AUSA FINANCIAL FREEDOM BUILDER
SUPPLEMENT DATED JUNE 21, 1999
TO
PROSPECTUS DATED MAY 5, 1999
THE FOLLOWING INFORMATION REPLACES THE FIRST SIX PARAGRAPHS, IN THEIR ENTIRETY,
UNDER THE SECTION "THE POLICY - WHEN INSURANCE COVERAGE TAKES EFFECT" ON PAGE 21
OF THE PROSPECTUS:
WHEN INSURANCE COVERAGE TAKES EFFECT
Insurance coverage under the Policy will take effect only if the
insured(s) is alive and in the same condition of health as described in the
application when the Policy is delivered to the owner, and if the initial
premium is paid.
CONDITIONAL INSURANCE COVERAGE. If you pay the full initial premium listed
in the conditional receipt attached to the application, and we deliver the
conditional receipt to you, you will have conditional insurance coverage under
the terms of the conditional receipt. Conditional insurance coverage is void if
the check or draft you gave us to pay the initial premium is not honored when we
first present it for payment.
THE AMOUNT OF o the specified amount applied for; or
CONDITIONAL INSURANCE o $300,000
COVERAGE IS THE LESSER OF: reduced by all amounts payable under all life
insurance applications that the insured has pending
with us.
CONDITIONAL LIFE o the date of your application; or
INSURANCE COVERAGE o the date the insured completes all of the
BEGINS ON THE LATER OF: initial medical tests and examinations that
we require; or
o the date of issue, if any, requested in the
application.
CONDITIONAL LIFE o the date we determine the insured has
INSURANCE COVERAGE satisfied our underwriting requirements and
TERMINATES the insurance applied for takes effect (the
AUTOMATICALLY ON Policy date); or
THE EARLIEST OF: o 60 days from the date the application was
completed; or
o the date we determine that any person
proposed for insurance in the application is
not insurable according to our rules, limits
and standards for the plan, amount and rate
class shown in the application; or
o the date we modify the plan, amount, riders
and/or the premium rate class shown in the
application, or any supplemental agreements.
After 5 days we will mail notice of the
ending of coverage and we will refund the
first premium to the applicant at the address
shown on the application.
SPECIAL LIMITATIONS OF THE o the conditional receipt will be VOID:
CONDITIONAL RECEIPT - if not signed by an authorized agent
of AUSA Life; or
- in the event the application
contains any fraud or material
misrepresentation; or
- if, on the date of the conditional
receipt, the proposed insured is
under 15 days of age or over 80
years of age.
o the conditional receipt does not provide
benefits for accidental death benefits.
o the conditional receipt does not provide
benefits if any proposed insured commits
suicide. In this case, AUSA Life's liability
will be limited to return of the first
premium paid with the application.
WRL00020-6/99
