§ 38.2-3130. Minimum valuation standard of policies subsequently issued
This section shall apply only to those policies and contracts issued on or after the operative date stated in § 38.2-3214, except as provided in this article and except as otherwise provided in §§ 38.2-3131 through 38.2-3136 for group annuity and pure endowment contracts issued before the operative date.
Except as otherwise provided in §§ 38.2-3131 through 38.2-3136, the minimum standard for the valuation of all such policies and contracts shall be the Commissioners reserve valuation methods defined in §§ 38.2-3137, 38.2-3138 and 38.2-3141, 3 1/2 percent interest, or for policies and contracts other than annuity and pure endowment contracts issued on or after July 1, 1975, four percent interest for such policies issued before July 1, 1979, 5 1/2 percent interest for single premium life insurance policies and 4 1/2 percent interest for all other policies issued on or after July 1, 1979, and the following tables:
1. For all ordinary policies of life insurance issued on the standard basis, excluding any disability and accidental death benefits in those policies, the Commissioners 1941 Standard Ordinary Mortality Table for those policies issued before the operative date of § 38.2-3215, and the Commissioners 1958 Standard Ordinary Mortality Table for those policies issued on or after the operative date of § 38.2-3215 and before the operative date of § 38.2-3209. For any category of those policies issued on female risks, all modified net premiums and present values referred to in this section may be calculated according to an age not more than six years younger than the actual age of the insured. For policies issued on or after the operative date of § 38.2-3209 (i) the Commissioners 1980 Standard Ordinary Mortality Table, or (ii) at the election of the insurer for any one or more specified plans of life insurance, the Commissioners 1980 Standard Ordinary Mortality Table with Ten-Year Select Mortality Factors, or (iii) any ordinary mortality table adopted after 1980 by the National Association of Insurance Commissioners and approved by regulation promulgated by the Commission for use in determining the minimum standard of valuation for those policies.
2. For all industrial life insurance policies issued on the standard basis, excluding any disability and accidental death benefits in those policies, the 1941 Standard Industrial Mortality Table for those policies issued before the operative date of § 38.2-3216, and for those policies issued on or after that operative date the Commissioners 1961 Standard Industrial Mortality Table or any industrial mortality table adopted after 1980 by the National Association of Insurance Commissioners and approved by regulation promulgated by the Commission for use in determining the minimum standard of valuation for those policies.
3. For individual annuity and pure endowment contracts, excluding any disability and accidental death benefits in those contracts - the 1937 Standard Annuity Mortality Table or, at the insurer's option, the Annuity Mortality Table for 1949 Ultimate, or any modification of those tables approved by the Commission.
4. For group annuity and pure endowment contracts, excluding any disability and accidental death benefits in those contracts - the Group Annuity Mortality Table for 1951, any modification of that table approved by the Commission, or, at the insurer's option, any of the tables or modifications of tables specified for individual annuity and pure endowment contracts.
5. For total and permanent disability benefits in or supplementary to ordinary policies or contracts - for policies or contracts issued on or after January 1, 1966, the tables of Period 2 disablement rates and the 1930 to 1950 termination rates of the 1952 Disability Study of the Society of Actuaries, with due regard to the type of benefit or any tables of disablement rates and termination rates adopted after 1980 by the National Association of Insurance Commissioners and approved by regulation promulgated by the Commission for use in determining the minimum standard of valuation for those policies; for policies or contracts issued on or after January 1, 1961, and prior to January 1, 1966, either those tables or, at the insurer's option, the Class (3) Disability Table (1926); and for policies issued before January 1, 1961, the Class (3) Disability Table (1926). Any such table shall, for active lives, be combined with a mortality table permitted for calculating the reserves for life insurance policies.
6. For accidental death benefits in or supplementary to policies - for policies issued on or after January 1, 1966, the 1959 Accidental Death Benefits Table or any accidental death benefits table adopted after 1980 by the National Association of Insurance Commissioners and approved by regulation promulgated by the Commission for use in determining the minimum standard of valuation for those policies; for policies issued on or after January 1, 1961, and before January 1, 1966, either that table or, at the insurer's option, the Inter-Company Double Indemnity Mortality Table; and for policies issued before January 1, 1961, the Inter-Company Double Indemnity Mortality Table. Either table shall be combined with a mortality table permitted for calculating the reserves for life insurance policies.
7. For group life insurance, life insurance issued on the substandard basis and other special benefits, any table approved by the Commission.
(Code 1950, § 38-394; 1952, c. 317, § 38.1-456; 1959, Ex. Sess., c. 43; 1962, c. 562; 1975, c. 215; 1979, c. 437; 1982, c. 227; 1986, c. 562.)
Sections: Previous 38.2-3124 38.2-3125 38.2-3126 38.2-3127 38.2-3127.1 38.2-3128 38.2-3129 38.2-3130 38.2-3131 38.2-3132 38.2-3133 38.2-3134 38.2-3135 38.2-3136 38.2-3137 NextLast modified: April 16, 2009