Health Care & Retirement

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Important Notice This Summary Plan Description (SPD) booklet is intended to help you understand the main features of the applicable to eligible Employees and to provide information regarding your benefits. This SPD booklet along with the Qualified Changes in Status booklet constitutes the latest SPD booklet of the of The Prudential Welfare Benefits Plan. The Prudential Welfare Benefits Plan also covers other classes of Employees as described in other SPD booklets that cover those specific Employee populations. This SPD booklet is not a substitute for the official Plan Document(s) which governs the operation of the program. All terms and conditions of the program, including your eligibility and any benefits, will be determined pursuant to and are governed by the provisions of the applicable Plan Document(s). If there is any discrepancy between the information in this SPD booklet or in any other Prudential materials relating to the program and the actual Plan Document(s), or if there is a conflict between information discussed by anyone acting on Prudential s behalf and the actual Plan Document(s), the Plan Document(s) as interpreted by the applicable Plan Administrator in its sole discretion will always govern. Prudential may, in its sole discretion, modify, amend, suspend or terminate any and all of its HR policies, programs, Plans, and benefits, including those described in this SPD booklet, in whole or in part, at any time, without notice to or consent of any participant, employee or former employee to the extent permissible under applicable law. Nothing contained in this SPD booklet is intended to constitute or create a contract of employment, nor shall it constitute or create the right to remain associated with or in the employ of Prudential for any particular period of time. In addition, no oral or written statements made by anyone acting on Prudential s behalf are intended to create the right to remain associated with or in the employ of Prudential for any particular period of time. Employment with Prudential is employment-at-will. This means that either you or Prudential may terminate the employment relationship at any time, with or without cause or notice. Enrollment and Election Changes The Prudential Benefits Center Web site is your primary resource when you need to enroll for coverage under the or make changes to your elections. When you process your enrollment or election changes through the Prudential Benefits Center Web site, you will look there to find the instructions and guidance you will need for completing the process and confirming your enrollment or changes. If you have any questions as to whether you are properly completing your transaction, call 1-800-PRU-EASY (1-800-778-3279) and follow the prompts for Health and Welfare benefits. Prudential Benefits Center Representatives are available to assist you between 8 a.m. and 6 p.m., Eastern time, Monday through Friday, except on holidays. For the hearing-impaired, please contact your local relay service. i

Inside You Will Find How to Contact the Prudential Benefits Center...1 Online Access...1 Via the Internet...1 Via the Prudential Intranet...1 Telephone Access...1 Mail Access...1 Terms and Conditions...2 Viewing This SPD Booklet Online...3 About the Prudential Benefits Program...4 Paying for Coverage...5 The Prudential Flexible Benefits Plan...6 About Before-Tax Dollars...7 About After-Tax Dollars...7 Introduction to the...9 Core Company-Provided Benefits...9 Voluntary Benefits...9 Survivor Benefits Life Insurance Program (frozen effective January 1, 2001)...10 Joining the Program...12 Who Is Eligible...12 Who Is Not Eligible...12 Important Notice Regarding Civil Union Partnership...13 Cost of Coverage...13 After-Tax Contributions...13 When You Are Eligible to Enroll...13 How to Enroll...14 For Core Company-Provided Coverage...14 For Voluntary Coverage...14 Enrollment and Election Changes...15 When Coverage Takes Effect...15 For Core Company-Provided Coverage...15 For Voluntary Coverage...15 ii

GUL Insurance...15 Dependent Term Life Insurance...16 Supplemental AD&D Insurance...16 Changes in Your Eligible Earnings...16 Beneficiaries...18 Beneficiary for Dependent Term Life Insurance...18 Beneficiary for Survivor Benefits Life Insurance...18 Basic Group Life Insurance...20 Cost of Coverage...20 Coverage Amount...20 Imputed Income...20 When Benefits Are Paid...21 How Benefits Are Paid...21 Living Benefits Option...21 If You Take a Leave of Absence...21 Unpaid Leave of Absence...21 Paid Leave of Absence...22 If You Are Disabled...22 Waiver of Premium...22 If You Reach Age 70 as an Active Employee...23 If You Retire...24 If Your Employment Ends...24 Group Universal Life Insurance and The Cash Accumulation Fund...26 Group Universal Life Insurance...26 Cost of Coverage...26 After-Tax Contributions...27 Coverage Amount...27 Evidence of Good Health...27 When You Will Be Required to Show Evidence of Good Health...27 When You Are Not Required to Provide Evidence of Good Health...28 Group Universal Life Insurance Cash Accumulation Fund...28 Modified Endowment Contract...29 How to Access Your GUL Fund...29 iii

Paid-Up Insurance...30 Annual Statements...30 When Benefits Are Paid...30 How Benefits Are Paid...30 Living Benefits Option...30 Portability...31 Conversion...31 If You Take a Leave of Absence...32 Unpaid Leave of Absence...32 Paid Leave of Absence...32 If You Are Disabled...33 Waiver of Premium...33 If You Retire...33 If Your Employment Ends...33 Dependent Term Life Insurance...35 Your Eligible Dependents...35 Your Child Must Be Your Qualifying Child or Your Qualifying Relative...38 Qualifying Child or Qualifying Relative...38 Enrolling and Adding Eligible Dependents...39 Restrictions on Eligibility...40 Cost of Coverage...40 After-Tax Contributions...40 Coverage Amount...41 Evidence of Good Health...41 When an Eligible Dependent Ceases to Be Covered...41 When Benefits Are Paid...42 How Benefits Are Paid...42 Portability...42 If You Take a Leave of Absence...43 Unpaid Leave of Absence...43 Paid Leave of Absence...43 If You Are Disabled...44 If You Retire...44 iv

If Your Employment Ends...44 Survivor Benefits Life Insurance...46 Cost of Coverage...46 After-Tax Contributions...46 Coverage Amount...46 Qualified Family Members...47 Adding Qualified Family Members...47 When Benefits Are Paid...48 How Benefits Are Paid...48 Spouse Benefit...48 Children Benefit...48 If You Take a Leave of Absence...49 Unpaid Leave of Absence...49 Paid Leave of Absence...49 If You Are Disabled...50 Waiver of Premium...50 If You Reach Age 65 as an Active Employee...50 If You Retire...51 If Your Employment Ends...51 Basic Accidental Death & Dismemberment Insurance...53 Cost of Coverage...53 Coverage Amount...53 Additional Seat Belt and Air Bag Benefits...55 Specified Aircraft Coverage...55 Exclusions...55 When Benefits Are Paid...56 How Benefits Are Paid...56 If You Take a Leave of Absence...56 Unpaid Leave of Absence...56 Paid Leave of Absence...57 If You Are Disabled...57 If You Reach Age 70 as an Active Employee...57 If You Retire...57 v

If Your Employment Ends...58 Supplemental Accidental Death & Dismemberment Insurance...59 Cost of Coverage...59 After-Tax Contributions...59 Coverage Amount...60 Additional Seat Belt and Air Bag Benefits...62 Specified Aircraft Coverage...62 Exclusions...62 Evidence of Good Health...63 When Benefits Are Paid...63 How Benefits Are Paid...63 If You Take a Leave of Absence...63 Unpaid Leave of Absence...63 Paid Leave of Absence...64 If You Are Disabled...64 If You Retire...64 If Your Employment Ends...64 Business Travel Accident Insurance...65 Cost of Coverage...65 Coverage Amount...65 Qualified Dependent Coverage...65 Business Travel Coverage...67 War Risk Coverage...67 Hijacking Coverage...68 Commuting to and From Work Due to a Transit Difficulty...68 Felonious Assault...68 Specified Aircraft Coverage...68 Additional Benefits...68 Seat Belt and Air Bag Benefit...68 Additional Benefit for Family Relocation and Accompaniment...69 Home Alteration and Vehicle Modification Benefit...69 Monthly Rehabilitation Expense Benefit...69 Bereavement and Trauma Counseling Benefit...69 vi

Monthly Medical Premium Benefit...69 Emergency or Disaster Response Team Member Benefit...70 Common Carrier Benefit...70 Day Care Expense Benefit...70 Child Tuition Reimbursement Benefit...70 Spouse or Domestic Partner Tuition Reimbursement Benefit...71 Exclusions...71 When Benefits Are Paid...72 How Benefits Are Paid...72 If You Take a Leave of Absence...72 If You Are Disabled...72 If You Retire...72 If Your Employment Ends...72 Other Important Information...73 How to File a Claim...73 Proof of Loss...73 Converting to an Individual Policy...74 A Prudential Alliance Account...75 Administrative Information...76 Plan Administration and Funding...77 Plan Name and Number...77 Plan Administrator...77 Plan Sponsor...78 Employer Identification Number...78 Plan Year...78 Funding, Payment and Claims of Plan Benefits...78 Trustee Information...78 Insurance Issuers and Administrators...78 Plan Amendment or Termination...79 Assignment of Benefits...80 Claims and Appeals Procedures...80 Claim for Benefits...81 Making a Claim for a Benefit...81 vii

How to File a Claim for Benefits...81 Proof of Loss...81 What Information to Include in a Claim...82 When to File a Claim...82 Time Frame for Claim Determinations...82 If You Receive an Adverse Benefit Determination...83 Procedures for Appealing an Adverse Benefit Determination...83 Voluntary Level of Appeal...85 Non-Benefit Claims...85 Enrollment and Eligibility Claims...85 Other Non-Benefit Claims...86 Appeal of an Adverse Determination of a Non-Benefit Claim...87 Legal Action...87 Family and Medical Leave Act...87 Uniformed Services Employment and Reemployment Rights Act...89 Your Rights...89 Prudent Actions by Plan Fiduciaries...90 Assistance with Your Questions...90 Service of Legal Process...91 Glossary...92 viii

How to Contact the Prudential Benefits Center Throughout this SPD booklet, you will see references to the Prudential Benefits Center, which is your primary resource for information about most of your Prudential benefits. You can reach the Prudential Benefits Center online, by telephone or by mail. Online Access Through the Prudential Benefits Center Web site, you can: Find information about your benefits; Access benefits forms you may need; In most cases, process a change in your benefits elections resulting from a Qualified Change in Status; Get information on how to contact insurers and service providers; and Find links to carrier Web sites and online provider directories. The Prudential Benefits Center Web site is available via the Internet, and the Prudential intranet. Via the Internet Log on to www.prubenefitscenter.com to access the Prudential Benefits Center Web site 24 hours a day, 7 days a week. Via the Prudential Intranet Visit Inside the Rock, and click on the Prudential Benefits Center (Health and Welfare Benefits Programs) link under My Benefits within the My Prudential tab. If you do not have a computer or Internet access, follow the instructions below for contacting the Prudential Benefits Center by telephone or by mail. Telephone Access You may call the Prudential Benefits Center at 1-800-PRU-EASY (1-800-778-3279) and follow the prompts for Health and Welfare benefits. Prudential Benefits Center Representatives are available to assist you between 8 a.m. and 6 p.m., Eastern time, Monday through Friday, except on holidays. For the hearing-impaired, please contact your local relay service. Mail Access The mailing address for filing claims related to program enrollment and eligibility is: Prudential Benefits Center Benefits Determination Review Team P.O. Box 1407 Lincolnshire, IL 60069-1407 1

Terms and Conditions When you use the Prudential Benefits Center Web site, you are agreeing to use it under the terms and conditions prescribed by the Company. These terms and conditions are maintained on the Prudential Benefits Center Web site for easy reference. Or, to obtain a copy, call the Prudential Benefits Center at 1-800-PRU-EASY (1-800-778-3279) and follow the prompts for Health and Welfare benefits. Prudential Benefits Center Representatives are available to assist you between 8 a.m. and 6 p.m., Eastern time, Monday through Friday, except on holidays. For the hearing-impaired, please contact your local relay service. 2

Viewing This SPD Booklet Online This SPD booklet has been designed for ease of use when viewing it online on the Prudential Benefits Center Web site (at www.prubenefitscenter.com). It includes many navigation features that allow you to locate the information you need and to access it quickly. 3

About the Prudential Benefits Program Throughout this SPD booklet, you will see terms whose first letters are capitalized. When you see these terms, you can check the Glossary at the back for detailed definitions and how the definitions apply to the benefits described in the SPD booklet. The are only one part of the Prudential benefits program. The Prudential benefits program includes Health Care, Personal Protection and Capital Accumulation programs. Health Care programs include: The Medical Program; The Global Medical Program; The Dental Program; The Global Dental Program; The Vision Program; The Employee Assistance Program; and The Flexible Spending Accounts Program (the Health Care Reimbursement Account, the Limited Purpose Health Care Reimbursement Account and the Dependent Care Reimbursement Account 1 under The Prudential Flexible Benefits Plan). Personal Protection programs include: The ; The Disability Programs; The Long Term Care Insurance Program; and The LegalCare Program 1. Capital Accumulation programs include: The Prudential Employee Savings Plan ( PESP ); and The Prudential Merged Retirement Plan (the Retirement Plan ). 1 The Dependent Care Reimbursement Account and the LegalCare Program are not available to Financial Services Associates or Statutory Agents. 4

The Health Care programs with the exception of the Flexible Spending Accounts, the Flexible Benefit Election, and the Employee Assistance Program and the Personal Protection programs are all governed by The Prudential Welfare Benefits Plan. In addition to the benefits programs listed on page 4, Prudential offers a number of other benefits programs available to eligible Employees. (See the Other Plans and Programs booklet for more information on benefits programs not listed on page 4.) Paying for Coverage The Prudential benefits program provides three levels of benefits, including: Core benefits, for which Prudential pays the full Cost of coverage with no contributions required from you. These programs include: The Basic Group Life Insurance Program; The Basic Accidental Death & Dismemberment Insurance Program; The Business Travel Accident Insurance Program; The Short Term Disability Program 2 ; The Core Long Term Disability Program; The Vision Discount Program; The Employee Assistance Program; and The Retirement Plan. Optional benefits, for which you and Prudential share in the Cost of coverage. These programs include: The Medical Program; The Global Medical Program; The Dental Program; The Global Dental Program; The Prudential Employee Savings Plan ( PESP ); and The Dependent Care Reimbursement Account 3. 2 3 Short Term Disability coverage (except for certain state-mandated benefits) is not available to Agency Distribution Sales Professionals with an adjusted service date of January 1, 2005, or later. Disability coverage is not available to Part-Time Employees. The Dependent Care Reimbursement Account is not available to Financial Services Associates or Statutory Agents. 5

Voluntary benefits, for which you pay the full Cost of coverage. These programs include: The Group Universal Life Insurance Program; The Supplemental Accidental Death & Dismemberment Insurance Program; The Survivor Benefits Life Insurance Program (frozen effective January 1, 2001); The Dependent Term Life Insurance Program; The Optional Long Term Disability Program; The Health Care Reimbursement Account; The Limited Purpose Health Care Reimbursement Account; The Vision Care Insurance Program; The LegalCare Program 4 ; and The Long Term Care Insurance Program. Both optional and voluntary benefits offer you the opportunity to make choices and to select the programs that fit your individual situation. Each year during the Annual Enrollment Period, you will be notified of what you have to pay for each Health Care and Personal Protection program. The Prudential Flexible Benefits Plan The Prudential Flexible Benefits Plan (the Flex Plan ) lets eligible Employees choose certain benefits based on their own needs and automatically pay the Cost of coverage for those benefits with Before-Tax dollars (the Flexible Benefit Election ). The benefits programs that are eligible for this Flexible Benefit Election include: The Medical Program; The Global Medical Program; The Dental Program; The Global Dental Program; The Vision Care Insurance Program; and The Flexible Spending Accounts Program (the Health Care Reimbursement Account, the Limited Purpose Health Care Reimbursement Account and the Dependent Care Reimbursement Account 4 ). 4 The Dependent Care Reimbursement Account and the LegalCare Program are not available to Financial Services Associates or Statutory Agents. 6

In addition, if you participate in the Prudential High Deductible Health Program, and you establish a CIGNA Health Savings Account (HSA) administered by JPMorgan Chase, you can contribute through payroll deductions, using Before-Tax dollars. When you use Before-Tax dollars to pay for benefits, you will not pay Federal income tax and Social Security tax on this money. In many cases, you also will not pay state and local income taxes (except for certain locations, such as New Jersey). (See About Before-Tax Dollars below for more information.) About Before-Tax Dollars There are two points to keep in mind about using Before-Tax dollars to pay for coverage: Even though using Before-Tax dollars to pay for coverage generally reduces taxable income, it has no effect on any other Prudential pay-related benefits, such as life insurance coverage. In other words, your coverage amounts will continue to be based on your full, unreduced Eligible Earnings, including any amounts deducted from your pay for the Cost of health benefits; and Before-Tax dollars used to purchase health care benefits generally do not count as earnings for Social Security purposes. Therefore, your future Social Security benefit could potentially be reduced if your total earnings for the applicable year do not exceed the Social Security Taxable Wage Base. You should compare this reduction to the immediate tax savings resulting from using the Before-Tax dollars to pay for your benefits. IRS Circular 230 disclosure: Neither Prudential nor its representatives are authorized to provide tax or legal advice or financial advice on behalf of the Program. Any tax information provided is not intended or written to be used, and cannot be used, for the purpose of avoiding penalties under the Internal Revenue Code. You are encouraged to consult with your tax, financial and/or legal advisors for advice regarding your particular situation. About After-Tax Dollars After-Tax means a portion of your income that is deducted from your pay after any applicable Federal, state and local income taxes and Social Security taxes have been withheld, that you contribute to a plan or program or use to pay all or a portion of the Cost of coverage for certain programs. Your deducted pay will still be part of your taxable income. The benefits programs for which you contribute with After-Tax dollars include: The Group Universal Life Insurance Program; The Supplemental Accidental Death & Dismemberment Insurance Program; The Dependent Term Life Insurance Program; The Optional Long Term Disability Program; The Survivor Benefits Life Insurance Program (frozen effective January 1, 2001); The Long Term Care Insurance Program; and 7

The LegalCare Program 5. Since you use After-Tax dollars to purchase these benefits, you may not be required to pay taxes on payments you or your Beneficiaries may receive from these programs in the future. 5 The LegalCare Program is not available to Financial Services Associates or Statutory Agents. 8

Introduction to the Life and Accident Insurance Programs Prudential s can help you plan for the uncertainties of the future by providing valuable benefits if you die or are seriously injured in an accident. Core Company-Provided Benefits The Company provides a core level of coverage. You are automatically enrolled in this coverage, and you are not required to make a contribution for these benefits. Basic Group Life Insurance: Pays your Beneficiary(ies) a benefit equal to one times your Eligible Earnings up to a maximum benefit of $300,000 upon your death. You may elect to cap the amount of your Basic Group Life Insurance benefit at $50,000 to avoid Imputed Income. (See Imputed Income on page 20 for more information.) Basic Accidental Death & Dismemberment (AD&D) Insurance: Pays a benefit of one times your Eligible Earnings up to a maximum benefit of $300,000 to your Beneficiary(ies) if you die as the result of an accident. Basic AD&D Insurance coverage amounts of $50,000 and over will not be subject to Imputed Income. If you sustain certain serious accident-related injuries, Basic AD&D Insurance pays the full benefit amount or a percentage of your benefit amount, based on the Basic AD&D schedule of benefits on page 54. Business Travel Accident (BTA) Insurance: Pays a benefit of up to 10 times your Eligible Earnings up to a maximum benefit of $1,000,000 if you die or are injured as the result of an accident while traveling on Company business. It also provides a benefit for the injury or death of a Spouse, Qualified Adult (that is, a Domestic Partner or an Extended Family Member) or Dependent Child traveling with you. Voluntary Benefits If you want more insurance than what is offered through the core Company-provided coverages, you may enroll in voluntary coverages offered by Prudential. If you elect to enroll in one of the following voluntary coverages, you pay the full Cost of coverage. Group Universal Life (GUL) Insurance: Pays your Beneficiary(ies) a life insurance benefit of one to nine times your Eligible Earnings (based on your election), up to a maximum benefit of $2,000,000 if you die. You also have the option of contributing additional amounts to the Group Universal Life Cash Accumulation Fund (GUL Fund). The amount in your GUL Fund is added to your GUL Insurance benefit if you die. The maximum benefit for this coverage is separate from the maximum benefit applicable to Basic Group Life Insurance coverage. Supplemental Accidental Death & Dismemberment (AD&D) Insurance: Pays a benefit of one to nine times your Eligible Earnings (based on your election), up to a maximum benefit of $2,000,000 if you die as the result of an accident. It pays the full amount or a percentage of your coverage if you sustain certain serious accident-related 9

injuries. (See the Supplemental AD&D schedule of benefits on page 61.) The maximum benefit for this coverage is separate from the maximum benefit applicable to Basic AD&D coverage. Dependent Term Life Insurance: Provides a benefit payable to you if one of your Eligible Dependents dies. The maximum benefit for Spouse/Domestic Partner coverage is $250,000 (chosen as a flat $10,000 or a multiple of $25,000). Please note that the benefit cannot exceed 50% of the amount for which you are covered under the Basic Life Insurance Program and the Group Universal Life Insurance Program combined. The benefit for each dependent child age 14 days or older, but less than age 19, is $10,000. To participate in any of these coverages, you will need to enroll within 31 days of your first day of employment or a Qualified Change in Status. (See the Qualified Changes in Status booklet for more information.) If you do not enroll within the 31-day period and you later want to enroll, you may be required to submit satisfactory evidence of good health to the insurance carrier. (See Evidence of Good Health under the specific insurance section for more information.) For programs other than Dependent Term Life Insurance and Survivor Benefits Life Insurance, you must also name your Beneficiary(ies). If no Beneficiary is named, any benefits will be payable in the following successive order: surviving Spouse, surviving child(ren) in equal shares, surviving parent(s) in equal shares, surviving sibling(s) in equal shares, then your estate. You can enroll in the programs and designate your Beneficiary(ies) by visiting the Prudential Benefits Center Web site, available via the Internet (at www.prubenefitscenter.com) or the intranet (visit Inside the Rock, and click on the Prudential Benefits Center (Health and Welfare Benefits Programs) link under My Benefits within the My Prudential tab). You can disenroll from any of your voluntary life and accident coverages at any time by calling the Prudential Benefits Center. If you do not have access to a computer or the Internet or you need more information about enrolling or disenrolling for voluntary coverage, you may call the Prudential Benefits Center at 1-800-PRU-EASY (1-800-778-3279) and follow the prompts for Health and Welfare benefits. Prudential Benefits Center Representatives are available to assist you between 8 a.m. and 6 p.m., Eastern time, Monday through Friday, except on holidays. For the hearing-impaired, please contact your local relay service. Survivor Benefits Life Insurance Program (frozen effective January 1, 2001) Effective January 1, 2001, no Employee may newly enroll in the Survivor Benefits Life Insurance Program. You may continue this coverage only if you were participating as of December 31, 2000, provided that you have been continuously covered since that date. You pay the full Cost of coverage. The Survivor Benefits Life Insurance Program pays a monthly benefit to your Spouse (20% of your monthly Eligible Earnings to a maximum benefit of $2,500 per month) and/or dependent children (10% of your monthly Eligible Earnings to a maximum benefit of $1,250 per month) after your death. Whether you have one dependent child or many dependent children, the total benefit for all dependent 10

children is 10% of your monthly Eligible Earnings up to the maximum benefit, divided equally among all designated dependent children. 11

Joining the Program Who Is Eligible You are eligible to participate in the described in this SPD booklet if you are a: Full-Time Employee; Part-Time Employee who is scheduled to work at least 20 hours per week, other than a part-time field force marketing assistant; or Statutory Agent. Your Spouse or Qualified Adult (that is, a Domestic Partner or an Extended Family Member) is also covered under the BTA Insurance Program when traveling with you on Company business. Retirees are eligible to participate in some insurance coverages. (See If You Retire under the specific insurance sections for more information.) Who Is Not Eligible You are not eligible to participate in the described in this SPD booklet if you are: Included in a collective bargaining unit, unless the collective bargaining agreement specifically provides for participation in the Life and Accident Insurance Program; An Employee of a non-participating affiliate; An International Employee; A Retired Employee, except as otherwise noted; A temporary or occasional Employee; An Agent Emeritus, Premier Retired Representative or Retired Representative; An individual service provider compensated through an employee leasing company, temporary employment agency or other third party agency; An individual who would be treated as an employee solely by reason of such individual being treated as either part of an affiliated service group or a leased employee under the Internal Revenue Code and regulations; An independent contractor; A person retained on a monthly fee or per diem basis; An examining physician or other person rendering services solely on the basis of fees; A person working under the direction of real estate management firms or other contractors; 12

A part-time field force marketing assistant; A Probationary Agent hired on or after September 1, 2008, and who participates in a development program within Agency Distribution pursuant to an employment agreement for a period of time that is not expected to exceed 26 weeks; or Any other person who performs services for Prudential but is not treated by Prudential as an Employee for Federal tax purposes. Please refer to the Plan Documents for a complete listing of the classes of Employees who are ineligible to participate in the. Important Notice Regarding Civil Union Partnership Certain states such as New Jersey have passed legislation that requires insurers to provide equal benefit coverage for Civil Union Partners, if spousal coverage is provided through an employer s group insurance plan. Prudential sponsors the Dependent Term Life Insurance Program and the Business Travel Accident Insurance Program, which may be available to Civil Union Partners. For more details regarding eligibility requirements for these programs, please contact the Prudential Benefits Center at 1-800-PRU-EASY (1-800-778-3279) and follow the prompts for Health and Welfare benefits. Cost of Coverage Prudential pays the full Cost for the following core coverages: Basic Group Life Insurance; Basic AD&D Insurance; and BTA Insurance. If you elect to purchase voluntary coverage through GUL, Supplemental AD&D and/or Dependent Term Life Insurance, you pay the full Cost of coverage. If you were covered under the Survivor Benefits Life Insurance Program as of December 31, 2000, and chose to continue that coverage, you pay the full Cost of coverage, if applicable. After-Tax Contributions Your Cost for any voluntary coverage you elect to purchase is paid on an After-Tax basis, usually through automatic payroll deductions. After-Tax means a portion of your income that is deducted from your pay after any applicable Federal, state and local income taxes and Social Security taxes have been withheld, that you contribute to a plan or program or use to pay all or a portion of the Cost of coverage for certain programs. Your deducted pay will still be part of your taxable income. When You Are Eligible to Enroll You are eligible to enroll in the Life and Accident Programs as of your first day of employment. 13

How to Enroll For Core Company-Provided Coverage Prudential automatically enrolls you in the core Company-provided coverage on your first day of employment. You do not have to enroll to participate in these coverages; however, you will have to designate your Beneficiary(ies). (See Beneficiaries beginning on page 18 for more information.) For Voluntary Coverage If you want more insurance coverage than the core Company-provided coverage, you may elect to enroll in one or more of the following three types of voluntary coverage at any time: GUL Insurance; Supplemental AD&D Insurance; and Dependent Term Life Insurance. You can enroll in the programs and designate your Beneficiary(ies) by visiting the Prudential Benefits Center Web site, available via the Internet (at www.prubenefitscenter.com) or the intranet (visit Inside the Rock, and click on the Prudential Benefits Center (Health and Welfare Benefits Programs) link under My Benefits within the My Prudential tab). For programs other than Dependent Term Life Insurance and Survivor Benefits Life Insurance, if no Beneficiary is named, any benefits will be payable in the following successive order: surviving Spouse, surviving child(ren) in equal shares, surviving parent(s) in equal shares, surviving sibling(s) in equal shares, then your estate. You also may be required to provide satisfactory evidence of good health to the insurance carrier before your coverage takes effect for GUL Insurance or Dependent Term Life Insurance. (See Evidence of Good Health under the specific insurance sections, beginning on page 27 for GUL Insurance and on page 41 for Dependent Term Life Insurance for more information.) You can disenroll from any of your voluntary life and accident coverages at any time by calling the Prudential Benefits Center. If you do not have access to a computer or the Internet or you need more information to enroll or disenroll from any of your voluntary life and accident coverages, you may call the Prudential Benefits Center at 1-800-PRU-EASY (1-800-778-3279) and follow the prompts for Health and Welfare benefits. Prudential Benefits Center Representatives are available to assist you between 8 a.m. and 6 p.m., Eastern time, Monday through Friday, except on holidays. For the hearing-impaired, please contact your local relay service. Prior to becoming enrolled in the Group Universal Life Program, you may elect to exchange the amount in your group universal life cash accumulation fund and your Basis in the Certificate from the group universal life cash accumulation fund you had with a previous employer for an equivalent amount in the GUL Fund provided by Prudential. An exchange shall not become effective unless: 14

The exchange is initiated before your enrollment in the Group Universal Life program; The group universal life cash accumulation fund program of your former employer is compatible with the GUL Fund of Prudential as determined by the insurer; The exchange qualifies under Section 1035 of the Internal Revenue Code; and You satisfy all enrollment and evidence of good health requirements and any other criteria as may be established by the Administrative Committee. Enrollment and Election Changes The Prudential Benefits Center Web site is your primary resource when you need to enroll for coverage under the or make changes to your elections. When you process your enrollment or election changes through the Prudential Benefits Center Web site, you will look there to find the instructions and guidance you will need for completing the process and confirming your enrollment or changes. If you have any questions as to whether you are properly completing your transaction, call 1-800-PRU-EASY (1-800-778-3279) and follow the prompts for Health and Welfare benefits. Prudential Benefits Center Representatives are available to assist you between 8 a.m. and 6 p.m., Eastern time, Monday through Friday, except on holidays. For the hearing-impaired, please contact your local relay service. When Coverage Takes Effect For Core Company-Provided Coverage Core Company-provided coverage takes effect on your first day of employment. For Voluntary Coverage GUL Insurance GUL Insurance coverage equal to one to three times your Eligible Earnings takes effect on your first day of employment if you make your election within the 31-day period on and after your first day of employment or on the date of enrollment if you make your election within 31 days of your Qualified Change in Status. GUL Insurance coverage equal to four to nine times your Eligible Earnings, which requires you to provide evidence of good health, takes effect on the date your coverage is approved by the insurance carrier. For example, if you elect GUL Insurance coverage in the amount of six times your Eligible Earnings within the 31-day period on and after your first day of employment, your coverage for one to three times your Eligible Earnings will take effect on your first day of employment. The remaining coverage you elected (four to six times your Eligible Earnings) will take effect on the date your coverage is approved by the insurance carrier. If you make your GUL Insurance coverage election (of any coverage level) after the initial 31-day period or after the 31-day period following a Qualified Change in Status, you will be required to provide evidence of good health to the insurance carrier. Your coverage will take effect on the date your coverage is approved by the insurance carrier. Please see Evidence of Good Health beginning on page 27 for more information about situations in which you will be required to provide evidence of good health. 15

If you are not Actively at Work on the date your coverage otherwise would take effect, coverage will begin on the day you return to active employment status. Dependent Term Life Insurance Dependent Term Life Insurance coverage for a Spouse or Domestic Partner in the amount of $25,000 or less takes effect on your first day of employment if you make your election within the 31-day period on and after your first day of employment or on the date of enrollment if you make your election within 31 days of your Qualified Change in Status. Dependent Term Life Insurance coverage in an amount above $25,000, which requires your Spouse or Domestic Partner to provide evidence of good health to the insurance carrier, takes effect on the date coverage is approved by the insurance carrier. For example, if you elect coverage in the amount of $50,000 within the 31-day period on and after your first day of employment, coverage in the amount of $25,000 will take effect on your first day of employment. The remaining coverage you elected (the additional $25,000) will take effect on the date your Spouse s or Domestic Partner s coverage is approved by the insurance carrier. If you make your Dependent Term Life Insurance coverage election (of any coverage level) after the initial 31-day period or after the 31-day period following a Qualified Change in Status, you will be required to provide evidence of good health to the insurance carrier. Coverage will take effect on the later of the date your coverage is approved by the insurance carrier or the day your Eligible Dependent is no longer confined for medical treatment at home or elsewhere (unless a hospital confinement is related to the birth of a Dependent Child). Please see Evidence of Good Health on page 41 for more information about situations in which you will be required to provide evidence of good health. Dependent Term Life Insurance coverage for children takes effect on your first day of employment if you make your election within the 31-day period on and after your first day of employment or on the date that you make your election at any other time. Child coverage does not require evidence of good health. If you are not Actively at Work on the date your coverage otherwise would take effect, coverage will begin on the day you return to active employment status. Supplemental AD&D Insurance Supplemental AD&D Insurance coverage takes effect on your first day of employment if you make your election within the 31-day period on and after your first day of employment or on the date of enrollment if you make your election within 31 days of your Qualified Change in Status, if you make your election at any other time. If you are not Actively at Work on the date your coverage otherwise would take effect, coverage will begin on the day you return to active employment status. Changes in Your Eligible Earnings Your insurance coverage will be adjusted automatically to reflect any increases or decreases in your Eligible Earnings. 16

Your new coverage amounts will take effect as of the date of your Eligible Earnings change. Your contributions for GUL Insurance, Survivor Benefits Life Insurance and Supplemental AD&D Insurance coverage also will be adjusted automatically to reflect changes in your Eligible Earnings. If your combined amount of Basic Life Insurance and Group Universal Life Insurance increases as the result of an increase in your Eligible Earnings, you may be eligible for additional Spouse/Domestic Partner coverage under the Dependent Term Life Insurance Program. If you wish to increase your Spouse/Domestic Partner coverage under the Dependent Term Life Insurance Program, call the Prudential Benefits Center at 1-800-PRU-EASY (1-800-778-3279) and follow the prompts for Health and Welfare benefits. Prudential Benefits Center Representatives are available to assist you between 8 a.m. and 6 p.m., Eastern time, Monday through Friday, except on holidays. For the hearing-impaired, please contact your local relay service. Also, you will need to provide evidence of good health if you increase your Spouse/Domestic Partner coverage under the Dependent Term Life Insurance Program. When you call the Prudential Benefits Center to increase your Spouse s/domestic Partner s coverage, a Prudential Benefits Center Representative will help you with the process for providing evidence of good health. Once the new coverage amount is approved, your records will be updated accordingly. Agency Distribution Sales Professionals, Agency Distribution Field Management, Global Derivatives Financial Advisors Paid on a Draw and Commissions Basis, and Non-Retail Sales Professionals Only: Your Eligible Earnings for all coverages under the will be redetermined annually and coverage will be adjusted based on the most recent April Redetermination. Your contributions for GUL Insurance, Survivor Benefits Life Insurance and Supplemental AD&D Insurance coverage also will be adjusted to reflect changes in your Eligible Earnings based on the most recent April Redetermination. If your combined amount of Basic Life Insurance and Group Universal Life Insurance increases as the result of an increase in your Eligible Earnings, you may be eligible for additional Spouse/Domestic Partner coverage under the Dependent Term Life Insurance Program. If you wish to increase your Spouse/Domestic Partner coverage under the Dependent Term Life Insurance Program, call the Prudential Benefits Center at 1-800-PRU-EASY (1-800-778-3279) and follow the prompts for Health and Welfare benefits. Prudential Benefits Center Representatives are available to assist you between 8 a.m. and 6 p.m., Eastern time, Monday through Friday, except on holidays. For the hearing-impaired, please contact your local relay service. Also, you will need to provide evidence of good health if you increase your Spouse/Domestic Partner coverage under the Dependent Term Life Insurance Program. When you call the Prudential Benefits Center to increase your Spouse s/domestic Partner s coverage, a Prudential Benefits Center Representative will help you with the process for providing evidence of good health. Once the new coverage amount is approved, your records will be updated accordingly. For Global Derivatives Financial Advisors Hired Prior to January 1, 2008, and No Longer Participating in the April Redetermination of Eligible Earnings: Your Eligible Earnings for coverage amounts and any required contributions are defined as your current salary but not less than the level in effect under your last April Redetermination. Bonuses, overtime pay and all other benefits are not included. 17

Beneficiaries When you become a participant in the, you need to name a Beneficiary for all programs other than Dependent Term Life Insurance and Survivor Benefits Life Insurance by updating this information by clicking on the Find it Fast drop-down menu on the Prudential Benefits Center Web site, available via the Internet (at www.prubenefitscenter.com) or the intranet (visit Inside the Rock, and click on the Prudential Benefits Center (Health and Welfare Benefits Programs) link under My Benefits within the My Prudential tab), or, if you do not have access to a computer or the Internet or you need more information, you can call the Prudential Benefits Center at 1-800-PRU-EASY (1-800-778-3279) and follow the prompts for Health and Welfare benefits. Prudential Benefits Center Representatives are available to assist you between 8 a.m. and 6 p.m., Eastern time, Monday through Friday, except on holidays. For the hearing-impaired, please contact your local relay service. You may name any individual(s) or legal entity you wish as your Beneficiary(ies) for the benefits provided by all of the coverages except for Survivor Benefits Life Insurance and Dependent Term Life Insurance, as noted below. You also may elect more than one person to be your Beneficiary for a Program. If you want more than one Beneficiary for a Program, you must indicate the percentage of your benefit you would like each named Beneficiary to receive; otherwise, benefits will be distributed equally among all of your named Beneficiaries. The Beneficiary you designate for your Basic Group Life Insurance will also be your Beneficiary for your Basic AD&D Insurance, unless you name another Beneficiary. Generally, you may change your Beneficiary at any time. Your changes will take effect as of the date you complete the change on the Prudential Benefits Center Web site. If no Beneficiary is named, any benefits will be payable in the following successive order: surviving Spouse, surviving child(ren) in equal shares, surviving parent(s) in equal shares, surviving sibling(s) in equal shares, then your estate. Beneficiary for Dependent Term Life Insurance You, the Employee, are the Beneficiary for any Dependent Term Life Insurance benefits that are paid. If you predecease your Eligible Dependent, the death benefit is payable to your Eligible Dependent s estate or, at the option of the insurance carrier, to your Eligible Dependent s then-living Spouse, mother, father, children and/or siblings. Beneficiary for Survivor Benefits Life Insurance You may continue this coverage only if you were participating as of December 31, 2000, provided that you have been continuously covered since that date. Only your Spouse and/or covered children can be Beneficiaries under Survivor Benefits Life Insurance. If you are enrolled in: Spouse only coverage or in Spouse and child(ren) coverage, benefits payable to your qualified family members are paid to your Spouse; or Child(ren) only coverage, benefits will be paid in equal shares to each of your dependent children or their guardian(s). 18

(See Adding Qualified Family Members beginning on page 47 for more information about who qualifies as eligible dependents for this coverage.) 19