<PAGE>
SELECT DIMENSIONS VARIABLE ANNUITY
SERIES I
SEPARATE ACCOUNT THREE
HARTFORD LIFE INSURANCE COMPANY
SUPPLEMENT DATED OCTOBER 2, 2000 TO THE PROSPECTUS DATED MAY 1, 2000
In the section entitled "Definitions," the definition of "Commuted Value" is
deleted and replaced with the following:
COMMUTED VALUE -- The present value of any remaining guaranteed Annuity Payouts.
This amount is calculated using the Assumed Investment Return for variable
dollar amount Annuity Payouts or the underlying rate of return for fixed dollar
amount Annuity Payouts.
In the "Highlights" section under the sub-section "Can I take out any of my
money?", the first paragraph is deleted and replaced with the following
language:
You may Surrender all or part of the amounts you have invested at any time
before we start making Annuity Payouts. Once Annuity Payouts begin, you may take
full or partial Surrenders under the Payments for a Designated Period, Life
Annuity with 120, 180 or 240 Monthly Payments Certain or the Joint and Last
Survivor Life Annuity Payout Options, but only if you selected the variable
dollar amount Annuity Payouts.
- You may have to pay income tax on the money you take out and, if you
Surrender before you are age 59 1/2, you may have
to pay an income tax penalty.
- You may have to pay a Contingent Deferred Sales Charge on the money you
Surrender.
In the "Highlights" section, under the subsection "What Annuity Payout Options
are available?" the second paragraph is deleted and replaced with the following:
You must begin to take payments before the Annuitant's 90th birthday or the end
of the 10th Contract Year, whichever comes later, unless you elect a later date
to begin receiving payments subject to the laws and regulations then in effect
and our approval. If you do not tell us what Annuity Payout Option you want
before that time, we will pay you under the variable Life Annuity with 120, 180
or 240 Monthly Payments Certain Annuity Payout Option with period certain
payments for 120 months. If your Contract is issued in New York, you cannot
defer beyond the Annuitant's 90th birthday. Please consult your Registered
Representative or call us.
In the "General Contract Information" section, immediately under the table
entitled "Hartford's Ratings" the following paragraph is added:
These ratings apply to Hartford's ability to meet its obligations under the
Contract. The ratings do not apply to the Separate Account or the underlying
Funds.
In the "Surrenders" section, under the sub-section entitled "What kinds of
surrenders are available?", the paragraph entitled "Partial Surrenders after the
Annuity Commencement Date" is deleted and replaced with the following language:
PARTIAL SURRENDERS AFTER THE ANNUITY COMMENCEMENT DATE -- Partial Surrenders are
permitted after the Annuity Commencement Date if you select the Life Annuity
with 120, 180 or 240 Monthly Payments Certain or the Payments for a Designated
Period Annuity Payout Option. You may take partial Surrenders of amounts equal
to the Commuted Value of the payments that we would have made during the "Period
Certain" or the number of years you select under the Annuity Payout Option that
we guarantee to make Annuity Payouts.
To qualify for partial Surrenders under these Annuity Payout Options you must
elect a variable dollar amount Annuity Payout and you must make the Surrender
request during the Period Certain.
Hartford will deduct any applicable Contingent Deferred Sales Charges.
If you elect to take the entire Commuted Value of the Annuity Payouts we would
have made during the Period Certain, Hartford will not make any Annuity Payouts
during the remaining Period Certain. If you elect to take only some of the
Commuted Value of the Annuity Payouts we would have made during the Period
Certain, Hartford will reduce the remaining Annuity Payouts during the remaining
Period Certain. Annuity Payouts that are to be made after the Period Certain is
over will not change.
PLEASE CHECK WITH YOUR TAX ADVISER BECAUSE THERE COULD BE ADVERSE TAX
CONSEQUENCES FOR PARTIAL SURRENDERS AFTER THE ANNUITY COMMENCEMENT DATE.
<PAGE>
In the "Annuity Payouts" section, under the sub-section entitled, "When do you
want Annuity Payouts to begin?", the third and fourth sentences of the first
paragraph are deleted and replaced with the following language:
The Annuity Commencement Date cannot be deferred beyond the Annuitant's 90th
birthday or the end of the 10th Contract Year, whichever is later unless you
elect a later date to begin receiving payments subject to the laws and
regulations then in effect and our approval. If your Contract is issued in New
York, you cannot defer beyond the Annuitant's 90th birthday. If this Contract is
issued to the trustee of a Charitable Remainder Trust, the Annuity Commencement
Date may be deferred to the Annuitant's 100th birthday.
In the "Annuity Payouts" section, under the subsection "2. Which Annuity Payout
Option do you want to use?" under the subsection "Important Information", that
last two bulleted paragraphs are deleted and replaced with the following:
- For Non-Qualified Contracts, if you do not elect an Annuity Payout Option,
variable Annuity Payouts will automatically begin on the Annuity Commencement
Date under the Life Annuity with 120, 180 or 240 Monthly Payments Certain
Annuity Payout Option with period certain payouts for 120 months.
- For Qualified Contracts and Contracts issued in Texas, if you do not elect an
Annuity Payout Option, variable Annuity Payouts will begin automatically on
the Annuity Commencement Date, under the Life Annuity Payout Option.
In the "Other Programs Available" section, in the paragraph entitled "Automatic
Income" the first sentence is deleted and replaced with the following:
The Automatic Income Program allows you to Surrender up to 10% of your total
Premium Payments each Contract Year without a Contingent Deferred Sales Charge.
The "Accumulation Unit Value" table is deleted and replaced with the following:
ACCUMULATION UNIT VALUES
(For an Accumulation Unit outstanding throughout the period)
The following audited information from the financial statements of the Separate
Account has been audited by Arthur Andersen LLP, independent public accountants,
as indicated in their report with respect thereto, and should be read in
conjunction with those statements which are included in the Statement of
Additional Information, which is incorporated by reference in this Prospectus.
The unaudited information, which reflects the deduction for the Optional Death
Benefit, has been derived from the audited financial statements of the Separate
Account.
<TABLE>
<CAPTION>
YEAR ENDED DECEMBER 31,
------------------------------------------------------------------------------
WITHOUT THE WITH THE OPTIONAL
OPTIONAL DEATH DEATH BENEFIT
BENEFIT (UNAUDITED)
1999 1999 1998 1997 1996 1995
<S> <C> <C> <C> <C> <C> <C>
---------------------------------------------------------------------------------------------------------------------------
MONEY MARKET SUB-ACCOUNT
(Inception date September 14, 1994)
Accumulation Unit Value at beginning of
period $11.728 $11.850 $11.309 $10.901 $10.521 $10.000
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $12.117 $12.105 $11.728 $11.309 $10.901 $10.521
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 898 -- 825 735 501 125
---------------------------------------------------------------------------------------------------------------------------
NORTH AMERICAN GOVERNMENT SECURITIES SUB-
ACCOUNT
(Inception date September 14, 1994)
Accumulation Unit Value at beginning of
period $11.642 $11.763 $11.322 $10.841 $10.536 $10.000
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $11.870 $11.858 $11.642 $11.322 $10.841 $10.536
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 71 -- 72 36 32 5
---------------------------------------------------------------------------------------------------------------------------
BALANCED GROWTH SUB-ACCOUNT
(Inception date September 14, 1994)
Accumulation Unit Value at beginning of
period $17.859 $19.514 $15.829 $13.618 $12.164 $10.000
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $18.230 $18.212 $17.859 $15.829 $13.618 $12.164
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 814 -- 706 369 191 11
---------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
YEAR ENDED DECEMBER 31,
------------------------------------------------------------------------------
WITHOUT THE WITH THE OPTIONAL
OPTIONAL DEATH DEATH BENEFIT
BENEFIT (UNAUDITED)
1999 1999 1998 1997 1996 1995
<S> <C> <C> <C> <C> <C> <C>
---------------------------------------------------------------------------------------------------------------------------
UTILITIES SUB-ACCOUNT
(Inception date September 14, 1994)
Accumulation Unit Value at beginning of
period $20.391 $22.516 $16.918 $13.568 $12.684 $10.000
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $28.899 $28.870 $20.391 $16.918 $13.568 $12.684
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 420 -- 301 146 118 50
---------------------------------------------------------------------------------------------------------------------------
DIVIDEND GROWTH SUB-ACCOUNT
(Inception date September 14, 1994)
Accumulation Unit Value at beginning of
period $24.847 $28.283 $21.045 $16.921 $13.787 $10.000
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $24.631 $24.606 $24.847 $21.045 $16.921 $13.787
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 3,174 -- 3,148 2,483 1,052 304
---------------------------------------------------------------------------------------------------------------------------
VALUE-ADDED MARKET SUB-ACCOUNT
(Inception date September 14, 1994)
Accumulation Unit Value at beginning of
period $19.843 $22.283 $17.936 $14.422 $12.418 $10.000
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $21.945 $21.923 $19.843 $17.936 $14.422 $12.418
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 1,283 -- 1,353 1,136 567 137
---------------------------------------------------------------------------------------------------------------------------
GROWTH SUB-ACCOUNT
(Inception date September 14, 1994)
Accumulation Unit Value at beginning of
period $18.530 $20.335 $16.596 $13.675 $11.224 $10.000
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $25.416 $25.391 $18.530 $16.596 $13.675 $11.224
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 638 -- 301 214 99 27
---------------------------------------------------------------------------------------------------------------------------
AMERICAN OPPORTUNITIES SUB-ACCOUNT
(Inception date September 14, 1994)
Accumulation Unit Value at beginning of
period $25.729 $29.294 $19.951 $15.335 $13.770 $10.000
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $39.532 $39.493 $25.729 $19.951 $15.335 $13.770
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 2,034 -- 1,468 1,022 591 160
---------------------------------------------------------------------------------------------------------------------------
GLOBAL EQUITY SUB-ACCOUNT
(Inception date September 14, 1994)
Accumulation Unit Value at beginning of
period $14.918 $16.178 $13.142 $12.265 $11.162 $10.000
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $19.733 $19.713 $14.918 $13.142 $12.265 $11.162
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 1,056 -- 1,058 920 470 95
---------------------------------------------------------------------------------------------------------------------------
DEVELOPING GROWTH SUB-ACCOUNT
(Inception date September 14, 1994)
Accumulation Unit Value at beginning of
period $20.318 $22.022 $18.896 $16.843 $15.123 $10.000
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $38.574 $38.535 $20.318 $18.896 $16.843 $15.123
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 345 -- 341 361 262 63
---------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
YEAR ENDED DECEMBER 31,
------------------------------------------------------------------------------
WITHOUT THE WITH THE OPTIONAL
OPTIONAL DEATH DEATH BENEFIT
BENEFIT (UNAUDITED)
1999 1999 1998 1997 1996 1995
<S> <C> <C> <C> <C> <C> <C>
---------------------------------------------------------------------------------------------------------------------------
EMERGING MARKETS SUB-ACCOUNT
(Inception date September 14, 1994)
Accumulation Unit Value at beginning of
period $ 7.981 $ 9.750 $11.405 $11.420 $ 9.841 $10.000
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $14.444 $14.430 $ 7.981 $11.405 $11.420 $ 9.841
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 125 1 146 172 118 17
---------------------------------------------------------------------------------------------------------------------------
DIVERSIFIED INCOME SUB-ACCOUNT
(Inception date September 14, 1994)
Accumulation Unit Value at beginning of
period $12.577 $12.511 $12.238 $11.457 $10.607 $10.000
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $12.175 $12.163 $12.577 $12.238 $11.457 $10.607
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 645 -- 1,010 547 224 61
---------------------------------------------------------------------------------------------------------------------------
MIDCAP EQUITY SUB-ACCOUNT
(Inception date January 21, 1997)
Accumulation Unit Value at beginning of
period $11.913 $13.393 $11.433 -- -- --
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $22.568 $22.545 $11.913 $11.433 -- --
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 654 -- 263 155 -- --
---------------------------------------------------------------------------------------------------------------------------
HIGH YIELD SUB-ACCOUNT
(Inception date April 1, 1998)
Accumulation Unit Value at beginning of
period $ 9.993 $10.513 $10.000 -- -- --
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $10.554 $10.544 $ 9.993 -- -- --
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 90 -- 42 -- -- --
---------------------------------------------------------------------------------------------------------------------------
MID-CAP VALUE SUB-ACCOUNT
(Inception date April 1, 1998)
Accumulation Unit Value at beginning of
period $10.072 $10.692 $10.000 -- -- --
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $11.977 $11.965 $10.072 -- -- --
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 67 -- 41 -- -- --
---------------------------------------------------------------------------------------------------------------------------
EMERGING MARKETS DEBT SUB-ACCOUNT
(Inception date April 1, 1998)
Accumulation Unit Value at beginning of
period $ 6.752 $ 7.668 $10.000 -- -- --
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $ 8.615 $ 8.607 $ 6.752 -- -- --
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 7 1 3 -- -- --
---------------------------------------------------------------------------------------------------------------------------
STRATEGIC STOCK SUB-ACCOUNT
(Inception date April 1, 1998)
Accumulation Unit Value at beginning of
period $10.284 $11.812 $10.000 -- -- --
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $10.093 $10.083 $10.284 -- -- --
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 120 -- 66 -- -- --
---------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
YEAR ENDED DECEMBER 31,
------------------------------------------------------------------------------
WITHOUT THE WITH THE OPTIONAL
OPTIONAL DEATH DEATH BENEFIT
BENEFIT (UNAUDITED)
1999 1999 1998 1997 1996 1995
<S> <C> <C> <C> <C> <C> <C>
---------------------------------------------------------------------------------------------------------------------------
ENTERPRISE SUB-ACCOUNT
(Inception date April 1, 1998)
Accumulation Unit Value at beginning of
period $10.652 $11.283 $10.000 -- -- --
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $13.219 $13.206 $10.652 -- -- --
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 161 -- 7 -- -- --
---------------------------------------------------------------------------------------------------------------------------
EMERGING MARKETS EQUITY SUB-ACCOUNT
(Inception date September 7, 1999)
Accumulation Unit Value at beginning of
period $10.000 $10.000 -- -- -- --
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $14.354 $14.347 -- -- -- --
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 8 -- -- -- -- --
---------------------------------------------------------------------------------------------------------------------------
ACTIVE INTERNATIONAL ALLOCATION SUB-ACCOUNT
(Inception date September 20, 1999)
Accumulation Unit Value at beginning of
period $10.000 $10.000 -- -- -- --
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $11.718 $11.713 -- -- -- --
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 1 -- -- -- -- --
---------------------------------------------------------------------------------------------------------------------------
FIXED INCOME SUB-ACCOUNT
(Inception date September 7, 1999)
Accumulation Unit Value at beginning of
period $10.000 $10.000 -- -- -- --
---------------------------------------------------------------------------------------------------------------------------
Accumulation Unit Value at end of period $10.065 $10.061 -- -- -- --
---------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------
Number Accumulation Units outstanding at
end of period (in thousands) 5 -- -- -- -- --
---------------------------------------------------------------------------------------------------------------------------
</TABLE>
HV-2737
333-80738
