Exhibit 4
Form of Individual Annuity Contract
Exhibit 4
[LETTERHEAD OF MML BAY STATE LIFE INSURANCE COMPANY APPEARS HERE]
Deferred Variable Annuity Contract
With ▇▇▇▇▇▇▇▇▇▇▇ Variable Account Funds and MML Series Investment Funds
Includes Fixed Interest Account with Market-Value Adjustment
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Contract Number
Annuitant
Amount
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Dear Contract Owner:
READ YOUR CONTRACT CAREFULLY. We have used examples to explain some of the
provisions. These examples do not reflect the actual amounts or status of this
contract. As you read through the contract, remember the words "we," "us," and
"our" refer to MML Bay State Life Insurance Company.
We will pay the maturity benefit to the Payee when this contract matures if the
Annuitant and Owner are living at that time. If the Annuitant or Owner dies
before this contract matures, we will pay the death benefit to the Beneficiary
when due proof of the death is received at our Service Center. Either payment is
subject to the terms of this contract, which are contained on this and the
following pages.
For service or information on this contract, contact our Service Center.
YOU HAVE A RIGHT TO RETURN THIS CONTRACT. If you decide not to keep this
contract, return it within ten days after you receive it. It may be returned by
delivering or mailing it to our Service Center. Then, the contract will be as
though it had never been issued. We will promptly refund the accumulated value
of this contract on the date we receive it, plus any deductions made from the
purchase payments.
Signed for MML Bay State Life Insurance Company at Springfield, Massachusetts.
Sincerely yours,
/s/ ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇, ▇▇.
President Secretary
This Contract provides that: Flexible purchase payments may be made, while the
Annuitant and Owner are living, to the date
this contract matures.
A death benefit is payable if the Annuitant or
Owner dies before this contract matures.
A monthly life income is payable beginning on
the date this contract matures if the Annuitant
and Owner are living at that time.
This Contract is not participating. It does not provide for the payment of
dividends.
All values and payments based on the investment performance of the Separate
Account shown on the Schedule Page are variable and not guaranteed as to dollar
amount. All amounts accumulated in MVA segments of the Fixed Account shown on
the Schedule Page may be subject to market-value adjustment on withdrawal, which
may result in upward or downward adjustments; however, no adjustment is made on
withdrawal during the last 30 days of the guarantee period.
Contract Summary
This Summary briefly describes some of the major contract provisions. Since it
does not go into detail, the actual provisions will control. See those
provisions for full information and any limits that may apply. The "Where To
Find It" on the inside of the back cover shows where these provisions may be
found.
We will pay a maturity benefit if the Annuitant and Owner are living on the
maturity date and the contract is in force at that time. We will pay a death
benefit if the Annuitant or Owner dies before this contract matures and while it
is in force. "In force" means that the contract has not terminated. Since this
is a variable annuity contract, neither of these benefits is guaranteed as to
dollar amount. Instead, all values and benefits that depend on the investment
performance of the Separate Account shown on the Schedule Page are variable and
not guaranteed as to dollar amount.
Purchase payments for this contract are flexible. Therefore, after the first
purchase payment has been paid, there is no requirement that any specific amount
of purchase payment be made on any date. Instead, within the limits stated in
the contract, any amount may be paid on any date before the maturity date while
the Annuitant and Owner are living.
Rights available under this contract include the rights to:
. Assign this contract;
. Change the Owner, the Payee, or any Beneficiary;
. Redeem this contract;
. Make partial redemptions;
. Change the date this contract matures;
. Allocate purchase payments among the divisions of the Separate Account;
and
. Transfer values among the divisions of the Separate Account.
This contract also includes a number of Payment Options. These provide
alternative ways to pay the maturity value, the death benefit, or the amount
payable upon redemption of this contract.
THE SCHEDULE PAGE
This page shows specific information about this contract and is referred to
throughout the contract.
CONTRACT NUMBER 0 000 000
ANNUITANT ▇▇▇▇ ▇ ▇▇▇
AMOUNT Monthly Income Provided By Maturity Value
Issue Date MAY 01 1995
Contract Date MAY 01 1995
Maturity Date MAY 01 2025
Annuitant's age on Contract Date 35 MALE
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BASIC CONTRACT INFORMATION
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Plan
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Deferred Variable Annuity
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SERVICE CENTER INFORMATION
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Mailing Address: __________________________ Telephone Number: ▇-▇▇▇-▇▇▇-▇▇▇▇
__________________________
NNNNN-NNNN
________________
We will send written notice of any change in the mailing address or telephone
number of the Service Center.
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PURCHASE PAYMENT INFORMATION
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First Purchase Payment See confirmation notice
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SEPARATE ACCOUNT INFORMATION (See The Separate Account provision in Part 3.)
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The Separate Account referred to in this contract is MML Bay State Variable
Annuity Separate Account ???.
The divisions of the Separate Account are:
MML Money Market Division ▇▇▇▇▇▇▇▇▇▇▇ Money Division ▇▇▇▇▇▇▇▇▇▇▇ Multiple Strategies Division
MML Managed Bond Division ▇▇▇▇▇▇▇▇▇▇▇ Bond Division ▇▇▇▇▇▇▇▇▇▇▇ Growth Division
MML Blend Division ▇▇▇▇▇▇▇▇▇▇▇ Strategic Bond Division ▇▇▇▇▇▇▇▇▇▇▇ Capital Appreciation Division
MML Equity Division ▇▇▇▇▇▇▇▇▇▇▇ High Income Division ▇▇▇▇▇▇▇▇▇▇▇ Global Securities Division
Each division invests in a corresponding Fund. The investment strategy and
objectives for each Fund are given in the Prospectus.
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FIXED ACCOUNT INFORMATION (See The Fixed Account provision in Part 3.)
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For each segment of the Fixed Account, the guaranteed rate of interest will be
at least 3%.
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OTHER INFORMATION
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Owner and Beneficiary - see application attached to this contract.
Part 1. The Basics Of This Contract
In this Part, we discuss some basic concepts that
are necessary to understand this contract.
The Parties Involved- The Owner is the person who owns this contract, as
Owner, Joint shown on our records.
Owner, Annuitant,
Beneficiary, A Joint Owner may be named on this contract. In
Irrevocable this case, the Owner and the Joint Owner will have
Beneficiary, ▇▇▇▇▇ equal and undivided interest in this contract.
While a Joint Owner is named under this contract:
. All rights and benefits conditioned on
the Owner living are conditioned on both
the Owner and the Joint Owner living;
. Either the Owner or the Joint Owner may
exercise an Owner right with the consent,
satisfactory to us, of the other;
. All notices, any tax forms, and any other
mailings about this contract will be sent
to the Owner's mailing address; and
. Any benefit payable upon the death of the
Owner will be payable upon the death of
the Owner or the Joint Owner, whomever
dies first.
The Annuitant is the person on whose life this
contract is issued. Payment of the maturity
benefit will be made if that person is living when
this contract matures. The Annuitant may be the
Owner of this contract, or someone else may be the
Owner; in the latter case, payment of the maturity
benefit will be made if both the Annuitant and
Owner are living when this contract matures.
Example: You buy a contract on your own life
and name yourself as Owner. In this case,
you are both the Annuitant and Owner. If
you buy a contract on your spouse's life
and name yourself as Owner, then the
Annuitant and Owner are different people.
A Beneficiary is any person named on our records
to receive death proceeds after the Annuitant or
Owner dies. There may be different classes of
Beneficiaries, such as primary and secondary.
These classes set the order of payment. There may
be more than one Beneficiary in a class.
Example: ▇▇▇▇▇▇ is named as primary (first)
Beneficiary. ▇▇▇▇ and ▇▇▇▇▇ are named as
Beneficiaries in the secondary class. If
▇▇▇▇▇▇ is alive when the Annuitant dies,
she receives any death benefit. But if
▇▇▇▇▇▇ is dead and ▇▇▇▇ and ▇▇▇▇▇ are
alive when the Annuitant dies, ▇▇▇▇ and
▇▇▇▇▇ receive any death benefit.
Any Beneficiary may be named an Irrevocable
Beneficiary. An Irrevocable Beneficiary is one
whose consent is needed to change the named
Beneficiary. Also, this Beneficiary must consent
to the exercise of other contract rights.
The Payee is the person named on our records to
receive the maturity benefit when this contract
matures. The Annuitant is the Payee unless the
Owner names another Payee.
Dates - Contract Two important dates shown on the Schedule Page are
Date, Contract the Contract Date and the Issue Date.
Anniversary Date,
Contract Year, Issue The Contract Date is the starting point for
Date, Maturity Date determining Contract Anniversary Dates and
Contract Years. The first Contract Anniversary
Date is one year after the Contract Date. The
period from the Contract Date to the first
Contract Anniversary Date, or from one Contract
Anniversary Date to the next, is called a Contract
Year.
Example: The Contract Date is June 10, 19X1. The
first Contract Anniversary Date is June
10, 19X2. The period from June 10, 19X1,
through June 9, 19X2, is a Contract Year.
The Issue Date is used to determine the start of
the contestability period. We discuss
contestability below.
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Another important date shown on the Schedule Page
is the maturity date. This is the date the
maturity benefit is payable unless an earlier or
later maturity date is elected (see Part 4). The
maturity benefit will be payable only if this
contract is in force and the Annuitant and Owner
are living on the maturity date.
This Is A Legal Contract This annuity is a legal contract between the Owner
and us. The entire contract consists of the
application and the annuity, which includes any
riders. We have issued this contract in return for
the application and the payment of the first
purchase payment. Any change or waiver of its
terms must be in writing and signed by our
Secretary or an Assistant Secretary to be
effective.
Trusts And Other Agreements We are not responsible for carrying out the terms
of any trust or other agreement that is not a part
of this contract. Our only responsibility is to
perform according to the terms of this contract.
Representations And We rely on all statements made by or for the
Contestability Annuitant in the application. Legally, these
statements are considered to be representations
and not warranties. We can bring legal action to
contest the validity of this contract for any
material misrepresentation of a fact. To do so,
however, the misrepresentation must have been in
the application for this contract and a copy of
the application must have been attached to this
contract when issued.
In the absence of fraud, we cannot contest the
validity of this contract after it has been in
force during the lifetime of the Annuitant for two
years from its Issue Date.
Misstatement Of Age Or Sex One of the questions in the application concerns
the Annuitant's date of birth; another concerns
the Annuitant's sex. If the sex or date of birth
given is not correct, all benefits and amounts
payable under this contract will be what would
have been provided if the correct sex and date of
birth had been given.
No life income payments will be made until we have
received satisfactory proof of the Annuitant's sex
and date of birth at our Service Center.
Meaning Of In Force "In force" means that this contract has not
terminated. This contract is in force from its
Issue Date or, if later, the date the first
purchase payment is paid. Subject to the Right To
Terminate Contract provision in Part 2, payment of
future purchase payments is not required to
continue this contract in force.
Service Center All service for this contract is provided through
our Service Center. The mailing address and
telephone number of our Service Center are shown
on the Schedule Page. We will send written notice
of any change in this information.
Contract State This contract shall be construed according to the
laws of the state in which it was delivered.
Currency All payments made to us and by us will be in the
lawful currency of the United States of America.
All monetary amounts shown in this contract are in
U.S. dollars.
Contract Is Not This contract is "not participating," which means
Participating that no dividends are payable on this contract.
Part 2. Purchase Payments
Purchase payments are the amounts that may be paid
to us under this contract. Purchase payments for
this contract are discussed in this Part.
The First Purchase Payment The first purchase payment for this contract is
due on the Contract Date. This contract will not
be in force until the first purchase payment has
been paid to us.
Purchase Payment Flexibility After the first purchase payment has been paid and
subject to the Right To Terminate Contract
provision, payment of additional purchase payments
is not required to continue the contract in force.
Instead, any amount may be paid at any time before
the maturity date while the Annuitant and Owner
are living. However, no purchase payment can be
less than $100 without our consent.
We have the right to set a maximum limit on the
total amount of purchase payments that may be made
under this contract. Any such limit will not be
less than $500,000.
Right To Terminate Contract We have the right to terminate this contract if:
. No purchase payment has been made for at
least two consecutive years measured from
the date we received the last purchase
payment; and
. Each of the following amounts is less
than $2,000 on the date we send notice of
our election to terminate this contract:
(1) The accumulated value of this
contract (see Part 3) less any
premium tax we would deduct on
redemptions;
(2) The cash redemption value (see Part
4); and
(3) The sum of all purchase payments made
into this contract less any partial
redemption amounts.
If we exercise this right, we will mail a written
notice of termination to the Owner at the last
known address shown on our records. This notice
will state that the contract will terminate 30
days after we have mailed the notice unless we
receive a purchase payment that brings the
accumulated value (less any premium tax) to at
least $2,000 before that time.
If we terminate this contract, we will pay to the
Owner the greater of the amounts in items (1) and
(2) above.
Where To Pay All purchase payments are payable to us at our
Service Center. Upon request, a receipt signed by
our Secretary or an Assistant Secretary will be
given for any purchase payment made.
Net Purchase Payments A net purchase payment is a purchase payment we
receive less any premium tax we deduct at that
time.
Allocation Of Net Each net purchase payment we receive will be
Purchase Payments allocated among the segments of the Fixed Account
and the divisions of the Separate Account, as
directed in the application. This allocation will
remain in effect until changed by any later
election satisfactory to us and received at our
Service Center.
If the allocation of any net purchase payment
would not meet the requirements stated in the MVA
Segments provision (see Part 3), we will promptly
refund the purchase payment made.
Part 3. Accounts, Values, And Charges
This contract provides that certain values
(referred to as variable values) are based on the
investment performance of the Separate Account and
are not guaranteed as to dollar amount. This
contract also provides that other values (referred
to as fixed values and market values) are based on
the value of amounts credited to the Fixed
Account. This Part gives information about these
Accounts and the values and charges connected with
them.
The Separate Account And The Fixed Account
The Separate Account The Separate Account shown on the Schedule Page is
a separate investment account we have established
under Missouri law. It is subject to the laws of
the state in which this contract was delivered.
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The Separate Account has several divisions. Each
division invests in shares of an investment Fund.
The divisions are shown on the Schedule Page.
The values of the assets in the divisions are
variable and are not guaranteed. They depend on
the investment results of the Separate Account
shown on the Schedule Page.
We own the assets of the Separate Account. Those
assets will only be used to support variable
annuities. A portion of the assets equal to the
reserves and other liabilities of the Separate
Account will not be charged with liabilities that
arise from any other business we may conduct.
However, we may transfer assets exceeding the
reserves and other liabilities of the Separate
Account to our general account. The income and
capital gains and losses, whether or not realized,
from each division of the Separate Account are
credited to or charged against that division
without regard to any of our other income and
capital gains or losses. The assets of the
Separate Account are protected from the claims of
our creditors.
Changes In The Separate We have the right to establish both additional
Account divisions of the Separate Account and additional
Separate Accounts from time to time. ▇▇▇▇▇▇▇
credited to any additional divisions established
would be invested in shares of other Funds. For
any division, we have the right to substitute new
Funds.
Subject to applicable provisions of federal
securities laws, we have the right to change the
investment policy of any division of the Separate
Account with the approval of the Missouri
Insurance Commissioner. If required, evidence of
the approval of a material change by the Missouri
Insurance Commissioner will be filed with the
insurance supervisory official of the state where
this contract is delivered. We will notify the
Owner if the Missouri Insurance Commissioner
approves any material change.
We have the right to withdraw availability of any
division of the Separate Account for future
amounts being credited. We will notify the Owner
before we withdraw any division of the Separate
Account.
We have the right to operate the Separate Account
as a unit investment trust under the Investment
Company Act of 1940 or in any other form permitted
by law.
Accumulation Units And Accumulation units are used to measure the
Annuity Units variable values on or before the maturity date of
this contract. Annuity units are used to determine
the amount of each payment of Variable Monthly
Income after those payments have begun. The value
of a unit is determined as of the valuation time
on each valuation date for valuation of the
Separate Account. The value of any unit can vary
from valuation date to valuation date. That value
reflects the investment performance of the
division of the Separate Account applicable to
that unit. The value of accumulation units and
annuity units is discussed further in Part 7.
Valuation Date, A valuation date is any date the New York Stock
Valuation Time, Exchange (or its successor) is open for trading. A
Valuation Period valuation period is the period of time from the
end of one valuation date to the end of the next
valuation date. The valuation time is the time of
day the New York Stock Exchange (or its successor)
closes on a valuation date. All actions to be
performed on a valuation date will be performed as
of the valuation time.
Purchase And Sale Of Amounts may be credited to a division of the
Accumulation Units Separate Account through:
. Allocation of net purchase payments to
the division (see Part 2); and
. Transfers of values to the division from
other divisions or from the Fixed Account
(see Transfers Of Values provision in
Part 4).
Amounts may be taken from a division through:
. Maturity of the contract (see Part 5);
. Death of the Annuitant or Owner (see Part
5);
. Full or partial redemption (see Part 4);
. Transfers of values from the division to
any other divisions or to the Fixed
Account (see Part 4);
. Assessment of an administrative charge
from the division (see Administrative
Charge provision below in this Part); and
. Assessment of a transfer fee from the
division (see Transfer Fee provision
below in this Part).
Amounts are credited to and taken from divisions
of the Separate Account by purchasing and selling
accumulation units. Accumulation units will be
purchased and sold at the unit value as of the
valuation time on the valuation date of purchase
or sale. The number of units purchased or sold
will be the amount of money for purchase or sale
divided by that unit value.
Example: The amount applied is $550. The
date of purchase is June 10, 19X4. The
accumulation unit value on that date is
$10. The number of units purchased would
be 55 ($550 divided by $10 = 55). If,
instead, the unit value was $11, then the
amount applied would purchase 50 units
($550 divided by $11 = 50).
If a purchase payment, or a request that causes us
to purchase or sell accumulation units, is
received by us before the valuation time on a
valuation date, accumulation units will be
purchased or sold as of that valuation date.
Otherwise, accumulation units will be purchased or
sold as of the next following valuation date.
In no case will accumulation units be purchased or
sold before the Contract Date.
The Fixed Account The Fixed Account is part of our general
investment account. It has no connection with,
and does not depend on, the investment performance
of the Separate Account. Unlike the Separate
Account, amounts held in the Fixed Account are
not protected from the claims of our creditors.
The Fixed Account has distinct segments in which
amounts credited earn interest at different rates
and for different periods of time. We have the
right to establish additional segments of the
Fixed Account from time to time. Also, we have the
right to withdraw availability of any segment of
the Fixed Account for future amounts being
credited. The effect of this withdrawal is
discussed in the next provision.
MVA Segments The segments of the Fixed Account are MVA
segments. The "MVA" indicates that amounts taken
from these segments may be subject to a
market-value adjustment (see the Market Value In
The MVA Segments provision below in this Part).
Amounts may be credited to an MVA segment through:
. Allocation of net purchase payments to
the MVA segment (see Part 2);
. The crediting of accumulated amounts that
were left in the MVA segment to the end
of the guarantee period (see below in
this provision); and
. Transfers of values to the segment from
other MVA segments or from divisions of
the Separate Account (see Transfers Of
Values provision in Part 4).
Any amount credited to an MVA segment at any one
time must be at least $1,000.
Amounts credited to an MVA segment will accumulate
at a guaranteed rate of interest if left in the
segment for a stated period of time. We refer to
this period as the "guarantee period" for the MVA
segment. The guaranteed rate of interest is set
when an amount is credited and is the same for all
contracts in this class. Guaranteed rates for
amounts currently being credited to MVA segments
are available by calling the Service Center. The
lowest guaranteed rate we can use is shown on the
Schedule Page.
Guaranteed rates of interest for amounts credited
at various times to the same MVA segment are
subject to change. However, once an amount is
credited to an MVA segment, the guaranteed rate
used to accumulate that amount will be fixed for
the entire guarantee period.
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Example: An amount of $1,000 is applied on
May 10, 19X1, to an MVA segment with a
5-year guarantee period. The guaranteed
rate for amounts applied to this segment
on May 10, 19X1, is 6%. If the $1,000 is
left in that segment until May 10, 19X6,
it will accumulate at a 6% effective
annual rate of interest for the full 5
years to $1,338.23.
An amount of $1,000 applied to the same
segment on June 2, 19X1, has a guaranteed
rate of 6.5%. If that amount is left in
the segment until June 2, 19X6, it will
accumulate at a 6.5% effective annual
rate of interest for the full 5 years to
$1,370.09.
Once an amount credited to an MVA segment has
remained in that segment to the end of the
guarantee period, the resulting accumulated amount
is credited as of that date to the same MVA
segment at the guaranteed rate for that segment as
of that date. However, if that MVA segment is no
longer available as of that date, the accumulated
amount will instead be credited to the available
MVA segment with the next shorter guarantee period
or, if none is available, the available MVA
segment with the next longer guarantee period.
Example: Using the example above, if the
$1,000 amount applied on May 10, 19X1, is
left at 6% until May 10, 19X6, its
accumulated value of $1,338.23 is applied
as of that date for another 5-year
period. If the guaranteed rate for
amounts applied to this segment on May
10, 19X6, is 7%, the $1,338.23 will then
accumulate at 7%.
We will send to the Owner written notice that the
guarantee period for an amount credited to an MVA
segment is about to end. The notice will give:
. The date the amount was credited;
. The amount for that date still left in
the segment;
. The date the guarantee period will end;
and
. The accumulated amount as of that date.
The notice will also specify which MVA segment the
accumulated amount will be credited to, and how to
determine the guaranteed rate that will be applied
to it. This notice will be sent 45 to 75 days
before the end of the guarantee period.
Amounts may be taken from an MVA segment through:
. Maturity of the contract (see Part 5);
. Death of the Annuitant or Owner (see Part
5);
. Full or partial redemption (see Part 4);
. Transfers of values from the segment to
other MVA segments or to divisions of the
Separate Account (see Transfers Of Values
provision in Part 4);
. Assessment of an administrative charge
(see Administrative Charge provision
below in this Part); and
. Assessment of a transfer fee (see
Transfer Fee provision below in this
Part).
If an amount is taken from an MVA segment before
the end of its guarantee period, its market value
may be higher or lower than its accumulated value.
See the Market Value In The MVA Segments provision
in the next section.
Values Of This Contract
Accumulated Value Of The accumulated value of this contract on any date
Contract is the variable value of this contract plus the
fixed value of this contract, both determined as
of that date.
Variable Value Of Contract The value of the accumulation units credited to
this contract in a division of the Separate
Account is equal to the accumulation unit value in
that division on the date the value is determined,
multiplied by the number of those units in that
division.
The variable value of this contract on any date is
the total of the values of the accumulation units
credited to this contract in each division of the
Separate Account.
Fixed Value Of Contract The fixed value of this contract on any date is
the sum, over all of the MVA segments of the Fixed
Account, of the amounts credited to this contract
still left in those segments accumulated at
interest to that date. In accumulating each
amount, we use an effective annual rate of
interest equal to the guaranteed rate for that
amount.
Example: An amount of $1,000 is applied on
May 10, 19X1, to an MVA segment with a
5-year guarantee period. The guaranteed
rate for amounts applied to this segment
on May 10, 19X1, is 6%. If the $1,000 is
left in that segment until May 10, 19X6,
it will accumulate at a 6% effective
annual rate of interest for the full 5
years to $1,338.23. The value of that
$1,000 amount on May 10, 19X5, at the 6%
guaranteed rate, is $1,262.48 ($1,000
accumulated for 4 years at 6% interest).
An amount of $1,000 applied to the same
5-year MVA segment on May 10, 19X2, has a
guaranteed rate of 6.5%. If left in the
segment until May 10, 19X7, it will
accumulate to $1,370.09. The value of
that $1,000 amount on May 10, 19X5, at
the 6.5% guaranteed rate, is $1,207.95
($1,000 accumulated for 3 years at 6.5%
interest).
If these are the only amounts credited to
your contract in MVA segments that are
still left in those segments, then the
fixed value of the contract on May 10,
19X5, is $2,470.43 ($1,262.48 plus
$1,207.95).
Market Value Of Contract The market value of this contract on any date is
the variable value of this contract plus the
market value in the MVA segments.
Market Value In The MVA The market value in the MVA segments on any date
Segments is the sum, over all of the MVA segments in the
Fixed Account, of the market values of the amounts
credited to this contract still left in those
segments.
The market value of an amount credited to an MVA
segment is based on:
(1) Its accumulated value if left in the MVA
segment to the end of the guarantee
period;
(2) The period of time from the current date
to the end of the guarantee period for
the amount; and
(3) The guaranteed rate currently applied to
amounts credited to an MVA segment with a
guarantee period equal in whole years to
the period of time determined in (2)
above. However, if the period of time
determined in (2) above is not a whole
number of years, we will use the
guaranteed rate for the MVA segment for
the next higher whole number of years.
(The guaranteed rate currently applied to
amounts credited to MVA segments is
available by calling the Service Center.)
The market value on any date of an amount credited
to an MVA segment is equal to:
. The amount determined in (1) above;
discounted at
. The effective annual rate of interest
equal to the guaranteed rate determined
in (3) above; for
. The period of time determined in (2)
above.
However, if the period of time determined in item
(2) above for an amount in an MVA segment is 30
days or less, that amount will not be subject to
market-value adjustment. Also, any amount taken
from an MVA segment through assessment of an
administrative charge or a transfer fee will not
be subject to a market-value adjustment. In each
of these cases, the market value of that amount
will be the amount accumulated to the current date
at an effective annual rate of interest equal to
its respective guaranteed rate.
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Example 1: An amount of $1,000 is applied on
May 10, 19X1, to an MVA segment with a
5-year guarantee period. The guaranteed
rate for amounts applied to this segment
on May 10, 19X1, is 6%. If the $1,000 is
left in that segment until May 10, 19X6,
it will accumulate at a 6% effective
annual rate of interest for the full 5
years to $1,338.23.
The full amount is taken from the MVA
segment on May 10, 19X5:
(1) Its accumulated value at the end of
the guarantee period (5 years)
would be $1,338.23;
(2) The period of time from May 10,
19X5, to May 10, 19X6, is one year;
and
(3) The guaranteed rate applied on May
10, 19X5, to amounts credited to a
1-year MVA segment is 4%.
The market value on May 10, 19X5, of the
amount credited to the 5-year MVA segment
on May 10, 19X1, is $1,338.23 discounted
at 4% for one year, or $1,286.76
($1,338.23 divided by 1.04 = $1,286.76).
The accumulated value on May 10, 19X5,
of that amount is $1,262.48 ($1,000
accumulated for 4 years at 6%).
Example 2: An amount of $1,000 applied to a 7-year
MVA segment on May 10, 19X2, with a
guaranteed rate of 5% will accumulate
to $1,407.10 if left in that segment
until May 10, 19X9.
The full amount is taken from the MVA
segment on May 10, 19X5:
(1) Its accumulated value at the end of
the 7-year guarantee period (May
10, 19X9) would be $1,407.10;
(2) The period of time from May 10,
19X5, to May 10, 19X9, is four
years; and
(3) The guaranteed rate applied on May
10, 19X5, to amounts credited to a
4-year MVA segment is 10%.
The market value on May 10, 19X5, of the
amount credited to the 7-year MVA segment
on May 10, 19X2, is $1,407.10 discounted
at 10% for four years, or $961.07. The
accumulated value on May 10, 19X5, of
that amount is $1,157.63 ($1,000
accumulated for 3 years at 5%).
For each MVA segment, amounts credited to the
contract that are still in the segment are taken
in a certain order until the total market value
needed from the segment is taken. We first take
the amount with the shortest time left in the
guarantee period, then the amount with the next
shortest time left, and so on. However, for
transfers and partial redemptions taken from an
MVA segment, the Owner may choose a different
order.
Contract Charges
Administrative Charge An administrative charge will be assessed each
year on the Contract Anniversary Date. An
administrative charge will also be assessed upon
full redemption, death, or maturity. In either
case, however, we will not assess the charge if
the accumulated value of the contract at that time
is $50,000 or more.
The amount of the administrative charge will be
determined each year by us. However, it will not
exceed $50, or any lower limit required by law.
Any administrative charge assessed will be taken:
. First, from all divisions in the Separate
Account on a pro rata basis, based on the
variable value of this contract in each
division; and
. Second, any remainder will be taken from
all MVA segments of the Fixed Account on
a pro rata basis, based on the fixed
value of this contract in each segment.
The administrative charge discussed in this
provision is in addition to any charge for
administrative expenses contained in the asset
charge discussed in the Net Investment Factor
provision in Part 7.
Deductions For Sales Charges Sales charges are not deducted from purchase
payments when received by us. Instead, we may make
deductions for sales charges from amounts payable
upon full or partial redemption of this contract.
We may also make deductions for sales charges from
the death benefit in certain cases. Finally, we
may make deductions for sales charges from the
maturity value on the maturity date of this
contract.
In certain situations, however, sales charges will
not apply. Sales charges will not be assessed on
the following amounts of purchase payments:
1. All amounts paid as death benefits due to
the Annuitant's death if the Annuitant's
age on the Contract Date (shown on the
Schedule Page) is 75 or less;
2. The full amount if the Annuitant has not
reached age 59 1/2 and all proceeds from
maturity or full redemption of this
contract are applied under any one, or
more than one, of the following payment
options:
a. Variable Monthly Income Option B
with payments for 10 years or more;
and
b. Variable Monthly Income Options C,
E, and F;
3. The full amount if the Annuitant has
attained age 59 1/2 and all proceeds from
maturity or full redemption of this
contract are applied under any one, or
more than one, of the following payment
options:
a. Fixed Income or Variable Monthly
Income Option B with payments for
10 years or more; and
b. Fixed Income or Variable Monthly
Income Options C, E, and F;
4. During any Contract Year:
a. Any amounts not yet redeemed for
which the sales charge percentage
(see Amount Of Sales Charge
provision below) is 0%; and
b. 10% of the amounts not yet
redeemed for which the sales charge
percentage is 1% or greater.
Amount Of Sales Charge Sales charges are based on the purchase payments
made and the time that has passed since we
received them.
The part of the sales charge related to a purchase
payment is a level percentage of that payment
during each year since it was paid. For each
successive year, the percentage decreases until it
becomes zero. Sales charge percentages for each
purchase payment are shown in the table below.
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Year Since Year Since
Payment Percentage Payment Percentage
---------- ---------- ---------- ----------
1st 7% 5th 3%
2nd 6 6th 2
3rd 5 7th 1
4th 4 8th and later 0
Example: You make a $1,000 purchase payment
on May 10, 19X1. The part of the sales
charge related to this purchase payment
is:
$70 from May 10, 19X1 through May 9,
19X2;
$60 from May 10, 19X2 through May 9,
19X3;
:
$10 from May 10, 19X7 through May
9, 19X8; and $0 thereafter.
Subject to the limits stated above in the
Deductions For Sales Charges provision, the sales
charge at any time is based solely on the purchase
payments assumed to be redeemed at that time. In
determining the sales charge, we assume that
purchase payments are redeemed in the order in
which they are paid. Any amounts in excess of
purchase payments are assumed to be redeemed last.
Example: You've made two purchase payments of
$1,000 each, one on May 10, 19X1, and
the other on July 21, 19X4.
You make your first request for a partial
redemption on August 7, 19X5; it is for
$800. The sales charge is based solely on
the first $1,000 purchase payment, made
in 19X1, since it exceeds the $800
requested. Since August 7, 19X5, is
during the 5th year since the purchase
payment was made, the sales charge
percentage is 3%. But a sales charge is
assessed only on $600 (all but 10% of
the $2,000 not yet redeemed). The sales
charge is therefore $18 (3% of $600),
and you receive $782.
You request a second partial redemption
of $800 on September 21, 19X8. The sales
charge is based on the remaining $200
from the first purchase payment and on
$600 from the second. The percentage for
the first purchase payment is 0% (8th
year since payment) and for the second is
3% (5th year since payment). But a sales
charge is assessed only on $500 (none of
the $200 not yet redeemed having a
percentage of 0% and, on the $600, all
but 10% of the $1,000 not yet redeemed
having a percentage of 1% or greater).
The sales charge is then $15 (3% of
$500), and you receive $785.
Transfer Fee We reserve the right to assess a transfer fee of
$20 for each transfer of value in a Contract Year
in excess of four transfers.
If we assess a transfer fee, it will be assessed
as of the date of the transfer. Any transfer fee
assessed will be taken from the divisions of the
Separate Account, and the MVA segments of the
Fixed Account, from which the amounts are
transferred.
Part 4. Life Benefits
This variable annuity contract provides a maturity
benefit if the Annuitant and Owner are living on
the maturity date and the contract is in force at
that time. It provides a death benefit if the
Annuitant or Owner dies before the maturity date
while the contract is in force. There are other
rights and benefits available under this contract.
These "Life Benefits" are discussed in this Part.
Contract Ownership
Rights Of Owner While the Annuitant is living, the Owner may exercise
all rights given by this contract or allowed by us.
These rights include assigning this contract, changing
Beneficiaries, changing ownership, enjoying all
contract benefits, and exercising all contract
options. The consent of any Irrevocable Beneficiary is
needed to exercise any contract right.
Assigning This Contract This contract may be assigned. But for any assignment
to be binding on us, we must receive a signed copy of
it at our Service Center. We will not be responsible
for the validity of any assignment.
Once we receive a signed copy, the rights of the Owner
and the interest of any Beneficiary or any other
person will be subject to the assignment.
Changing The Owner, The Owner, the Payee, or the Beneficiary may be
Payee, Or Beneficiary changed while the Annuitant is living. We do not limit
the number of changes that may be made. To make a
change, the Owner's written request, satisfactory to
us, must be received at our Service Center. The change
will take effect as of the date the request is signed,
even if the Annuitant or Owner dies before we receive
it. Each change will be subject to any payment we made
or other action we took before receiving the request.
Transfers Of Values Transfers of values are subject to the limitations
stated in the Limitations On Transfers provision
below. Subject to those limitations, transfers of
values may be made upon direction, satisfactory to us,
received at our Service Center. These transfers are:
. Transfers of values between divisions of the
Separate Account. Before any proceeds from this
contract are applied to a payment option, these
transfers will be made by selling all or part
of the accumulation units in a division and
applying the value of the sold units to
purchase units in any other division. While
payments are being made under a Variable
Monthly Income payment option, these transfers
will be made by exchanging all or part of the
annuity units in a division for a number of
annuity units in any other division that give
the same amount of monthly income as of the
date of transfer.
. Transfers of values from one or more divisions
of the Separate Account to one or more MVA
segments of the Fixed Account. These transfers
will be made by selling all or part of the
accumulation units in a division and applying
the value of the sold units to one or more MVA
segments of the Fixed Account.
. Transfers of values from one or more MVA
segments of the Fixed Account to one or more
divisions of the Separate Account. These
transfers will be made by applying all or part
of the market value in an MVA segment to
purchase accumulation units in one or more
divisions of the Separate Account.
. Transfers of values between MVA segments of the
Fixed Account. These transfers will be made by
applying all or part of the market value in an
MVA segment to any other MVA segment.
An amount transferred from a division of the Separate
Account or from a segment of the Fixed Account may be
expressed in terms of either a dollar amount or a
whole-number percentage.
Transfers involving the Separate Account will be as of
the valuation date specified in the Purchase And Sale
Of Accumulation Units provision in Part 3. All
transfers made on one date will be considered one
transfer.
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Limitations On The smallest amount that can be transferred from a
Transfers division of the Separate Account is $500 or, if less,
the value of the accumulation units or annuity units
credited to this contract in that division. The
smallest accumulated amount that can be transferred
from a segment of the Fixed Account with respect to
any amount credited is $500 or, if less, all of that
amount still left in the segment as of the date of
transfer. Transfers of values are also subject to any
limits stated in the MVA Segments provision in Part 3.
We reserve the right to limit the number and frequency
of transfers allowed during any Contract Year.
Transfers cannot be made during the 30-day period
ending on the maturity date.
While any amounts are applied under a Variable Monthly
Income payment option, transfers of values are allowed
only between divisions of the Separate Account.
Redeeming This Contract
Right To Redeem This contract may be redeemed for its cash redemption
value, while the Annuitant and Owner are living, at
any time before it matures. Redemption will be
effective on the date we receive this contract and a
written redemption request, satisfactory to us, at our
Service Center. A later effective date may be elected
in the redemption request.
Cash Redemption Value The cash redemption value on any date is the market
value of this contract less any deductions for sales
and administrative charges and less any premium tax we
deduct at that time. The market value of this contract
is described in Part 3.
Partial Redemptions Partial redemptions may be made, while the Annuitant
and Owner are living, at any time before this contract
matures. For amounts redeemed from the Separate
Account, the request must state the division (or
divisions) from which redemption will be made. For
amounts redeemed from the Fixed Account, the request
must also state the segment (or segments) from which
the redemption will be made.
Partial redemptions from a division (or divisions) of
the Separate Account will be made by selling a
sufficient number of accumulation units to provide the
partial redemption including any sales charge
deduction that applies to that redemption. Partial
redemptions from an MVA segment of the Fixed Account
will be made by reducing the amounts credited to that
segment, in the order in which they were credited
(unless another order is specified by the Owner), to
provide a market value equal to the partial redemption
including any sales charge deduction that applies to
that redemption.
Any partial redemption will be subject to the limits
set forth below.
. Any partial redemption must be for at least
$100.
. The accumulated value of the contract
remaining after a partial redemption must be
at least $1,000 plus any premium tax we would
deduct at that time on a full redemption.
When And How We Pay Any partial redemption made will be paid in one sum.
However, if the entire contract is redeemed, the cash
redemption value may be paid in one sum or applied
under any payment option. See Part 6.
We will pay all redemptions within seven days after
the written request for the redemption is received by
us at our Service Center. However:
. For redemptions from the Separate Account, this
time period is subject to any extension
permitted under federal laws, rules, and
regulations applying to redemption of variable
annuity contracts; and
. For redemptions from the Fixed Account, we may
delay payment for up to six months from the
date the request is received by us at our
Service Center. If payment is delayed 30 days
or more, we will add interest at the rate
payable under our Option D payment option.
Right To Change The Maturity Date
Electing An Early Before this contract matures and while it is in force,
Maturity Date the maturity date may be changed to any date that is
earlier than the maturity date then in effect. To
elect an earlier maturity date, we require that the
Owner's written election for the change be received at
our Service Center at least 30 days before the early
maturity date wanted.
Electing A Later Before this contract matures and while it is in force,
Maturity Date the maturity date may be changed to any date that is
later than the maturity date then in effect. However,
that later maturity date must be on or before the
Contract Anniversary Date nearest the Annuitant's 90th
birthday. To elect a later maturity date, the Owner
must send us written election to be received at our
Service Center within 90 days before the maturity date
then in effect. Any rider this contract has will be
cancelled when the change is made.
Other Provisions Regarding Life Benefits
Periodic Statements While this contract is in force before the maturity
date, or the Annuitant's or Owner's death if earlier,
we will send a Status Report to the Owner at least
semiannually. This Report will show:
. The number of accumulation units in each division
of the Separate Account;
. The accumulation unit value in each division of
the Separate Account;
. The accumulated amounts in the MVA segments of
the Fixed Account;
. The market value in the MVA segments;
. The accumulated value of this contract;
. The cash redemption value of this contract; and
. Any other information required by applicable law.
All this information will be as of a date not more
than 45 days before the date the Status Report is
mailed.
We will also give the Owner any other periodic
reports, containing information about this contract,
that may be required by federal or state law.
Receipt Of Information Any directions, requests, or other information
received other than by mail at our Service Center
after the time set for valuation of the Separate
Account will be deemed to have been received the next
day.
Part 5. Maturity Benefit And Death Benefit
The maturity benefit is the payment we will make when
this contract matures if the Annuitant and Owner are
living at that time. The death benefit is the amount
of money we will pay when we receive due proof at our
Service Center that the Annuitant, or Owner if the
Annuitant is still living, has died before the
contract matures. These benefits are discussed in this
Part.
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Maturity Benefit
Maturity Value The maturity value is the cash redemption value of
this contract on the maturity date.
Monthly Life Income When this contract matures, the maturity value will be
applied to provide a monthly life income under
Variable Monthly Income Payment Option C, as described
in Part 6. This income will be based on the life of
the Annuitant and will be paid for the lifetime of the
Annuitant. The first payment is due on the maturity
date. Future payments will be due on the same day of
the month as the maturity date. The final payment will
be the last one due before the Annuitant's death.
There is a guarantee as to the first 120 income
payments. If the Annuitant dies before all these
payments are made, we will continue to make payments
until 120 income payments have been made.
The Owner may change the payment option at any time,
while the Annuitant is living, up to 30 days before
the maturity date.
Alternate Settlements At There are other settlements available when this
Maturity contract matures. That is, the Owner may elect to have
the maturity value either applied under any other
payment option discussed in Part 6 or paid in one sum.
In any case, if an assignment of this contract is in
effect on the maturity date, we have the right to pay
the maturity value in one sum. Any amount due the
assignee will be paid to the assignee. The balance, if
any, will be paid to the Owner.
Restriction On Rights The Annuitant cannot assign, transfer, or place any
restriction on this contract without the Owner's
written consent. No income payment under this contract
can be assigned, transferred, or taken in advance of
its due date, and the right to receive any income
payments cannot be restricted, without the Owner's
written consent. In any case, the Owner's written
consent must be given before the Annuitant dies and
must be received at our Service Center.
Death Benefit
Amount Of Death The amount of the death benefit is determined as of
Benefit the date we receive due proof of death at our Service
Center.
If the death benefit is payable due to the death of
the Annuitant, the amount of the death benefit is the
greater of:
. The accumulated value of this contract less any
deduction for administrative charge (and any
sales charge if the Annuitant's age on the
Contract Date exceeds 75); and
. The accumulation at interest of all purchase
payments made less any partial redemption
amounts, but not more than twice the sum of
purchase payments less partial redemption
amounts. The effective annual rate of interest
used in this accumulation will be 5% for any
period before the Annuitant's 75th birthday and
0% thereafter.
In all cases, the amount of death benefit due to the
Annuitant's death is reduced by any premium tax we
deduct at that time.
If the Owner is not the Annuitant and the death
benefit is payable due to the death of the Owner, the
amount of the death benefit will be the cash
redemption value of this contract.
Interest On Maturity Or Death Benefit
Interest Payable If the maturity value is paid in one sum after this
contract matures, we will add interest from the
maturity date to the date of payment. If the death
benefit is paid in one sum, we will add interest from
the date proof of death is received to the date of
payment.
If the death benefit is applied under a payment
option, interest will be paid from the valuation date
that is on or next follows the date written notice of
death is received to the effective date of that
option. It will be paid in one sum to the Beneficiary
living on the effective date.
In all cases, the amount of interest payable on the
maturity value or death benefit will be the same as
would be paid under Option D of the payment options
for the applicable period of time. See Part 6 for a
description of Option D.
Part 6. Payment Options
These are Optional Methods of Settlement. They provide
alternate ways in which payment can be made. This
contract provides Fixed Income payment options. It
also provides Variable Monthly Income payment options.
These two types of options are discussed below. Any
other payment option agreed to by us may be elected.
Fixed Income Payment A Fixed Income payment option provides payments that
Options are guaranteed by us under our general account. The
amounts of these payments do not depend on the
investment performance of the Separate Account.
All the payment options described in this Part are
available on a Fixed Income basis. They are described
in terms of monthly payments. However, annual,
semiannual, or quarterly payments may be requested
instead. The amount of these payments will be
determined in a way that is consistent with monthly
payments and will be quoted on request.
Variable Monthly A Variable Monthly Income payment option provides
Income Payment payments that are not guaranteed as to dollar amount.
Options Instead, they are based on the investment performance
of the Separate Account. Payment options B, C, E, and
F are available on a Variable Monthly Income basis.
Payment can only be made monthly. The manner in which
the dollar amounts of Variable Monthly Income payments
are computed is set forth in Part 7.
Availability Of Payment All or part of the death benefit, the maturity value,
Options or the cash redemption value may be applied under any
payment option. If the contract is assigned, any
amount due to the assignee will be paid in one sum.
The balance, if any, may be applied under any payment
option.
If the Schedule Page shows that this contract was
issued on a unisex rate basis, the female rates shown
in the Option C, E, and F Tables apply in all cases.
The male rates in those Tables do not apply to unisex-
rate contracts.
Minimum Amounts If the amount to be applied under any option is less
than $2,000, we may pay that amount in one sum
instead. If payments under a Fixed Income option
amount to less than $20 each, we have the right to
make payments at less frequent intervals. If the first
payment under a Variable Monthly Income option amounts
to less than $20, we have the right to make a one-sum
payment.
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Option A Level Income Payment Option (not available as a
Variable Monthly Income option). Monthly payments
are level. The amount of each payment may not be
less than $10 for each $1,000 applied. Interest
will be credited each month on the unpaid balance
and added to it. This interest will be at a rate
determined by us, but not less than the equivalent
of 2 1/2% per year. Payments continue until the
amount we hold runs out. The last payment will be
for the balance only.
Option B Fixed Time Payment Option (available as a Fixed
Income option and as a Variable Monthly Income
option). For either option, monthly payments will
be made for any period selected, up to 30 years.
For Fixed Income Option B, the monthly payments
are level. They depend on the total amount
applied, the period selected, and the monthly
payment rates we are using when the first payment
is due. The rate for any payment will not be less
than shown in the Fixed Income Option B Table.
For Variable Monthly Income Option B, the payments
are not guaranteed as to amount and may vary
during the period selected. The Variable Income
Option B Table shows the first monthly payment for
each $1,000 applied.
Fixed Income Option B Table
Minimum Monthly Payment Rates For Each $1,000 Applied
Monthly Monthly Monthly
Years Payment Years Payment Years Payment
1 $84.28 11 $8.64 21 $5.08
2 42.66 12 8.02 22 4.90
3 28.79 13 7.49 23 4.74
4 21.86 14 7.03 24 4.60
5 17.70 15 6.64 25 4.46
6 14.93 16 6.30 26 4.34
7 12.95 17 6.00 27 4.22
8 11.47 18 5.73 28 4.12
9 10.32 19 5.49 29 4.02
10 9.39 20 5.27 30 3.93
For quarterly payment, multiply by 2.994. For
semiannual payment, multiply by 5.969. For annual
payment, multiply by 11.865.
Variable Monthly Income Option B Table
Monthly Payment Rates For First Payment For Each
$1,000 Applied, Based On 4% Assumed Investment Rate
Monthly Monthly Monthly
Years Payment Years Payment Years Payment
1 $84.84 11 $9.31 21 $5.81
2 43.25 12 8.69 22 5.64
3 29.40 13 8.17 23 5.49
4 22.47 14 7.72 24 5.35
5 18.32 15 7.34 25 5.22
6 15.56 16 7.00 26 5.10
7 13.59 17 6.71 27 5.00
8 12.12 18 6.44 28 4.90
9 10.97 19 6.21 29 4.80
10 10.06 20 6.00 30 4.72
Option C Lifetime Payment Option. For Fixed Income Option
C, the monthly payments are level. For Variable
Income Option C, the payments are not guaranteed
as to amount and may vary. For either option, the
payments are based on the life of a named person.
Payments will continue for the life of that
person. The three variations are:
(1) Payments for life only (available as a Fixed
Income option and as a Variable Monthly Income
option). No specific number of payments is
guaranteed. Payments stop when the named person
dies.
(2) Payments guaranteed for amount applied (not
available as a Variable Monthly Income option).
Payments stop when they equal the amount applied
or when the named person dies, whichever is later.
"Amount applied" means the dollar amount used to
provide the income.
(3) Payments guaranteed for 5, 10, or 20 years
(available as a Fixed Income option and as a
Variable Monthly Income option). Payments stop at
the end of the selected guaranteed period or when
the named person dies, whichever is later.
The Fixed Income Option C Table shows the minimum
monthly payment for each $1,000 applied. The
Variable Monthly Income Option C Table shows the
minimum amount of the first monthly payment for
each $1,000 applied. The actual payments will be
based on the monthly payment rates we are using
when the first payment is due. They will not be
less than shown in the Table.
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Fixed Income Option C Table
Minimum Monthly Payment Rates For Each $1,000 Applied
Payments Payments Guaranteed For
Age* For Life Amount 5 10 20
Male Female Only Applied Years Years Years
35 40 $ 3.01 $ 2.95 $ 3.00 $ 2.99 $ 2.97
40 45 3.18 3.11 3.17 3.16 3.14
45 50 3.40 3.30 3.39 3.38 3.34
50 55 3.67 3.53 3.66 3.65 3.58
55 60 4.03 3.82 4.02 3.99 3.86
60 65 4.49 4.18 4.47 4.42 4.18
65 70 5.13 4.63 5.10 4.99 4.51
70 75 6.01 5.21 5.93 5.69 4.82
75 80 7.21 5.94 7.03 6.51 5.06
80 85 8.87 6.89 8.44 7.39 5.20
85 11.18 8.09 10.19 8.21 5.26
* Age on birthday nearest due date of the first payment. Monthly payment
rates for ages not shown will be furnished on request. Monthly payment
rates for ages over 85 are the same as those for 85.
Variable Monthly Income Option C Table
Minimum Monthly Payment Rates For First Payment For Each
$1,000 Applied, Based on 4%% Interest Rate
Payments Payments Guaranteed For
Adjusted For Life 5 10
Age* Only Years Years
M F M F M F
40 $ 4.11 $ 3.90 $ 4.10 $ 3.89 $ 4.09 $ 3.88
45 4.31 4.05 4.30 4.04 4.28 4.03
50 4.56 4.24 4.55 4.23 4.52 4.21
55 4.87 4.48 4.85 4.47 4.81 4.45
60 5.28 4.80 5.26 4.79 5.19 4.75
65 5.85 5.22 5.81 5.20 5.67 5.15
70 6.61 5.81 6.52 5.77 6.27 5.66
75 7.62 6.61 7.44 6.54 6.96 6.31
80 8.96 7.75 8.60 7.58 7.72 7.10
85 10.77 9.36 10.02 8.96 8.48 7.94
* Age on birthday nearest the due date of the first payment, adjusted
according to the table in the Basis Of Computation provision in Part 7.
Monthly payment rates for adjusted ages not shown will be furnished on
request.
Option D Interest Payment Option (not available as a Variable
Monthly Income option). We will hold any amount
applied under this option. Interest on the unpaid
balance will be paid each month at a rate determined
by us. This rate will not be less than the equivalent
of 2 1/2% per year.
Option E Joint Lifetime Payment Option (available as a Fixed
Income option and as a Variable Monthly Income
option). For Fixed Income Option E, the monthly
payments are level. For Variable Income Option E, the
payments are not guaranteed as to amount and may vary.
For either option, the payments are based on the lives
of two named persons. While both are living, one
payment will be made each month. When one dies,
payments continue for the lifetime of the other. The
two variations are:
(1) Payments for two lives only. No specific number of
payments is guaranteed. Payments stop when both named
persons have died.
(2) Payments guaranteed for 10 years. Payments stop at
the end of 10 years or when both named persons have
died, whichever is later.
The Fixed Income Option E Table shows the minimum
monthly payment for each $1,000 applied. The Variable
Monthly Income Option E Table shows the minimum amount
of the first monthly payment for each $1,000 applied.
The actual payments will be based on the monthly rates
we are using when the first payment is due. They will
not be less than shown in the Table.
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Fixed Income Option E Table
Minimum Monthly Payment Rates For Each $1,000 Applied
Payments For Two Lives Only
M50 M55 M60 M65 M70 M75
Age* F55 F60 F65 F70 F75 F80
M F
50 55 $ 3.25 $ 3.35 $ 3.45 $ 3.52 $ 3.57 $ 3.61
55 60 3.35 3.50 3.64 3.75 3.84 3.91
60 65 3.45 3.64 3.83 4.00 4.15 4.27
65 70 3.52 3.75 4.00 4.26 4.50 4.70
70 75 3.57 3.84 4.15 4.50 4.85 5.17
75 80 3.61 3.91 4.27 4.70 5.17 5.65
80 85 3.63 3.95 4.36 4.86 5.45 6.10
Payments Guaranteed For 10 Years
M50 M55 M60 M65 M70 M75
Age* F55 F60 F65 F70 F75 F80
M F
50 55 $ 3.24 $ 3.34 $ 3.44 $ 3.51 $ 3.56 $ 3.60
55 60 3.34 3.49 3.63 3.74 3.83 3.90
60 65 3.44 3.63 3.82 3.99 4.14 4.26
65 70 3.51 3.74 3.99 4.25 4.48 4.67
70 75 3.56 3.83 4.14 4.48 4.82 5.12
75 80 3.60 3.90 4.26 4.67 5.12 5.56
80 85 3.62 3.94 4.33 4.82 5.36 5.94
* Age on the birthday nearest the due date of the first payment. Monthly
payment rates for ages not shown will be furnished on request.
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Variable Monthly Income Option E Table
Minimum Monthly Payment Rates For First Payment For Each
$1,000 Applied, Based On 4% Assumed Investment Rate
Payments For Two Lives Only - One Male, One Female
Adjusted
Age* F 50 F 55 F 60 F 65 F 70 F 75 F 80 F 85
M 50 $3.98 $4.08 $4.17 $4.26 $4.34 $4.40 $4.45 $4.48
M 55 4.04 4.16 4.29 4.41 4.53 4.62 4.70 4.76
M 60 4.09 4.24 4.40 4.57 4.73 4.88 5.00 5.10
M 65 4.13 4.30 4.50 4.72 4.94 5.16 5.36 5.52
M 70 4.16 4.36 4.59 4.85 5.15 5.46 5.75 6.01
M 75 4.19 4.40 4.65 4.96 5.33 5.74 6.16 6.55
M 80 4.20 4.42 4.70 5.05 5.48 5.98 6.55 7.12
M 85 4.21 4.44 4.73 5.11 5.59 6.19 6.89 7.66
Payments For Two Lives Only - Both Females
Adjusted
Age* F 50 F 55 F 60 F 65 F 70 F 75 F 80 F 85
F 50 $3.91 $3.98 $4.04 $4.09 $4.14 $4.17 $4.19 $4.21
F 55 3.98 4.07 4.16 4.24 4.31 4.36 4.40 4.43
F 60 4.04 4.16 4.29 4.41 4.51 4.60 4.66 4.71
F 65 4.09 4.24 4.41 4.57 4.73 4.87 4.98 5.07
F 70 4.14 4.31 4.51 4.73 4.96 5.17 5.36 5.51
F 75 4.17 4.36 4.60 4.87 5.17 5.49 5.79 6.05
F 80 4.19 4.40 4.66 4.98 5.36 5.79 6.23 6.65
F 85 4.21 4.43 4.71 5.07 5.51 6.05 6.65 7.27
Payments Guaranteed For 10 Years - One Male, One Female
Adjusted
Age* F 50 F 55 F 60 F 65 F 70 F 75 F 80 F 85
M 50 $3.97 $4.07 $4.16 $4.25 $4.33 $4.39 $4.44 $4.47
M 55 4.03 4.15 4.28 4.40 4.52 4.61 4.69 4.74
M 60 4.08 4.23 4.39 4.56 4.72 4.87 4.99 5.07
M 65 4.12 4.29 4.49 4.71 4.93 5.15 5.33 5.47
M 70 4.15 4.35 4.58 4.84 5.13 5.43 5.70 5.93
M 75 4.18 4.39 4.64 4.95 5.31 5.69 6.08 6.41
M 80 4.19 4.41 4.69 5.03 5.44 5.92 6.42 6.87
M 85 4.20 4.43 4.72 5.08 5.54 6.09 6.69 7.28
Payments Guaranteed For 10 Years - Two Females
Adjusted
Age* F 50 F 55 F 60 F 65 F 70 F 75 F 80 F 85
F 50 $3.90 $3.97 $4.03 $4.08 $4.13 $4.16 $4.18 $4.20
F 55 3.97 4.06 4.15 4.23 4.30 4.35 4.39 4.42
F 60 4.03 4.15 4.28 4.40 4.50 4.59 4.65 4.70
F 65 4.08 4.23 4.40 4.56 4.72 4.86 4.97 5.05
F 70 4.13 4.30 4.50 4.72 4.95 5.16 5.34 5.48
F 75 4.16 4.35 4.59 4.86 5.16 5.46 5.75 5.97
F 80 4.18 4.39 4.65 4.97 5.34 5.75 6.15 6.50
F 85 4.20 4.42 4.70 5.05 5.48 5.97 6.50 7.00
(Continued)
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*Age on birthday nearest the due date of
the first payment, adjusted according to
the table in the Basis Of Computation
provision in Part 7. Monthly payment
rates for adjusted ages not shown and for
two males will be furnished on request.
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Option F Joint Lifetime Payment Option With Reduced
Payments (available as a Fixed Income option and
as a Variable Monthly Income option). Monthly
payments are based on the lives of two named
persons. Payments will continue while both are
living. When one dies, reduced payments will
continue for the lifetime of the other. These
reduced payments will be two-thirds of what they
would have been if both persons had continued to
live. Payments stop when both named persons have
died.
The Fixed Income Option F Table shows the minimum
monthly payment for each $1,000 applied. The
Variable Monthly Income Option F Table shows the
minimum amount of the first monthly payment for
each $1,000 applied. The actual payments will be
based on the rates we are using when the first
payment is due. They will not be less than shown
in the Table.
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Fixed Income Option F Table
Minimum Monthly Payment Rates For Each $1,000 Applied
Payments For Two Lives Only
M50 M55 M60 M65 M70 M75
Age* F55 F60 F65 F70 F75 F80
M F
50 55 $3.51 $3.66 $3.82 $3.99 $4.17 $4.35
55 60 3.66 3.83 4.02 4.22 4.44 4.66
60 65 3.82 4.02 4.24 4.49 4.76 5.04
65 70 3.99 4.22 4.49 4.80 5.14 5.49
70 75 4.17 4.44 4.76 5.14 5.57 6.02
75 80 4.35 4.66 5.04 5.49 6.02 6.60
80 85 4.54 4.88 5.31 5.84 6.48 7.22
*Age on the birthday nearest the due date of the
first payment. Monthly payment rates for ages not
shown will be furnished on request. Monthly
payment rates for ages over 85 are the same as
those for 85.
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Variable Monthly Income Option F Table
Minimum Monthly Payment Rates For First Payment For Each
$1,000 Applied, Based On 4% Assumed Investment Rate
Payments For Two Lives Only - One Male, One Female
Adjusted
Age* F 50 F 55 F 60 F 65 F 70 F 75 F 80 F 85
M 50 $4.24 $4.36 $4.49 $4.64 $4.82 $5.01 $5.23 $5.46
M 55 4.35 4.48 4.63 4.81 5.01 5.23 5.48 5.74
M 60 4.47 4.62 4.80 5.00 5.23 5.50 5.79 6.09
M 65 4.62 4.78 4.98 5.22 5.50 5.81 6.16 6.54
M 70 4.78 4.96 5.19 5.47 5.79 6.18 6.61 7.07
M 75 4.94 5.15 5.41 5.72 6.11 6.57 7.10 7.68
M 80 5.12 5.34 5.63 5.99 6.43 6.98 7.63 8.36
M 85 5.29 5.54 5.85 6.25 6.76 7.39 8.17 9.09
Payments For Two Lives Only - Both Females
Adjusted
Age* F 50 F 55 F 60 F 65 F 70 F 75 F 80 F 85
F 50 $4.11 $4.21 $4.33 $4.46 $4.61 $4.78 $4.96 $5.16
F 55 4.21 4.33 4.46 4.61 4.78 4.96 5.17 5.39
F 60 4.33 4.46 4.61 4.78 4.98 5.19 5.43 5.69
F 65 4.46 4.61 4.78 4.98 5.21 5.47 5.76 6.05
F 70 4.61 4.78 4.98 5.21 5.49 5.81 6.15 6.52
F 75 4.78 4.96 5.19 5.47 5.81 6.19 6.62 7.09
F 80 4.96 5.17 5.43 5.76 6.15 6.62 7.17 7.77
F 85 5.16 5.39 5.69 6.05 6.52 7.09 7.77 8.54
* Age on birthday nearest the due date of the first payment, adjusted
according to the table in the Basis Of Computation provision in Part 7.
Monthly payment rates for adjusted ages not shown and for two males will be
furnished on request.
--------------------------------------------------------------------------------
Electing A Payment To elect any option, we require that a written
Option request, satisfactory to us, be received at our
Service Center. The Owner may elect an option
during the Annuitant's lifetime. If the death
benefit is payable in one sum when the Annuitant
dies, the Beneficiary may elect an option with our
consent.
Options for any amount payable to an association,
corporation, partnership, or fiduciary are
available with our consent. However, a corporation
or partnership may apply any amount payable to it
under Option C, E, or F if the option payments are
based on the life or lives of the Annuitant, the
Annuitant's spouse, any child of the Annuitant, or
any other person agreed to by us.
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- 25 -
Effective Date And The effective date of an option is the date the amount
Payment Date is applied under that option. For a death benefit, this
is the date that due proof of the Annuitant's or Owner's
death is received at our Service Center. For a maturity
value, it is the date the contract matures. For the cash
redemption value, it is the effective date of
redemption.
The first payment is due on the effective date, except
that the first payment under Option D is due one month
later. A later date for the first payment may be
requested in the payment option election. All payment
dates will fall on the same day of the month as the
first one. No payment will become due until a payment
date. No part payment will be made for any period
shorter than the time between payment dates.
Example: Monthly payments are being made to your son on
the 1st of each month. He dies on the 10th. No
part payment is due your son or his estate for
the period between the 1st and the 10th.
Withdrawals And If provided in the payment option election, all or part
Changes of the unpaid balance under Options A and D may be
withdrawn or applied under any other option.
If provided in the payment option election, the commuted
value of the future payments under Variable Monthly
Income Option B may be withdrawn. In this case, the
number of annuity units that Variable Monthly Income
Option B has in each division of the Separate Account
will be commuted at the Assumed Investment Rate. The
commuted units in each division will be multiplied by
the annuity unit value for that division on the date the
commuted value is determined. The commuted value will be
the sum of the values determined for each division less
any deduction for sales charges that applies.
A deduction for sales charges will apply only if:
. No sales charges were deducted when the redemption
or maturity value was applied under Variable
Monthly Income Option B; and
. A deduction for sales charges would be made if this
contract was redeemed or matured in one sum on the
date commutation is made; and
. Commutation is made during the lifetime of the
person receiving the Option B payments.
The amount of the sales charge deduction will be the
same as if this contract was redeemed for an amount
equal to the commuted value (before deduction of the
sales charge) on the date commutation is made.
Income Protection To the extent permitted by law, each option payment and
any withdrawal shall be free from legal process and the
claim of any creditor of the person entitled to them. No
option payment and no amount held under an option can be
taken or assigned in advance of its payment date, unless
the Owner's written consent is given before the
Annuitant dies. This consent must be received at our
Service Center.
Part 7. Notes On Our Computations
This Part covers some technical points about this
contract.
Net Investment Factor For each division of the Separate Account, the Net
Investment Factor for any valuation period is the gross
investment rate for that period plus 1.000000 and minus
an asset charge. This asset charge will be not more than
.0000411 for each day of a valuation period. The Net
Investment Factor may be greater or less than 1.000000.
For each division of the Separate Account, the gross
investment rate for any valuation period is equal to:
. The net earnings of that division during the
valuation period, divided by
. The value of the total assets of that division at
the beginning of the valuation period.
The net earnings of each division are equal to the
accrued investment income and capital gains and losses
(realized and unrealized) of that division reduced by
any amount charged against that division for taxes paid
or reserved for by us. The gross investment rate will be
determined by us in accordance with generally accepted
accounting principals and applicable laws, rules, and
regulations. This determination shall be conclusive upon
the Owner, the Annuitant, any Beneficiary, and any
assignee and any other person under this contract.
Accumulation Unit The value of an accumulation unit in each division was
Value set at $1.000000 on the first valuation date selected by
us. The value on any date thereafter is equal to the
product of the Net Investment Factor for that division
for the valuation period that includes that date and the
value of the corresponding accumulation unit value on
the preceding valuation date.
Annuity Unit Value All annuity unit values in each division were set at
$1.000000 on the first valuation date selected by us.
The value on any date thereafter is equal to (a) the Net
Investment Factor for that division for the valuation
period that includes that date divided by (b) the sum of
1.000000 and the rate of interest for the number of days
in the valuation period, computed at an effective annual
rate equal to the Assumed Investment Rate, and
multiplied by (c) the corresponding annuity unit value
on the preceding valuation date.
Assumed Investment The Assumed Investment Rate is the annual interest rate
Rate assumed in determining the first payment under each of
the Variable Monthly Income payment options. The amount
of each subsequent payment from each division of the
Separate Account will depend on the relationship between
the Assumed Investment Rate and the actual investment
performance of that division. The Assumed Investment
Rate will be 4% per annum. If a 4% rate would result
in a first Variable Monthly Income payment larger than
that permitted under applicable state law, we will
select a lower rate to comply with that law.
Adjustment Of Units We have the right to split or consolidate the number of
And Values accumulation units or annuity units credited to the
contract, with a corresponding increase or decrease in
the unit values. We may exercise this right whenever we
consider an adjustment of units to be desirable.
However, strict equity will be preserved in making any
adjustment. No adjustment will have any material effect
on the benefits, provisions, or investment return of
this contract, or on the Owner, Annuitant, any
Beneficiary, any assignee or other person, or on us.
Payment Calculation Payments under a Variable Monthly Income payment option
Date are calculated on a payment calculation date. That date
is the earliest valuation date that is not more than 10
days before the due date of the payment.
Computing Variable The first payment under a Variable Monthly Income
Monthly Income payment option is computed in the following steps:
Payments
(1) As of the due date of the first payment, the
proceeds of this contract in any MVA segments of
the Fixed Account will be automatically
transferred to the MML Money Market Division of
the Separate Account. (If the MML Money Market
Division is not available under contracts in this
class as of that date, we will transfer such
proceeds to another division of the Separate
Account that we choose.)
(2) For each division, we multiply the proceeds from
the division by the rate we are using for the
payment option as of the date of the first
payment.
(3) For each division, we multiply the result of step
(2) above by the ratio of the accumulation unit
value for the division on the first payment
calculation date (see Payment Calculation Date
provision above) to the accumulation unit value
of the division on the due date the first payment
is due.
(4) We sum the results of step (3) for all divisions
of the Separate Account; this is the first
payment.
- 26 -
- 27 -
Future payments under a Variable Monthly Income payment
option are measured by annuity units. The number of
annuity units in each division is the portion of the
first payment provided by that division divided by the
annuity unit value for that division on the first
payment calculation date.
For payments after the first one, the annuity units in
each division are multiplied by the annuity unit value
on the payment calculation date that applies. The
payment to be made on the payment due date is the sum of
the amounts provided by each division.
Basis Of Computation In computing the minimum payments under Fixed Income
payment options C, E, and F, we use mortality rates from
the 1983 Table a with Projection Scale G for 30 years
and with female rates set back five years.
The Variable Monthly Income Option C, E, and F Tables
are based on mortality rates from the 1983 Table a, with
Projection Scale G, for annuitants born in 1942. For all
other years of birth, the mortality improvement is
determined by adjusting the annuitant's age according to
the following table:
Adjustment to Adjustment to
Year of Birth Actual Age Year of Birth Actual Age
1905-1909 +7 Years 1955-1959 -3 Years
1910-1914 +6 Years 1960-1964 -4 Years
1915-1919 +5 Years 1965-1969 -5 Years
1920-1924 +4 Years 1970-1974 -6 Years
1925-1929 +3 Years 1975-1979 -7 Years
1930-1934 +2 Years 1980-1984 -8 Years
1935-1939 +1 Year 1985-1989 -9 Years
1940-1944 +0 Years 1990-1994 -10 Years
1945-1949 -1 Year 1995-1999 -11 Years
1950-1954 -2 Years 2000-2004 -12 Years
The annual interest rate used is the Assumed Investment
Rate discussed in this Part.
Guarantees All benefits, payments, and values under this contract
that depend on the investment performance of the
Separate Account may increase or decrease, as discussed
in this Part. However, we guarantee that the dollar
amounts of variable benefits will not be adversely
affected by variations of actual expenses from expense
charges stated in this contract. Also, those benefits
will not be adversely affected by variations in actual
mortality from the mortality assumptions stated in this
contract.
A part of the assets of the Separate Account is the
reserve for variable benefits and liabilities that
depend on the investment performance of that Account.
That part of the assets shall not be charged with any
liabilities we have that arise from any business we
conduct that does not depend on the performance of that
Account.
The values and benefits of the Fixed Account under this
contract are not less than those required by the laws of
the state in which this contract is delivered.
WHERE TO FIND IT
Page No.
The Schedule Page ....................................................... 1
Part 1. - The Basics Of This Contract ..................................... 2
The Parties Involved - Owner, Joint Owner, Annuitant,
Beneficiary, Irrevocable Beneficiary, Payee ........................... 2
Dates - Contract Date, Contract Anniversary Date,
Contract Year, Issue Date, Maturity Date .............................. 2
This Is A Legal Contract ................................................ 3
Trusts And Other Agreements ............................................. 3
Representations And Contestability ...................................... 3
Misstatement Of Age Or Sex .............................................. 3
Meaning Of In Force ..................................................... 3
Service Center .......................................................... 3
Contract State .......................................................... 3
Currency ................................................................ 3
Contract Is Not Participating ........................................... 3
Part 2. - Purchase Payments .............................................. 3
The First Purchase Payment .............................................. 3
Purchase Payment Flexibility ............................................ 4
Right To Terminate Contract ............................................. 4
Where To Pay ............................................................ 4
Net Purchase Payments ................................................... 4
Allocation Of Net Purchase Payments ..................................... 4
Part 3. - Accounts, Values, And Charges .................................. 4
The Separate Account And The Fixed Account .............................. 4
The Separate Account .................................................... 4
Changes In The Separate Account ........................................ 5
Accumulation Units And Annuity Units ................................... 5
Valuation Date, Valuation Time, Valuation Period ....................... 5
Purchase And Sale Of Accumulation Units ................................ 5
The Fixed Account ...................................................... 6
MVA Segments ........................................................... 6
Values Of This Contract ................................................. 7
Accumulated Value Of Contract .......................................... 7
Variable Value Of Contract ............................................. 8
Fixed Value Of Contract ................................................ 8
Market Value Of Contract ............................................... 8
Market Value In The MVA Segments ....................................... 8
Contract Charges ....................................................... 9
Administrative Charge ................................................. 9
Deductions For Sales Charges .......................................... 10
Amount Of Sales Charge ................................................ 10
Transfer Fee .......................................................... 11
Part 4. - Life Benefits .................................................. 11
Contract Ownership ...................................................... 12
Rights Of Owner ........................................................ 12
Assigning This Contract ................................................ 12
Changing The Owner, Payee, Or Beneficiary .............................. 12
Transfers Of Values .................................................... 12
Limitations On Transfers ............................................... 13
Redeeming This Contract ................................................ 13
Right To Redeem ........................................................ 13
Cash Redemption Value .................................................. 13
Partial Redemptions .................................................... 13
When And How We Pay .................................................... 13
Right To Change The Maturity Date ....................................... 14
Electing An Early Maturity Date ........................................ 14
Electing A Later Maturity Date ......................................... 14
Other Provisions Regarding Life Benefits ................................ 14
Periodic Statements .................................................... 14
Receipt Of Information ................................................. 14
Part 5. - Maturity Benefit And Death Benefit .............................. 14
Maturity Benefit ........................................................ 15
Maturity Value ......................................................... 15
Monthly Life Income .................................................... 15
Alternate Settlements At Maturity ...................................... 15
Restriction On Rights .................................................. 15
Death Benefit ........................................................... 15
Amount Of Death Benefit ................................................ 15
Interest On Maturity Or Death Benefit ................................... 16
Interest Payable ....................................................... 16
Part 6. - Payment Options ................................................. 16
Fixed Income Payment Options ........................................... 16
Variable Monthly Income Payment Options ................................ 16
Availability Of Payment Options ........................................ 16
Minimum Amounts ........................................................ 16
Electing A Payment Option .............................................. 23
Effective Date And Payment Date ........................................ 24
Withdrawals And Changes ................................................ 24
Income Protection ...................................................... 24
Part 7. - Notes On Our Computations ....................................... 24
Net Investment Factor .................................................. 24
Accumulation Unit Value ................................................ 25
Annuity Unit Value ..................................................... 25
Assumed Investment Rate ................................................ 25
Adjustment Of Units And Values ......................................... 25
Payment Calculation Date ............................................... 25
Computing Variable Monthly Income Payments ............................. 25
Basis Of Computation ................................................... 26
Guarantees ............................................................. 26
Any riders and endorsements, and a copy of the application for the contract,
follow Page 27.
[LETTERHEAD OF MML APPEARS HERE]
Deferred Variable Annuity Contract
With ▇▇▇▇▇▇▇▇▇▇▇ Variable Account Funds and MML Series Investment Funds
Includes Fixed Interest Account with Market-Value Adjustment
This Contract provides that:
Flexible purchase payments may be made, while the Annuitant and Owner are
living, to the date this contract matures.
A death benefit is payable if the Annuitant or Owner dies before this
contract matures.
A monthly life income is payable beginning on the date this contract matures
if the Annuitant and Owner are living at that time.
This Contract is not participating. It does not provide for the payment of
dividends.