FIXED ACCOUNT WITH A MARKET VALUE ADJUSTMENT ENDORSEMENT
--------------------------------------------------------------------------------

This Endorsement forms a part of the Contract to which it is attached and is
effective as of the Issue Date of the Contract. In the case of a conflict with
any provision in the Contract, the provisions of this Endorsement will control.
The following hereby amends and supersedes the sections of the Contract as set
forth below:

The following paragraph is hereby added to the first page of the Contract.

PAYMENTS AND VALUES BASED ON THE FIXED PERIOD ACCOUNTS ARE SUBJECT TO A MARKET
VALUE ADJUSTMENT FORMULA, THE OPERATION OF WHICH MAY RESULT IN UPWARD AND
DOWNWARD ADJUSTMENTS IN AMOUNTS PAYABLE TO AN OWNER OR ANNUITANT, INCLUDING
WITHDRAWALS, TRANSFERS AND AMOUNTS APPLIED TO PURCHASE AN ANNUITY.


  DEFINITIONS:               The following definitions are added to or revised
                             in the Contract:

  Account Period:            The period of a Fixed Period Account. Account
                             Periods range from 1 to 10 years.

  Contract Value:            The Contract Value for any Valuation Period is
                             equal to the total dollar value accumulated under
                             this Contract in all of the Investment Options and
                             the Fixed Account prior to any Market Value
                             Adjustment.

  Fixed Account:             An option within the General Account  which may be
                             selected.

  Fixed Period Accounts      FPAs are part of the Fixed Account. They are only
  (FPAs):                    available during the Accumulation Phase. Only one
                             of these FPAs is available for Purchase Payment
                             allocations or transfers at any one point in time

  Market Value               A positive or negative adjustment if any portion of
  Adjustment (MVA):          a FPA is withdrawn or transferred out on any  day
                             other than within 30 days before the end of the
                             Account Period.

  ALLOCATION OF PURCHASE     The following replaces the ALLOCATION OF PURCHASE
  PAYMENTS:                  PAYMENTS provision section as set forth in the
                             Contract:

                             Purchase Payments may be allocated to one or more
                             of the Investment Options and/or to the Fixed
                             Account. The allocation of the initial Purchase
                             Payment is made in accordance with your selection
                             made at the Issue Date. Unless you inform us
                             otherwise, subsequent Purchase Payments are
                             allocated in the same manner as the initial
                             Purchase Payment. However, the Company has reserved
                             the right to allocate the initial Purchase Payment
                             to the Money Market Investment Option until the
                             expiration of the Right to Examine period. All
                             allocations of Purchase Payments are subject to the
                             Allocation Guidelines shown in the Contract
                             Schedule. We guarantee that you will be allowed to
                             select at least five Investment Options for such
                             allocations.

  CONTRACT MAINTENANCE       The following replaces the third sentence of the
  CHARGE:                    CONTRACT MAINTENANCE provision section as set forth
                             in the Contract: The number of Accumulation Units
                             to be canceled from each applicable Investment
                             Option is the ratio that the value of each
                             Investment Option bears to the total Contract Value
                             in the Investment Options. If there is an
                             insufficient amount in the Investment Options, any
                             remaining amount is deducted from the Fixed
                             Account.

  SUSPENSION OR DEFERRAL OF  The following is added to the SUSPENSION OR
  PAYMENTS:                  DEFERRAL OF PAYMENT provision section as shown in
                             the Contract:

                             The Company reserves the right to postpone payments
                             from the Fixed Account for a period of up to six
                             months.


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  TRANSFERS:                 The following replaces the TRANSFERS provision
                             section as set forth in the Contract:

                             You may transfer all or part of your interest in
                             the Investment Options and, subject to some
                             restrictions, the Fixed Account. We reserve the
                             right to charge for transfers if there are more
                             than the number of free transfers shown in the
                             Contract Schedule. All transfers are subject to the
                             following:

                             1.    The deduction of any transfer fee that we may
                                   impose as detailed on the Contract Schedule.
                                   We will deduct the transfer fee from the
                                   source account (Investment Options or Fixed
                                   Account) from which you make the transfer. If
                                   you transfer the entire amount in the source
                                   account, then we will deduct the transfer fee
                                   from the amount transferred. If you are
                                   transferring from multiple source accounts,
                                   we will treat the transfer as a single
                                   transfer and we will deduct any transfer fee
                                   proportionally from the source accounts if
                                   you transfer less than the entire amount in
                                   the accounts.

                             2.    We reserve the right to limit transfers until
                                   the expiration of the Right to Examine
                                   period.

                             3.    No transfer will be effective within seven
                                   calendar days prior to the date on which the
                                   first Annuity Payment is due.

                             4.    Any transfer direction must clearly specify:
                                   a. the amount you wish to transfer; and b.
                                   the accounts which are to be affected.

                             5.    You can make transfers from the Fixed Account
                                   to the extent that any required minimum
                                   amount in the Fixed Account stated in the
                                   Contract or any endorsements is met. These
                                   transfers may be subject to a MVA.

                             6.    After the Income Date, transfers may not be
                                   made from a fixed Annuity Option to a
                                   variable Annuity Option.

                             7.    After the Income Date, you can make transfers
                                   from a variable Annuity Option to a fixed
                                   Annuity Option. The number of Annuity Units
                                   canceled from the variable Annuity Option
                                   will be equal in value to the amount of the
                                   Annuity Reserve transferred out of the
                                   Variable Account. The amount transferred will
                                   purchase fixed Annuity Payments under the
                                   Annuity Option in effect and based on the Age
                                   and sex of the Annuitant, where allowed, at
                                   the time of the transfer.

                             8.    Your right to make transfers is subject to
                                   modification if we determine, in our sole
                                   opinion, that the exercise of the right by
                                   one or more Contract Owners is, or would be,
                                   to the disadvantage of other Contract Owners.
                                   Restrictions may be applied in any manner
                                   reasonably designed to prevent any use of the
                                   transfer right that we consider to be to the
                                   disadvantage of other Contract Owners,
                                   including rejecting a transfer request. We
                                   could apply modifications to transfers to or
                                   from one or more of the accounts, and could
                                   include, but is not limited to:

                                   a. requiring a minimum time period between
                                      each transfer; or
                                   b. not accepting a transfer request from an
                                      agent acting on behalf of more than one
                                      Contract Owner; or
                                   c. limiting the dollar amounts that a
                                      Contract Owner may transfer between the
                                      accounts at any one time; or
                                   d. not accepting telephone transfer
                                      instructions or transfer instructions
                                      other than by U.S. mail; or
                                   e. prohibiting transfers into specific
                                      Investment Options.


                             9.    We reserve the right to modify the transfer
                                   provisions subject to applicable state law at
                                   any time and without prior notice to any
                                   party.

                             If you choose to use the transfer privilege, we
                             will not be liable for transfers made in accordance
                             with your instructions. We will determine all
                             amounts and Accumulation Units as of the end of the
                             Valuation Period during which the request for
                             transfer is received at the Service Center.


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  WITHDRAWAL PROVISIONS:     The following replaces the first paragraph of the
                             WITHDRAWAL PROVISIONS section of the Contract:

                             During the Accumulation Phase, you may make, upon
                             Authorized Request, a full or partial withdrawal of
                             the Contract Value. Unless you instruct us
                             differently, we will make partial withdrawals
                             pro-rata from the Investment Options you select if
                             there is sufficient value for the withdrawal. If
                             the amount in the Investment Options is
                             insufficient for the withdrawal, then the remaining
                             amount of the withdrawal will come from the Fixed
                             Account up to the required minimum amount in the
                             Fixed Account stated in the Contract or any
                             endorsement. If you request a partial withdrawal
                             from the Fixed Account, we will first withdraw the
                             requested amount and any applicable withdrawal
                             charges from the Fixed Account until the remaining
                             Fixed Account balance is equal to any required
                             minimum amount in the Fixed Account stated in the
                             Contract or any endorsements. We will then take the
                             remaining requested amount (and any applicable
                             withdrawal charges) from the Investment Options.

                             Partial withdrawals from the Fixed Account may be
                             subject to a MVA that may increase or decrease the
                             amount you receive subject to the FPA Guaranteed
                             Minimum Value. Partial withdrawals from the
                             Investment Options will result in the cancellation
                             of Accumulation Units from each Investment Option
                             in the ratio that the value of each Investment
                             Option bears to the total Contract Value in the
                             Investment Options.

  INCOME DATE:               The following replaces the INCOME DATE provision
                             section of the Contract:

                             The Income Date is shown in the Contract Schedule.
                             You may make an Authorized Request for a different
                             date, however any such request is subject to
                             Company approval. The Income Date must always be
                             the first day of a calendar month. The earliest
                             Income Date you can request is a date that is
                             specified in the Contract. The Income Date will not
                             be later than the calendar month following the
                             later of the Annuitant's 90th birthday or 10 years
                             from the Issue Date, unless approved by the
                             Company. However, the Income Date will never be
                             greater than that permitted under state law. Your
                             selection to start Annuity Payments may involve a
                             MVA if any of the Contract Value is in the Fixed
                             Account on the Income Date.


   AMOUNT AVAILABLE FOR      The following replaces the AMOUNT AVAILABLE FOR
   ANNUITY PAYMENTS:         ANNUITY PAYMENTS provision section as set forth in
                             the Contract Schedule which is made part of the
                             Contract:

                             The amount available for Annuity Payments is the
                             Contract Value (adjusted for any MVA) less any
                             applicable Premium Tax.

  FIXED ACCOUNT:             The following provisions are added to the Contract:

  FPAs:                      FPAs are part of the Fixed Account to which you may
                             allocate Purchase Payments or transfer amounts.
                             FPAs have Account Periods ranging from 1 to 10
                             years. Only one of these FPAs is available for
                             Purchase Payment allocations and transfers made in
                             a single Contract Year.




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The table below shows the Account Periods available in each Contract Year:

------------- ---------------- ------------- ------------------
 Contract     Account Period     Contract     Account Period
   Year                            Year
------------- ---------------- ------------- ------------------
------------- ---------------- ------------- ------------------
    1               10              11               5
------------- ---------------- ------------- ------------------
------------- ---------------- ------------- ------------------
    2                9              12               4
------------- ---------------- ------------- ------------------
------------- ---------------- ------------- ------------------
    3                8              13               3
------------- ---------------- ------------- ------------------
------------- ---------------- ------------- ------------------
    4                7              14               2
------------- ---------------- ------------- ------------------
------------- ---------------- ------------- ------------------
    5                6              15               1
------------- ---------------- ------------- ------------------
------------- ---------------- ------------- ------------------
    6                5              16               5
------------- ---------------- ------------- ------------------
------------- ---------------- ------------- ------------------
    7                4              17               4
------------- ---------------- ------------- ------------------
------------- ---------------- ------------- ------------------
    8                3              18               3
------------- ---------------- ------------- ------------------
------------- ---------------- ------------- ------------------
    9                2              19               2
------------- ---------------- ------------- ------------------
------------- ---------------- ------------- ------------------
    10               1              20               1
------------- ---------------- ------------- ------------------

After the 20th Contract Year, the FPA available follows the schedule shown above
for Contract Years 11 to 20.

 FIXED ACCOUNT CONTRACT      The  Fixed Account Contract Value at any one
 VALUE:                      time is equal to:

                             1.    the Purchase Payments allocated to the
                                   Fixed Account; plus

                             2.    the Contract Value transferred to the
                                   Fixed Account; plus

                             3.    interest credited to the Contract Value
                                   in the Fixed Account; less

                             4.    any prior withdrawals of Contract Value
                                   from the Fixed Account and any
                                   applicable withdrawal charges; less

                             5.    any Contract Value transferred from the
                                   Fixed Account; less

                             6.    Contract maintenance charges, transfer
                                   fees or any applicable Premium Taxes
                                   deducted from the Contract Value held
                                   in the Fixed Account.

                             A transfer or withdrawal from the Fixed
                             Account will first reduce the oldest FPA,
                             then the next oldest FPA, and so on.

  MARKET VALUE ADJUSTMENT:   When a transfer or withdrawal of Contract Value is
                             made from a FPA at any time other than 30 days
                             before the end of its Account Period, we will
                             adjust the value of withdrawal or transfer based on
                             a formula called a "Market Value Adjustment" or
                             "MVA".

                             The MVA formula is equal to (1+I)/(1+J)N where:
                             I  equals the current interest rate earned
                                in the FPA from which amounts are being
                                transferred or withdrawn.

                             J  equals the current interest rate earned
                                for a new Account Period equal to the
                                remaining term (rounded up) in the
                                current Account Period.

                             N  equals the number of days from the date
                                of transfer from or withdrawal from the
                                FPA to the next Contract Anniversary,
                                divided by 365, plus the number of whole
                                years remaining in the Account Period.

                             The MVA is subject to a minimum and a maximum.

                             The MVA minimum is equal to the following:
                             The MVA will be at least the greater of (a) or (b)
                             the result divided by (c), where:
                             a.  equals the FPA Guaranteed Minimum Value;
                             b.  equals all  allocations  to the FPAs less
                                 partial  withdrawals  (including  any
                                 withdrawal charges) and transfers from the
                                 FPAs; and
                             c.  equals the Fixed Account Value in the FPAs.


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  MARKET VALUE ADJUSTMENT    The MVA maximum is equal to the following:
  (continued):               The MVA will be no greater than (a) divided by the
                             result of the greater of (b) or (c), where:
                             a.  equals the Fixed Account Value in the FPAs;
                             b.  equals the FPA Guaranteed Minimum Value;
                             c.  equals all allocations to the FPAs less
                                 partial withdrawals (including any
                                 withdrawal charges) and transfers from
                                 the FPAs.

                             We will not make MVAs for amounts withdrawn for
                             withdrawal charges, transfer fees, the contract
                             maintenance charge, Premium Tax, or for the death
                             benefit. We will not make MVAs on the amount you
                             receive if you return the Contract under the Right
                             to Examine provision. We determine any applicable
                             withdrawal charges based on the market value
                             adjusted withdrawals. Within 30 days before the end
                             of the Account Periods, there will be no MVA made.
                             You will receive at least 30 days advance notice of
                             the period in which no MVA will be made. Any
                             amounts over any required minimum amount in the
                             Fixed Account stated in the Contract or
                             endorsements, if any, that remains at the end of
                             the Account Period and for which we have not
                             received instructions will then be allocated to the
                             five-year FPA along with any required minimum
                             amount.

  INTEREST RATE CREDITED:    Upon a transfer to the Fixed Period Accounts or
                             allocation of any Purchase Payment to the Fixed
                             Period Accounts, the initial interest rate is
                             guaranteed until the second Contract Anniversary
                             following that transfer or allocation. The Fixed
                             Period Accounts credited rate is guaranteed to be
                             at least equal to the Fixed Period Account
                             Guaranteed Minimum Interest Rate specified in the
                             Contract Schedule.

  FPA GUARANTEED MINIMUM     The FPA Guaranteed Minimum Value is equal to the
  VALUE:                     sum of (i) and (ii):

                             i.    87.5% of all allocations and transfers to
                                   the FPAs, less all partial withdrawals
                                   (including any withdrawal charges) or
                                   transfers from the FPA's, accumulated at the
                                   Fixed Period Account Guaranteed Minimum Value
                                   Interest Rate specified in the Contract
                                   Schedule; and

                             ii.   upon a full withdrawal, the amount of the
                                   withdrawal charge that we assign to the FPAs.
                                   We base this amount on the percentage of
                                   Contract Value in the FPAs (for example, if
                                   25% of the Contract Value is in the FPAs,
                                   then upon full withdrawal we would assign 25%
                                   of any withdrawal charge to the FPAs).

                             All partial withdrawals and transfers in the above
                             calculation of the FPA Guaranteed Minimum Value do
                             not reflect any MVA. In no event will the Contract
                             Value in a FPA adjusted for any applicable MVA be
                             less that the FPA Guaranteed Minimum Value upon
                             complete transfer or full withdrawal.


In all other respects the provisions, conditions, exceptions and limitations
contained in the Contract remain unchanged. Signed for the Company at its home
office.

            ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA

            [/s/ Wayne A Robinson]      [/s/ Mark Zesbaugh]
               Wayne A. Robinson           Mark Zesbaugh
                  Secretary                  President


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