Common use of CONTRACT VALUE IN THE VARIABLE ACCOUNT Clause in Contracts

CONTRACT VALUE IN THE VARIABLE ACCOUNT. The Contract Value in the Variable Account is the sum of the Contract Values in each Sub-Account of the Variable Account. On any day which is a Valuation Date, the Contract Value in each Sub-Account is the number of units in the Sub-Account multiplied by the Unit Value on that date. On any date after the Date of Issue other than a Valuation Date, the Contract Value in a Sub-Account is as determined on the next following Valuation Date. UNITS IN A SUB-ACCOUNT. Money allocated, transferred, or added to a Sub-Account purchases units in that Sub-Account. Any money invested in a Sub-Account increases the number of units of that Sub-Account credited to this contract. Units are redeemed when amounts are deducted, transferred, or withdrawn. The number of units credited to a contract equals the dollar amount directed to each Sub-Account divided by the Unit Value for that Sub-Account for the Valuation Date as of which the dollar amount is invested in the Sub-Account. For each Sub-Account, the number of units purchased or redeemed in connection with a particular transaction is determined by dividing the dollar amount of the transaction by the Unit Value on the day the transaction is performed.