424B3: Prospectus [Rule 424(b)(3)]
Published on
Pruco Life Insurance Company
Pruco Life Insurance Company Of New Jersey
Prudential Premier Series
Strategic Partners Annuity One 3
Strategic Partners Plus 3
Strategic Partners FlexElite
(version of contract sold on or after May 1, 2003)
Strategic Partners Select
Supplement, dated November 20, 2006
To
Prospectuses, dated May 1, 2006
In this supplement, we describe a new administrative feature, under which an annuity owned by a custodial account established to hold
retirement assets for the benefit of the annuitant may be continued by the surviving spouse of the annuitant. To reflect this
change, we make the following changes to the above referenced prospectuses:
Prudential Premier Series
The text below is added as a new paragraph to the section of each Prudential Premier prospectus entitled "Managing Your Annuity", in
the sub-section entitled "May I Change the Owner, Annuitant and Beneficiary Designations?", under the heading "Spousal Owners/Spousal
Beneficiaries", which will now read "Spousal Owners/Spousal Beneficiaries/Spousal Annuitants"; and (2) the section entitled "Death
Benefit", in the sub-section entitled "Payment of Death Benefits", under the heading entitled "Spousal Beneficiary - Assumption of
Annuity". In addition, with respect to the latter, the cross-reference in the second paragraph of the heading entitled "Spousal
Beneficiary - Assumption of Annuity" is changed to refer to the heading "Contingent Annuitant" under "Managing Your Annuity".
"Spousal assumption also is permitted, subject to our rules, if the Annuity is held by a custodial account established to
hold retirement assets for the benefit of the natural person Annuitant pursuant to the provisions of Section 408(a) of the Internal
Revenue Code (or any successor Code section thereto) ("Custodial Account") and, on the date of the Annuitant's death, the spouse of
the Annuitant is (1) the Contingent Annuitant under the Annuity and (2) the beneficiary of the Custodial Account. The ability to
continue the Annuity in this manner will result in the Annuity no longer qualifying for tax deferral under the Internal Revenue
Code. However, such tax deferral should result from the ownership of the Annuity by the Custodial Account. Please consult your tax
or legal adviser."
In the section of each Prudential Premier Prospectus entitled "Managing Your Annuity", in the sub-section entitled "May I Change the
Owner, Annuitant and Beneficiary Designations?", the following text replaces the text under the heading "Contingent Annuitant":
"Generally, if an Annuity is owned by an entity, and the entity has named a Contingent Annuitant, the Contingent Annuitant
will become the Annuitant upon the death of the Annuitant, and no Death Benefit is payable. However, the Account Value of the
Annuity as of the date of due proof of death of the Annuitant will reflect the amount that would have been payable had a Death
Benefit been paid. Unless we agree otherwise, the Annuity is only eligible to have a Contingent Annuitant designation if the entity
that owns the Annuity is (1) a plan described in Internal Revenue Code Section 72(s)(5)(A)(i) (or any successor Code section
thereto); (2) an entity described in Code Section 72(u)(1) (or any successor Code section thereto); or (3) a custodial account
established pursuant to the provisions in Code Section 408(a) (or any successor Code section thereto) ("Custodial Account").
Where the Annuity is held by a Custodial Account, the Contingent Annuitant will not automatically become the Annuitant upon
the death of the Annuitant. Upon the death of the Annuitant, the Custodial Account will have the choice, subject to our rules, to
either elect to receive the Death Benefit or elect to continue the Annuity. See the section above entitled "Spousal Owners/Spousal
Beneficiaries/Spousal Annuitants" for more information."
In the section of the prospectus entitled "Living Benefit Programs", in the sub-section entitled "Spousal Lifetime Five Income
Benefit", under the heading "Election of and Designations under the Program", the following is added after the second bullet to
describe how the designations should be set up upon the election of the Spousal Lifetime Five benefit by a custodial account:
o One Annuity Owner, where the Owner is a custodial account established to hold retirement assets for the benefit of the
Annuitant pursuant to the provisions of Section 408(a) of the Internal Revenue Code (or any successor Code section thereto)
("Custodial Account"), the Beneficiary is the Custodial Account, and the spouse of the Annuitant is the Contingent
Annuitant. Both the Annuitant and Contingent Annuitant must each be at least 55 years old at the time of election. When
the Annuity is set up in this manner, in order for Spousal Lifetime Five to be continued after the death of the first
Designated Life (the Annuitant), the custodian must have elected to continue the Annuity, with the second Designated Life
(the Contingent Annuitant) named as Annuitant.
Strategic Partners Annuity One 3, Strategic Partners Plus 3, and Strategic Partners FlexElite:
We revise the definition of "Annuitant" in the Glossary to provide as follows:
"The person whose life determines the amount of income payments that we will make. Except as indicated below, if the annuitant dies
before the annuity date, the co-annuitant (if any) becomes the annuitant if the contract's requirements for changing the annuity date
are met. If, upon the death of the annuitant, there is no surviving eligible co-annuitant, and the owner is not the annuitant, then
the owner becomes the annuitant.
Generally, if an annuity is owned by an entity and the entity has named a co-annuitant, the co-annuitant will become the annuitant
upon the death of the annuitant, and no death benefit is payable. However, the contract value as of the date of due proof of death
of the annuitant will reflect the amount that would have been payable had a death benefit been paid. Unless we agree otherwise, the
contract is eligible to have a co-annuitant designation only if the entity that owns the contract is (1) a plan described in Internal
Revenue Code Section 72(s)(5)(A)(i) (or any successor Code section thereto); (2) an entity described in Code Section 72(u)(1) (or any
successor Code section thereto); or (3) a custodial account established pursuant to the provisions in Code Section 408(a) (or any
successor Code section thereto) ("Custodial Account").
Where the contract is held by a Custodial Account, the co-annuitant will not automatically become the annuitant upon the
death of the annuitant. Upon the death of the annuitant, the Custodial Account will have the choice, subject to our rules, to either
elect to receive the death benefit or elect to continue the contract."
For Strategic Partners Annuity One 3 and Strategic Partners Plus 3 only, we revise the first paragraph under "Spousal Continuance
Benefit" to read as follows:
"This benefit is available if, on the date we receive proof of the owner's death (or annuitant's death, for custodial
contracts) in good order (1) there is only one owner of the contract and there is only one beneficiary who is the owner's spouse, or
(2) there are an owner and joint owner of the contract, and the joint owner is the owner's spouse and the owner's beneficiary under
the contract or (3) the contract is held by a custodial account established to hold retirement assets for the benefit of the natural
person annuitant pursuant to the provisions of Section 408(a) of the Internal Revenue Code (or any successor Code section
thereto)("Custodial Account"), and the custodian of the account has elected to continue the contract, and designate the surviving
spouse as annuitant. Continuing the contract in the latter scenario will result in the contract no longer qualifying for tax
deferral under the Internal Revenue Code. However, such tax deferral should result from the ownership of the contract by the
Custodial Account. Spousal continuance also is available where the contract is owned by certain other types of entity-owners.
Please consult your tax or legal adviser.
In no event, however, can the annuitant be older than the maximum age for annuitization on the date of the owner's death,
nor can the surviving spouse be older than 95 on the date of the owner's death (or the annuitant's death, in the case of a
custodially-owned contract referenced above). Assuming the above conditions are present, the surviving spouse (or custodian, for the
custodially-owned contracts referenced above) can elect the Spousal Continuance Benefit, but must do so no later than 60 days after
furnishing proof of death in good order."
For Strategic Partners FlexElite only, we revise the first paragraph under "Spousal Continuance Benefit" to read as follows:
"This benefit is available if, on the date we receive proof of the owner's death (or annuitant's death, for custodial
contracts) in good order (1) there is only one owner of the contract and there is only one beneficiary who is the owner's spouse, or
(2) for contracts sold on or after May 1, 2003 or upon subsequent state approval, there are an owner and joint owner of the contract,
and the joint owner is the owner's spouse and the owner's beneficiary under the contract or (3) for contracts sold on or after May 1,
2003 or upon subsequent state approval, (i) the contract is held by a custodial account established to hold retirement assets for the
benefit of the natural person annuitant pursuant to the provisions of Section 408(a) of the Internal Revenue Code (or any successor
Code section thereto)("Custodial Account") and (ii) the custodian of the account has elected to continue the contract, and designate
the surviving spouse as annuitant. Continuing the contract in the latter scenario will result in the contract no longer qualifying
for tax deferral under the Internal Revenue Code. However, such tax deferral should result from the ownership of the contract by the
Custodial Account. Spousal continuance also is available where the contract is owned by certain other types of entity-owners.
Please consult your tax or legal adviser.
In no event, however, can the annuitant be older than the maximum age for annuitization on the date of the owner's death,
nor can the surviving spouse be older than 95 on the date of the owner's death (or the annuitant's death, in the case of a
custodially-owned contract referenced above). Assuming the above conditions are present, the surviving spouse (or custodian, for the
custodially-owned contracts referenced above) can elect the Spousal Continuance Benefit, but must do so no later than 60 days after
furnishing proof of death in good order."
For Strategic Partners Annuity One 3, Strategic Partners Plus 3, and Strategic Partners FlexElite, within the section entitled
"Spousal Lifetime Five Income Benefit", under "Election of and Designations of Spousal Lifetime Five", we add the following after the
second bullet, to describe how the designations should be set up upon the election of the Spousal Lifetime Five benefit by a
custodial account:
o One contract owner, where the owner is a custodial account established to hold retirement assets for the benefit of the
annuitant pursuant to the provisions of Section 408(a) of the Internal Revenue Code (or any successor Code section thereto)
("Custodial Account"), the beneficiary is the Custodial Account, and the spouse of the annuitant is the co-annuitant. Both
the annuitant and co-annuitant must each be at least 55 years old at the time of election. When the contract is set up in
this manner, in order for Spousal Lifetime Five to be continued after the death of the first designated life (the
annuitant), the custodian must have elected to continue the contract, with the second designated life (the co-annuitant)
named as annuitant.
Strategic Partners Select
We revise the definition of "Annuitant" in the Glossary to provide as follows:
"The person whose life determines the amount of income payments that we will make. Except as indicated below, if the annuitant dies
before the annuity date, the co-annuitant (if any) becomes the annuitant if the contract's requirements for changing the annuity date
are met. If, upon the death of the annuitant, there is no surviving eligible co-annuitant, and the owner is not the annuitant, then
the owner becomes the annuitant.
Generally, if an annuity is owned by an entity and the entity has named a co-annuitant, the co-annuitant will become the annuitant
upon the death of the annuitant, and no death benefit is payable. However, the contract value as of the date of due proof of death
of the annuitant will reflect the amount that would have been payable had a death benefit been paid. Unless we agree otherwise, the
contract is eligible to have a co-annuitant designation only if the entity that owns the contract is (1) a plan described in Internal
Revenue Code Section 72(s)(5)(A)(i) (or any successor Code section thereto); (2) an entity described in Code Section 72(u)(1)(or any
successor Code section thereto); or (3) a custodial account established pursuant to the provisions in Code Section 408(a) (or any
successor Code section thereto)("Custodial Account").
Where the contract is held by a Custodial Account, the co-annuitant will not automatically become the annuitant upon the
death of the annuitant. Upon the death of the annuitant, the Custodial Account will have the choice, subject to our rules, to either
elect to receive the death benefit or elect to continue the contract."
We add the following to the end of the second paragraph under the section entitled "Death of Owner or Joint Owner":
"Continuance of the contract also is available if the contract is held by a custodial account established to hold retirement
assets for the benefit of the natural person annuitant pursuant to the provisions of Section 408(a) of the Internal Revenue Code
(or any successor Code section thereto), and the custodian of the account has elected to continue the contract and designate the
surviving spouse as annuitant. Continuing the contract in that scenario will result in the contract no longer qualifying for tax
deferral under the Internal Revenue Code. However, such tax deferral should result from the ownership of the contract by the
custodial account. Spousal continuance also may be available where the contract is owned by certain other types of
entity-owners. Please consult your tax or legal adviser."
This prospectus supplement is intended to amend the prospectus for the annuity you own, and is not intended to be a prospectus
or offer for any annuity listed here that you do not own.