INDIVIDUAL LIFE INSURANCE A Consumer Resource FACTS-AT-A-GLANCE Hartford Variable Universal Life Last Survivor One Permanent Life Insurance Policy Insuring Two Lives NOT INSURED BY FDIC OR ANY FEDERAL GOVERNMENT AGENCY MAY LOSE NOT A DEPOSIT OF OR GUARANTEED VALUE BY ANY BANK OR ANY BANK AFFILIATE FDIC BANK
How the Policy Works Your policy premiums buy life insurance with the potential growth of account value. Once applicable sales charges and taxes are deducted, the net premiums are invested in the investment choices you select. The performance of the investment choices will determine your policy s account value, which will fluctuate. Charges are deducted monthly from the policy account value. The policy value must be sufficient to cover the monthly charges and help ensure that the death benefit is funded. Upon your death, your beneficiary will receive the income tax-free death benefit of the policy minus any outstanding loans or withdrawals. The death benefit may be included in your estate for Federal estate tax purposes. 12 Professional Money Managers Aggressive Growth Hartford Growth Opportunities HLS Fund Hartford International Small Company HLS Fund Putnam VT Capital Opportunities Fund Putnam VT New Opportunities Fund Income American Funds Bond Fund Hartford Mortgage Securities HLS Fund Hartford Total Return Bond HLS Fund Putnam VT High Yield Fund Putnam VT Income Fund Growth and Income American Funds Blue Chip Income and Growth Fund American Funds Growth-Income Fund Fidelity VIP Equity-Income Portfolio Franklin Income Securities Fund Hartford Disciplined Equity HLS Fund Hartford Dividend and Growth HLS Fund Hartford Index HLS Fund Lord Abbett America s Value Portfolio Lord Abbett Growth and Income Portfolio MFS Investors Trust Series Mutual Shares Securities Fund Oppenheimer Main Street Fund /VA Putnam VT Equity Income Fund Putnam VT Growth and Income Fund Van Kampen LIT Comstock Portfolio A Fixed Account is available in certain states. Capital Preservation Hartford Money Market HLS Fund 1 Balanced American Funds Asset Allocation Fund Hartford Advisers HLS Fund MFS Total Return Series Growth AIM V.I. Capital Appreciation Fund AIM V.I. Capital Development Fund AIM V.I. Mid Cap Core Equity Fund AIM V.I. Small Cap Equity Fund AllianceBernstein VPS International Value Portfolio AllianceBernstein VPS Small/Mid Cap Value Portfolio American Funds Global Growth Fund American Funds Global Small Capitalization Fund American Funds Growth Fund American Funds International Fund American Funds New World Fund Fidelity VIP Contrafund Portfolio Fidelity VIP Mid Cap Portfolio Franklin Small Cap Value Securities Fund Hartford International Opportunities HLS Fund Hartford Stock HLS Fund Hartford Value Opportunities HLS Fund MFS New Discovery Series Mutual Discovery Securities Fund Oppenheimer Capital Appreciation Fund/VA Oppenheimer Global Securities Fund/VA Putnam VT International Equity Fund Putnam VT Small Cap Value Fund Putnam VT Voyager Fund Templeton Growth Securities Fund The investment return and principal value of an investment will fluctuate so that an investor s shares, when redeemed, may be worth more or less than their original cost. There are specific risks associated with certain investment options. Please refer to a currently effective prospectus for additional details. 1 An investment in the fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the fund seeks to preserve the value of your investment at $1 per share, it is possible to lose money by investing in the fund. Page 1 of 5 (not valid without all pages)
Features and Benefits Hartford Variable Universal Life Last Survivor is a life insurance policy covering two lives. The policy pays a death benefit upon the death of the second insured. When properly structured within the context of an estate plan and an irrevocable life insurance trust, the policy can provide income and estate tax-free liquidity. The policy offers a number of flexible features, policy access and tax advantages. Flexible Features Death Benefit Options At issue, you select one of three options where the death benefit equals: Option A (Level Option): the current face amount, subject to certain limitations. Option B (Return of Account Value Option): the current face amount plus the account value on the date proof of death is received. Option C (Return of Premium Option): the current face amount plus the lesser of a) the sum of all paid premiums, or b) the Return of Premium limit of $5 million. (Available only after issue) Option D (Decreasing Option): Death Benefit equals the current Face Amount plus the lesser of: a) the Account Value on the date we receive proof of the surviving insured s death, or b) the Account Value on the date the Death Benefit Option is changed from Option B to Option D, reduced by any withdrawals. Investment Choices The policy offers a diverse range of variable investment options and a Fixed Account. You may select up to 20 investment choices at any one time. Transfers are subject to changes and restrictions. Premium Payments Minimum Face Amount Face Amount Changes Policy Access Loans* You determine the premium amount and payment schedule. The amount of planned premium can be increased or decreased, with certain limitations. $100,000 (currently) Increase: A minimum increase of $100,000 (based on rules currently in effect) can be requested after your policy s 1 st anniversary. Evidence of insurability will be required. (Minimum increase remains at $100,000 in New York.) Decrease: Decreases are allowed after the policy s 1 st anniversary. Minimum face amount limits will apply based on rules in effect at the time. (In New York, the minimum face amount decrease is $100,000.) Policy loans are available at any time. Your policy secures the loan, and interest will be charged. Minimum loan is $500; maximum is the cash surrender value of your policy. Preferred Loans Withdrawals* Tax Advantages Preferred loans are available after your policy s 10 th anniversary if your policy s account value exceeds the total premiums paid. A lower interest rate is charged on preferred loans. One policy withdrawal is allowed each month without being assessed a $10 per withdrawal charge. Minimum withdrawal is $500; maximum is your policy s cash surrender value minus $1,000. Income tax-free death benefit.** Tax-deferred accumulation of account value. Tax-advantaged transfers between investment choices. Some restrictions may apply on certain transactions. See your current product prospectus for further details. Tax-advantaged access to account value through policy loans and withdrawals. * Assuming a policy is not a Modified Endowment Contract (MEC), access to policy Account Value through loans is free from current Federal taxation and withdrawals are taxed only to the extent that they exceed the policyowner s basis in the policy. Distributions from MECs are subject to Federal income tax to the extent of gain in the policy. Taxable distributions are subject to a 10% additional tax, with certain exceptions. Loans and withdrawals from a permanent life insurance policy will reduce the policy s Account Value and Death Benefit. There may be penalties and fees associated with the use of loans and withdrawals. Depending upon the performance of a VUL policy s investment choices, the Account Value available for loans and withdrawals may be worth more or less than the original amount invested in the policy. ** Death benefit may be included in the estate for Federal estate tax purposes. Page 2 of 5 (not valid without all pages)
Policy Charges As is customary with any permanent life insurance policy, Hartford Variable Universal Life Last Survivor has fees associated with buying, owning and surrendering the policy. The charges include: premium based loads, mortality and expense risk charges, cost of insurance, administrative charges, issue charges, surrender charges and fees and expenses (including 12 b-1fees,where applicable) charged by the funds. Be sure to review the charges shown in the current prospectus and your personalized illustration before you invest or send money. These charges will have a significant impact on policy Account Values. Policy Account Values vary with actual underlying fund performance. Additional Protection No-Lapse Guarantee (NLG) Automatically included where available, the NLG guarantees that the policy will stay in force regardless of investment performance during the NLG period. The policy is guaranteed not to lapse during the specified period as long as the sum of the premiums (less indebtedness and less withdrawals) is at least equal to the cumulative sum of the No Lapse Guarantee Premium for the policy, and there are no outstanding loans. The NLG period is 10 years for issue ages 70 or younger. The NLG is to age 80 for issues ages 71 through 75. It is not available for issue ages over 75. Issue age is based on the younger insured, unless the younger insured is rated uninsurable. Benefits Beyond Age 120 At the policy anniversary after the younger insured s age 120: All optional benefits will terminate. The death benefit option will become Level and the face amount will be set equal to the death benefit. No future premium payments will be allowed. The policy may be surrendered. The policy may terminate due to excessive indebtedness. Interest will continue to be charged on indebtedness. No monthly charges will be taken. Loan repayments will be allowed. Loans and/or withdrawals will not be allowed. Riders The tax consequences of continuing a policy beyond age 100 of an insured are uncertain. Consult your tax advisor. Rider availability may vary by state. Last Survivor Exchange Option Offered automatically at issue ages 20-79, subject to underwriting considerations. Allows replacement of survivorship policy with two individual policies upon divorce or certain tax law changes. Estate Protection Estate Tax Repeal Provides additional term life insurance protection for the first four years. The death benefit is paid upon the second death. This rider is only available when the survivorship policy is issued. There is an additional charge for this rider. Waives surrender charges upon policy termination if there is no Federal estate tax in 2011 and written surrender request is received in January 2011. Managing Policy Account Value Money Managers/ Investment Choices Dollar Cost Averaging Personal Asset Allocation You can select investment choices from a wide range of asset classes. Money management is provided by experienced firms. A technique used to automatically allocate/transfer a set amount on a regular basis to your investment choices. Continuous or periodic investment plans neither assure a profit nor protect against loss in declining markets. Because Dollar Cost Averaging involves continuous investing regardless of fluctuating price levels, you should carefully consider your financial ability to continue investing through periods of fluctuating prices. You determine the asset mix and decide which investment choices work within that mix. You also select an asset rebalancing schedule to automatically rebalance your investment choices to the original percentages chosen. Page 3 of 5 (not valid without all pages)
Additional Specifications Minimum Face Amount at Issue $100,000 Underwriting Classes Preferred Plus Non-Nicotine Preferred Non-Nicotine Preferred Nicotine Standard Non-Nicotine Standard Nicotine Uninsurable: available for one life only Life Insurance Protection from an Industry Leader Life insurance is a promise a promise that is only as good as the company behind the policy. Hartford Life Insurance Company or Hartford Life and Annuity Insurance Company stands behind the death benefit protection promise of your policy. Death benefit guarantee is based on the claims-paying ability of the issuing company. The guarantee does not apply to the variable investment options. Page 4 of 5 (not valid without all pages)
Issuers: Hartford Life Insurance Company (New York) Hartford Life and Annuity Insurance Company (Outside New York) 200 Hopmeadow Street Simsbury, CT 06070 Mailing address for both issuers: P.O. Box 2999, Hartford, CT 06104-2999 Principal Underwriter and Distributor: Hartford Equity Sales Company, Inc. (HESCO) P.O. Box 2999, Hartford, CT 06104-2999 www.hartfordinvestor.com Investment Managers: A I M Investments 11 Greenway Plaza, Suite 100, Houston, TX 77046-1173 (AIM Investments is a registered service mark of AIM Management Group, Inc. AIM Advisors, Inc., AIM Capital Management, Inc., and AIM Private Asset Management, Inc. are the investment advisors for the products and services represented by AIM Investments.) AllianceBernstein Investment Research and Management 1345 Avenue of the Americas, New York, NY 10105 (AllianceBernstein Investment Research and Management, Inc., is an affiliate of Alliance Capital Management L.P., and is a member of the NASD) American Funds 333 South Hope Street, Los Angeles, CA 90071 Fidelity Management & Research Company, Inc. 82 Devonshire Street, Boston, MA 02109 Franklin Advisory Services, LLC One Parker Plaza, Ninth Floor, Fort Lee, NJ 07024 Franklin Mutual Advisers, LLC 101 John F. Kennedy Parkway, Short Hills, NJ 07078 HL Investment Advisors, LLC P.O. Box 2999, Hartford, CT 06104-2999 Investment Sub-Advisers: Hartford Investment Management Company P.O. Box 1744, Hartford, CT 06144-1744 Wellington Management Company, LLP 75 State Street, Boston, MA 02109 Lord, Abbett & Co. 90 Hudson Street, Jersey City, NJ 07302-3973 MFS Investment Management 500 Boylston Street, Boston, MA 02116 OppenheimerFunds P.O. Box 5270, Denver, CO 80217-5270 Putnam Investment Management, LLC One Post Office Square, Boston, MA 02109 Van Kampen Asset Management 1221 Avenue of the Americas, New York, NY 10020 Hartford Variable Universal Life Last Survivor is a flexible premium variable life insurance policy. When issued outside of New York by Hartford Life and Annuity Insurance Company, the policy form number is LA-1287(06). When issued by Hartford Life Insurance Company, the policy form number is HL-19217(06)(NY). Product features may vary by state. This presentation must be preceded or accompanied by a currently effective Hartford Variable Universal Life Last Survivor prospectus and Underlying Funds prospectuses, which can be obtained from your financial professional or by logging on to www.hartfordinvestor.com. The prospectuses contain detailed information, including charges and fees, so please read them carefully before you invest or send money. The prospectus and policy will reflect the appropriate issuing company. This information is written in connection with the promotion or marketing of the matter(s) addressed in this material. The information cannot be used or relied upon for the purpose of avoiding IRS penalties. These materials are not intended to provide tax, accounting or legal advice. As with all matters of a tax or legal nature, you should consult your own tax or legal counsel for advice. The Hartford is The Hartford Financial Services Group, Inc. and its subsidiaries, including the issuing companies of Hartford Life Insurance Company and Hartford Life and Annuity Insurance Company. LCM-06-258-6-06 Printed in U.S.A. 2006 The Hartford, Hartford, CT 06115 Page 5 of 5 (not valid without all pages)