EQUITABLE LIFE INSURANCE COMPANY OF IOWA
EQUITABLE LIFE INSURANCE COMPANY OF IOWA SEPARATE ACCOUNT A
Supplement dated December 12, 1996 to
Prospectus dated April 1, 1996
The following information supplements the information contained in the
attached prospectus regarding Qualified Contracts:
Beginning January 1, 1997, the Company will offer the Contracts in
connection with Savings Incentive Match Plan Individual Retirement Annuities
("SIMPLE IRA"). SIMPLE IRA programs can only be established with the approval
of and adoption by the employer of the Owner of the SIMPLE IRA.
Contributions to SIMPLE IRAs will be made pursuant to a salary reduction
agreement in which an Owner would authorize his/her employer to deduct a
certain amount from his/her pay and contribute it directly to the SIMPLE IRA
account. The Owner's employer will also make contributions to the SIMPLE IRA
account in amounts based upon certain elections of the employer. Amounts
withdrawn from a SIMPLE IRA are generally includible in an Owner's gross
income. Like other Qualified Contracts, they may also be subject to a 10%
federal tax penalty. For SIMPLE IRAs, the 10% tax penalty is increased to
25% if the distribution occurs within the first two years after the Owner
first participated in the SIMPLE IRA. Purchasers of Contracts to be qualified
as SIMPLE IRAs should obtain competent tax advice as to the tax treatment and
suitability of such an investment.
