ENDORSEMENT APPLICABLE TO XXXX XXX CONTRACTS
In this endorsement, "we", "our" and "us" mean AXA Equitable Life Insurance
Company and "you" and "your" mean the Owner. For purposes of this Endorsement,
reference to "Contract" will also include Certificate.
When issued with this Endorsement, and as specified in the Data Pages, this
Contract is a "Xxxx XXX Contract" which is issued as an individual retirement
annuity contract, which meets the requirements of Sections 408A and 408(b) of
the Code. [APPLICABLE TO A TRUSTEE OR CUSTODIAL XXXX XXX OWNER] [If the Owner of
this Xxxx XXX Contract is a trustee or custodian under Section 408(a) of the
Code and pertinent Regulations, this Xxxx XXX Contract is an annuity contract
which may be used to fund a Xxxx individual retirement account which meets the
requirements of Sections 408(a) and 408A(b) of the Code.] This Xxxx XXX Contract
is established for the exclusive benefit of you and your beneficiaries, and the
terms below change, or are added to, the applicable sections of this Contract.
Also, your entire interest under the Xxxx XXX Contract is not forfeitable. The
provisions of this Xxxx XXX Endorsement supersede any inconsistent provisions of
the Contract or any other Rider or Endorsement.
PART I - DEFINITIONS
The following is added at the end of the existing definition:
SECTION 1.01 - ANNUITANT:
You must be both the Annuitant and the Owner, unless the Owner is a trustee or
custodian of a Xxxx individual retirement account under Sections 408(a) and
408A(b) of the Code.
The existing definition is replaced by the following:
SECTION 1.20 OWNER
"Owner" means the individual shown on the Data Pages, who must also be the
Annuitant. Joint Owners are not permitted. The Owner of this Contract cannot be
changed.
[APPLICABLE TO A TRUSTEE OR CUSTODIAL XXXX XXX OWNER] [Where the contract is
purchased to fund a Xxxx individual retirement account under Sections 408(a) and
408A(b) of the Code, the Owner must be a trustee or custodian meeting the
requirements of that Section and pertinent Regulations. The Annuitant must be
the individual for whose benefit the individual retirement account is
maintained. In such a case "you" and "your" refer to the Annuitant where
required by context.]
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The following definition is added:
SECTION 1.24A REQUIRED MINIMUM DISTRIBUTION PAYMENTS
"Required Minimum Distribution Payments " means the payments from or with
respect to this Contract which are required by Sections 408(b) and 401(a)(9) of
the Code and are discussed in Section 8.08, "Required Minimum Distributions".
PART III - CONTRIBUTIONS AND ALLOCATIONS
The following is added at the end of the existing provision:
SECTION 3.02 LIMITS ON CONTRIBUTIONS
No Contributions will be accepted unless they are in United States currency. We
reserve the right not to accept funds by electronic means unless they meet our
specifications.
Except as otherwise indicated in this Section or the Data Pages, we will accept
only rollover Contributions from another Xxxx XXX or direct
custodian-to-custodian transfers from another Xxxx individual retirement account
or another Xxxx individual retirement annuity contract which meets the
requirements of Sections 408 and 408A of the Code. We do not accept regular Xxxx
XXX contributions out of current compensation. We do not accept conversion
rollover contributions from a traditional IRA to this Contract.
No Contributions will be accepted under a SIMPLE IRA plan established by any
employer pursuant to Code Section 408(p). Also, no transfer or rollover of funds
attributable to contributions made by a particular employer under its SIMPLE IRA
plan will be accepted from a SIMPLE IRA, that is, an IRA used in conjunction
with a SIMPLE IRA plan, prior to the expiration of the 2 year period beginning
on the date you first participated in that employer's SIMPLE IRA plan.
PART VII - PAYMENT UPON DEATH
SECTION 7.01 BENEFICIARY:
The following sentence is added at the end of the third paragraph of the
existing section:
Unless you specifically elect in writing otherwise, we will treat each
beneficiary's share of the death benefit payable as a separate account for the
benefit of each beneficiary as described in Treasury Regulation Section
1.401(a)(9)-8 Q&A A-2(a)(2) or any successor Regulation.
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SECTION 7.02 PAYMENT UPON DEATH:
The following is added at the end of the existing provision:
Payment upon death is subject to the "Required Minimum Distribution" rules of
Sections 408(b) and 401(a)(9) of the Code. See Part VIII, "Annuity Benefits and
Required Minimum Distributions".
Under either of the following two alternative circumstances, a death benefit
payable as described in this Section will not be paid at your death before a
supplementary contract has been issued and the coverage under this Contract (not
including the [Retirement Income for Life] Benefit) will continue as described
in paragraphs (1) or (2) below, whichever is applicable:
(1) If you are married at the time of your death, and the only person named
as your Beneficiary under Section 7.01 of the Contract is your
surviving spouse, and your surviving spouse elects to become "Successor
Owner and Annuitant" of your Contract, then no death benefit will
become payable until after your surviving spouse's death. Upon your
surviving spouse's election to continue the Contract, the Annuity
Account Value of the Contract will be reset, as of the date we receive
the Beneficiary Requirements described in Section 7.02, to equal the
greater of (i) the Annuity Account Value or (ii) the Guaranteed Minimum
Death Benefit. Any additional amount of Annuity Account Value will be
allocated in accordance with the current allocation instructions on
file. The Successor Owner Annuitant who elects to continue the Contract
may not make any Contributions to the Contract.
(2) If the "Beneficiary Continuation Option" described in Section 7.04 is
in effect.
[APPLICABLE TO A TRUSTEE OR CUSTODIAL IRA OWNER]
If the Owner and the Annuitant are different because the Owner of the
Contract is a trustee or custodian under Section 408(a) of the Code and
pertinent Regulations, in this Section "you" refers to the Annuitant
and your spouse can be named successor Xxxxxxxxx.
Effect of Divorce on Required Payments at Death
If the Contract is issued as a Joint Life Contract, you and your spouse named as
Successor Owner subsequently divorce, and the Contract is not split, then the
following applies on your death before a supplementary contract has been issued.
(On your death after a supplementary contract has been issued, any payments will
continue to be made pursuant to the terms of the supplementary contract.)
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Payments will be made to the surviving Successor Owner, not the
Beneficiary, in accordance with Section 8.08B, "Minimum Distribution
Rules - Required Payments After Death."
The surviving Successor Owner may elect the Beneficiary Continuation
Option described in Section 7.04.
If the surviving Successor Owner elects to take distribution of the
entire interest in the Contract by the end of the calendar year
containing the fifth anniversary of your death, in accordance with
paragraph (b)(3) of Section 8.08B, then he/she has the option to
terminate the [Retirement Income for Life] Benefit on written request
to us.
If the former spouse named as the Successor Owner is the first to die, there is
no effect on the payments.
The following section is added:
SECTION 7.04 BENEFICIARY CONTINUATION OPTION:
Except as otherwise provided herein, this Section will apply only if you die
before a supplementary contract has been issued and a death benefit is payable.
The Beneficiary named in this Contract must be an individual.
With the exception of the following paragraph, this Section does not apply to
any Beneficiary which is not an individual, and that non-individual
Beneficiary's portion of the death benefit described in the Section 7.02 is
payable to the Beneficiary.
This Section 7.04 applies to a non-individual Beneficiary only if it is a "see
through trust". A see through trust is an irrevocable trust, valid under state
law, the only beneficiaries of which are individuals, and which trust has met
applicable documentation requirements under applicable Regulations as we may
determine. If such a "see-through trust" described in Treasury Regulation
Section 1.401(a)(9)-4 Q&A A-5, or any successor Regulation, is the Beneficiary
named in Section 7.01, the successor Xxxxxxxxx is the oldest beneficiary of such
trust.
If this Section 7.04 applies and there is more than one Beneficiary, the Annuity
Account Value (or if greater, the Guaranteed Minimum Death Benefit on the date
we receive all Beneficiary Requirements) will be apportioned among your
Beneficiaries as you designate pursuant to Section 7.01.
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If the Beneficiary qualifies to continue this Contract, and we receive that
Beneficiary's completed election no later than September 30 of the calendar year
following the calendar year of your death and before any contrary election is
made, that Beneficiary may continue your Contract pursuant to this Section under
the terms set forth in (a) through (h) below. The continuation of your Contract
does not include the [Retirement Income for Life] Benefit, which terminates at
your death. Each such Beneficiary electing to continue his or her portion of the
interest under the Contract is a "Continuation Beneficiary". For any Beneficiary
who does not timely elect to continue his or her portion of the interest under
the Contract, we will pay that Beneficiary's share of the death benefit pursuant
to Section 7.02 in a single sum.
a. Each Continuation Beneficiary will automatically become the Annuitant
as defined in the Contract with respect to that Continuation
Beneficiary's portion of the interest in the Contract. If you have
specifically elected under Section 7.01 the "Beneficiary" section of
the Contract that we not separately account for each Beneficiary's
portion of the interest in the Contract, the oldest Continuation
Beneficiary will be the Annuitant for purposes of calculating the
Required Minimum Distribution payments in Section 8.08B (Minimum
Distribution Rules-Required Payments After Death).
b. If the Annuity Account Value is less than the Guaranteed Minimum Death
Benefit on the date we receive all Beneficiary Requirements, then we
will reset such Annuity Account Value to equal such Guaranteed Minimum
Death Benefit, and the Continuation Beneficiary's share of the interest
in the Contract will be determined after any such reset.
c. The Continuation Beneficiary may transfer amounts among the Investment
Options with respect to the Continuation Beneficiary's share of the
interest in the Contract.
d. The Continuation Beneficiary cannot make any additional Contributions
to the Contract.
e. Distributions to the Continuation Beneficiary with respect to that
Continuation Beneficiary's portion of the interest in the Contract will
be made in accordance with requirements described in Section 8.08B
(Minimum Distribution Rules-Required Payments After Death).
f. A Continuation Beneficiary may withdraw the Annuity Account Value
apportioned to such Continuation Beneficiary at any time; withdrawals
made after we have received a Continuation Beneficiary's election to
continue this Contract are not subject to a Withdrawal Charge.
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g. Upon a Continuation Beneficiary's death, we will make a single sum
payment to the person designated by the deceased Continuation
Beneficiary to receive that deceased Continuation Beneficiary's portion
of the Annuity Account Value, if any remains. In the alternative, the
deceased Continuation Beneficiary's designated beneficiary may elect to
continue the payment method originally elected by the deceased
Continuation Beneficiary in accordance with paragraph (b)(1) or (b)(2)
of Section 8.08B (Minimum Distribution Rules-Required Payments After
Death).
h. The Continuation Beneficiary may not assign his/her share of the
interest in the Contract. The Contract cannot be assigned and must
continue in your name for benefit of your Continuation Beneficiary.
PART VIII - ANNUITY BENEFITS
The title of this Part is changed to "Annuity Benefits and Required Minimum
Distributions".
The following section is added:
SECTION 8.08B REQUIRED MINIMUM DISTRIBUTION RULES--REQUIRED PAYMENTS AFTER
DEATH:
This Contract is subject to these "Required Minimum Distribution" rules of
Sections 408(b) and 401(a)(9) of the Code and the Treasury Regulations which
apply.
No amount is required to be distributed prior to your death.
(a) Notwithstanding any provision of this Contract to the contrary, the
distribution of your interest in this Contract will be made in
accordance with the requirements of Code Section 408(b)(3), as modified
by Code Section 408A(c)(5), and the Regulations thereunder, the
provisions of which are herein incorporated by reference.
Prior to the date that the Contract is annuitized, distribution of your
interest in this Contract (as determined under paragraph (c) of this
Section 8.08B) must satisfy the requirements of Code Section 408(a)(6),
as modified by Code Section 408A(c)(5), and the Regulations thereunder.
(b) Upon your death your entire interest in this Contract will be
distributed at least as rapidly as follows:
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(1) If the designated beneficiary is someone other than your
surviving spouse, as described in the immediately following
paragraph, your entire interest will be distributed, starting
by the end of the calendar year following the calendar year of
your death, over the remaining life expectancy of the
designated beneficiary, with such life expectancy determined
using the age of the beneficiary as of his or her birthday in
the year following the year of your death. In the alternative,
the beneficiary may elect to the distribution of your entire
interest, in accordance with paragraph (b)(3) of this Section
8.08B below.
(2) If your sole designated beneficiary is your surviving spouse,
your entire interest will be distributed, starting by the end
of the calendar year following the calendar year of your death
(or by the end of the calendar year in which you would have
attained age 70-1/2, if later), over your surviving spouse's
life. In the alternative, your surviving spouse may elect to
take distribution of your entire interest in accordance with
paragraph (b)(3) of this Section 8.08B below. If your
surviving spouse dies before these required distributions
commence to him or her, the remaining interest will be
distributed, starting by the end of the calendar year
following the calendar year of your surviving spouse's death,
over the remaining life expectancy of your surviving spouse's
designated beneficiary, determined using such beneficiary's
age as of his or her birthday in the year following the death
of your surviving spouse. In the alternative, your surviving
spouse's designated beneficiary may elect to take distribution
of your entire interest in accordance with paragraph (b)(3) of
this Section 8.08B below. If your surviving spouse dies after
these required distributions commence to him or her, any
remaining interest will continue to be distributed under the
Annuity Benefit or other option under the Contract.
(3) If there is no individual designated as beneficiary, or if
applicable by operation of paragraph (b)(1) or (b)(2) of this
Section 8.08B above, the entire interest will be distributed
by the end of the calendar year containing the fifth
anniversary of your death (or of your surviving spouse's death
in the case of your surviving spouse's death before
distributions are required to begin under paragraph (b)(2) of
this Section 8.08B above).
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(4) Life expectancy is determined using the Single Life Table in
Q&A-1 of Treasury Regulation Section 1.401(a)(9)-9 or any
successor Regulation. If distributions are being made to your
surviving spouse as the sole designated beneficiary, such
spouse's remaining life expectancy for a year is the number in
the Single Life Table corresponding to your surviving spouse's
age in the year. In all other cases, remaining life expectancy
for a year is the number in the Single Life Table
corresponding to the beneficiary's age in the year specified
in paragraph (b)(1) or (b)(2) of this Section 8.08B and
reduced by 1 for each subsequent year.
(c) Your "entire interest" in this Contract includes the amount of any
outstanding rollover, transfer and recharacterization under Q&As-7 and
-8 of Treasury Regulation Section 1.408-8 or any successor Regulation
and, in addition to the dollar amount credited, the actuarial present
value of any additional benefits that will be provided under this Xxxx
XXX Contract, such as survivor benefits in excess of the dollar amount
credited.
(d) For purposes of paragraph (b)(2) of this Section 8.08B above, required
distributions are considered to commence on the date distributions are
required to begin to your surviving spouse under such paragraph.
However, if distributions start prior to the applicable date in the
preceding sentence, on an irrevocable basis (except for acceleration)
under an annuity contract meeting the requirements of Treasury
Regulation Section 1.401(a)(9)-6 or any successor Regulation thereto,
then required distributions are considered to commence on the annuity
starting date.
(e) If the designated beneficiary is your surviving spouse, and a Successor
Owner and Annuitant option (described in Section 7.02) is elected, or
if the Contract is issued as a Joint Life Contract, and the Successor
Owner named in the Contract is also your spouse at death, distribution
of your interest need not be made until after your surviving spouse's
death.
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PART X - GENERAL PROVISIONS
The following is added at the end of the existing section:
SECTION 10.02 STATUTORY COMPLIANCE
If an annuity under the Contract fails to qualify as a Xxxx individual
retirement annuity under Sections 408(b) and 408A(b) of the Code, we will have
the right to terminate the Contract. We may do so, upon receipt of notice of
such fact, before a supplementary contract has been issued. In that case, we
will pay the Annuity Account Value less a deduction for the part which applies
to any Federal income tax payable by you which would not have been payable with
respect to a Xxxx individual retirement annuity which meets the terms of
Sections 408(b) and 408A(b) of the Code.
However, we may also, at your request, transfer the Annuity Account Value to
another annuity contract issued by an affiliate, subsidiary or us.
The following is added at the end of the existing section:
SECTION 10.04 REPORTS AND NOTICES
We will send you a report as of the end of each calendar year showing the status
of the Contract and any other reports required by the Code. We will also send to
you information on Required Minimum Distributions as is prescribed by the
Commissioner of Internal Revenue.
The existing provision is replaced by the following:
SECTION 10.05 ASSIGNMENTS, NONTRANSFERABILITY, NONFORFEITABILITY
You may not transfer this Contract.
Your rights under this Contract may not be assigned, pledged or transferred
except as required by law. You may not name a new Owner, except as described in
this Endorsement in relation to Payment Upon Death.
NEW YORK,
AXA EQUITABLE LIFE INSURANCE COMPANY
/s/Xxxxxxxxxxx X. Xxxxxxx /s/Xxxxxxx Xxxxxxx
------------------------- ------------------
Xxxxxxxxxxx X. Xxxxxxx Xxxxxxx Xxxxxxx
President, Chairman and Senior Vice President, Secretary
Chief Executive Officer and Associate General Counsel
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