34
------------------ -------- -------- -------- ------- -------- -------- -------- ------- -------- -------- -----------
Figures for intermediate ages, for two males or two females will be furnished
upon request.
MAXIMUM AGE ADJUSTMENT
TABLE 3
SETTLEMENT AGE: The settlement age is the payee's age last birthday on the date
payments begin, minus an age adjustment from the table below. The actual age
adjustment may be less than the numbers shown.
----------------------------------------- -------------------------------
YEAR PAYMENTS BEGIN MAXIMUM
AFTER PRIOR TO AGE
ADJUSTMENT
----------------------------------------- -------------------------------
---- 2001 0
2000 2026 5
2025 2051 10
2050 ---- 15
----------------------------------------- -------------------------------
FLEXIBLE PREMIUM VARIABLE
DEFERRED ANNUITY CONTRACT
BENEFIT PAYMENT OPTIONS
NON-PARTICIPATING, NO DIVIDENDS
If you have any questions concerning
this Contract, please contact
GE Life and Annuity Assurance Company
through the
Electronic Service Center
GE LIFE AND ANNUITY
ASSURANCE COMPANY
[ADMINISTRATIVE OFFICE
P.O. BOX 691
LEESBURG, VA 20178]
A STOCK COMPANY
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