QUARTERLY VALUE DEATH BENEFIT RIDER
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This rider forms a part of the Base Contract to which it is attached and is
effective as of the Issue Date of the Base Contract. In the case of a conflict
with any provision in the Base Contract, the provisions of this rider will
control. Defined terms and contractual provisions are set forth in the Base
Contract or are added in this rider. The following hereby replaces the section
of the Base Contract entitled "Death Benefit - Traditional Death Benefit Amount
During the Accumulation Phase". This rider will terminate as indicated in the
"Conditions for Termination of the Quarterly Value Death Benefit Rider" section.
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DEFINITIONS
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DEFINITIONS Definitions specific to this rider that are not
in the Base Contract follow.
BASE CONTRACT The contract to which this rider is attached.
QUARTERLY ANNIVERSARY The day that occurs three, six, and nine
calendar months after the Issue Date or any
Contract Anniversary. Quarterly Anniversaries
also include Contract Anniversaries. If the
Quarterly Anniversary does not occur on a
Business Day, we will consider it to occur on
the next Business Day.
QUARTERLY ANNIVERSARY VALUE A calculation we use in determining the
Quarterly Value Death Benefit value.
QUARTERLY VALUE DEATH The death benefit provided by this rider.
BENEFIT
TERMS DEFINED IN THE The following terms are defined in the Lifetime
LIFETIME PLUS BENEFIT RIDER Plus Benefit Rider. If the Lifetime Plus Benefit
Rider is not attached to your contract, these
terms do not apply to this rider.
(a) Benefit Date.
(b) Excess Withdrawals.
(c) Lifetime Plus Payments.
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PROCEEDS PAYABLE ON DEATH
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QUARTERLY VALUE DEATH The death benefit is equal to the greater of (a)
BENEFIT AMOUNT DURING THE or (b) less any deductions we make to reimburse
ACCUMULATION PHASE ourselves for any applicable Premium Tax.
(a) The Contract Value determined as of the
end of the Business Day during which we
receive in good order at the Service
Center both due proof of death and an
election of the death benefit payment
option.
(b) The Quarterly Value Death Benefit value,
which is the Quarterly Anniversary
Value. We determine the Quarterly
Anniversary Value as of the end of the
Business Day during which we receive in
good order at the Service Center both
due proof of death and an election of
the death benefit payment option.
We only calculate the Quarterly Anniversary
Value until the Business Day during which we
receive in good order at the Service Center both
due proof of death and an election of the death
benefit payment option.
The Quarterly Anniversary Value on the Issue
Date is equal to the Purchase Payment received
on the Issue Date.
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PROCEEDS PAYABLE ON DEATH (CONTINUED)
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QUARTERLY VALUE DEATH On each Business Day we:
BENEFIT AMOUNT DURING THE (a) increase the Quarterly Anniversary Value
ACCUMULATION PHASE by the amount of any additional Purchase
(CONTINUED) Payments received that day, and
(b) we reduce it proportionately by the
percentage of Contract Value applied to
a Partial Annuitization or withdrawn
that day, including any withdrawal
charge. Withdrawals include Lifetime
Plus Payments and Excess Withdrawals.
On each Quarterly Anniversary before the older
Owner's 91st birthday we process any increase or
decrease to the Quarterly Anniversary Value due
to a Purchase Payment received that day, or a
Partial Annuitization or withdrawal taken that
day, after we do the following calculation.
On each Quarterly Anniversary before the older
Owner's 91st birthday the Quarterly Anniversary
Value is equal to the greater of its value on
the immediately preceding Business Day, or the
Contract Value as of that Quarterly Anniversary.
Beginning with the Quarterly Anniversary that
occurs on or after the older Owner's 91st
birthday we calculate the Quarterly Anniversary
Value in the same way that we do on each
Business Day other than a Quarterly Anniversary.
Any part of the death benefit amount that you
invested in the Variable Account remains in the
Variable Account until distribution begins. From
the time we determine the death benefit until it
is completely distributed, any amount in the
Variable Account will be subject to investment
risk, which is borne by the Beneficiary.
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GENERAL PROVISIONS
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CONDITIONS FOR TERMINATION This benefit will terminate on the earliest of:
OF THE QUARTERLY VALUE (a) The Business Day before the Income Date
BENEFIT RIDER that you take a Full Annuitization.
(b) The Business Day that the Quarterly
Value Death Benefit value and the
Contract Value are both zero.
(c) The Business Day that the Accumulation
Portion terminates.
(d) The Business Day that the Base Contract
terminates.
RIDER CHARGE The additional Mortality and Expense Risk Charge
for this rider is shown on the Contract
Schedule or Contract Schedule Addendum, if
applicable.
In all other respects the provisions, conditions, exceptions and limitations
contained in the Base Contract remain unchanged.
Signed for the Company at its home office.
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
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Secretary President
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