V2 *P1
V3 *P1
V1 *P1
F13
Supplement dated December 1, 1998
to the Prospectuses Dated May 1, 1998
of
FRANKLIN VALUEMARK(R) II AND III
Flexible Payment Variable Annuities
Allianz Life Variable Account B
FRANKLIN VALUEMARK(R) LIFE
Single Premium Variable Life Insurance
Allianz Life Variable Account A
ALLIANZ VALUELIFE
Flexible Premium Variable Life Insurance
Allianz Life Variable Account A
The following changes are made to the Franklin Valuemark Funds' Annual Expenses
sections under "Franklin Valuemark Funds' Annual Expenses," "Trust Annual
Expenses" or "Portfolio Annual Expenses:
1) The following chart restates certain Portfolios' "Management and Portfolio
Administration Fees" and the "Other Expenses" as indicated below. The Portfolio
Administration Fees for these Portfolios were inadvertently included under
"Other Expenses" rather than under "Management and Portfolio Administration
Fees." Please note that "Total Annual Expenses" for each Portfolio shown below
are the same as in the May 1, 1998 prospectus.
<TABLE>
<CAPTION>
Management Total
and Portfolio Other Annual
Portfolio Administration Fees Expenses Expenses
- --------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Mutual Discovery Securities Fund................................ 95%* .11% 1.06%
Mutual Shares Securities Fund................................... .75%* .05% .80%
Templeton Global Asset Allocation Fund.......................... .80%* .14% .94%
Templeton International Smaller Companies Fund.................. 1.00%* .06% 1.06%
<FN>
*Includes a .15% Administration Fee which is a direct expense of the Portfolio.
</FN>
</TABLE>
2) Add the following language to footnote 2:
For the Global Health Care Securities and Value Securities Funds, Franklin
Advisers, Inc. and Franklin Advisory Services, Inc., the Portfolios'
respective investment managers, and Franklin Templeton Services, Inc., their
Administrator, have agreed in advance to waive or limit their Management and
Portfolio Administration Fees and to assume as their own expense certain
expenses otherwise payable by these portfolios as necessary so that through at
least December 31, 1998, the total expenses of each portfolio do not exceed
1.00% of its average net assets.
