EXHIBIT 1.A.(5)(g)
RELIASTAR LIFE
20 Washington Avenue South
Minneapolis, MN 55401
VARIABLE ACCUMULATION DESIGN
A SURVIVORSHIP FLEXIBLE PREMIUM VARIABLE UNIVERSAL LIFE INSURANCE POLICY
--------------------------------------------------------------------------------
POLICY ILLUSTRATION
Variable Account
THE PURPOSE OF THIS ILLUSTRATION IS TO SHOW HOW THE PERFORMANCE OF THE
UNDERLYING SUB-ACCOUNTS COULD AFFECT THE POLICY CASH VALUE AND DEATH BENEFIT
ASSUMING THE CURRENT POLICY COSTS CONTINUE. THIS ILLUSTRATION IS HYPOTHETICAL
AND MAY NOT BE USED TO PROJECT OR PREDICT INVESTMENT RESULTS.
PREMIUMS ARE PAID AT THE BEGINNING OF THE YEAR. THE CASH VALUE AND DEATH BENEFIT
ARE SHOWN AS OF THE END OF EACH POLICY YEAR.
PREPARED FOR:
Male 55 No Tobacco
2nd Client
Female 55 No Tobacco
Initial Total Face Amount: $1,000,000
Initial Death Benefit Option: A (Level)
Annual Premium: $19,738.65
Death Benefit Guarantee (DBG) to end of year: 36
Initial Minimum Annual Premium for DBG: $19,738.65
<TABLE>
<CAPTION>
------------------------------CURRENT POLICY COSTS----------------------------
0.00% GROSS HYPOTHETICAL RETURN 10.00% GROSS HYPOTHETICAL RETURN
(-1.69% NET YRS 1-10, -1.04% YRS 11+) (8.31% NET YRS 1-10, 8.96% YRS 11+)
------------------------------------------------------------------------------
End End Accum Cash Accum Cash
of of Yr Premium ulation Surrender Death ulation Surrender Death
Yr Age Outlay Value Value Benefit Value Value Benefit
-- --- ------ ----- ----- ------- ----- ----- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1 56 56 19,739 15,736 0 1,000,000 17,439 0 1,000,000
2 57 57 19,739 31,123 2,323 1,000,000 36,223 7,423 1,000,000
3 58 58 19,739 46,162 17,362 1,000,000 56,461 27,661 1,000,000
4 59 59 19,739 60,855 32,055 1,000,000 78,268 49,468 1,000,000
5 60 60 19,739 75,199 46,399 1,000,000 101,769 72,969 1,000,000
-------
98,693
6 61 61 19,739 89,192 63,272 1,000,000 127,097 101,177 1,000,000
7 62 62 19,739 102,814 79,774 1,000,000 154,381 131,341 1,000,000
8 63 63 19,739 116,039 95,879 1,000,000 183,759 163,599 1,000,000
9 64 64 19,739 128,849 111,562 1,000,000 215,379 198,099 1,000,000
10 65 65 19,739 141,190 126,790 1,000,000 249,407 235,007 1,000,000
-------
197,387
11 66 66 19,739 154,403 142,883 1,000,000 288,304 276,784 1,000,000
12 67 67 19,739 167,101 158,461 1,000,000 330,413 321,773 1,000,000
13 68 68 19,739 179,258 173,498 1,000,000 376,039 370,279 1,000,000
14 69 69 19,739 190,826 187,946 1,000,000 425,509 429,629 1,000,000
15 70 70 19,739 201,748 201,748 1,000,000 479,194 479,194 1,000,000
-------
296,080
16 71 71 19,739 211,975 211,975 1,000,000 537,527 537,527 1,000,000
17 72 72 19,739 221,413 221,413 1,000,000 600,982 600,982 1,000,000
18 73 73 19,739 230,025 230,025 1,000,000 670,151 670,151 1,000,000
19 74 74 19,739 237,658 237,658 1,000,000 745,673 745,673 1,000,000
20 75 75 19,739 244,201 244,201 1,000,000 828,335 828,335 1,000,000
-------
394,773
</TABLE>
--------------------------------------------------------------------------------
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$1,000,000 Var Accum Design for Presented by: Henry Jordan
Version M3 2.7.0 11/01/2000 08:51 AM
State of Issue: Minnesota Page 1 of 10
<PAGE>
RELIASTAR LIFE
20 Washington Avenue South
Minneapolis, MN 55401
VARIABLE ACCUMULATION DESIGN
A SURVIVORSHIP FLEXIBLE PREMIUM VARIABLE UNIVERSAL LIFE INSURANCE POLICY
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
------------------------------CURRENT POLICY COSTS----------------------------
0.00% GROSS HYPOTHETICAL RETURN 10.00% GROSS HYPOTHETICAL RETURN
(-1.69% NET YRS 1-10, -1.04% YRS 11+) (8.31% NET YRS 1-10, 8.96% YRS 11+)
------------------------------------------------------------------------------
End End Accum Cash Accum Cash
of of Yr Premium ulation Surrender Death ulation Surrender Death
Yr Age Outlay Value Value Benefit Value Value Benefit
-- --- ------ ----- ----- ------- ----- ----- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
21 76 76 19,739 255,660 255,660 1,000,000 922,176 922,176 1,000,000
22 77 77 19,739 265,833 265,833 1,000,000 1,024,786 1,024,786 1,076,025
23 78 78 19,739 274,479 274,479 1,000,000 1,136,424 1,136,424 1,193,246
24 79 79 19,739 281,335 281,335 1,000,000 1,257,834 1,257,834 1,320,727
25 80 80 19,739 286,133 286,133 1,000,000 1,389,826 1,389,826 1,459,317
-------
493,466
26 81 81 19,739 288,604 288,604 1,000,000 1,533,268 1,533,268 1,609,932
27 82 82 19,739 288,538 288,538 1,000,000 1,689,105 1,689,105 1,773,560
28 83 83 19,739 285,627 285,627 1,000,000 1,858,338 1,858,338 1,951,255
29 84 84 19,739 279,478 279,478 1,000,000 2,042,038 2,042,038 2,144,141
30 85 85 19,739 269,627 269,627 1,000,000 2,241,345 2,241,345 2,353,413
-------
592,160
31 86 86 19,739 255,538 255,538 1,000,000 2,457,475 2,457,475 9,580,349
32 87 87 19,739 236,360 236,360 1,000,000 2,691,687 2,691,687 2,826,272
33 88 88 19,739 211,263 211,263 1,000,000 2,945,343 2,945,343 3,092,611
34 89 89 19,739 179,311 179,311 1,000,000 3,219,900 3,219,900 3,380,895
35 90 90 19,739 139,402 139,402 1,000,000 3,516,916 3,516,916 3,692,762
-------
690,853
36 91 91 19,739 90,256 90,256 1,000,000 3,838,067 3,838,067 4,029,971
37 92 92 19,739 30,083 30,083 1,000,000 4,188,641 4,188,641 4,356,187
*38 93 93 19,739 0 0 0 4,572,206 4,572,206 4,709,372
39 94 94 19,739 0 0 0 4,992,922 4,992,922 5,092,781
40 95 95 19,739 0 0 0 5,455,673 5,455,673 5,510,231
-------
789,546
41 96 96 19,739 0 0 0 5,963,856 5,963,856 5,963,857
42 97 97 19,739 0 0 0 6,517,457 6,517,457 6,517,457
43 98 98 19,739 0 0 0 7,120,534 7,120,534 7,120,535
44 99 99 19,739 0 0 0 7,777,511 7,777,511 7,777,511
45 100 100 19,739 0 0 0 8,493,203 8,493,203 8,493,203
-------
888,239
46 101 101 0 0 0 0 9,252,162 9,252,162 9,252,163
47 102 102 0 0 0 0 10,078,952 10,078,952 10,078,953
48 103 103 0 0 0 0 10,979,635 10,979,635 10,979,636
49 104 104 0 0 0 0 11,960,815 11,960,815 11,960,815
50 105 105 0 0 0 0 13,029,685 13,029,685 13,029,686
-------
888,239
</TABLE>
--------------------------------------------------------------------------------
This illustration is not complete without all pages.
$1,000,000 Var Accum Design for Presented by: Henry Jordan
Version M3 2.7.0 11/01/2000 08:51 AM
State of Issue: Minnesota Page 2 of 10
<PAGE>
RELIASTAR LIFE
20 Washington Avenue South
Minneapolis, MN 55401
VARIABLE ACCUMULATION DESIGN
A SURVIVORSHIP FLEXIBLE PREMIUM VARIABLE UNIVERSAL LIFE INSURANCE POLICY
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
------------------------------CURRENT POLICY COSTS----------------------------
0.00% GROSS HYPOTHETICAL RETURN 10.00% GROSS HYPOTHETICAL RETURN
(-1.69% NET YRS 1-10, -1.04% YRS 11+) (8.31% NET YRS 1-10, 8.96% YRS 11+)
------------------------------------------------------------------------------
End End Accum Cash Accum Cash
of of Yr Premium ulation Surrender Death ulation Surrender Death
Yr Age Outlay Value Value Benefit Value Value Benefit
-- --- ------ ----- ----- ------- ----- ----- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
51 106 106 0 0 0 0 14,194,084 14,194,084 14,194,084
52 107 107 0 0 0 0 15,462,549 15,462,549 15,462,549
53 108 108 0 0 0 0 16,844,380 16,844,380 16,844,380
54 109 109 0 0 0 0 18,349,709 18,349,709 18,349,710
55 110 110 0 0 0 0 19,989,574 19,989,574 19,989,575
-------
888,239
</TABLE>
* Year 38, Month 7
Based on current costs and 0% hypothetical rate of return illustrated, the
policy would lapse and cannot be illustrated. Additional premiums would be
required to continue the coverage.
--------------------------------------------------------------------------------
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$1,000,000 Var Accum Design for Presented by: Henry Jordan
Version M3 2.7.0 11/01/2000 08:51 AM
State of Issue: Minnesota Page 3 of 10
<PAGE>
RELIASTAR LIFE
20 Washington Avenue South
Minneapolis, MN 55401
VARIABLE ACCUMULATION DESIGN
A SURVIVORSHIP FLEXIBLE PREMIUM VARIABLE UNIVERSAL LIFE INSURANCE POLICY
--------------------------------------------------------------------------------
POLICY ILLUSTRATION
Variable Account
THE PURPOSE OF THIS ILLUSTRATION IS TO SHOW HOW THE PERFORMANCE OF THE
UNDERLYING SUB-ACCOUNTS COULD AFFECT THE POLICY CASH VALUE AND DEATH BENEFIT
ASSUMING THE MAXIMUM POLICY COSTS GUARANTEED IN THE POLICY WERE CHARGED. THIS
ILLUSTRATION IS HYPOTHETICAL AND MAY NOT BE USED TO PROJECT OR PREDICT
INVESTMENT RESULTS.
PREMIUMS ARE PAID AT THE BEGINNING OF THE YEAR. THE CASH VALUE AND DEATH BENEFIT
ARE SHOWN AS OF THE END OF EACH POLICY YEAR.
PREPARED FOR:
Male 55 No Tobacco
2nd Client
Female 55 No Tobacco
Initial Total Face Amount: $1,000,000
Initial Death Benefit Option: A (Level)
Annual Premium: $19,738.65
Death Benefit Guarantee (DBG) to end of year: 36
Initial Minimum Annual Premium for DBG: $19,738.65
<TABLE>
<CAPTION>
--------------------------MAXIMUM GUARANTEED POLICY COSTS---------------------
0.00% GROSS HYPOTHETICAL RETURN 10.00% GROSS HYPOTHETICAL RETURN
(-1.69% NET RETURN) (8.31% NET RETURN)
------------------------------------------------------------------------------
End End Accum Cash Accum Cash
of of Yr Premium ulation Surrender Death ulation Surrender Death
Yr Age Outlay Value Value Benefit Value Value Benefit
-- --- ------ ----- ----- ------- ----- ----- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1 56 56 19,739 15,682 0 1,000,000 17,381 0 1,000,000
2 57 57 19,739 30,986 2,186 1,000,000 36,073 7,273 1,000,000
3 58 58 19,739 45,896 17,096 1,000,000 56,160 27,360 1,000,000
4 59 59 19,739 60,394 31,594 1,000,000 77,736 48,936 1,000,000
5 60 60 19,732 74,458 45,658 1,000,000 100,896 72,096 1,000,000
------
98,693
6 61 61 19,739 88,060 62,140 1,000,000 125,739 99,819 1,000,000
7 62 62 19,739 101,159 78,119 1,000,000 152,366 129,326 1,000,000
8 63 63 19,739 113,701 93,541 1,000,000 180,874 160,714 1,000,000
9 64 64 19,739 125,616 108,336 1,000,000 211,361 194,081 1,000,000
10 65 65 19,739 136,826 122,426 1,000,000 243,934 229,534 1,000,000
-------
197,387
11 66 66 19,739 147,246 135,726 1,000,000 278,714 267,194 1,000,000
12 67 67 19,739 156,787 148,147 1,000,000 315,847 307,207 1,000,000
13 68 68 19,739 165,365 159,605 1,000,000 355,512 349,752 1,000,000
14 69 69 19,739 172,862 169,982 1,000,000 397,905 395,025 1,000,000
15 70 70 19,739 179,141 179,141 1,000,000 443,255 443,255 1,000,000
-------
296,080
16 71 71 19,739 184,008 184,008 1,000,000 491,812 491,812 1,000,000
17 72 72 19,739 187,198 187,198 1,000,000 543,867 543,867 1,000,000
18 73 73 19,739 188,357 188,357 1,000,000 599,772 599,772 1,000,000
19 74 74 19,739 187,055 187,055 1,000,000 659,990 659,990 1,000,000
20 75 75 19,739 182,811 182,811 1,000,000 725,165 725,165 1,000,000
-------
394,773
</TABLE>
--------------------------------------------------------------------------------
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$1,000,000 Var Accum Design for Presented by: Henry Jordan
Version M3 2.7.0 11/01/2000 08:51 AM
State of Issue: Minnesota Page 4 of 10
<PAGE>
RELIASTAR LIFE
20 Washington Avenue South
Minneapolis, MN 55401
VARIABLE ACCUMULATION DESIGN
A SURVIVORSHIP FLEXIBLE PREMIUM VARIABLE UNIVERSAL LIFE INSURANCE POLICY
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
--------------------------MAXIMUM GUARANTEED POLICY COSTS---------------------
0.00% GROSS HYPOTHETICAL RETURN 10.00% GROSS HYPOTHETICAL RETURN
(-1.69% NET RETURN) (8.31% NET RETURN)
------------------------------------------------------------------------------
End End Accum Cash Accum Cash
of of Yr Premium ulation Surrender Death ulation Surrender Death
Yr Age Outlay Value Value Benefit Value Value Benefit
-- --- ------ ----- ----- ------- ----- ----- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
21 76 76 19,739 177,439 177,439 1,000,000 798,650 798,650 1,000,000
22 77 77 19,739 168,048 168,048 1,000,000 879,451 879,451 1,000,000
23 78 78 19,739 154,003 154,003 1,000,000 969,156 969,156 1,017,614
24 79 79 19,739 134,522 134,522 1,000,000 1,066,722 1,066,722 1,120,059
25 80 80 19,739 108,548 108,548 1,000,000 1,171,738 1,171,738 1,230,326
-------
493,466
26 81 81 19,739 74,623 74,623 1,000,000 1,284,670 1,284,670 1,348,904
27 82 82 19,739 30,761 30,761 1,000,000 1,405,982 1,405,982 1,476,282
*28 83 83 19,739 0 0 1,000,000 1,536,133 1,536,133 1,612,940
29 84 84 19,739 0 0 1,000,000 1,675,575 1,675,575 1,759,355
30 85 85 19,739 0 0 1,000,000 1,824,765 1,824,765 1,916,004
-------
592,160
31 86 86 19,739 0 0 1,000,000 1,984,164 1,984,164 2,083,373
32 87 87 19,739 0 0 1,000,000 2,154,242 2,154,242 2,261,954
33 88 88 19,739 0 0 1,000,000 2,335,472 2,335,472 2,452,246
34 89 89 19,739 0 0 1,000,000 2,528,330 2,528,330 2,654,747
35 90 90 19,739 0 0 1,000,000 2,733,268 2,733,268 2,869,932
-------
690,853
36 91 91 19,739 0 0 1,000,000 2,950,704 2,950,704 3,098,240
37 92 92 19,739 0 0 0 3,187,903 3,187,903 3,315,419
38 93 93 19,739 0 0 0 3,448,111 3,448,111 3,551,555
39 94 94 19,739 0 0 0 3,735,312 3,735,312 3,810,019
40 95 95 19,739 0 0 0 4,054,594 4,054,594 4,095,140
-------
789,546
41 96 96 19,739 0 0 0 4,408,212 4,408,212 4,408,213
42 97 97 19,739 0 0 0 4,790,938 4,790,938 4,790,938
43 98 98 19,739 0 0 0 5,205,166 5,205,166 5,205,166
44 99 99 19,739 0 0 0 5,653,489 5,653,489 5,653,490
45 100 100 19,739 0 0 0 6,138,715 6,138,715 6,138,716
-------
888,239
46 101 101 0 0 0 0 6,643,853 6,643,853 6,643,854
47 102 102 0 0 0 0 7,190,570 7,190,570 7,190,570
48 103 103 0 0 0 0 7,782,287 7,782,287 7,782,288
49 104 104 0 0 0 0 8,422,710 8,422,710 8,422,711
50 105 105 0 0 0 0 9,115,847 9,115,847 9,115,848
-------
888,239
</TABLE>
--------------------------------------------------------------------------------
This illustration is not complete without all pages.
$1,000,000 Var Accum Design for Presented by: Henry Jordan
Version M3 2.7.0 11/01/2000 08:51 AM
State of Issue: Minnesota Page 5 of 10
<PAGE>
RELIASTAR LIFE
20 Washington Avenue South
Minneapolis, MN 55401
VARIABLE ACCUMULATION DESIGN
A SURVIVORSHIP FLEXIBLE PREMIUM VARIABLE UNIVERSAL LIFE INSURANCE POLICY
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
--------------------------MAXIMUM GUARANTEED POLICY COSTS---------------------
0.00% GROSS HYPOTHETICAL RETURN 10.00% GROSS HYPOTHETICAL RETURN
(-1.69% NET RETURN) (8.31% NET RETURN)
------------------------------------------------------------------------------
End End Accum Cash Accum Cash
of of Yr Premium ulation Surrender Death ulation Surrender Death
Yr Age Outlay Value Value Benefit Value Value Benefit
-- --- ------ ----- ----- ------- ----- ----- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
51 106 106 0 0 0 0 9,866,038 9,866,038 9,866,038
52 107 107 0 0 0 0 10,677,978 10,677,978 10,677,978
53 108 108 0 0 0 0 11,556,750 11,556,750 11,556,750
54 109 109 0 0 0 0 12,507,855 12,507,855 12,507,855
55 110 110 0 0 0 0 13,537,247 13,537,247 13,537,248
-------
888,239
</TABLE>
* Year 28, Month 8
Based on the maximum guaranteed costs and a 0% hypothetical rate of return
illustrated, the policy would lapse and cannot be illustrated. Additional
premiums would be required to continue the coverage.
--------------------------------------------------------------------------------
This illustration is not complete without all pages.
$1,000,000 Var Accum Design for Presented by: Henry Jordan
Version M3 2.7.0 11/01/2000 08:51 AM
State of Issue: Minnesota Page 6 of 10
<PAGE>
RELIASTAR LIFE
20 Washington Avenue South
Minneapolis, MN 55401
VARIABLE ACCUMULATION DESIGN
A SURVIVORSHIP FLEXIBLE PREMIUM VARIABLE UNIVERSAL LIFE INSURANCE POLICY
--------------------------------------------------------------------------------
VALUABLE INFORMATION ABOUT YOUR ILLUSTRATION
This is an illustration, not a contract, and must be preceded or accompanied by
a current Prospectus.
This illustration does not recognize that, because of inflation, a dollar in the
future has less value than a dollar today.
The values illustrated comply with the Internal Revenue Code definition of life
insurance.
GROSS HYPOTHETICAL RETURNS. The gross hypothetical returns shown are
illustrative only and should not be deemed a representation of past or future
rates of return. No representation may be made by your agent or ReliaStar Life
Insurance Company that these hypothetical rates of return can be achieved or
sustained over any period of time. The death benefits and cash surrender values
for a policy may be different from those shown, even if the actual rates of
return averaged the hypothetical rate of return illustrated over a period of
years but fluctuated above or below that average at any time during the period.
NET ANNUAL RETURN. The net rate illustrated reflects a reduction from the gross
rate to cover ReliaStar Life Insurance Company's mortality and expense risk
charge and portfolio operating expenses. For current costs, the mortality and
expense risk charge on an annual basis is equal to 0.90% of the Variable
Account assets for years one through ten, and 0.25% thereafter. For maximum
guaranteed costs, the mortality and expense risk charge on an annual basis is
equal to 0.90% in years one through ten, and 0.90% thereafter. An average
portfolio operating expense of 0.79% is deducted from the gross return.
The actual portfolio expense deducted would vary based on the premium allocation
specified.
SUB-ACCOUNT ALLOCATION. This illustration assumes that the net premiums (after
expense deductions) have been allocated to the Variable Account. Variable
Accumulation Design offers the policy owner the opportunity to select those
sub-accounts that most clearly reflect their own tolerance for risk.
Sub-accounts and their allocations are selected initially and can be changed or
transferred between the sub-accounts of the policy without creating a taxable
event. Currently, there is no charge on the first 94 transfers in a policy year,
but there is a charge of $25.00 for each subsequent transfer. We reserve the
right to limit transfers to four per policy year and charge $25.00 for every
transfer.
F1XED ACCOUNT. A portion of premiums and accumulation values may also be
allocated to the Fixed Account. The Fixed Account is an interest paying account
that offers a guarantee of both principal and interest at a minimum annual
rate of 3% on amounts credited to the account. ReliaStar Life Insurance Company
has complete ownership and control of all of the assets of the Fixed Account.
For current interest crediting rates on the Fixed Account, ask your Registered
Representative.
MINIMUM MONTHLY PREMIUM. A minimum monthly premium of $1,644.88 is required to
issue the policy and is guaranteed to maintain the base policy death benefit
guarantee. This minimum premium will change if increases or decreases are made
in any of the policy benefits.
DEATH BENEFIT GUARANTEE. A death benefit guarantee is in effect for 36 policy
years provided minimum premiums (net of policy loans and withdrawals) are paid.
The death benefit guarantee prevents the policy from lapsing during this period
even if the cash surrender value is not sufficient to cover the monthly
deduction due. The death benefit guarantee allows for financial security
regardless of sub-account performance. Please see the Prospectus for a full
explanation of this provision.
DEDUCTIONS AND CHARGES. A premium expense charge is deducted from each premium
paid. The accumulation value of the policy is subject to several charges: a
monthly administration charge, a monthly amount charge (for 20 policy years
after issue or any increase), a mortality and expense risk charge, and the cost
of insurance for the base policy and any riders. Surrender charges are
applicable for the first 15 years and the first 15 years following any requested
increase in the face amount.
POLICY SPLIT OPTION RIDER. Allows the policyowner to split the policy into two
individual cash value life insurance policies in the event of a divorce of the
insureds, dissolution of a business partnership of the insureds, or if there
is a change in the federal estate tax laws that would eliminate the unlimited
marital deduction or reduce by at least 50% the estate taxes payable at death.
Evidence of insurability on each insured may be required to exercise this
option. There is no cost for this rider.
--------------------------------------------------------------------------------
This illustration is not complete without all pages.
$1,000,000 Var Accum Design for Presented by: Henry Jordan
Version M3 2.7.0 11/01/2000 08:51 AM
State of Issue: Minnesota Page 7 of 10
<PAGE>
RELIASTAR LIFE
20 Washington Avenue South
Minneapolis, MN 55401
VARIABLE ACCUMULATION DESIGN
A SURVIVORSHIP FLEXIBLE PREMIUM VARIABLE UNIVERSAL LIFE INSURANCE POLICY
--------------------------------------------------------------------------------
TAXATION. Tax laws are complex and change frequently. Changes in premium
payments from those illustrated or other changes made to the illustrated policy
after issue may result in classification as a Modified Endowment Contract (MEC).
Distributions from a Modified Endowment Contract, including loans, are taxable
as income in the year received to the extent that the accumulation value of the
policy prior to the distribution exceeds the total premiums paid. In addition,
distributions may be subject to an additional 10% income tax penalty if taken
before age 59-1/2. For complete information on how distributions from this
policy may affect your personal tax situation, always consult your professional
tax advisor.
ISSUER. Variable Accumulation Design is a product of ReliaStar Life Insurance
Company located at 20 Washington Avenue South, Minneapolis, MN 55401. The
general distributor is Washington Square Securities, Inc., an affiliated
company, member NASD/SIPC, located at 20 Washington Avenue South, Minneapolis,
MN 55401 (612-372-5507). Form #85-230 (may vary by state).
PREMIUM LIMITS SUMMARY.
Minimum First Year Annual Premium: $19,738.65
Initial Guideline Level Premium: $21,888.00
Initial Guideline Single Premium: $241,817.42
Initial MEC 7-pay Premium: $52,509.80
--------------------------------------------------------------------------------
This illustration is not complete without all pages.
$1,000,000 Var Accum Design for Presented by: Henry Jordan
Version M3 2.7.0 11/01/2000 08:51 AM
State of Issue: Minnesota Page 8 of 10
<PAGE>
RELIASTAR LIFE
20 Washington Avenue South
Minneapolis, MN 55401
VARIABLE ACCUMULATION DESIGN
A SURVIVORSHIP FLEXIBLE PREMIUM VARIABLE UNIVERSAL LIFE INSURANCE POLICY
--------------------------------------------------------------------------------
ILLUSTRATION SUMMARY AND DISCLOSURE
Variable Account
THIS PAGE SUMMARIZES INFORMATION FROM THE PREVIOUS LEDGER PAGES AND OUTLINES
SOME IMPORTANT POLICY PROVISIONS. REVIEW THE INFORMATION PRESENTED BELOW. IF
ACCEPTABLE, SIGN, DATE, AND RETURN THIS ILLUSTRATION, ALONG WITH THE APPLICATION
FOR INSURANCE, TO RELIASTAR LIFE INSURANCE COMPANY.
PREPARED FOR:
Male 55 No Tobacco
2nd Client
Female 55 No Tobacco
Initial Total Face Amount: $1,000,000
Initial Death Benefit Option: A (Level)
Annual Premium: $19,738.65
Death Benefit Guarantee (DBG) to end of year: 36
Initial Minimum Annual Premium for DBG: $19,738.65
This summary is based on the premium outlay in the policy illustration. The cash
value and death benefit are shown as of the end of the year.
<TABLE>
<CAPTION>
---------------------------------------------------------------------------------------------------------------------------------
GUARANTEED COSTS CURRENT COSTS
0.00% GROSS ANNUAL RETURN 0.00% GROSS ANNUAL RETURN 10.00% GROSS ANNUAL RETURN
(-1.69% NET RETURN) (-1.69% NET YRS 1-10, -1.04% YRS 11+) (8.31% NET YRS 1-10, 8.96% YRS 11+)
---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Year 10
Cash Surrender Value: 122,426 126,790 235,007
Death Benefit: 1,000,000 1,000,000 1,000,000
Year 20
Cash Surrender Value: 182,811 244,201 828,335
Death Benefit: 1,000,000 1,000,000 1,000,000
Projected year when
Death Benefit Ends: 36 37 Does not end
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</TABLE>
You may adjust your payment amounts, within limits, to extend or increase the
cash value and death benefit.
I UNDERSTAND THAT:
PURCHASE OF LIFE INSURANCE. I am buying a flexible premium cash value variable
life insurance policy issued by ReliaStar Life Insurance Company.
RECEIPT OF PROSPECTUS. I received the current Prospectus describing the terms
and operation of the po1icy and the underlying sub-accounts. I'm keeping the
Prospectus for further reference. I understand the policy has some features
comparable to and others different from a traditional life insurance policy. I
realize this Disclosure Statement highlights some, but not all, of the important
aspects of the policy and that I should examine the Prospectus prior to
purchasing a policy.
INSURANCE PROTECTION. The policy provides insurance protection until the
younger insured's age 100, if the cash surrender value, as explained in the
Prospectus, is sufficient to pay the monthly charges. After age 100, the policy
stays inforce, but the death benefit reduces to equal the accumulation value.
SUB-ACCOUNT ALLOCATION. I may allocate a net premium (amount remaining after
expense deductions) among one or more sub-accounts, each of which invests in one
of the available portfolios. Each portfolio has a different investment
objective, as described in the current Prospectus. In allocating net premiums to
a sub-account, the investment performance of the underlying portfolios I select
will impact the policy accumulation value and may impact the death benefit.
Thus, the investment risk for those amounts is mine, and no minimum accumulation
value in any sub-account(s) is guaranteed. I may also allocate net premiums to a
Fixed Account, which the Company guarantees both as to principal and interest at
a minimum annual rate of 3.0% (the Fixed Account is not available in New
Jersey).
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<PAGE>
RELIASTAR LIFE
20 Washington Avenue South
Minneapolis, MN 55401
VARIABLE ACCUMULATION DESIGN
A SURVIVORSHIP FLEXIBLE PREMIUM VARIABLE UNIVERSAL LIFE INSURANCE POLICY
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SELECTED PORTFOLIO. The sub-accounts I select have varying portfolio operating
expenses. Changes to the selected sub-accounts and the allocation percentages
will have an impact on the policy cash values. This illustration assumes the
average portfolio expense of all underlying portfolios is deducted.
ILLUSTRATIONS. The illustrations in the Prospectus present hypothetical
investment results and those presented by the Company's representative will
utilize hypothetical and/or historical investment results. Neither hypothetical
nor historical investment returns are guaranteed. The values set forth are
illustrative only and are not intended to predict actual performance. They are
intended to help explain how the policy operates and are not deemed to represent
future investment results. Actual investment results may be more or less and
depend on a number of factors, as explained in the Prospectus.
CHARGES AND DEDUCTIONS. As described in the Prospectus, there are (a) charges
made against each premium payment and (b) monthly deductions against the
accumulation value for the cost of insurance, administrative charges, amount
charges, and mortality and expense risks assumed by the Company. If I surrender
the policy or allow it to lapse during the first 15 years after issue or an
increase, a surrender charge will be imposed.
LOANS AND WITHDRAWALS. Policy loans and partial cash withdrawals are available,
subject to certain limits and charges as explained in the Prospectus. If, at
any time, the amount of the policy loan exceeds the cash surrender value, the
grace period goes into effect and we may lapse the policy. Policy loans and
partial withdrawals may cause the death benefit guarantee to terminate. Policy
loans and withdrawals will reduce the policy's death benefit and available cash
value.
TAX MATTERS. The Company does not provide legal or tax advice in reference to
this life insurance policy. I acknowledge that the section in the Prospectus
"Federal Tax Matters", is not intended to be a complete description of the tax
status of the policy.
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APPLICANT OR POLICY OWNER DATE
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APPLICANT OR POLICY OWNER DATE
------------------ ----------------------
DATE OF PROSPECTUS PROSPECTUS FORM NUMBER
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HENRY JORDAN DATE
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