<PAGE>
EXHIBIT 99.4(i)
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SAFECO Life Insurance Company
5069 154th Place NE
Redmond, Washington 98052-9669
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This is a legal Contract between the Owner (referred to in this Contract as
"you" and "your") and SAFECO Life Insurance Company (referred to in this
Contract as "SAFECO Life", "our", "us", and "we"). SAFECO Life is a stock
company with its Home Office in Redmond, Washington.
This Contract is issued in consideration of the application and payment of the
initial Purchase Payment. SAFECO Life will make annuity payments to the payee
(you or someone you choose), beginning on the Annuity Date, or pay a death
benefit to your Beneficiary(ies), subject to the terms of this Contract. SAFECO
Life has executed and attested this Contract as of the contract date at our Home
Office in Redmond, Washington.
IF YOU HAVE QUESTIONS, COMMENTS, OR COMPLAINTS, PLEASE CONTACT SAFECO LIFE AT
1-877-4SAFECO (472-3326).
READ YOUR CONTRACT CAREFULLY
RIGHT TO EXAMINE THE CONTRACT: If for any reason you are not satisfied with this
Contract, you may return it within 10 days from the date you received it to
SAFECO Life or to the registered representative who sold you this Contract. When
we receive this Contract, we will refund your contract value, your Purchase
Payments, or the greater of the two, depending on your state's requirements. In
states where we are required to return Purchase Payments, we reserve the right
to allocate all Purchase Payments designated for the various Portfolios to the
SAFECO RST Money Market Portfolio until the Contract is 15 days old.
Signed for SAFECO Life Insurance Company by:
/s/ R.A. Pierson /s/ Randall H. Talbot
R. A. Pierson Randall H. Talbot
Sr. Vice President and Secretary President
INDIVIDUAL FLEXIBLE PREMIUM DEFERRED VARIABLE ANNUITY
NON-PARTICIPATING
THIS IS A VARIABLE ANNUITY CONTRACT. WHEN YOUR CONTRACT VALUE AND ANNUITY
PAYMENTS ARE BASED ON THE INVESTMENT EXPERIENCE OF THE PORTFOLIOS, THE DOLLAR
AMOUNTS ARE NOT GUARANTEED AND WILL INCREASE OR DECREASE. ALL VALUES AND
PAYMENTS BASED ON THE GUARANTEED INTEREST PERIOD FIXED ACCOUNT OPTION, WHEN
TAKEN BEFORE THE END OF A GUARANTEED PERIOD, MAY BE SUBJECT TO A MARKET VALUE
ADJUSTMENT. THE MARKET VALUE ADJUSTMENT MAY CAUSE SUCH VALUES AND PAYMENTS TO
INCREASE OR DECREASE.
-Registered Trademark- Registered Trademark of SAFECO Corporation
<PAGE>
CONTRACT DATA PAGE
<TABLE>
<S> <C>
PRODUCT: SPINNAKER-Registered Trademark- ADVISOR - [NON-QUALIFIED ANNUITY]
OWNER: [JOHN DOE]
[1234 MAIN ST.]
[ANY CITY, WA 99999-9999]
ANNUITANT: [JOHN DOE]
CONTRACT NUMBER: [LP12345678]
CONTRACT DATE: [8/01/2000]
ANNUITANT'S AGE ON CONTRACT DATE: [35]
ANNUITY DATE [6/01/2035]
DELIVERED IN THE STATE OF WASHINGTON AND GOVERNED BY ITS LAWS.
MAXIMUM ISSUE AGE: 85
MAXIMUM ANNUITIZATION AGE: 90 (annuity payments must begin prior to the Annuitant's 91st birthday)
MINIMUM INITIAL PURCHASE PAYMENT: $10,000
MINIMUM SUBSEQUENT PURCHASE PAYMENT: $30
MINIMUM ALLOCATIONS TO THE FIXED
ACCOUNT OPTIONS: Dollar Cost Averaging Fixed Account Option - $5,000.
Guaranteed Interest Period Fixed Account Option - $1,000 for each
selected Guaranteed Period.
MINIMUM WITHDRAWAL: $250, or the contract value if less.
MORTALITY AND EXPENSE RISK CHARGE: Equal on an annual basis to 1.25% of the average daily value of your Contract
allocated to the Portfolios.
ASSET RELATED ADMINISTRATION CHARGE: Equal on an annual basis to 0.20% of the average daily value of your
Contract allocated to the Portfolios.
WITHDRAWAL CHARGE: $25 or 2% of the amount withdrawn, whichever is less, for each withdrawal
after the first withdrawal in any Contract Year.
TRANSFER CHARGE: $10 or 2% of amount transferred, whichever is less, for each transfer
after the 12th transfer in any Contract Year.
</TABLE>
MARKET VALUE ADJUSTMENT: MVA = W x (I - I ) x F where
c n s
W = the amount withdrawn, transferred, or annuitized from a
Guaranteed Period under the Guaranteed Interest Period Fixed
Account Option;
I = the interest rate, in decimal form, credited on the money
c withdrawn, transferred, or annuitized;
I = the interest rate, in decimal form, that would be credited on
n new money allocated to a Guaranteed Period of the same duration
as the Guaranteed Period from which money is being taken;
F = the adjustment factor, which varies by the length of time
s remaining in the Guaranteed Period and the interest rate
credited on the money withdrawn, transferred, or annuitized;
s = number of years remaining until the end of the Guaranteed
Period from which money is being taken. The adjustment factor
for partial years will be interpolated between whole-year
adjustment factors.
Page 1 of 2
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CONTRACT DATA PAGE
MARKET VALUE ADJUSTMENT: (continued)
Adjustment Factors (Fs)
<TABLE>
<CAPTION>
Number of Years Where Where
Remaining in the I < 6% I => 6%
Guaranteed Period c c
--------------------------- ------------- -------------
<S> <C> <C>
0 0.00 0.00
1 0.90 0.90
2 1.80 1.75
3 2.60 2.50
4 3.40 3.15
5 4.10 3.80
6 4.80 4.35
7 5.40 4.85
8 6.00 5.35
9 6.50 5.75
10 7.00 6.15
</TABLE>
The MVA will be adjusted if, upon total withdrawal from a Guaranteed Period, the
MVA would reduce your value in that Guaranteed Period below 100% of the original
amount allocated to that Guaranteed Period accumulated at 3% annualized interest
and adjusted for any prior withdrawals.
PREMIUM TAXES: As of the contract date, premium taxes are not charged
in your state.
<TABLE>
<S> <C>
ELIGIBLE INVESTMENTS:
[SAFECO RST Bond Portfolio] [Fidelity VIP III Growth Opportunities Portfolio]
[SAFECO RST Equity Portfolio] [Franklin Small Cap Fund - Class 2]
[SAFECO RST Growth Opportunities Portfolio] [Franklin U.S. Government Securities Fund - Class 2]
[SAFECO RST Money Market Portfolio] [INVESCO VIF-Real Estate Opportunity Fund]
[SAFECO RST Northwest Portfolio] [J.P. Morgan U.S. Disciplined Equity Portfolio]
[SAFECO RST Small Company Value Portfolio] [Scudder VLIF Balanced Portfolio]
[AIM V.I. Aggressive Growth Fund] [Scudder VLIF International Portfolio]
[AIM V.I. Growth Fund] [Templeton Developing Markets Securities Fund - Class 2]
[American Century VP Balanced] SAFECO Dollar Cost Averaging Fixed Account Option
[American Century VP International] 6-month period
[Dreyfus IP MidCap Stock Portfolio] 12-month period
[Dreyfus IP Technology Growth Portfolio] SAFECO Guaranteed Interest Period Fixed Account Option
[Dreyfus Socially Responsible Growth Fund, Inc.] 1-Year Guaranteed Period
[Dreyfus VIF Appreciation Portfolio] 2-Year Guaranteed Period
[Dreyfus VIF Quality Bond Portfolio] 3-Year Guaranteed Period
[Federated High Income Bond Fund II] 4-Year Guaranteed Period
[Federated Utility Fund II] (LONGER GUARANTEED PERIODS MAY BE AVAILABLE. CONTACT YOUR
[Fidelity VIP Growth Portfolio] REGISTERED REPRESENTATIVE OR SAFECO LIFE FOR DETAILS.)
[Fidelity VIP III Growth & Income Portfolio]
</TABLE>
SEPARATE ACCOUNT: SAFECO Separate Account C
ANNUITY SERVICE OFFICE:
Home Office: Mailing Address:
SAFECO Life Insurance Company SAFECO Life Insurance Company
Retirement Services Retirement Services
5069 154th Place NE P.O. Box 34690
Redmond, WA 98052-9669 Seattle, WA 98124-1690
Telephone: 877-472-3326
Fax: 425-376-5599
Page 2 of 2
-Registered Trademark- Spinnaker is a registered trademark
of SAFECO Life Insurance Company
<PAGE>
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TABLE OF CONTENTS
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<TABLE>
<S> <C>
CONTRACT DATA PAGE...................................................................................................Insert
DEFINITIONS
Accumulation Phase...............................................................................................1
Accumulation Unit................................................................................................1
Annuitant........................................................................................................1
Annuity Date.....................................................................................................1
Annuity Unit.....................................................................................................1
Beneficiary......................................................................................................1
Contract.........................................................................................................1
Contract Year....................................................................................................1
Fixed Account Options............................................................................................1
General Account..................................................................................................1
Guaranteed Period................................................................................................1
Income Phase.....................................................................................................1
IRC..............................................................................................................1
Market Value Adjustment (MVA)....................................................................................1
Owner............................................................................................................1
Portfolios.......................................................................................................1
Purchase Payment.................................................................................................1
Separate Account.................................................................................................1
THE ANNUITY CONTRACT
ABOUT THE CONTRACT...............................................................................................2
OWNER............................................................................................................2
ANNUITANT........................................................................................................2
BENEFICIARY......................................................................................................2
Change of Beneficiary...................................................................................2
PURCHASE PAYMENT PROVISIONS
PURCHASE PAYMENTS................................................................................................3
ALLOCATION OF PURCHASE PAYMENTS..................................................................................3
ACCUMULATION UNITS...............................................................................................3
INVESTMENT OPTIONS
VARIABLE INVESTMENT OPTIONS......................................................................................4
Substitution of Shares..................................................................................4
FIXED ACCOUNT OPTIONS............................................................................................4
Dollar Cost Averaging Fixed Account Option..............................................................4
Guaranteed Interest Period Fixed Account Option.........................................................4
CONTRACT VALUE...................................................................................................5
TRANSFERS........................................................................................................5
CHARGES
INSURANCE CHARGES................................................................................................6
Mortality and Expense Risk Charge.......................................................................6
Asset Related Administration Charge.....................................................................6
WITHDRAWAL CHARGE................................................................................................6
TRANSFER CHARGE..................................................................................................6
PREMIUM TAXES....................................................................................................6
INCOME OR OTHER TAXES............................................................................................6
</TABLE>
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<TABLE>
<S> <C>
WITHDRAWAL PROVISIONS
WITHDRAWALS......................................................................................................7
Repetitive Withdrawals..................................................................................7
ANNUITY PAYMENT PROVISIONS
ANNUITY PAYMENTS.................................................................................................7
Life Annuity............................................................................................8
Life Annuity with Guaranteed Period.....................................................................8
Joint and Survivor Life Annuity.........................................................................8
Payments Based on a Number of Years.....................................................................8
Automatic Option........................................................................................8
CALCULATION OF ANNUITY PAYMENTS..................................................................................8
Fixed Annuity Payments..................................................................................9
Variable Annuity Payments...............................................................................9
Changing Portfolio Elections after the Annuity Date....................................................10
DEATH BENEFIT PROVISIONS
DEATH OF ANNUITANT Prior to the Annuity Date....................................................................10
DEATH OF OWNER Prior to the Annuity Date........................................................................10
Calculation of Death Benefit...........................................................................10
Payment of Death Benefit...............................................................................11
DEATH OF ANNUITANT On or After the Annuity Date.................................................................12
DEATH OF OWNER On or After the Annuity Date.....................................................................12
GENERAL PROVISIONS
ACCOUNT STATEMENTS..............................................................................................12
ASSIGNMENT OF BENEFITS..........................................................................................12
COMMUNICATIONS..................................................................................................12
ESSENTIAL DATA..................................................................................................13
EVIDENCE OF SURVIVAL............................................................................................13
MISSTATEMENT OF AGE OR SEX......................................................................................13
NONPARTICIPATION................................................................................................13
SEPARATE ACCOUNT................................................................................................13
STATE REQUIRED BENEFITS.........................................................................................13
SUSPENSION OF ANNUITY PAYMENTS, WITHDRAWALS, OR TRANSFERS.......................................................13
TERMINATION OF CONTRACT.........................................................................................13
THE CONTRACT....................................................................................................14
VOTING RIGHTS...................................................................................................14
ANNUITY PURCHASE RATE TABLES
VARIABLE ANNUITY PURCHASE RATE TABLE............................................................................15
FIXED ANNUITY PURCHASE RATE TABLE...............................................................................16
</TABLE>
- ii -
<PAGE>
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DEFINITIONS
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ACCUMULATION PHASE The period between the date we allocate your first
Purchase Payment and the Annuity Date.
ACCUMULATION UNIT A measurement used to calculate the value of a
Portfolio during the Accumulation Phase and variable
annuity payments made under the Payments Based on a
Number of Years annuity option.
ANNUITANT The natural person(s) on whose life/lives annuity
payments are based. You are the Annuitant unless you
designate someone else before the Annuity Date.
ANNUITY DATE The date annuity payments begin under an annuity option.
ANNUITY UNIT A measurement used to calculate variable annuity
payments during the Income Phase, except for the
Payments Based on a Number of Years annuity option.
BENEFICIARY The person(s) entitled to receive any benefits upon
the death of the Owner or, if applicable, the Annuitant.
CONTRACT This Flexible Premium Deferred Variable Annuity.
CONTRACT YEAR A 12-month period starting on the contract date shown
on your contract data page and each anniversary of
that date.
FIXED ACCOUNT OPTIONS The investment options of this Contract that provide
for guaranteed interest. Purchase Payments allocated to
the Fixed Account Options become part of SAFECO Life's
General Account.
GENERAL ACCOUNT The assets of SAFECO Life other than those attributable
to Separate Accounts.
GUARANTEED PERIOD A period of years for which we have guaranteed a
specific annual effective interest rate on a Purchase
Payment allocated to the Guaranteed Interest Period
Fixed Account Option.
INCOME PHASE The period beginning on the Annuity Date during which
the payee receives annuity payments.
IRC The Internal Revenue Code of 1986, as amended.
MARKET VALUE A positive or negative adjustment that may apply
ADJUSTMENT (MVA) whenever money is moved from the Guaranteed Interest
Period Fixed Account Option before the end of a
Guaranteed Period.
OWNER The person(s) or entity(ies) named on the contract
application, unless changed. The Owner has all
ownership rights under this Contract.
PORTFOLIOS The variable investment options available under the
Contract.
PURCHASE PAYMENT An amount paid to SAFECO Life for allocation under
this Contract, less any premium tax due at the time
this payment is made.
SEPARATE ACCOUNT A segregated asset account established under
Washington law and shown on the contract data page.
- 1 -
<PAGE>
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THE ANNUITY CONTRACT
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ABOUT THE CONTRACT This Contract is an agreement
between SAFECO Life and you, the Owner,
where we promise to pay the payee (you or
someone you choose) an income in the form of
annuity payments, beginning on the date you
select, or a death benefit to your
Beneficiary(ies). When you are investing
money, your Contract is in the Accumulation
Phase. Once you begin receiving annuity
payments, your Contract is in the Income
Phase.
You purchased this Contract with the initial
Purchase Payment you paid, and the Contract
became effective on the contract date, shown
on your contract data page.
The Contract is called a variable annuity
because you can allocate money among
variable investment Portfolios available
within the Separate Account. The investment
performance of the Portfolio(s) you select
may be positive or negative and affects the
value of your Contract and the amount of any
variable annuity payments. You may also
allocate money to the Fixed Account Options
which credit guaranteed interest rates.
OWNER The Owner is shown on the contract
application, unless changed. On the contract
date, the Owner must not have been older
than the maximum issue age shown on the
contract data page. The Owner may exercise
all ownership rights under this Contract.
If this Contract is owned by joint Owners,
they must jointly exercise their ownership
rights, unless we are directed otherwise by
both joint Owners in writing. On the
contract date, each joint Owner must not
have been older than the maximum issue age
shown on the contract data page.
ANNUITANT The Annuitant is/are the person(s) on whose
life/lives annuity payments are based. You
are the Annuitant unless you designate
someone else before the Annuity Date. If you
designate someone else as Annuitant, that
person must not be older than the maximum
annuitization age shown on the contract data
page when annuity payments begin.
Owners who are non-natural persons (for
example, corporations or trusts) may not
change the Annuitant.
BENEFICIARY The Beneficiary receives any benefit payable
after you die or, if applicable, after the
Annuitant(s) dies. You initially name your
Beneficiaries on the contract application.
CHANGE OF You may change your Beneficiary designation
BENEFICIARY at any time by sending us a signed and dated
request. However, if a Beneficiary
designation is irrevocable, that Beneficiary
must consent in writing to any change. A new
Beneficiary designation revokes any prior
designation and is not effective until we
record the change. We are not responsible
for the validity of any Beneficiary
designation nor for any actions we may take
prior to receiving and recording a
Beneficiary change.
- 2 -
<PAGE>
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PURCHASE PAYMENT PROVISIONS
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PURCHASE PAYMENTS During the Accumulation Phase, you
may make additional Purchase Payments. You
may change the amount and frequency of
Purchase Payments. The minimum dollar amounts
are shown on the contract data page. If you
stop making Purchase Payments, all benefits
under this Contract continue until the
contract value is completely withdrawn.
Purchase Payments must be in lawful currency
of the United States and submitted to our
Home Office at 5069 154th Place NE, Redmond,
WA 98052-9669, or P.O. Box 34690, Seattle, WA
98124-1690, or in a manner agreed to by
SAFECO Life.
We reserve the right to refuse any Purchase
Payment. If we do not accept a Purchase
Payment, we will return it within five days.
ALLOCATION OF Your initial and subsequent Purchase Payments
PURCHASE PAYMENTS will be allocated according to your
instructions on your contract application.
You may change the way subsequent Purchase
Payments are allocated by providing us with
new instructions.
Once we receive your Purchase Payment, the
portion to be allocated to a Fixed Account
Option is credited as of the day it is
received. The portion to be allocated to the
Portfolios is effective and valued as of the
next close of the New York Stock Exchange
(NYSE). If for any reason the NYSE is closed
when we receive your Purchase Payment, it
will be valued as of the close of the NYSE on
its next regular business day.
When we are required to guarantee a return of
Purchase Payments during the Right to Examine
period, we reserve the right to initially
apply amounts designated for the Portfolios
to the SAFECO RST Money Market Portfolio
until the Contract is 15 days old. These
amounts will then be allocated in the manner
you selected, unless you have canceled the
Contract.
ACCUMULATION UNITS When you make Purchase Payments or transfers
into a Portfolio, we credit your Contract
with Accumulation Units. Conversely, when
you request a withdrawal or a transfer of
money from a Portfolio, Accumulation Units
are liquidated. In either case, the increase
or decrease in the number of your
Accumulation Units is determined by taking
the dollar amount of the Purchase Payment,
transfer, or withdrawal and dividing it by
the value of an Accumulation Unit on the date
the transaction occurs.
We calculate the value of an Accumulation
Unit for each Portfolio after the NYSE closes
each day by:
(1) determining the total value of the
particular Portfolio attributable to
the applicable Contracts;
(2) subtracting from that amount the
mortality and expense risk charge, the
asset related administration charge,
and any taxes SAFECO Life may incur on
earnings attributable to the
applicable Contracts; and
(3) dividing this amount by the number of
outstanding Accumulation Units of the
particular Portfolio attributable to
the applicable Contracts.
The value of an Accumulation Unit may go up
or down from day to day.
- 3 -
<PAGE>
===============================================================================
INVESTMENT OPTIONS
===============================================================================
VARIABLE INVESTMENT You may allocate money to
OPTIONS the Portfolios shown on the contract data
page. We reserve the right to add, combine,
restrict, or remove any Portfolio as an
investment option of this Contract.
Portfolios have different investment
objectives. Investment performance of a
Portfolio may be positive or negative.
SUBSTITUTION OF If any shares of the Portfolios are
SHARES no longer available, or if in our view no
longer meet the purpose of the Contract, it
may be necessary to substitute shares of
another Portfolio. We will seek prior
approval of the Securities and Exchange
Commission (SEC) and give you notice before
doing this.
FIXED ACCOUNT OPTIONS You may allocate money to the
Fixed Account Options shown on the contract
data page and described below. These options
are part of SAFECO Life's General Account and
provide for guaranteed interest rates.
We credit interest daily from the date the
money is allocated to the specific Fixed
Account Option up to, but not including, the
date the money is withdrawn or transferred.
We credit interest at a rate that compounds
over one year to the annual effective
interest rate we guaranteed when the money
was allocated. The annual effective interest
rate will be at least 3.00%.
DOLLAR COST If you allocate all or part of a Purchase
AVERAGING (DCA) Payment to the Dollar Cost Averaging Fixed
FIXED ACCOUNT Account Option, we will credit interest at
OPTION a specified rate on amounts prior to their
being transferred to Portfolios you select.
Monthly transfers are made over a 6-month or
12-month period as selected by you. You may
not make another Purchase Payment to this
option until the entire value in this option
has been transferred out, and you may not
transfer money into this option. You may not
choose this option within 12 months of the
Annuity Date.
GUARANTEED If you allocate money to the Guaranteed
INTEREST Interest Period Fixed Account Option, we will
PERIOD FIXED credit interest at a specified rate for a
ACCOUNT OPTION Guaranteed Period. You may select different
Guaranteed Periods for each amount you
allocate to this option, and each allocation
starts a new Guaranteed Period. Each
Guaranteed Period we offer may have a
different interest rate. We may change the
rates we offer for new Guaranteed Periods at
any time. In the future we may offer
Guaranteed Periods of different lengths or
stop offering some Guaranteed Periods.
Money allocated to a Guaranteed Period under
this option matures the day after the
Guaranteed Period ends. Within 30 days after
the end of the Guaranteed Period, you may:
- take no action and we will automatically
apply your value to a new Guaranteed
Period of the same or next shorter
duration. The next shorter duration will
be used if the prior Guaranteed Period
is not currently available. The new
Guaranteed Period earns interest at the
then current interest rate for that
Guaranteed Period and begins the day
after the prior Guaranteed Period ended;
or
- notify us to allocate all or a portion
of your value to one or more new
- 4 -
<PAGE>
Guaranteed Periods beginning the day
after the prior Guaranteed Period ended;
or
- notify us to allocate all or a portion
of your value to one or more of the
Portfolios on the day we receive the
notification; or
- withdraw all or a portion of your value.
If you select one of the last two
alternatives, we will credit interest at the
rate we are currently offering for Guaranteed
Periods of the same or next shorter duration
from the day after the Guaranteed Period
ended until the day we receive your
instructions.
If you move money out before the end of a
Guaranteed Period, either as a transfer,
withdrawal, or to purchase annuity payments,
there will be a Market Value Adjustment
(MVA). The formula used to calculate the MVA
is shown on the contract data page. The MVA
is based primarily on the difference between
the interest rate being credited to the money
you move and the current interest rate
offered for a Guaranteed Period of the same
duration. In general, if interest rates have
dropped, the MVA will be positive and if
interest rates have risen, it will be
negative. Unless you tell us otherwise, the
MVA will be applied to your remaining
contract value. If amounts are taken from
more than one Guaranteed Period at the same
time, the MVA is calculated individually for
each Guaranteed Period. We will not apply an
MVA if you move money within 30 days after
the end of a Guaranteed Period.
CONTRACT VALUE Your contract value is the sum of the values
in the Portfolios and the Fixed Account
Options attributable to your Contract. We
calculate this by:
- adding all the Purchase Payments you invested;
- subtracting the charges which have been deducted;
- subtracting the withdrawals you have made
(adjusted for any MVA);
- adjusting for any MVA on amounts that were
transferred to the Portfolios;
- adjusting for each Portfolio's gain or loss;
- adding the interest we credit to each Fixed
Account Option while any of your contract value
is in that option;
- subtracting the amounts withdrawn for an annuity
option; and
- subtracting the amounts withdrawn to pay the
death benefit.
TRANSFERS During the Accumulation Phase, you can
transfer money from any of the Portfolios
and/or any Guaranteed Periods under the
Guaranteed Interest Period Fixed Account
Option to any of the Portfolios and/or any
new Guaranteed Periods. In each Contract Year
you can make 12 transfers free of charge.
Each additional transfer in a Contract Year
may have a transfer charge, as shown on the
contract data page.
The minimum amount you can transfer out of
any Portfolio or Guaranteed Period under the
Guaranteed Interest Period Fixed Account
Option at one time is $500, or the entire
value if less. You must transfer the entire
amount out of a Portfolio or Guaranteed
Period under the Guaranteed Interest Period
Fixed Account Option if, after a transfer,
the remaining balance would be less than
$500. The minimum amount you can transfer
into an investment option is:
- 5 -
<PAGE>
- $50 for transfers into any Portfolio; and
- $1,000 for transfers into any new Guaranteed Period
under the Guaranteed Interest Period Fixed Account
Option.
We reserve the right to reject any transfer
request from any person if, in our judgment,
a Portfolio would be unable to invest
effectively in accordance with its investment
objectives and policies or would otherwise be
potentially adversely affected. We reserve
the right to modify, suspend, or terminate
transfer privileges at any time.
===============================================================================
CHARGES
===============================================================================
The following charges apply to your Contract:
INSURANCE CHARGES Each day we make deductions for our
insurance charges. We do this as part of our
calculation of the value of Accumulation
Units and Annuity Units. The insurance
charge has two parts: (1) the mortality and
expense risk charge and (2) the asset
related administration charge.
MORTALITY AND This charge is equal, on an annual basis, to a
EXPENSE RISK percentage of the average daily value of
CHARGE your Contract allocated to the Portfolios. The
percentage is shown on the contract data page.
ASSET RELATED This charge is equal, on an annual basis, to a
ADMINISTRATION percentage of the average daily value of
CHARGE your Contract allocated to the Portfolios. The
percentage is shown on the contract data page.
WITHDRAWAL CHARGE The withdrawal charge, shown on the
contract data page, is deducted from your
Contract for each withdrawal after the first
withdrawal in a Contract Year.
We will not deduct this charge for annuity
payments, repetitive withdrawals, or if you
withdraw the entire contract value.
TRANSFER CHARGE The transfer charge, shown on the
contract data page, is deducted from your
Contract for each transfer after the 12th
transfer in a Contract Year.
Scheduled transfers authorized by us as part
of an investment strategy such as dollar
cost averaging, appreciation sweep, or
portfolio rebalancing do not count against
your 12 free transfers, provided the
scheduled transfers continue for at least 6
months.
PREMIUM TAXES The contract data page shows whether or not
premium tax is charged in your state as of
the contract date.
INCOME OR OTHER TAXES Currently we do not pay income or other taxes
on earnings attributable to your Contract.
However, if we ever incur such taxes, we
reserve the right to deduct them from your Contract.
- 6 -
<PAGE>
===============================================================================
WITHDRAWAL PROVISIONS
===============================================================================
WITHDRAWALS During the Accumulation Phase, you may withdraw part or
all of your contract value. Each withdrawal must be at
least $250, or the contract value if less. You must
withdraw the entire amount out of a Portfolio or
Guaranteed Period under the Guaranteed Interest Period
Fixed Account Option if, after a withdrawal, the
remaining balance in the Portfolio or Guaranteed Period
would be less than $500. Withdrawals are not allowed
from the Dollar Cost Averaging Fixed Account Option
except upon surrender of the Contract.
To take withdrawals, you must send a written
request to our Home Office. If you take a
partial withdrawal, you must tell us from
which Portfolio(s) and/or Guaranteed Periods
under the Guaranteed Interest Period Fixed
Account Option we are to take the withdrawal
and we will not process the withdrawal until
we receive those instructions. Once we
receive your valid instructions, withdrawals
from the Portfolios will be effective as of
the next close of the NYSE.
There may be a withdrawal charge. If you
move money out before the end of a
Guaranteed Period under the Guaranteed
Interest Period Fixed Account Option, an MVA
will apply.
REPETITIVE You may request repetitive withdrawals of a
WITHDRAWALS predetermined amount on a monthly, quarterly, or
annual basis by completing the appropriate form.
===============================================================================
ANNUITY PAYMENT PROVISIONS
===============================================================================
ANNUITY PAYMENTS You must choose a lump sum or start
the Income Phase no later than the maximum
annuitization age shown on the contract data
page, or an earlier date if required by law.
During the Income Phase, the payee (you or
someone you choose) receives regular annuity
payments beginning on the Annuity Date.
To start the Income Phase, you must notify
us in writing at least 30 days prior to the
date that you want annuity payments to
begin. You may choose annuity payments under
an annuity option described in this Contract
or another annuity option that you want and
that we agree to provide. If the amount
applied to an annuity option is less than
$5,000, we may pay you in a lump sum where
permitted by state law. We reserve the right
to change the payment frequency if payment
amounts would be less than $250.
Switching to the Income Phase is
irrevocable. Once you begin receiving
annuity payments, you cannot switch back to
the Accumulation Phase. You cannot add
Purchase Payments, change or add an
Annuitant, change the annuity option, or
change between fixed and variable annuity
payments.
- 7 -
<PAGE>
LIFE ANNUITY The payee receives monthly annuity
payments as long as the Annuitant is living.
Annuity payments stop when the Annuitant
dies.
LIFE ANNUITY The payee receives monthly annuity payments
WITH GUARANTEED for the longer of the Annuitant's life or a
PERIOD guaranteed period of five or more years as
selected by you and agreed to by us. If the
Annuitant dies before all guaranteed
payments have been made, the rest will be
made to the Beneficiary. Annuity payments
stop the later of the date the Annuitant
dies or the date the last guaranteed payment
is made.
As an alternative to monthly payments, the
Beneficiary may elect to have the present
value of the guaranteed variable annuity
payments remaining as of the date the notice
of death is received by us commuted at the
assumed investment return of 4% and paid in
a single payment.
JOINT AND The payee receives monthly annuity payments as long
SURVIVOR LIFE as the Annuitant is living. After the Annuitant dies,
ANNUITY the payee receives a specified percentage of each
annuity payment as long as the second Annuitant is
living. You name the second Annuitant and payment
percentage at the time you elect this option. Annuity
payments stop on the later of the date the Annuitant
dies or the date the second Annuitant dies.
PAYMENTS BASED The payee receives annuity payments based on a
ON A NUMBER number of years as selected by you and agreed
OF YEARS to by us. You may select monthly, quarterly,
or annual annuity payments. Each
annuity payment reduces the number of
Accumulation Units and/or value of the
Guaranteed Interest Period Fixed Account
Option in the Contract. Each annuity payment
made from the Guaranteed Interest Period
Fixed Account Option may be subject to an
MVA. Annuity payments continue until the
entire value in the Portfolios and/or
Guaranteed Interest Period Fixed Account
Option has been paid out. You can stop these
annuity payments and receive a lump sum
equal to the remaining contract value plus
or minus any MVA if applicable. This option
does not promise to make payments for the
Annuitant's life. If the Owner dies before
all annuity payments have been made, there
will be a death benefit payable in
accordance with the "DEATH OF OWNER On or
After the Annuity Date" provision.
AUTOMATIC If you do not choose an annuity option at least
OPTION 30 days before the latest Annuity Date allowed
under this Contract, we will make annuity
payments under the Payments Based on a
Number of Years annuity option. The number
of years will be equal to the Annuitant's
life expectancy.
CALCULATION OF You can choose whether annuity payments will
ANNUITY PAYMENTS be made on a fixed basis, variable basis,
or both. If you don't tell us otherwise,
annuity payments will be based on the
investment allocations in place on the
Annuity Date. After the Annuity Date, you
may not switch between fixed annuity payments
and variable annuity payments.
The calculation for annuity payments under
the Payments Based on a Number of Years
annuity option is described above in
"Annuity Payments - Payments Based on a
Number of Years". The following calculations
- 8 -
<PAGE>
apply to all other annuity options.
FIXED ANNUITY The dollar amount of each fixed annuity payment
PAYMENTS will stay the same. This amount will be calculated
by applying the contract value that you want to use to
purchase fixed annuity payments, adjusted for any MVA,
to the Fixed Annuity Purchase Rate Table of this
Contract, or the current rates at that time if more
favorable to you. If premium taxes are required
by state law, these taxes will be deducted before the
annuity payments are calculated.
VARIABLE The dollar amount of each variable annuity payment
ANNUITY will vary depending on the investment performance of
PAYMENTS the Portfolios that you selected.
FIRST VARIABLE ANNUITY PAYMENT: The dollar
amount of the first variable annuity payment
is the sum of the payments from each
Portfolio determined by applying the
contract value used to purchase variable
annuity payments, as of the 15th day of the
preceding month, to the Variable Annuity
Purchase Rate Table of this Contract. If the
NYSE is not open on that date, the
calculation will be made on the next day
that the NYSE is open. If premium taxes are
required by state law, these taxes will be
deducted before the annuity payment is
calculated.
SUBSEQUENT VARIABLE ANNUITY PAYMENTS: The
dollar amount of each subsequent variable
annuity payment is the sum of the payments
from each Portfolio, which are determined by
multiplying the number of Annuity Units
credited for that Portfolio by the Annuity
Unit value of that Portfolio as of the 15th
of the month preceding the annuity payment.
If the NYSE is not open on that date, the
calculation will be made on the next day
that the NYSE is open.
NUMBER OF VARIABLE ANNUITY UNITS: The
number of Annuity Units credited for
each Portfolio is the amount of the
first annuity payment attributable to
that Portfolio divided by the value of
the applicable Annuity Unit for that
Portfolio as of the 15th day of the
month preceding the Annuity Date. The
number of Annuity Units used to
calculate the variable annuity payment
each month remains constant unless you
change Portfolio elections.
VALUE OF VARIABLE ANNUITY UNITS: The
value of an Annuity Unit will usually
increase or decrease from one month to
the next. For each month after the first
month, the value of an Annuity Unit of a
particular Portfolio is:
- the value of that Annuity Unit as of
the 15th day of the preceding month (or
the next day that the NYSE is open);
- multiplied by the Net Investment Factor(s)
for that Portfolio; and
- divided by the Assumed Investment Factor
for the period.
The Net Investment Factor is a number
that represents the change in the
Accumulation Unit value of a Portfolio
on successive days when the NYSE is
open. The Net Investment Factor for any
Portfolio for any valuation day is
determined by dividing the current
Accumulation Unit value by the prior
day's Accumulation Unit value. The Net
Investment
- 9 -
<PAGE>
Factor will likely be different than the
Assumed Investment Factor, and therefore the
Annuity Unit value will usually increase or
decrease.
The Assumed Investment Factor for a
one-day valuation period is 1.00010746.
This factor neutralizes the assumed
investment return of 4% in the Variable
Annuity Purchase Rate Table.
We guarantee that the dollar amount of each
variable annuity payment made after the
first payment will not be adversely affected
by variations in actual mortality experience
or actual expenses incurred in excess of the
expense deductions provided for in the
Contract.
CHANGING After the Annuity Date, you may request to
PORTFOLIO change Portfolio elections once a month.
ELECTIONS Transfers are not allowed to or from the Fixed
AFTER THE Account Options. Changes will affect the
ANNUITY DATE number of units used to calculate annuity payments.
===============================================================================
DEATH BENEFIT PROVISIONS
===============================================================================
DEATH OF ANNUITANT If the Annuitant is not an Owner and the Annuitant
PRIOR TO THE dies before the Annuity Date, you must designate a new
ANNUITY DATE Annuitant. If no designation is made within 30 days
after we are notified of the Annuitant's death, you
will become the Annuitant.
If this Contract is owned by a non-natural person
(for example, a corporation or trust), the death of
the Annuitant will be treated as the death of the Owner.
DEATH OF OWNER If any Owner dies before the Annuity Date, we will pay
PRIOR TO THE a death benefit to the:
ANNUITY DATE - surviving Owner or joint Owner; or if none, then
- surviving primary Beneficiary(ies); or if none,
then
- surviving contingent Beneficiary(ies); or if none,
then
- the estate of the last Owner to die.
CALCULATION OF The death benefit is the higher of:
DEATH BENEFIT (1) the current contract value; or
(2) if the death benefit is payable upon the sole
Owner's or oldest joint Owner's death, the
minimum guaranteed death benefit.
When determining the higher of (1) or (2) above,
the calculations are based on the earlier of:
- the date we receive proof of death and the
Beneficiary's election of how to receive payment;
or
- six months from the date of death.
For the purpose of comparing these amounts to
determine which is higher, we will not adjust the
current contract value for any applicable MVA. However,
if we determine that the current contract value is the
higher amount and if the death benefit is withdrawn
within 60 days after we receive proof of death, we
will increase the death benefit for a positive MVA but
we will not decrease it for a negative MVA. If the
death benefit is
- 10 -
<PAGE>
withdrawn more than 60 days after we receive proof of
death, any MVA, whether positive or negative, will
apply.
REQUIRED INFORMATION RECEIVED WITHIN 6
MONTHS OF THE DATE OF DEATH: If the
minimum guaranteed death benefit
exceeds the contract value, we will add
the difference to the contract value on
the date we receive the required
information so that the contract value
will equal the minimum guaranteed death
benefit. This additional amount will be
allocated to the investment options in
accordance with instructions we receive
from the Beneficiary. Thereafter, the
contract value will be subject to
investment performance and applicable
charges until the date the death
benefit is paid.
REQUIRED INFORMATION RECEIVED MORE THAN
6 MONTHS AFTER THE DATE OF DEATH: If
the minimum guaranteed death benefit
exceeds the contract value on the
6-month anniversary of the date of
death, we will credit the difference
with interest at the prevailing money
market rates from the 6-month
anniversary until the date we receive
the required information. At that time
we will allocate this additional
amount, with the credited interest, to
the investment options in accordance
with instructions we receive from the
Beneficiary. Thereafter, the contract
value will be subject to investment
performance and applicable contract
charges until the date payment is made.
The initial minimum guaranteed death benefit
is equal to the first Purchase Payment. It
is reset on each 5-year contract anniversary
until the oldest Owner attains age 75. The
reset benefit is equal to the immediately
preceding minimum guaranteed death benefit
or the contract value on that date, if
higher.
The minimum guaranteed death benefit is
immediately increased by additional Purchase
Payments and adjusted for withdrawals and
annuity payments made under the Payments
Based on a Number of Years annuity option.
After such withdrawal or annuity payment,
the minimum guaranteed death benefit will be
recalculated by multiplying the prior
minimum guaranteed death benefit by the
ratio of the contract value after the
withdrawal or annuity payment to the
contract value before the withdrawal or
annuity payment.
PAYMENT OF To pay the death benefit, we need proof of death,
DEATH BENEFIT such as a certified copy of a death certificate,
plus written direction from the Beneficiary regarding
how he or she wants to receive the money. If the
death benefit is payable to an Owner's
estate, we will pay it in a single payment.
The Beneficiary may elect to receive the death
benefit as:
- a lump sum payment or series of withdrawals that
are completed within five years from the date of
death; or
- annuity payments made over the Beneficiary's life
or life expectancy. To receive annuity payments,
the Beneficiary must make this election within
60 days from our receipt of proof of death.
Annuity payments must begin within one year from
the date of death. Once annuity
- 11 -
<PAGE>
payments begin, they cannot be changed.
If the Beneficiary is the Owner's spouse,
the spouse may have the option to continue
the Contract and will then be the Owner of
the Contract. If this spouse is also the
oldest joint Owner, the minimum guaranteed
death benefit will apply on the death of
this spouse. Otherwise, the benefit on the
death of your spouse will be the contract
value.
If a Beneficiary entitled to receive a death
benefit dies before the death benefit is
distributed to the Beneficiary, we will pay
the death benefit to the Beneficiary's named
Beneficiary or, if none, to the
Beneficiary's estate.
DEATH OF ANNUITANT If the Annuitant is not the Owner and dies after the
ON OR AFTER Annuity Date, then we will continue paying any
THE ANNUITY DATE remaining annuity payments to the Owner.
DEATH OF OWNER If the Owner dies after the Annuity Date, then any
ON OR AFTER amounts paid after the death of the Owner will depend
THE ANNUITY DATE on which annuity option was selected. If the Owner dies
while annuity payments are being paid under the
Payments Based on a Number of Years annuity option,
we will pay a death benefit calculated in the same
manner as a death benefit determined during the
Accumulation Phase. If the Owner dies while annuity
payments are being paid under another option, we will
pay any remaining annuity payments in accordance
with that option. We will pay remaining annuity
payments at least as rapidly as under the annuity
option then in effect. The right to receive the death
benefit or change the payee for remaining annuity
payments is determined as follows:
- the surviving Owner or joint Owner; or if none,
then
- the surviving primary Beneficiary(ies); or if none,
then
- the surviving contingent Beneficiary(ies); or if
none, then
- the estate of the last Owner to die.
===============================================================================
GENERAL PROVISIONS
===============================================================================
ACCOUNT At least once each calendar year we will
STATEMENTS furnish you with a statement showing your
contract value or, if applicable and
required by law, your Annuity Units and the
Annuity Unit values.
ASSIGNMENT You can assign or otherwise transfer this
OF BENEFITS Contract. To the extent allowed by law,
payments under this Contract are not
subject to legal process for the claims of
creditors.
COMMUNICATIONS All written communications to you will be
addressed to you at your last known
address on file with SAFECO Life.
All written communications to SAFECO Life
must be addressed to SAFECO Life at its Home
Office at 5069 154th Place NE, Redmond,
Washington 98052-9669 or P.O. Box 34690,
Seattle, Washington 98124-1690.
- 12 -
<PAGE>
ESSENTIAL DATA You and each person entitled to receive
benefits under this Contract must provide us
with any information we need to administer
this Contract. We are entitled to rely
exclusively on the completeness and accuracy
of data furnished by you and we will not be
liable with respect to any omission or
inaccuracy.
EVIDENCE OF SURVIVAL When any payments under this Contract
depend upon any person being alive on a
given date, we may require satisfactory
proof that the person is living before
making such payments.
MISSTATEMENT OF AGE OR SEX We may require satisfactory proof of
correct age or sex at any time. If
annuity payments are based on life or life
expectancy and the age or sex of any
Annuitant has been misstated, annuity
payments will be based on the corrected
information. Underpayments will be made up
in a lump sum with the next scheduled
payment. Overpayments will be deducted
from future payments until the total
is repaid.
NONPARTICIPATION This Contract is nonparticipating, which
means it will not share in any distribution
of profits, losses, or surplus of SAFECO
Life.
SEPARATE ACCOUNT The Separate Account holds the assets that
underlie the contract values invested in the
Portfolios. The assets in the Separate
Account are the property of SAFECO Life.
However, assets in the Separate Account
that are attributable to Contracts are not
chargeable with liabilities arising out of
any other business we may conduct. Income,
gains and losses (realized and unrealized),
resulting from assets in the Separate
Account are credited to or charged against
the Separate Account without regard to other
income, gains or losses of SAFECO Life.
STATE REQUIRED BENEFITS The benefits of this Contract will not be
less than the minimum benefits required by
any statute of any state in which this
Contract is delivered.
SUSPENSION OF ANNUITY PAYMENTS, We may be required to suspend or postpone
WITHDRAWALS, OR TRANSFERS payment of annuity payments, withdrawals,
or transfers from the Portfolios for any
period of time when:
- the NYSE is closed (other than
customary weekend or holiday
closings);
- trading on the NYSE is restricted;
- an emergency exists such that
disposal of or determination of the
value of the Portfolio shares is
not reasonably practicable; or
- the SEC, by order, so permits for
your protection.
In addition, we retain the right to defer
payment of withdrawals or transfers from the
Fixed Account Options for a period of 6
months after receiving the request. The
interest rate credited to the Fixed Account
Options during this period will not be less
than the rate required under state law.
TERMINATION OF CONTRACT This Contract will terminate when SAFECO
Life has completed all of its duties and
obligations under the Contract.
- 13 -
<PAGE>
THE CONTRACT The Contract, contract data page, and
contract application, as may be amended,
and any endorsements are the entire
Contract. Only an authorized officer of
SAFECO Life may change this Contract. Any
change must be in writing. SAFECO Life
reserves the right to change the provisions
of this Contract to conform to any
applicable law, regulation, or ruling issued
by a government agency.
VOTING RIGHTS SAFECO Life is the legal owner of the
Portfolios' shares. However, when a
Portfolio solicits proxies in connection
with a shareholder vote, we are required to
ask you for instructions as to how to vote
those shares. All shares are voted in the
same proportion as the instructions we
received. Should we determine that we are no
longer required to comply with the above, we
will vote the shares in our own right.
- 14 -
<PAGE>
===============================================================================
ANNUITY PURCHASE RATE TABLES
===============================================================================
VARIABLE ANNUITY PURCHASE RATE TABLE
MORTALITY TABLE USED: The rates in the Variable Annuity Purchase Rate Table are
based upon the Annuity 2000 Mortality Table projected 20 Years. An age setback
of 1 year will be used if the annuity payments begin in the year 2013-2022, 2
years if the annuity payments begin in the year 2023-2032, and an additional
1-year setback for each additional 10 years. The assumed investment return in
the table is 4.00%.
Age is to be taken for the exact number of years and completed months. Values
for fractional ages are obtained by simple interpolation. Consideration for ages
or combination of lives not shown will be furnished by SAFECO Life upon request.
CONSIDERATION REQUIRED TO PURCHASE $1 OF MONTHLY VARIABLE ANNUITY*
<TABLE>
<CAPTION>
LIFE ANNUITY LIFE ANNUITY LIFE ANNUITY 100% JOINT & SURVIVOR**
NO PERIOD CERTAIN 5 YEARS CERTAIN 10 YEARS CERTAIN 5 YEARS
LIFE CERTAIN
AGE MALE FEMALE MALE FEMALE MALE FEMALE ANNUITY AND LIFE
<S> <C> <C> <C> <C> <C> <C> <C> <C>
60 $197.53 $212.16 $198.19 $212.54 $200.20 $213.72 $230.94 $231.73
61 193.64 208.52 194.37 208.94 196.57 210.24 227.76 228.55
62 189.65 204.77 190.44 205.23 192.88 206.66 224.45 225.24
63 185.55 200.90 186.42 201.42 189.13 202.98 221.03 221.82
64 181.35 196.93 182.31 197.50 185.33 199.22 217.48 218.27
65 177.06 192.84 178.12 193.47 181.50 195.37 213.81 214.59
66 172.68 188.65 173.87 189.33 177.63 191.43 210.02 210.80
67 168.23 184.34 169.56 185.09 173.76 187.42 206.09 206.87
68 163.72 179.91 165.22 180.74 169.88 183.34 202.05 202.82
69 159.18 175.37 160.85 176.29 166.01 179.20 197.88 198.65
70 154.60 170.71 156.48 171.73 162.17 175.01 193.59 194.36
71 150.02 165.94 152.11 167.08 158.37 170.78 189.18 189.96
72 145.44 161.07 147.76 162.36 154.62 166.52 184.66 185.44
73 140.86 156.11 143.42 157.57 150.93 162.26 180.03 180.82
74 136.27 151.08 139.09 152.73 147.30 158.01 175.30 176.10
75 131.68 145.99 134.77 147.87 143.74 153.79 170.48 171.30
76 127.09 140.88 130.49 143.00 140.26 149.63 165.58 166.41
77 122.51 135.74 126.25 138.13 136.87 145.54 160.59 161.45
78 117.95 130.59 122.05 133.29 133.58 141.54 155.55 156.44
79 113.42 125.44 117.92 128.46 130.42 137.65 150.44 151.38
80 108.93 120.28 113.85 123.67 127.38 133.89 145.29 146.29
81 104.49 115.13 109.87 118.94 124.48 130.28 140.10 141.17
82 100.10 110.01 105.98 114.28 121.74 126.86 134.89 136.05
83 95.78 104.94 102.19 109.72 119.16 123.63 129.67 130.95
84 91.53 99.92 98.50 105.28 116.75 120.62 124.46 125.87
85 87.36 94.99 94.94 100.98 114.50 117.82 119.27 120.86
86 83.26 90.15 91.50 96.85 112.41 115.23 114.12 115.93
87 79.24 85.43 88.21 92.92 110.47 112.85 109.02 111.09
88 75.30 80.83 85.06 89.19 108.68 110.66 103.99 106.39
89 71.50 76.43 82.09 85.70 107.04 108.66 99.07 101.85
90 67.84 72.24 79.28 82.44 105.56 106.88 94.29 97.48
</TABLE>
* The consideration shown refers to the net value of the Portfolios used to
purchase a variable annuity after premium taxes or other applicable charges
are deducted. For example, if the Annuitant is a 65-year old male, a Life
Annuity initially equivalent to a monthly income of $1,000 will cost
$177,060. However, because this is a variable annuity, the dollar amount of
this monthly income is not guaranteed and may increase or decrease.
** Annuitant and second Annuitant are assumed to be the same age.
- 15 -
<PAGE>
FIXED ANNUITY PURCHASE RATE TABLE
MORTALITY TABLE USED: The rates in the Fixed Annuity Purchase Rate Table are
based upon the Annuity 2000 Mortality Table projected 20 years. The effective
interest rate assumed in the table is 2.00%.
Age is to be taken for the exact number of years and completed months. Values
for fractional ages are obtained by simple interpolation. Consideration for ages
or combination of lives not shown will be furnished by SAFECO Life upon request.
CONSIDERATION REQUIRED TO PURCHASE $1 OF MONTHLY FIXED ANNUITY*
<TABLE>
<CAPTION>
LIFE ANNUITY LIFE ANNUITY LIFE ANNUITY 100% JOINT & SURVIVOR**
NO PERIOD CERTAIN 5 YEARS CERTAIN 10 YEARS CERTAIN 5 YEARS
LIFE CERTAIN
AGE MALE FEMALE MALE FEMALE MALE FEMALE ANNUITY AND LIFE
<S> <C> <C> <C> <C> <C> <C> <C> <C>
60 $255.94 $279.92 $256.65 $280.33 $258.98 $281.70 $311.12 $312.00
61 249.36 273.38 250.13 273.83 252.70 275.34 304.87 305.74
62 242.72 266.76 243.56 267.26 246.40 268.91 298.51 299.38
63 236.01 260.05 236.93 260.60 240.09 262.42 292.04 292.90
64 229.25 253.27 230.27 253.88 233.78 255.88 285.46 286.33
65 222.44 246.42 223.57 247.09 227.50 249.29 278.79 279.65
66 215.61 239.50 216.87 240.23 221.25 242.67 272.02 272.88
67 208.76 232.51 210.18 233.31 215.06 236.02 265.15 266.01
68 201.92 225.45 203.52 226.33 208.93 229.36 258.20 259.05
69 195.12 218.32 196.91 219.30 202.90 222.69 251.16 252.02
70 188.37 211.14 190.37 212.22 196.98 216.04 244.06 244.91
71 181.68 203.90 183.91 205.12 191.19 209.41 236.88 237.74
72 175.07 196.62 177.54 198.00 185.53 202.84 229.66 230.51
73 168.55 189.33 171.28 190.88 180.01 196.34 222.38 223.25
74 162.10 182.04 165.10 183.81 174.64 189.94 215.08 215.95
75 155.71 174.78 159.01 176.79 169.43 183.67 207.75 208.64
76 149.41 167.58 153.04 169.85 164.39 177.55 200.41 201.33
77 143.20 160.44 147.18 163.00 159.52 171.61 193.08 194.03
78 137.08 153.39 141.45 156.26 154.85 165.86 185.77 186.75
79 131.07 146.41 135.87 149.64 150.39 160.32 178.49 179.52
80 125.19 139.52 130.43 143.14 146.14 155.02 171.25 172.34
81 119.42 132.74 125.16 136.80 142.13 149.99 164.06 165.23
82 113.80 126.08 120.06 130.63 138.35 145.25 156.95 158.22
83 108.31 119.55 115.13 124.65 134.83 140.82 149.93 151.31
84 102.96 113.18 110.38 118.89 131.56 136.71 143.01 144.54
85 97.76 106.98 105.83 113.37 128.54 132.93 136.21 137.93
86 92.70 100.97 101.48 108.12 125.74 129.45 129.54 131.50
87 87.79 95.16 97.34 103.14 123.18 126.28 123.02 125.27
88 83.02 89.57 93.42 98.48 120.82 123.38 116.67 119.26
89 78.46 84.26 89.74 94.14 118.68 120.77 110.53 113.52
90 74.10 79.24 86.28 90.11 116.76 118.46 104.61 108.05
</TABLE>
* The consideration shown refers to the net value of the Fixed Account used
to purchase a fixed annuity adjusted for any MVA and after premium taxes or
other applicable charges are deducted. For example, if the Annuitant is a
65-year old male, a Life Annuity which provides a guaranteed monthly income
of $1,000 will cost $222,440.
** Annuitant and second Annuitant are assumed to be the same age.
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