Form N-6 - United States Securities And Exchange Commission (Page 16 of 29) in pdf

frequent transfers. Describe each of these policies, procedures, and restrictions with specificity. Indicate whether

each of these restrictions applies uniformly in all cases or whether the restriction will not be imposed under certain

circumstances, including whether each of these restrictions applies to trades that occur through omnibus accounts at

intermediaries, such as investment advisers, broker-dealers, transfer agents, and third party administrators. Describe with

specificity the circumstances under which any restriction will not be imposed. Include a description of the following

restrictions, if applicable:

(A) any restrictions on the volume or number of transfers that may be made within a given time period;

(B) any transfer fee;

transfers of Contract value among sub-accounts of the Registrant, together with a description of the circumstances

under which such costs, fees, or charges will be imposed;

(D) any minimum holding period that is imposed before a transfer may be made from a sub-account into another sub-

account of the Registrant;

(E) any restrictions imposed on transfer requests submitted by overnight delivery, electronically, or via facsimile or

telephone; and

(F) any right of the Registrant or Depositor to reject, limit, delay, or impose other conditions on transfers or to

terminate or otherwise limit Contracts based on a history of frequent transfers among sub-accounts, including the

circumstances under which such right will be exercised.

(5) If applicable, include a statement, adjacent to the disclosure required by paragraphs (f)(1) through (f)(4) of this Item, that the

Statement of Additional Information includes a description of all arrangements with any person to permit frequent transfers

of Contract value among sub-accounts of the Registrant.

Item 7. Premiums

(a) Purchase Procedures. Describe the provisions of the Contract that relate to premiums and the procedures for purchasing a

Contract, including:

(1) the minimum initial and subsequent premiums required and any limitations on the amount and the frequency of premiums

that will be accepted. If there are separate limits for each sub-account, state these limits;

(2) whether required premiums, if any, are payable for the life of the Contract or some other term;

(3) whether payment of certain levels of premiums will guarantee that the Contract will not lapse regardless of the Contract’s

cash value;

(4) if applicable, under what circumstances premiums may be required in order to avoid lapse and how the amount of the

additional premiums will be determined;

(5) if applicable, under what circumstances nonpayment of a required premium will not cause the Contract to lapse;

(6) if applicable, under what circumstances premiums in addition to the required premiums will be permitted; and

(7) if applicable, whether the level of the Contract’s required premiums may change and, if so, how the amount of the change

will be determined.

(b) Premium Amount. Briefly describe the factors that determine the amount of any required premiums (e.g., face amount, death

benefit option, and charges and expenses).

(c) Premium Payment Plans. Identify the premium payment plans available. Include the available payment frequencies, payment

facilities such as employee payroll deduction plans and preauthorized checking arrangements, and any special billing arrangements.

Indicate whether the premium payment plan or schedule may be changed.

(d) Premium Due Dates. Briefly explain the provisions of the Contract that relate to premium due dates and the operation of any

grace period, including the effect of the insured’s death during the grace period.

Form N-6 - United States Securities And Exchange Commission Page 16