- 38 -
- $1,572.75 + $268.55); the $268.55 is the interest of 4.5
percent earned on the conversion credit balance (($6,236.30 -
$268.55) x 4.5% = $268.55)). None of the conversion credit
balance could have been transferred at this time to the C-group
conversion UL policy, upon conversion thereto, because the C-
group term policy was in its first year.
The second-year premium, before any experience refund, was
$7,720. The policy was credited with an experience refund of
$115.21, and the Lakewood Plan paid the net premium of $7,604.79
($7,720 - $115.21). The cost of insuring Dr. Hirshkowitz for the
second year was $1,665.17, and, at the end of that year, the
conversion credit balance was $12,844.23 ($6,236.30 + $7,720 -
$1,665.17 + $553.10); the $553.10 is the interest of 4.5 percent
earned on the conversion credit balance (($12,844.23 - $553.10) x
4.5% = $553.10)). Of the conversion credit balance, $6,101.01
could have been transferred at this time to the C-group
conversion UL policy, upon conversion thereto, because the C-
group term policy was in its second year ($12,844.23 x 47.5%).
The third-year premium, before any experience refund, was
$7,972.50. The policy was credited with an experience refund of
$176.01, and the Lakewood Plan paid the net premium of $7,796.49
($7,972.50 - $176.01). The cost of insuring Dr. Hirshkowitz for
the third year was $1,798.22, and, at the end of that year, the
conversion credit balance was $19,874.34 ($12,844.23 + $7,972.50
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