Common use of Surrender Fee Clause in Contracts

Surrender Fee. The Surrender Fee only applies to the Net Purchase Payment(s) portion surrendered and varies according to the elapsed time since deposit (see Contract Schedule I). Net Purchase Payment amounts are withdrawn in the same order they were applied. No Surrender Fee is deducted from any portion of the Net Purchase Payment which is paid: (a) To a Beneficiary due to the Annuitant's death before Annuity payments start, up to a maximum of the aggregate Net Purchase Payment(s) minus the total of all partial surrenders, amounts applied to an Annuity and deductions made prior to the Annuitant's date of death; (b) As a premium for an Annuity option 2, 3 or 4 under this Contract (see 4.07); (c) As a distribution under the SWO provision (see 3.09); (d) At least 12 months after the date of the first Purchase Payment to the Contract, in an amount equal to or less than 10% of the Current Value. This applies to the first surrender request, partial or full, in a calendar year. The Current Value is calculated as of the date the surrender request is received in good order at Aetna's Home Office. This waiver is not available to the Contract Holder while SWO is in effect; (e) For a full surrender where the Contract's Current Value is $2,500 or less and no surrenders have been taken from the Contract within the prior 12 months; (f) By Aetna under 3.16; or (g) If the Annuitant has spent at least 45 consecutive days in a licensed nursing care facility and each of the following conditions are met: (1) more than one calendar year has elapsed since the date the Contract was issued; and (2) the surrender is requested within 3 years of admission to a licensed nursing care facility. This waiver does not apply if the Annuitant was in a nursing care facility at the time the Contract was issued.

Surrender Fee. The For each surrender, the Surrender Fee only applies to the Net Purchase Payment(s) portion surrendered and varies will vary according to the elapsed time since deposit (see Contract Schedule I). Net number of Purchase Payment amounts are withdrawn Cycles completed. The number and amount of Purchase Payments to be made in a year is chosen by the same order they were appliedContract Holder. A Purchase Payment Cycle is completed when this number and amount of Purchase Payments have been made. The number of Purchase Payment Cycles completed may not be greater than the number of whole years since the Contract was issued. For each surrender, the Fee will be as follows: Number of Purchase Payment Cycles Completed Surrender Less than 5 5% 5 or more but less than 7 4% 7 or more but less than 9 3% 9 or 10 2% More than 10 0% No Surrender Fee is deducted from any portion of the Net Purchase Payment Current Value which is paid: (a) To a Beneficiary due to At the Annuitant's death of the Contract Holder before Annuity payments start, up to a maximum of the aggregate Net Purchase Payment(s) minus the total of all partial surrenders, amounts applied to an Annuity and deductions made prior to the Annuitant's date of death; (b) As a premium for an Annuity option 2, 3 or 4 under this Contract (see 4.07)Contract; (c) As a distribution under After the SWO provision (see 3.09)Contract Holder has reached age 59 1/2and 9 or more Purchase Payment Cycles have been completed; (d) At least 12 months On and after the date tenth anniversary of the first Purchase Payment to Effective Date of the Contract, in ; (e) In an amount equal to or less than 10% of the Current Value. This applies to , as part of the first partial surrender request, partial or full, request in a calendar yearyear to a Contract Holder who is at least age 59 1/2 and less than age 70 1/2. The Current Value is calculated as of the date the partial surrender request is received in good order at Aetna's Home Office. This waiver is not available to Any outstanding loans from the Contract Holder while SWO is in effectHolder's Account are excluded when calculating the Current Value. This provision does not apply to partial surrenders due to loan defaults and does not apply to full surrender requests; (ef) For a full surrender where the Contract's Current Value is equal to $2,500 or less and no surrenders have been taken from the Contract within the prior 12 months; (f) By Aetna under 3.16; or (g) If the Annuitant has spent at least 45 consecutive days in a licensed nursing care facility and each Due to an election of the following conditions are met: (1) more than one calendar year has elapsed since the date the Contract was issued; and (2) the surrender is requested within 3 years of admission to a licensed nursing care facility. This waiver does not apply if the Annuitant was in a nursing care facility at the time the Contract was issuedECO or SWO Distribution Options.