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FORTIS BENEFITS INSURANCE COMPANY
MAILING ADDRESS: STREET ADDRESS: PHONE: 1-800-827-5877
P.O. BOX 64295 500 BIELENBERG DRIVE
ST. PAUL WOODBURY
MINNESOTA 55164 MINNESOTA 55125
This Prospectus describes interests under flexible premium deferred combination
variable and fixed annuity contracts issued either on a group basis or as
individual contracts by Fortis Benefits Insurance Company ("Fortis Benefits").
Participation in a group contract will be accounted for by the issuance of a
certificate showing your interest under the group contract. Participation in an
individual contract is shown by the issuance of an individual annuity contract.
The certificate and the individual contract are hereafter both referred to as
the "Certificate". The minimum under a Certificate is generally $5,000 for the
initial and $500 for each subsequent purchase payment.
A Certificate allows you to accumulate funds on a tax-deferred basis. You may
elect a guaranteed interest accumulation option through the Fixed Account or a
variable return accumulation option through Variable Account D (the "Variable
Account") of Fortis Benefits, or a combination of these two options. Under the
variable rate accumulation option, you can choose among the following
Portfolios:
Alliance Money Market Portfolio Lexington Natural Resources Trust
Alliance International Portfolio Lexington Emerging Markets Fund
Alliance Premier Growth Portfolio MFS Emerging Growth Series
American Century VP Balanced Fund MFS High Income Series
American Century VP Capital Appreciation MFS World Governments Series
Fund Montgomery Emerging Markets Fund
Federated High Income Bond Fund II Montgomery Growth Fund
Federated Utility Fund II Neuberger & Berman Limited Maturity
Federated American Leaders Fund II Bond Portfolio
Federated Fund for U.S. Government Neuberger & Berman Partners Portfolio
Securities II SAFECO Equity Portfolio
Fortis S&P 500 Index Series SAFECO Growth Portfolio
INVESCO Industrial Income Portfolio Strong Discovery Fund II
INVESCO Health Sciences Portfolio Strong International Stock Fund II
INVESCO Technology Portfolio Van Eck Worldwide Bond Fund
Van Eck Worldwide Hard Assets Fund
The accompanying Prospectus for these Portfolios describes the investment
objectives, policies and risks of each of the Portfolios. In the states where
Guarantee Periods Fixed Accounts are offered (see "FIXED ACCOUNTS"), you can
choose among 10 different guarantee periods under the guaranteed interest
accumulation option, each of which has its own interest rate. In states where
Guarantee Periods Fixed Accounts are not offered, you can choose an interest in
the General Account Fixed Account with guaranteed interest.
You have the right to examine a Certificate during a "free look" period after
you receive the Certificate and return it for a refund of the amount of the then
current Certificate Value. However, in certain states where required by state
law the refund will be in the amount of all purchase payments that have been
made, without interest or appreciation or depreciation.
The "free look" period is generally 10 days unless a longer time is specified on
the face page of your Certificate.
For Certificates requiring a refund of all purchase payments, Fortis Benefits
will allocate all Net Purchase Payments made as a part of the purchase of the
Certificate to the Alliance Money Market Portfolio until the following number of
days after Fortis Benefits mails the Certificate to you: (1) the number of days
in the "free look" period, plus (2) five days. After the expiration of such
period, the Certificate Value will be allocated to the Fixed Account and the
Portfolios as directed by you.
The Certificate provides several different types of retirement and death
benefits, including fixed and variable annuity income options. You may make
partial surrenders of the Certificate Value or may totally surrender the
Certificate for its Cash Surrender Value.
This Prospectus gives prospective investors information about the Certificates
that they should know before investing. This Prospectus must be accompanied by a
current Prospectus of the Portfolios. These Prospectuses should be read
carefully and kept for future reference.
A Statement of Additional Information, dated May 1, 1998, about certain aspects
of the Certificates has been filed with the Securities and Exchange Commission
and is available without charge, from Fortis Benefits at the address and phone
number printed above. The Table of Contents for the Statement of Additional
Information appears on page 26 of this Prospectus.
THESE POLICIES ARE NOT OBLIGATIONS OF, OR GUARANTEED OR ENDORSED BY, ANY BANK,
CREDIT UNION, BROKER-DEALER OR OTHER FINANCIAL INSTITUTION. THEY ARE NOT
FEDERALLY INSURED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION, THE FEDERAL
RESERVE BOARD, OR ANY OTHER AGENCY; AND INVOLVE INVESTMENT RISKS, INCLUDING THE
POSSIBLE LOSS OF PRINCIPAL.
THESE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE SECURITIES AND
EXCHANGE COMMISSION, NOR HAS THE COMMISSION PASSED UPON THE ACCURACY OR ADEQUACY
OF THIS PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE.
THE
WATERHOUSE
VARIABLE
ANNUITY
Certificates Under Flexible
Premium Deferred
Combination Variable and
Fixed Annuity Contracts
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PROSPECTUS DATED
May 1, 1998
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PROSPECTUS SUPPLEMENT DATED JANUARY 1, 1999
TO FORTIS BENEFITS INSURANCE COMPANY
THE WATERHOUSE VARIABLE ANNUITY
(FORMERLY KNOWN AS THE VALUE ADVANTAGE PLUS ANNUITY)
PROSPECTUS DATED MAY 1, 1998
The prospectus is amended by removing the Lexington Emerging Markets Fund
portfolio as an available investment portfolio for Certificates issued on and
after January 1, 1999. Certificate holders who purchased their Certificate
prior to January 1, 1999 and who did not have certificate value allocated to the
Lexington Emerging Markets Fund as of January 1, 1999 may not allocate purchase
payments made after January 1, 1999, or make subsequent transfers of certificate
value, to the Lexington Emerging Markets Fund.
