MassMutual Pension Planbenecontent.massmutual.com/MassMutualContent/SPD/AgtCBPensi… · retire. This SPD describes eligibility for career contract agents of MassMutual. A separate

MassMutual Pension Plan

Summary Plan Description for Career Contract Agents

Effective January 1, 2010

This Summary Plan Description (SPD), published in December 2010, takes the place of any SPDs and Summaries of Material Modifications (SMMs) previously issued to you describing your benefits.

MassMutual Pension—Agent December 2010 Page 1 of 25

Table of Contents

Disclaimer ..................................................................................................................................................................3 Introduction ................................................................................................................................................................4 Contact Information....................................................................................................................................................5 Eligibility....................................................................................................................................................................6 Benefit Formula..........................................................................................................................................................8 Accessing Your Account..........................................................................................................................................12 Distributions .............................................................................................................................................................14 Administrative Information ......................................................................................................................................19 Plan Information.......................................................................................................................................................22 ERISA Rights ...........................................................................................................................................................24

Note to Inactive Participants (including retired participants, beneficiaries and participants with deferred vested benefits): Information in the Disclaimer, Contact Information, Administrative Information and ERISA Rights sections describe certain benefit rights and features. Please retain prior Summary Plan Descriptions since Plan provisions in effect on your date of termination will apply. If you need additional information regarding the calculation of your benefit and other rights and features, see the Contact Information section.


Disclaimer

This Summary Plan Description (SPD) provides details of the pension benefit available through the MassMutual Pension Plan (the “Plan” or “Pension Plan”), also known as the Cash Balance Plan. This SPD contains detailed and important information about the Plan; every attempt has been made to communicate this information clearly and in easily understandable terms. For participants with a career contract on the effective date of this SPD, this SPD replaces and supersedes all previous SPD versions and Summaries of Material Modifications (SMMs).

Benefits are determined under the terms of the Plan in effect at the time you terminate your career contract or retire. This SPD describes eligibility for career contract agents of MassMutual. A separate SPD describes eligibility for employees of MassMutual and its participating affiliates.

Benefits are based on Plan terms, current laws and regulations, which are subject to change. Massachusetts Mutual Life Insurance Company (“the Company” or “MassMutual”) reserves the right to modify, revoke, change, suspend or terminate any one or all plans, programs, policies, benefits or services described in this SPD or the underlying Plan documents at any time and from time to time, with or without notice. This SPD does not guarantee any particular benefit. Receipt of this SPD describing the Plan or option for which you are not eligible does not imply that you are eligible.

In the event of a discrepancy between descriptions in this SPD and information in relevant Plan documents, the Plan documents will govern. Career contract agents are independent contractors; provision of benefits does not change that relationship.


Introduction

The MassMutual Pension Plan, also known as the Cash Balance Plan, is a qualified retirement plan sponsored by MassMutual. It is a component of your total compensation. Along with the MassMutual Thrift Plan, Social Security and your personal savings, the Plan can provide income during your retirement years.

As of January 1, 2010, the Cash Balance Plan includes two subaccounts for the cash balance formula; one subaccount is for benefits earned on and after this date (New Cash Balance Account) and the second subaccount is for benefits earned before 2010 (Pre-2010 Cash Balance Account).

The Cash Balance Pension Plan

A cash balance pension plan is a defined benefit plan in which your pension benefit is expressed as an account balance. An amount is allocated to your account each month, called a pay credit. The amount of the pay credit depends on your compensation and points. Your points are based on your age and certain years while you maintain a career contract with MassMutual or while you are employed by MassMutual and any eligible affiliates. The pay credit schedules are different for years before January 1, 2010 than for years beginning on and after January 1, 2010. Your account is also credited with interest each month, called an interest credit. A statement of your account is sent to you semiannually.

Because a pension plan has tax advantages, Internal Revenue Service (IRS) regulations apply to many of the Plan’s features. For example, you cannot take money out of the Plan while you have an active career contract with MassMutual or if you are employed by MassMutual or one of its affiliates.

To access information about your pension benefit online while you have an active career contract, log on to The JourneySM at www.massmutual.com/retire and select the My Benefits tab.

For telephone access to information about your pension benefit, call FLASHSM at 413-744-4015 or toll-free at 800-74-FLASHSM (35274). If you have questions about your account, call this number business days between 8 a.m. and 8 p.m., ET, and follow the systems prompts to speak with a customer service representative in the MassMutual Retirement Services Participant Information Center. If you are currently receiving an annuity or have terminated your career contract and want to start receiving your benefit, call the Participant Information Center at 800-788-8781, business days between 8 a.m. and 8 p.m., ET.

MassMutual Pays for the Plan

MassMutual is the Plan Sponsor and pays the entire cost of the Plan. You do not contribute a single dollar to your pension benefit. MassMutual makes any required contributions and invests the Plan assets to meet the benefit obligations under the Plan, unlike the Thrift Plan in which participants direct investments. Plan assets are used to provide benefits to participants and their beneficiaries and to defray reasonable expenses of administering the Plan. During your working years, while your pension benefit is accumulating, it is not taxable income to you.


http://www.massmutual.com/retire

Contact Information

Resource Participant Web Site Telephone MassMutual Retirement Services (MMRS) Participant Information Center 1295 State Street, B215 Springfield, MA 01111-0001

www.massmutual.com/retireE-Mail: [email protected]

800-74-FLASHSM (35274) 413-744-4015 Ext. 44015 Customer Service Hours: 8 a.m. – 8 p.m., ET (business days) If you are receiving annuity payments: 800-788-8781 8 a.m. – 8 p.m., ET (business days)

MassMutual Benefits 1295 State Street, F205 Springfield, MA 01111-0001

To view myBenefits, go to FieldNet, then select My Practice, then Benefits E-Mail: [email protected]

866-662-6448 413-744-6169 Ext. 46169 Customer Service Hours: 1 – 5 p.m., ET (business days)

MassMutual Retirement Services (MMRS) is a division of MassMutual.



mailto:[email protected]


Eligibility

Eligible Participants

You are eligible for the benefits described in this SPD if you are an active career contract agent at any time after March 1, 2001.

Employees of MassMutual and participating affiliates are also eligible, but their benefits are described in a separate SPD.

Ineligible Participants

You are not eligible if you are a(n): • Agent (other than a career contract agent); • General agent, including a formula general agent; • Agency general manager; • Broker; • Agency staff member; • Temporary or leased employee; • Intern or school-to-work program participant; • Person formerly under contract with or employed by an agent, a formula general agent, a general agent or

broker who is placed on MassMutual’s payroll during a transition period in which there is no general agent in the agency office;

• Employee of any MassMutual affiliate that has not adopted this Plan; or • Foreign national of an employer whose primary work location is outside the US.

SH (35274) business days between 8 a.m. and 8 p.m., ET, if you have questions about your eligibility.

e

ontract is endorsed. You do not need to take any action to enroll in the Plan, but you should name a beneficiary.

ary on or after January 1 of the year you turn 35; otherwise, your spouse automatically becomes your beneficiary.

; if you do not have an election on file upon your death, your vested benefit will be paid to your estate.

Contact the MassMutual Retirement Services Participant Information Center at 800-74-FLA SM

Joining the Plan

If you were under a career contract on March 1, 2001, you automatically became a participant in the Cash BalancPlan on that date. If your career contract is endorsed any time after March 1, 2001, you become a participant on the date your career c

Naming a Beneficiary

If you are married (as recognized by federal law), your spouse is automatically your only primary beneficiary. If you want to name someone other than or in addition to your spouse as your primary beneficiary, you are required by federal law to obtain written approval from your spouse, witnessed by a notary public. If you are under age 35 and have previously named someone other than your spouse, you must re-name a benefici

If you are not married, you may name anyone you choose as your beneficiary


You may always name anyone you want as your secondary beneficiary(ies).

To name or change your beneficiary, obtain a Pension Plan beneficiary form online on FieldNet (select My Practice, Benefits and then Benefit Forms) and send the completed form to the address listed on the form. (New agents can also find a copy of the form in the enrollment booklet.)

To view your current beneficiary election, log onto The JourneySM at www.massmutual.com/retire, select the My Benefit tab, then select Benefit Projections and then Employment Data from the drop down menu.

Note: If you do not require notarized spousal consent, you may also change your beneficiary on The JourneySM at www.massmutual.com/retire (select the My Benefit tab, then select Benefit Projections and then Employment Data from the drop down menu). If your marital status is incorrect on The JourneySM, notify Enterprise Distribution Services at 800-767-1000 ext. 48850 or at [email protected] of your correct marital status. It may take a few weeks for the updated status to appear on the Web site; to expedite your beneficiary change, print and submit a paper beneficiary form.

Note: If you are married and do not rename a beneficiary on or after January 1 of the year you turn age 35, your beneficiary is your spouse, even if The JourneySM reflects your prior election.


https://bmiwebprvip01.massmutual.com/MassMutualContent/FORMS/ThriftAABooklet.pdf




Benefit Formula

Your benefit is based on a specific formula and is expressed as an account balance:

Account Balance = Pay Credits + Interest Credits

The cash balance formula has two subaccounts: • New Cash Balance Account, which is for benefits accrued on and after January 1, 2010, including pay

credits and interest credits earned on this account; and • Pre-2010 Cash Balance Account, which is for pay credits and interest credits accrued through December 31,

2009, plus interest credits on that amount earned after December 31, 2009.

Cash Balance Account = Pre-2010 Cash Balance + New Cash Balance

If you are newly contracted on or after January 1, 2010, you will only have a New Cash Balance Account.

Pay Credits

Pay credits are a percentage of your eligible compensation, as follows:

Pay Credit = Monthly Compensation x Pay Credit %

Eligible Compensation

Compensation under the Cash Balance Plan includes amounts reported on your IRS Form W-2 for each calendar year and your before-tax contributions to the Thrift Plan and the Agents’ Welfare Benefits Plan. Generally, W-2 compensation includes first-year and renewal commissions earned under a career contract, any financing subsidy you may receive and any QBIC/LA payments, up to the IRS maximum annual compensation limit.

However, certain W-2 compensation is excluded; eligible compensation does not include: • Travel and adoption reimbursements; • Commissions and payments arising from the sale of certain private placement products, including, but not

limited to, SL-14 and on and after February 2, 2009, Strategic Prestige Variable Annuity; • Sales managers declining development subsidies and sales manager capital; • Recognition awards; and • Any distributions you receive from nonqualified deferred compensation plans (including excess pension)

reported as Form W-2 income.

Pay Credit Percentage

To determine what percentage you will initially receive, MassMutual calculates your “points,” based on your age, in whole years as of the January 1 of the year your contract is endorsed and any prior years under career contract.

If your initial career contract is endorsed after January 1, 2010, your points increase by one on the next January 1 and by two each January 1 thereafter.


Example: If you are newly contracted on April 1, 2010 and you were age 40 as of January 1 of that year, you have 40 points (40 + 0 prior years under career contract = 40). As of the following January 1, you would have 41 points (40 + 1 = 41, previous year’s points plus an additional 1 for your age, but no addition for service because you have not yet completed one full year of service). After another year, on the following January 1, you will have 43 points (41 + 2 = 43, previous year’s points plus 2).

If you had an active career contract on March 1, 2001, your points for 2001 are based on your age as of January 1, 2001 plus your completed years of service as of January 1, 2001. For each subsequent year you continue to have a career contract (2002, 2003, 2004, etc.), your points are increased by two each January 1.

If you did not have an active career contract on March 1, 2001, but did have a career contract before March 1, 2001 and are subsequently re-contracted as a career agent prior to January 1, 2010, your points will generally reflect prior service. For each subsequent year you continue to have a career contract, your points are increased by two each January 1. Read the If You Are Re-Contracted by MassMutual section.

New Cash Balance Account Pay Credit Percentage – For Benefits Accrued On and After January 1, 2010

The following table shows which pay credit percentage applies to your New Cash Balance Account on and after January 1, 2010:

New Cash Balance Account Pay Credit Percentage Table Points Pay Credit Percentage (Percentage of Eligible Compensation) Fewer than 40 3.50% 40 – 49 4.25% 50 – 59 5.50% 60 or More 7.00%

Example: If you have 51 points on January 1, 2010, each month during 2010 your total eligible monthly compensation will be multiplied by 5.5% and this amount will be allocated to your Cash Balance Account at the end of each month.

Pre-2010 Cash Balance Account Pay Credit Percentage

The following table shows which pay credit percentage was credited to your Pre-2010 Cash Balance Account:

Pre-2010 Cash Balance Account Pay Credit Percentage Table Points Pay Credit Percentage (Percentage of Eligible Compensation) Fewer than 30 3.00% 30 – 39 3.75% 40 – 49 5.00% 50 – 59 6.5% 60 – 69 8.00% 70 – 79 10.00% 80 or More 11.00%


Interest Credits

Interest Credit = Account Balance (first day of month) x Monthly Interest %

Your account also receives interest credits at the end of each month. Each interest credit is calculated as a percentage of your account balance at the beginning of the month; separate interest rates may apply for your New Cash Balance Account and your Pre-2010 Cash Balance Account. The monthly interest credits are based on the third segment interest rates of the IRC Section 417(e)(3) from August of the prior calendar year. However, in no event will the interest rate for your Pre-2010 Cash Balance Account be less than 4.52%. If you leave your benefit in the Plan when you terminate your contract or retire, you continue to earn interest credits until you begin receiving your benefit.

Your Cash Balance Account

Your account grows monthly with both pay credits and interest credits while you have an active career contract. Your vested account grows only with interest credits if you do not have an active career contract with MassMutual and you have not started receiving a distribution. Once you receive a lump sum or begin receiving an annuity, interest credits stop.

Example Bob was born on October 1, 1956 and contracted with a MassMutual General Agent on January 1, 1999. Bob had a Pre-2010 Cash Balance Account of $53,500 and a New Cash Balance Account of $500 as of February 1, 2010, and was paid $6,000 in eligible compensation during the month of February 2010. Bob’s points total 64. He had 46 points when career agents joined the Plan on March 1, 2001 (age (44) + service (2) = 46), plus 2 credited each January through January 1, 2010, which equals 64 points. According to the New Cash Balance Account Pay Credit Percentage Table, Bob is eligible for a 7.00% pay credit of $6,000 or $420.

Monthly Compensation $6,000.00 Pay Credit Percent x 0.0700 New Cash Balance Account Pay Credit $420.00

Bob’s New Cash Balance Account will grow with a monthly interest credit of 0.4448% of $500 or $2.22.

New Cash Balance Account $500.00 Monthly Interest Credit Rate x 0.004448 New Cash Balance Account Interest Credit $2.22

Bob’s Pre-2010 Cash Balance Account will grow with a monthly interest credit of 0.4448% of $53,500 or $237.97.

Pre-2010 Cash Balance Account $53,500.00 Monthly Interest Credit Rate x 0.004448 Pre-2010 Cash Balance Account Interest Credit $237.97

Therefore, Bob’s Cash Balance Account grew by a total of $660.19 during February 2010

2/1/10 New Cash Balance Account $500.00 New Cash Balance Account Pay Credit + $420.00 New Cash Balance Account Interest Credit + $2.22 New Cash Balance Account Balance $922.22 2/1/10 Pre-2010 Cash Balance Account $53,500.00 Pre-2010 Cash Balance Account Interest Credit + $237.97 Pre-2010 Cash Balance Account Balance $53,737.97

Bob’s total account balance as of March 1, 2010 is $54,660.19 New Cash Balance Account Balance $922.22 Pre-2010 Cash Balance Account Balance + $53,737.97Total Cash Balance Account Balance $54,660.19

Each month, Bob’s account balances will grow; the New Cash Balance Account will increase by pay and interest credits, while the Pre-2010 Cash Balance Account will increase by interest credits only.


Your Accrued Benefit

Your accrued benefit is the amount of monthly benefit that can be provided by your current Cash Balance Account (pre-2010 and new) at your normal retirement age.

If You Are Re-Contracted by MassMutual

If you terminated your career contract from MassMutual before March 1, 2001, and are subsequently re-contracted on or after March 1, 2001, a Cash Balance Account will be established, starting with a zero balance. You will earn pay credits and interest credits as if you were a newly contracted agent, with one exception: your prior service as a career contract agent will be counted for calculating your initial points.

If you terminated your career contract from MassMutual on or after March 1, 2001, and you are re-contracted, your points will be adjusted to reflect your age as of January 1 of the year you return. If you left your vested benefit in the Plan, your Cash Balance Account continues to receive interest credits and will begin to receive pay credits, as well.

If you started to receive your benefit either as a lump sum or an annuity, a Cash Balance Account will be established starting with a zero balance. Your monthly pension benefit will automatically continue (it cannot be suspended).

Vesting

Vesting refers to your right to receive a benefit. It means your benefit is non-forfeitable — it belongs to you. On and after January 1, 2008, you become fully vested after completing three years of service. On or after January 1, 2009, you also will become fully vested if you die while actively employed. If your career contract terminates before completing three years of service, you are not eligible for any portion of your benefit.

From March 1, 2001 through December 31, 2007, you became fully vested after five years of service.

If you are re-contracted, generally any prior vesting service is recognized. Vesting service is generally determined by the “elapsed time” method. After you have been contracted for one full year, you are credited with one year of service. Effective January 1, 2009, participants who have already completed three years of eligible service with MassMutual will immediately be vested. If you leave MassMutual but are re-contracted within 12 months, your service will include the period during which you were not contracted.

If you were previously employed at the home office or by an affiliate, that service may be recognized for vesting service.

If you have questions about prior service with an affiliate, contact the Participant Information Center at 800-74-FLASHSM (35274).

If you terminate your career contract with MassMutual and are not re-contracted within 12 months of leaving, you will incur a “break in service.” If you are not vested and your break in service is five years or greater, you forfeit any unvested pension benefit and all prior service. If your break in service is fewer than five years, each period under contract will be counted toward your total service.


Accessing Your Account

You can access your Pension Plan information 24 hours a day, 365 days a year via MassMutual Retirement Services’ The JourneySM Web site and FLASHSM interactive voice response system. Note: FLASHSM or The JourneySM may be temporarily unavailable at certain times due to high demand or system maintenance. MassMutual accepts no responsibility for any losses resulting from an inability to access information systems on demand.

The JourneySM can be accessed at www.massmutual.com/retire. The Pension Plan information is on the My Benefit tab of The JourneySM.

Information is available in both English and Spanish on FLASHSM, which you can access from a touchtone telephone as follows: • Locally at 413-744-4015; or • Toll-free at 800-74-FLASHSM (35274).

User ID and Personal Identification Number (PIN)

When you access your account via FLASHSM or The JourneySM, you will be asked to enter your Social Security number and Personal Identification Number (PIN). You can create a unique user ID other than your Social Security number to access your account on The JourneySM. (Choose “change ID/PIN” at the top of the screen.)

Initially, your PIN is the last six digits of your Social Security number. (Note: If this practice changes, you will be notified.) The first time you access your account you will be prompted to change this temporary PIN to a six- to eight-digit number of your choice.

If you have misplaced or forgotten your PIN, you can reset it on The JourneySM by following the instructions, or you can call FLASHSM any business day between 8 a.m. and 8 p.m., ET, and, after entering your Social Security number, press the star (*) key to speak to a customer service representative. The representative will verify your identity before helping you set a new temporary PIN. You will be prompted to establish a security prompt and then change your temporary PIN immediately before accessing your account. If you subsequently forget your PIN, press the star (*) key then enter the security prompt you set up and then you will be able to re-set your PIN.

Functions You Can Perform on The JourneySM or Through FLASHSM

Through The JourneySM and FLASHSM, you can do the following: • Get information on your vested accrued benefit (i.e., what your benefit would be if you terminate from the

Company). • Estimate your benefit at your normal retirement date or at an alternate retirement date. • Get information on your estimated Social Security benefit. • Change your PIN.

On The JourneySM, you can perform the following additional functions: • Determine your financial goals and whether you will have enough to retire using the retirement calculator. • Map out your financial objectives in greater detail with the planning fea

g with the quick study feature. ture.

• Explore the basics of retirement plannin• Designate or change your beneficiary. • Change your user ID from your Social Security number to a unique user ID of your choice.



Participant Information Center

You can also speak to a customer service representative in MassMutual Retirement Services Participant Information Center (PIC) by calling FLASHSM on business days between 8 a.m. and 8 p.m., ET. When calling, you will initially hear information about your Thrift Plan balance, if any. After that you will be lead through a series of prompts to reach a pension specialist. A representative is available to: • Answer questions you have about the Pension Plan. • Assist you in navigating The JourneySM and FLASHSM. • Help you get a new PIN if you have lost or forgotten yours. • Explain the payment options and tax consequences and provide estimates if you are considering terminating

or retiring from the Company.

If you are currently receiving an annuity or have terminated and want to start receiving your benefit, call the Participant Information Center at 800-788-8781, business days between 8 a.m. and 8 p.m., ET.


Distributions

When You Can Receive Your Pension Benefit

As long as you are vested, you can receive your benefit from the Plan at any time after you leave MassMutual, either when you retire or terminate your career contract and do not immediately become employed with MassMutual or one of its affiliates. Once your contract is terminated, you will no longer receive semi-annual Pension Plan statements or be able to project your benefit using The JourneySM or FLASHSM.

Normal Retirement Age and Normal Retirement Date

If you were actively contracted on or after January 1, 2009, your normal retirement age is the later of age 65 and your age on the earlier of three years of service or your third anniversary of Plan participation. On and after March 1, 2001, but before January 1, 2009, normal retirement age was the later of age 65 and your age on the earlier of five years of service or your fifth anniversary of Plan participation.

Your normal retirement date is the first of the month of or following your attainment of normal retirement age.

Payment Options

Note: Your total vested accrued benefit includes the annuity that can be provided by any Pre-2010 Cash Balance Account plus the annuity that can be provided by your New Cash Balance Account.

Your options for receiving your pension benefit when you retire or terminate depend on your total vested accrued benefit. If the present value of your total vested accrued benefit is: • $1,000 or less, you will receive the full value in a single lump-sum payment (which may be eligible to be

rolled over; see the Lump-Sum Payment section below for a definition of lump-sum). You will receive a termination package with election forms; if you do not make an election within 60 days from notification of your options, your benefit will be automatically distributed to you as a lump sum.

• Greater than $1,000 but less than or equal to $5,000, you may choose to: o Receive a lump-sum payment, which may be eligible to be rolled over; or o Leave your benefit in the Pension Plan until you request a distribution. However, you must begin

receiving distribution of your pension benefit no later than your normal retirement date. • Greater than $5,000, you may choose to:

o Receive a lump-sum payment, which may be eligible to be rolled over; o Leave your benefit in the Pension Plan until you request a distribution (no later than your normal

retirement date); or o Receive your benefit as an immediate annuity.

If the present value of your vested benefit is greater than $1,000, you will receive a deferred vested benefit statement, shortly after your termination has been processed, with information on how to obtain your termination package with your options and election forms. If you do not take any action, your vested benefit will remain in the Plan (no later than your normal retirement date) until you request a distribution.

If you terminate and leave your vested benefit in the Plan, your account grows only with interest credits and you must begin taking your benefit by your normal retirement date. MassMutual Retirement Services will notify you when you must begin receiving your benefit; therefore, it is important that you report any address changes (see the Contact Information section for mailing information). Unless you elect otherwise (with spousal consent, if applicable), your benefit will be paid in a monthly single-life annuity (if you are not married) or a joint-and-50%-to-survivor-life annuity (if you are married).


You may choose anyone you want as your co-annuitant. However, if you are married (as recognized by federal law), the present value of your accrued benefit is greater than $5,000, and you elect any option other than a joint-and-survivor-life annuity with your spouse as co-annuitant, your spouse must consent to your election in the presence of a notary public. Spousal consent is not required for distributions of $5,000 or less.

Lump-Sum Payment

This option gives you a single lump-sum payment of your vested benefit, which can be distributed to you as cash, or may be eligible to be rolled over to an IRA, another eligible retirement plan or the MassMutual Thrift Plan. Any rollover to the Thrift Plan must be a direct rollover and must be within two years of termination of employment. See the Mandatory Tax Withholding and Direct Rollovers section. A lump-sum election is irrevocable and takes the place of any other pension payments. MassMutual pays the cost of any processing fee or check charge.

Annuity

An annuity provides a guaranteed income for your lifetime. You may choose from the following annuity options: • A single-life annuity provides you with monthly payments for your lifetime. A single-life annuity generally

provides you with the largest amount of monthly income; however, it provides no benefit upon your death. • A joint-and-50%-to-survivor-life-annuity provides monthly payments to you for your lifetime. If you die

before your co-annuitant, the monthly payments reduce to one-half (50%) of the initial payment and continue to your co-annuitant for his or her lifetime.

• A joint-and-75%-to-survivor-life-annuity provides monthly payments to you for your lifetime. If you die before your co-annuitant, the monthly payments reduce to three-quarters (75%) of the initial payment and continue to your co-annuitant for his or her lifetime.

• A joint-and-100%-to-survivor-life annuity provides monthly payments to you for your lifetime. If you die before your co-annuitant, the monthly payments continue in the same amount (100%) to your co-annuitant for his or her lifetime.

Note: With these joint-and-survivor annuities, if your co-annuitant dies before you, no further payments are made upon your death.

The amount of your single-life annuity is based on your vested account balance and your attained age as of the date your annuity begins. The interest rate used to determine this annuity is based on the IRC Section 417(e)(3) interest rate from August of the prior calendar year. A mortality factor is also used. If you elect a joint-and-survivor-life annuity, your benefit will be actuarially adjusted because payments are paid over two people’s lives instead of one. All annuity forms of payment are actuarially equivalent. There are no sales commissions or deferred sales charges associated with an annuity paid from the Pension Plan.

Once your annuity payments start, interest credits stop and you cannot change your payment option or co-annuitant. If you have any questions once your annuity is in payment status, call the Participant Information Center at 800-788-8781, business days between 8 a.m. and 8 p.m., ET.

Benefit Estimates

You can run an estimate of your benefit on the My Benefit tab of The JourneySM or by calling FLASHSM. You can estimate your vested accrued benefit (i.e., what your benefit would be if you terminated service before being eligible for retirement), your benefit at your Normal Retirement Date or an alternate retirement date, and your Social Security benefit.


Note: Generally the benefit projections on The JourneySM and FLASHSM reflect your total benefit. These projections do not reflect a qualified domestic relations order if any (see the Divorce section). A portion of your total benefit may be payable from a nonqualified plan. Not all payment options shown are available from a nonqualified plan; in general, a nonqualified plan benefit is paid as a lump sum (except for sunset eligible participants who elected an annuity in 2008).

If you are nearing retirement and would like an estimate and other retirement-related information, review the retirement information on FieldNet (select My Practice from the home page, then Benefits and Benefit Topics from the left menu, then Retiring/Terminating your Agent Contract?) and then call the Participant Information Center toll-free at 800-74-FLASHSM (35274) business days between 8 a.m. and 8 p.m., ET. When calling, you will initially hear information about your Thrift Plan balance, if any. After that, you will be lead through a series of prompts to reach a pension specialist.

Required Distribution Date

If you do not have an active career contract with MassMutual and are not employed by MassMutual or one of its affiliates, you must begin distribution of your account when you reach your normal retirement date, which is the first of the month, or the month that follows, the later of: • Age 65; or • Your age on the earlier of when you have three years of service or your third anniversary of Plan

participation.

If you still have an active career contract with MassMutual when you attain your normal retirement age, you will be notified in writing that you can terminate your contract and begin receipt of your benefit at any time. Your Cash Balance Account will continue to earn pay and interest credits until you retire or terminate.

If you have an active career contract, your benefit can begin by the April 1 first following the year you turn age 70½. However, if you are an active career contract agent, you can defer your benefit until your actual retirement date. Your benefit will be actuarially increased from April 1 first following the year you turn 70½ to the date your benefit begins.

Mandatory Tax Withholding and Direct Rollovers

Your pension benefit is not taxed until you receive a direct distribution or payment from the Plan. When you leave, if you roll your vested lump-sum benefit to the MassMutual Thrift Plan, another eligible retirement plan or an IRA, you will continue to defer taxation until you receive a distribution. At that time, the amount received is subject to regular income tax. If you terminate from MassMutual before age 55 and receive a lump-sum distribution before age 59½, you will be subject to a 10% penalty tax. If you choose an annuity option, you will not be subject to a penalty tax regardless of when payments begin. MassMutual will provide the necessary forms to elect an annuity or a lump-sum cash payment (including a rollover) and a Special Tax Notice, summarizing the tax implication of your options. These provisions also apply to your spouse or non-spouse beneficiary.

Disability

If you become disabled on or after March 1, 2001, and are receiving benefits from the MassMutual Agent’s Long-Term Disability (LTD) Plan, your benefit accrual depends on your years of vesting service as of the date of your disability (as defined by the LTD Plan) and whether you retain your career contract.


If you have 10 or more years of vesting service as of the date you become disabled, your Cash Balance Account continues to earn pay credits (based on your average monthly compensation earned during the 12 months immediately before your date of disability) and interest credits while you are disabled and receiving disability benefits under the LTD Plan, up to age 65.

If you have fewer than 10 years of vesting service and terminate your career contract, your Cash Balance Account only earns interest credits while you are disabled. You can receive a distribution at any time but no later than your normal retirement age.

If you have fewer than 10 years of vesting service and retain your career contract, you continue to earn pay credits based on your average monthly compensation earned during the 12 months immediately before your date of disability. Your Cash Balance Account also earns interest credits. You cannot receive a distribution until you terminate your career contract.

Death Before Distribution Begins

If you die while you have an active career contract with MassMutual or an eligible affiliate, you become vested in your benefit. If you die before you begin distribution of your benefit, the value of your vested accrued benefit becomes payable to your beneficiary. MassMutual or an eligible affiliate, you become vested in your benefit. If you die before you begin distribution of your benefit, the value of your vested accrued benefit becomes payable to your beneficiary (see the Naming a Beneficiary section).

If the present value of your vested accrued benefit is $1,000 or less, your beneficiary will receive the full value as a lump-sum payment within 60 days of receipt by the Plan of a death certificate.

If the present value of your vested accrued benefit is over $1,000, payment options (see the Payment Options section for descriptions) and timing depend on your beneficiary, as follows: • If your beneficiary is your spouse (as recognized by federal law), the options are to:

o Receive a lump-sum payment; o Roll over the lump-sum payment to a traditional or Roth Individual Retirement Account (IRA); o Receive a single-life annuity if the present value of your vested accrued benefit is over $5,000; or o Postpone payments up until you would have turned age 65. (If no election is made by then, the benefit

will be paid in an annuity.) • If your beneficiary is a trust or estate, payment must be made in a lump sum by the end of the fifth year after

your death. • If your beneficiary is not your spouse, trust or estate, the options are to:

oo Roll over the account balance to an inherited IRA within five years following your death; or

Receive a single-life annuity but payments must begin by December 31 of the year following your death;

o Postpone payments up until December 31 of the fifth year following your death; at that time, your beneficiary must take a lump-sum payment which is not eligible for rollover.

Example: If you die in April 2010, your non-spouse beneficiary can elect an annuity by December 31, 2011 or a lump-sum distribution no later than December 31, 2015.

If your beneficiary dies before starting the benefit, the benefit will be paid to the individual designated by the beneficiary, and if none, the beneficiary’s estate.


Your beneficiary should call the Participant Information Center at 413-744-4015 or toll-free at 800-74-FLASHSM (35274) business days between 8 a.m. and 8 p.m., ET, to report your death. To speak with a customer service representative, enter your Social Security number then press the star key (*) when the system asks for your Personal Identification Number (PIN). Your beneficiary will be asked to submit a copy of your death certificate and applicable forms.

If your beneficiary elects to postpone payments, he or she can start the payments later by contacting the Participant Information Center at 800-788-8781, business days between 8 a.m. and 8 p.m., ET. Note: Beneficiaries of deceased participants cannot access their benefit on FLASHSM or The JourneySM and will not receive semi-annual statements.


Administrative Information

Plan Termination

If the Plan is terminated (ended), all benefits of active participants will be vested and will be provided in accordance with the terms of the Plan, to the extent that Plan assets are sufficient. In the event there are excess assets after satisfying all liabilities, such assets will revert to MassMutual, subject to any applicable excise tax.

Your pension benefits under this Plan are insured by the Pension Benefit Guaranty Corporation (PBGC), a federal insurance agency. If the Plan terminates without enough money to pay all benefits, the PBGC will step in to pay pension benefits. Most people receive all of the pension benefits they would have received under their plan, but some people may lose certain benefits.

The PBGC guarantee generally covers: • Normal and early retirement benefits; • Disability benefits if you become disabled before the Plan terminates; and • Certain benefits for your survivors.

The PBGC guarantee generally does not cover: • Benefits greater than the maximum guaranteed amount set by law for the Plan year in which the Plan

terminates; • Some or all of benefit increases and new benefits based on Plan provisions that have been in place for fewer

than five years at the time the Plan terminates; • Benefits that are not vested because you have not worked long enough for the company; • Benefits for which you have not met all of the requirements at the time the Plan terminates; • Certain early retirement payments (such as supplemental benefits that stop when you become eligible for

Social Security) that result in an early retirement monthly benefit greater than your monthly benefit at the Plan’s normal retirement age; and

• Non-pension benefits, such as health insurance, life insurance, certain death benefits, vacation pay and severance pay.

Even if some of your benefits are not guaranteed, you still may receive some of those benefits from the PBGC depending on how much money your Plan has and on how much the PBGC collects from employers.

For more information about the PBGC and the benefits it guarantees, contact: SM• Participant Information Center at 413-74

PBGC’s Technical Assistance 1200 K Street NW, Suite 930 Washington, DC 20005-4026 800-736-2444 or 202-326-4000 (TTY/TDD

4-4015 or 800-74-FLASH (35274); or • Division

users may call the federal relay service toll-free at 800-877-8339 and ask to be connected to 800-736-2444).

tion about the PBGC’s pension insurance program is available through the PBGC’s Web site at www.pbgc.govAdditional informa

.


www.pbgc.gov

Internal Revenue Service (IRS) Regulations

The MassMutual Pension Plan complies with IRS rules and regulations, which may limit benefit amounts. For example, in accordance with Code Section 401(a)(29), the Plan is subject to benefit limitations described in Code Section 435, to the extent these Code provisions apply to the Plan at the relevant time. The IRS adjusts limits from time to time and other rules may change. If you are affected by IRS limits, you will be notified by MassMutual Benefits or Retirement Services division at the time your benefit is distributed.

Assignment of Benefits

You cannot assign or transfer ownership of your pension benefit except in the event of a QDRO (see the Divorce section below). For example, you cannot use your benefit as collateral for a bank mortgage or car loan.

Divorce

The Retirement Equity Act (REA) of 1984 grants spouses, former spouses and dependents certain rights to a participant’s qualified retirement plan benefits in the event of divorce. These rights can be assigned, created or recognized in a court-ordered Qualified Domestic Relations Order (QDRO). If a proposed order assigns a portion of your benefits to an alternate payee, the Plan Administrator or its delegate must review it to ensure it meets the MassMutual Pension Plan and legal provisions. The earliest date that an alternate payee can begin receiving a distribution from the Plan is generally when you reach age 50 if you have an active career contract or when you terminate your career contract.

For information about QDROs or to get the Plan’s model order, call the Participant Information Center at 413-744-4015 or 800-74-FLASHSM (35274) business days between 8 a.m. and 8 p.m., ET, before filing a proposed order with the court.

QDRO Guidelines

When divorce proceedings are in the negotiation stage, lawyers and the court may ask for information to ensure any final decree will comply with the Plan document. During this period, the Plan Administrator or its delegate may provide a model domestic relations order and may review proposed orders. MassMutual will comply with the QDRO guidelines of the Internal Revenue Service (IRS) and Department of Labor (DOL), which specify when and how information is provided. These guidelines may be revised from time to time; an up-to-date copy can be obtained from www.dol.gov/ebsa/publications/qdros.html.

Pending QDRO and Plan Activity

If you submit a domestic relations order to MassMutual for review, we will provide you, the alternate payee (generally your ex- or soon-to-be ex-spouse) and your respective attorneys, as applicable, written notification of receipt of the domestic relations order and the Plan’s procedures for determining its qualified status. In addition, we will determine whether the order is a QDRO and notify you and each alternate payee of the determination within a reasonable period after receipt of the domestic relations order. If you are not currently receiving benefit payments, MassMutual will not begin payments until it has completed its review. If you are currently receiving benefit payments, the payments will be adjusted to account for the payments assigned to for the alternate payee; if an order does not qualify under all of the IRS and Plan rules, payments will resume in full to you until a revised order is received. These restrictions do not apply to draft orders submitted for review.


http://www.dol.gov/ebsa/publications/qdros.html

Qualified Order

Once an order is determined to meet all of the IRS and Plan rules, it is deemed qualified. If your benefit is not currently in payment status, your alternate payee can contact the Participant Information Center at 800-788-8781, business days between 8 a.m. and 8 p.m., ET, to start his or her payments (once the QDRO allows for it). If you are currently receiving benefit payments, the payments will be adjusted as needed to comply with the order. If you are receiving a joint-and-to-survivor-life annuity with your alternate payee as the co-annuitant and the alternate payee provides an affidavit waiving the right to receive all of the survivor benefits under the Plan, your joint-and-to-survivor-life annuity will be recalculated as of a current date to provide you with single-life annuity.

Alternate payees cannot access their benefit on FLASHSM or The JourneySM and will not receive semi-annual statements. In addition, the amount that is assigned to an alternate payee will not be reflected in your benefit shown on FLASHSM, The JourneySM or semi-annual statements (the amount will not be able to be calculated until you terminate your contract or retire).

Claims Review Process

If your claim is denied or reduced, you have the right to know why this was done and to obtain copies of documents relating to the decision, without charge. You may also request a claim review.

MassMutual Benefits representatives are your contacts for review of claims for this Plan. To request a claim review, submit the original claim form and other supporting documentation to:

MassMutual Benefits 1295 State Street, F205 Springfield MA 01111-0001

A MassMutual Benefits representative will review your claim in a reasonable period and respond directly to you. If your claim is denied, wholly or in part, you will receive a written notice within 90 days of receipt of your request. The notice will include reference to the pertinent Plan provisions and any internal rules, guidelines or other criteria on which the decision is based. The 90 days may be extended for another 90 days if special circumstances warrant — if so, you will receive written notice of the extension before it starts. The extension notice will indicate why an extension is required and the date when a decision will be made. If you do not receive a response in the 90-day (or 180-day, if extended) period, you should consider your claim denied.

Denied-Claims Appeal Process and Final Decision

If, after review, your claim is still denied or reduced, you may submit an appeal to the Plan Administrator within 60 days after you receive the claim denial.

Appeals must be in writing, signed and dated. From the date your appeal is received, the Plan Administrator will: • Acknowledge receipt of your appeal; and • Within 60 days, review and make a final written decision on your denied or reduced claim.

Specific reasons for the decision and references to Plan provisions on which the decision was based will be given as well as information on your right to file suit. The 60-day period may be extended for another 60 days if the Plan Administrator finds that special circumstances warrant an extension. If an extension for review is required because of special circumstances, written notice will be furnished to you before the extension begins. If you do not receive a decision on your appeal by the end of the first 60-day period plus any required extension, you should consider your appeal denied. The decision of the Plan Administrator is final and binding.


Plan Information

The information presented in this SPD is intended to comply with the disclosure requirements of the regulations issued by the U.S. Department of Labor under the Employee Retirement Income Security Act (ERISA) of 1974.

Plan Name and Number

MassMutual Pension Plan, 001

Plan Administrator

The Plan Administrator is the Plan Administrative Committee, which is appointed by MassMutual’s Chief Executive Officer. The Plan Administrative Committee has the authority to control and manage the operations and administration of the Plan. You can reach the Plan Administrative Committee at:

Massachusetts Mutual Life Insurance Company Human Resources, Benefits 1295 State Street, F105 Springfield, MA 01111-0001 866-662-6448

Plan Sponsor

Massachusetts Mutual Life Insurance Company 1295 State Street Springfield, MA 01111-0001 866-662-6448

Employer Identification Number (EIN)

The EIN of Massachusetts Mutual Life Insurance Company is 04-1590850.

Plan Year

The plan year is January 1 through December 31.

Agent for Service of Legal Process

General Counsel of Massachusetts Mutual Life Insurance Company 1295 State Street Springfield, MA 01111-0001

If legal action is necessary to settle a claim, any action may also be served upon the Plan Administrator.


Plan Type and Funding

This Plan is a defined benefit pension plan providing retirement benefits funded by the Company. Assets are invested in Group Annuity Contract PF 1033, issued by MassMutual. Benefits and certain administrative expenses are paid from Plan assets. The Company pays the entire cost of the Plan. You do not contribute to the Plan. The Company makes any required contributions and invests the Plan assets to meet Plan benefit obligations. Plan assets are used to provide benefits to participants and their beneficiaries and to defray reasonable expenses of administering the Plan. During your working years, while your pension benefit is accumulating, it is not taxable income to you.

Claims Administrator

The claims administrator is the Plan Administrator. The claims administrator has full discretion and fiduciary authority to determine claims and appeals arising under this Plan.

Type of Administration

MassMutual Benefits and the MassMutual Retirement Services division are responsible for the day-to-day operation of the Plan.

ERISA places certain responsibilities on the people who administer this Plan, referred to as fiduciaries. In administering the Plan, fiduciaries have a duty to act prudently, to act in your interests and the interests of other Plan participants and beneficiaries and to ensure the Plan is administered in accordance with Plan terms. In addition to the Plan Administrative Committee, the Investment Fiduciary Committee has responsibility for investment oversight.

Continuation of the Plan

Although MassMutual does not now intend to terminate the benefits described in this SPD, nevertheless it reserves the right to modify, revoke, change, suspend or terminate the Plan, policies, benefits or services described here or in the underlying Plan document at any time or from time to time, with or without notice.


ERISA Rights

As a Plan participant, you are entitled to certain rights and protections under the Employee Retirement Income Security Act (ERISA) of 1974, as amended. ERISA provides that you are entitled to the rights described in this section.

Receive Information about Plan and Benefits

You have the right to: • Examine, without charge, at the Plan Administrator’s office or other specified locations, such as worksites, all

documents governing the Plan. These include any insurance contracts and copies of the latest annual report (Form 5500 series) filed by the Plan with the U.S. Department of Labor and available at the Public Disclosure Room of the Employee Benefits Security Administration (EBSA).

• Obtain, upon written request, copies of documents governing the operation of the Plan. These include copies of the latest annual report (Form 5500 series) and current Summary Plan Description. A reasonable charge may be required for the copies.

• Receive a summary of the Plan’s annual financial report (pension funding notice), which is required by law to be provided to each participant.

• Obtain a statement explaining your vested rights under the Plan and if you have a right to receive a benefit at your normal retirement age, as defined by the Plan. If you do not have vested rights, the statement will tell you how many more years you have to work to acquire vested rights. This statement must be requested in writing and is not required to be given more than once a year. The Plan must provide this statement free of charge.

Prudent Actions by Plan Fiduciaries

In addition to creating rights for Plan participants, ERISA imposes duties upon the people who are responsible for the operation of the Plan. The people who operate the Plan, called Plan fiduciaries, have a duty to do so prudently and in the interest of you and other Plan participants and beneficiaries. No one, including your employer or any other person, may fire you or otherwise discriminate against you in any way to prevent you from obtaining a retirement benefit or exercising your rights under ERISA.

Enforce Your Rights

If your claim for a benefit is denied or ignored, in whole or in part, you have a right to know why this was done, to obtain copies of documents relating to the decision (without charge) and to appeal any denial, all within certain time schedules. However, you may not begin any legal action, including proceedings before administrative agencies, until you have followed and exhausted the Plan’s claim and appeal procedures.

Under ERISA, there are steps you can take to enforce the above rights. For instance, if you request a copy of a Plan document or the latest annual report and do not receive it within 30 days, you may file suit in a federal court. In such a case, the court may require the Plan Administrator to provide the materials and pay you up to $110 a day until you receive the materials, unless the materials were not sent because of reasons beyond the Plan Administrator’s control.


If you have a claim that is denied or ignored, in whole or in part, you may file suit in a state or federal court. In addition, if you disagree with the Plan’s decision or lack thereof, you may file suit in federal court. If you believe that Plan fiduciaries have misused the Plan’s money or if you believe that you have been discriminated against for asserting your rights, you may seek assistance from the U.S. Department of Labor or you may file suit in a federal court. The court will decide who should pay court costs and legal fees. If you are successful, the court may order the person you have sued to pay these costs and fees. If you lose, the court may order you to pay these costs and fees, for example, if it finds your claim is frivolous.

Assistance with Questions

If you have any questions about the Plan, you should contact the Participant Information Center. If you have any issues or questions that are not addressed by the Participant Information Center, contact the Plan Administrator. If you have any questions about this statement or about your rights under ERISA or if you need assistance in getting documents from the Plan Administrator, you should contact the nearest office of EBSA or the national office at:

Division of Technical Assistance and Inquiries Employee Benefits Security Administration U.S. Department of Labor 200 Constitution Avenue NW Washington, DC 20210 866-444-3272

For more information about your rights and responsibilities under ERISA or for a list of EBSA offices, contact EBSA by visiting its Web site at www.dol.gov/ebsa.


http://www.dol.gov/ebsa

Documents

MassMutual Pension Planbenecontent.massmutual.com/MassMutualContent/SPD/AgtCBPensi… · retire. This SPD describes eligibility for career contract agents of MassMutual. A separate