Supplement to Prospectus Dated May 1, 2000
                        Supplement dated October 23, 2000

This Supplement should be retained with the current Prospectus for your variable
annuity  contract  issued  by  American   Skandia  Life  Assurance   Corporation
("American  Skandia").  If you do not have a current prospectus,  please contact
American Skandia at 1-800-SKANDIA.

                       A. MAXIMUM NUMBER OF FREE TRANSFERS

The maximum  number of transfers  you can make between  investment  options each
Annuity Year without  being  subject to a Transfer Fee is increased  from twelve
(12) to twenty (20).

                              B. PARTIAL EXCHANGES

TAX CONSIDERATIONS

The  following  paragraph  replaces the  corresponding  paragraph  under the Tax
Considerations section in your Annuity prospectus:

Special rules in relation to tax-free exchanges under Section 1035:

On November 22, 1999, the Internal Revenue Service issued an acquiescence in the
decision of the United States Tax Court in Conway v.  Commissioner (111 T.C. 350
(1998)) that a taxpayer's partial surrender of a non-qualified  annuity contract
and  direct  transfer  of the  resulting  proceeds  for  the  purchase  of a new
non-qualified annuity contract qualifies as a non-taxable exchange under Section
1035 of the Internal Revenue Code. "Acquiescence" means that the IRS accepts the
holding of the Court in a case and that the IRS will follow it in  disposing  of
cases with the same controlling  facts.  Prior to the Conway decision,  industry
practice has been to treat a partial surrender of account value as fully taxable
to the extent of any gain in the  contract  for tax  reporting  purposes  and to
"step-up"  the  basis  in  the  contract  accordingly.  However  with  the  IRS'
acquiescence in the Conway  decision,  partial  surrenders may be treated in the
same way as tax-free  1035  exchanges of entire  contracts,  therefore  avoiding
current taxation of any gains in the contract as well as the 10% IRS tax penalty
on pre-age 59 1/2 withdrawals.  The IRS reserved the right to treat transactions
it considers  abusive as  ineligible  for this  favorable  partial 1035 exchange
treatment.  We do not know what  transactions  may be  considered  abusive.  For
example, we do not know how the IRS may view early withdrawals or annuitizations
after a partial exchange. As of the date of this prospectus supplement,  we will
treat a partial  surrender of this type as a "tax-free"  exchange for future tax
reporting purposes, except to the extent that we, as a reporting and withholding
agent,  believe that we would be expected to deem the transaction to be abusive.
However,  some insurance companies may not recognize these partial surrenders as
tax-free exchanges and may report them as taxable distributions to the extent of
any  gain  distributed  as  well  as  subjecting  the  taxable  portion  of  the
distribution to the 10% IRS early distribution  penalty. We strongly urge you to
discuss any  transaction  of this type with your tax advisor  before  proceeding
with the transaction.

While the  principles  expressed in the Conway  decision  appear  applicable  to
partial  exchanges from life  insurance,  there is no guidance from the Internal
Revenue  Service as to whether it concurs with  non-recognition  treatment under
Section  1035 of the Code for such  transactions.  We will  continue to report a
partial  surrender of a life insurance  policy as subject to current taxation to
the  extent of any gain.  In  addition,  please be  cautioned  that no  specific
guidance  has been  provided  as to the  impact  of such a  transaction  for the
remaining life insurance policy, particularly as to the subsequent methods to be
used to test for  compliance  under  the Code  for both the  definition  of life
insurance and the definition of a modified endowment contract.


EVA/ EVAXT -SUPP. (10/23/2000)                              VAEVA/EVAXT 10/23/00