reglab/statecodes huggingface dataset:
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-15 - Insurance policy loan--Security--Maximum amount--Private placement policies.

58-15-15. Insurance policy loan--Security--Maximum amount--Private placement policies.
There shall be a provision that after three full years' premiums have been paid and after the policy has a cash surrender value and while no premium is in default beyond the grace period for payment, the insurer shall advance, on proper assignment or pledge of the policy and on the sole security thereof, an amount not to exceed the loan value of the policy. However, in the case of a private placement policy, the obligation of the insurer to advance the loan value of the policy, or any portion of the loan value, is subject to the liquidity of separate account assets comprising such loan value, and the insurer shall advance the loan value of the policy, or any portion of the loan value, as and when the separate account assets from which the loan is to be made, can be, by their respective terms, converted to cash.
Source:
SL 1966, ch 111, ch 23, §9; SL 1974, ch 313, §1; SL 2006, ch 252, §2; SL 2009, ch 259, §2.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-15.4 - Insurance policy loan--Definition of terms.

58-15-15.4. Insurance policy loan--Definition of terms.
For purposes of §§58-15-15.5 to 58-15-15.12, inclusive:
(1)The rate of interest on policy loans permitted under §§58-15-15.5 to 58-15-15.12, inclusive, includes the interest rate charged on reinstatement of policy loans for the period during and after any lapse of a policy;
(2)The term "policy loan" includes any premium loan made under a policy to pay one or more premiums that were not paid to the life insurer as they fell due;
(3)The term "policyholder" includes the owner of the policy or the person designated to pay premiums as shown on the records of the life insurer; and
(4)The term "policy" includes certificates issued by a fraternal benefit society and annuity contracts which provide for policy loans.
Source:
SL 1982, ch 358, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-15.5 - "Published monthly average" defined.

58-15-15.5. Published monthly average defined.
For purposes of §§58-15-15.4 to 58-15-15.12, inclusive, the "published monthly average" means Moody's corporate bond yield average--monthly average corporates, as published by Moody's investors service, incorporated, by yearly order of the director, or in the event that Moody's corporate bond yield average--monthly average corporates is no longer published, a substantially similar average, established by rule promulgated by the director.
Source:
SL 1982, ch 358, §2; SL 1986, ch 22, §28.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-15.6 - Insurance policy loan--Permitted interest rates.

58-15-15.6. Insurance policy loan--Permitted interest rates.
Any policy issued on or after July 1, 1982, shall provide for policy loan interest rates through a provision permitting a maximum interest rate of not more than eight percent per annum or a provision permitting an adjustable maximum interest rate established from time to time by the life insurer, as permitted by law.
Source:
SL 1982, ch 358, §3.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-15.7 - Insurance policy loan--Allowable rate under adjustable maximum interest rate.

58-15-15.7. Insurance policy loan--Allowable rate under adjustable maximum interest rate.
The rate of interest charged on a policy loan made under an adjustable maximum interest rate may not exceed the higher of the "published monthly average" for the calendar month ending two months before the date on which the rate is determined or the rate used to compute the cash surrender values under the policy during the applicable period plus one percent per year. If the maximum rate of interest is determined pursuant to §58-15-15.6 as an adjustable maximum rate, the policy shall contain a provision setting forth the frequency at which the rate is to be determined for that policy.
Source:
SL 1982, ch 358, §4.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-15.8 - Insurance policy loan--Determination of interest under adjustable maximum interest rate.

58-15-15.8. Insurance policy loan--Determination of interest under adjustable maximum interest rate.
The maximum rate of interest for each policy shall be determined at regular intervals at least once every twelve months, but not more frequently than once in any three-month period. At the intervals specified in the policy, the rate being charged may be increased whenever such increase as determined under an adjustable maximum interest rate would increase that rate by one-half percent or more per year. The rate being charged must be reduced whenever such reduction as determined under §58-15-15.7 would decrease that rate by one-half percent or more per year.
Source:
SL 1982, ch 358, §5.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-15.9 - Insurance policy loan--Notice of interest rate to policyholder.

58-15-15.9. Insurance policy loan--Notice of interest rate to policyholder.
The life insurer shall notify the policyholder at the time a cash loan is made of the initial rate of interest on the loan and shall notify the policyholder with respect to premium loans of the initial rate of interest on the loan as soon as it is reasonably practical to do so after making the initial loan. Notice need not be given to the policyholder when a further premium loan is added, except that the life insurer shall send to policyholders with loans reasonable advance notice of any increase in the rate and shall include in the required notice the substance of the pertinent provisions of §§58-15-15.6 and 58-15-15.7 regarding the adjustable maximum interest rate.
Source:
SL 1982, ch 358, §6.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-15.10 - Insurance policy loan--Loan value of policy.

58-15-15.10. Insurance policy loan--Loan value of policy.
The loan value of a policy shall be determined in accordance with §58-15-16, but no policy may terminate in a policy year as the sole result of change in the interest rate during that policy year. The life insurer shall maintain coverage during that policy year until the time at which it would otherwise have terminated if there had been no change during that policy year.
Source:
SL 1982, ch 358, §7.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-15.11 - Insurance policy loan--Provisions of statutes required in policies.

58-15-15.11. Insurance policy loan--Provisions of statutes required in policies.
The substance of the pertinent provisions of §§58-15-15.6 and 58-15-15.7 regarding the adjustable maximum interest rate shall be set forth in the policies to which they apply.
Source:
SL 1982, ch 358, §8.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-15.12 - Insurance policy loan--Application of statutes on interest rates to prior contracts.

58-15-15.12. Insurance policy loan--Application of statutes on interest rates to prior contracts.
The provisions of §§58-15-15.4 to 58-15-15.12, inclusive, do not apply to any insurance contract issued before July 1, 1982, unless the policyholder agrees in writing to the applicability of the provisions. No other provision of the law applies to policy loan interest rates unless specifically applicable to such rates.
Source:
SL 1982, ch 358, §9.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-15.13 - Private placement policy defined.

58-15-15.13. Private placement policy defined.
A private placement policy is a variable annuity contract or a variable life insurance policy that is:
(1)Issued exclusively to a person who is an accredited investor or a qualified purchaser, as such terms are defined in the federal Securities Act of 1933 or the federal Investment Company Act of 1940, or in regulations promulgated under either such statute; and
(2)Offered for sale and sold in a transaction that is exempt from registration under the federal Securities Act of 1933.
Source:
SL 2006, ch 252, §1; SL 2014, ch 229, §2.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-15.14 - Premium defined.

58-15-15.14. Premium defined.
Premium is the consideration for insurance by whatever name called. Any assessment, or any membership, policy, survey, inspection, service, or similar fee or other charge in consideration for an insurance contract is deemed part of the premium. For a private placement policy, with the consent of the insurer, premium may be in the form of assets to be held by the insurer in a separate account, as long as the fair value of the assets are independently verified at the time of receipt by the insurer.
Source:
SL 2014, ch 229, §3.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-16 - Loans on policies issued prior to the adoption of standard policy provisions--Loan value--Deferment of application--Private placement policies.

58-15-16. Loans on policies issued prior to the adoption of standard policy provisions--Loan value--Deferment of application--Private placement policies.
In the case of those policies issued prior to the operative date specified in §58-15-42, the loan value referred to in §58-15-15 is the reserve at the end of the current policy year on the policy and on any dividend additions thereto, computed according to a mortality table, interest rate, and method of valuation permitted by §§ 58-26-45 to 58-26-84, inclusive, less a sum not more than two and one-half percent of the amount insured by the policy and of any dividend additions thereto. The policy may provide that such loan may be deferred for not exceeding six months after application therefor, and shall contain a table showing in figures the loan values during at least the first twenty years of the policy or during the term of the policy, whichever is the shorter. However, in the case of a private placement policy, the policy may provide that the loan, or portions thereof, may be deferred until the separate account assets, or portion thereof, comprising such loan can be, by their respective terms, converted to cash.
Source:
SL 1966, ch 111, ch 23, §30 (1); SL 2006, ch 252, §3.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-17 - Loans on policies under standard policy provisions--Loan value--Deferment of application--Private placement policies.

58-15-17. Loans on policies under standard policy provisions--Loan value--Deferment of application--Private placement policies.
In the case of policies issued on or after the operative date specified in §58-15-42, the loan value referred to in §58-15-15 shall be the cash surrender value at the end of the current policy year as required by §58-15-33. The policy shall reserve to the insurer the right to defer the granting of a loan, other than for the payment of any premium to the insurer, for six months after application of the loan. For any private placement policy, the loan value shall be equal to the portion of the cash surrender value that can immediately be converted to cash, pursuant to the policyholder's consent. A private placement policy may reserve to the insurer the right to defer the granting of a loan, or any portion of the loan, until the policy separate account assets, from which the loan is to be made, can be, by their respective terms, converted to cash.
Source:
SL 1966, ch 111, ch 23, §30 (2); SL 2001, ch 54, §3; SL 2003, ch 245, §3; SL 2006, ch 252, §4; SL 2009, ch 259, §3.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-18 - Loan value of policy--Indebtedness deducted.

58-15-18. Loan value of policy--Indebtedness deducted.
The loan value of the policy shall be at least equal to the amount required by §58-15-16 or 58-15-17, provided that the insurer may deduct, either from such loan value or from the proceeds of the loan, any existing indebtedness not already deducted in determining such amount including any interest then accrued but not due, any unpaid balance of the premium for the current policy year, and interest on the loan to the end of the current policy year.
Source:
SL 1966, ch 111, ch 23, §9.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-19 - Delinquent interest on policy loan exceeding amount of loan value--Termination of policy, notice.

58-15-19. Delinquent interest on policy loan exceeding amount of loan value--Termination of policy, notice.
The policy may also provide that if interest on any indebtedness is not paid when due it shall then be added to the existing indebtedness and shall bear interest at the same rate, and that if and when the total indebtedness on the policy, including interest due or accrued, equals or exceeds the amount of the loan value thereof, then the policy shall terminate and become void but not until at least thirty days' notice shall have been mailed by the insurer to the last known address of the insured or policy owners and of any assignee of record at the home office of the insurer.
Source:
SL 1966, ch 111, ch 23, §9.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-20 - Policy loan provisions inapplicable to term insurance or industrial life insurance policies.

58-15-20. Policy loan provisions inapplicable to term insurance or industrial life insurance policies.
Sections 58-15-14 to 58-15-19, inclusive, shall not apply to term policies nor to term insurance benefits provided by rider or supplemental policy provisions, or to industrial life insurance policies.
Source:
SL 1966, ch 111, ch 23, §9.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-21 - Nonforfeiture of benefits--Cash surrender value--Provisions required in policies.

58-15-21. Nonforfeiture of benefits--Cash surrender value--Provisions required in policies.
There shall be a provision for nonforfeiture benefits and cash surrender value in accordance with the requirements of §58-15-30 or §§58-15-31 to 58-15-43, inclusive.
Source:
SL 1966, ch 111, ch 23, §10.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-22 - Reinstatement provisions required in policy.

58-15-22. Reinstatement provisions required in policy.
There shall be a provision that unless:
(1)The policy has been surrendered for its cash surrender value, or
(2)Its cash surrender value has been exhausted, or
(3)The paid-up term insurance, if any, has expired, the policy will be reinstated at any time within three years, or two years in the case of industrial life insurance policies, from the date of premium default upon written application therefor, the production of evidence of insurability satisfactory to the insurer, the payment of all premiums in arrears and the payment or reinstatement of any other indebtedness to the insurer upon the policy, all with interest at a rate as provided in §58-15-15.6.
Source:
SL 1966, ch 111, ch 23, §12; SL 1982, ch 358, §10.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-23 - Participating policies--Annual dividends, ascertainment, and apportionment.

58-15-23. Participating policies--Annual dividends, ascertainment, and apportionment.
There shall be a provision in participating policies that, beginning not later than the end of the third policy year, the insurer shall annually ascertain and apportion the divisible surplus, if any, that will accrue on the policy anniversary or other dividend date specified in the policy provided the policy is in force and all premiums to that date are paid.
Source:
SL 1966, ch 111, ch 23, §8 (1).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-24 - Participating policies--Rights of policyholder to dividends.

58-15-24. Participating policies--Rights of policyholder to dividends.
Except as hereinafter provided, any dividend becoming payable shall at the option of the party entitled to elect such option be either:
(1)Payable in cash, or
(2)Applied to any one of such other dividend options as may be provided by the policy. If any such other dividend options are provided, the policy shall further state which option shall be automatically effective if such party shall not have elected some other option. If the policy specifies a period within which such other dividend option may be elected, such period shall be not less than thirty days following the date on which such dividend is due and payable.
The annually apportioned dividend shall be deemed to be payable in cash within the meaning of subdivision (1) above even though the policy provides that payment of such dividend is to be deferred for a specified period, provided such period does not exceed six years from the date of apportionment and that interest will be added to such dividend at a specified rate. If a participating policy provides that the benefit under any paid-up nonforfeiture provision is to be participating, it may provide that any divisible surplus becoming payable or apportioned while the insurance is in force under such nonforfeiture provision shall be applied in the manner set forth in the policy.
Source:
SL 1966, ch 111, ch 23, §8 (1).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-25 - Participating industrial life insurance policies--Annual participation of policy in divisible surplus.

58-15-25. Participating industrial life insurance policies--Annual participation of policy in divisible surplus.
In participating industrial life insurance policies, in lieu of the provision required in §§58-15-23 and 58-15-24, there shall be a provision that, beginning not later than the end of the fifth policy year, the policy shall participate annually in the divisible surplus, if any, in the manner set forth in the policy.
Source:
SL 1966, ch 111, ch 23, §8 (2).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-26 - Payment of claims for benefits--Private placement policies.

58-15-26. Payment of claims for benefits--Private placement policies.
There shall be a provision that when a policy becomes a claim by the death of the insured, settlement shall be made upon receipt of due proof of death and, at the insurer's option, surrender of the policy or proof of the interest of the claimant, or both. If an insurer shall specify a particular period prior to the expiration of which settlement shall be made, such period may not exceed two months from the receipt of such proof. For any private placement policy, settlement may be made in cash or, if allowed under the policy, by distributing assets of the separate account to the claimant with the consent of the policyholder or the policyholder's designee, as long as the fair market value of the assets are independently verified at the time of disbursement by the insurer. In any private placement policy, the obligation of the insurer to settle that portion of the policy attributable to separate account assets is subject to the liquidity of such assets, and the insurer shall settle such portion of the policy as and when such assets can be, by their respective terms, either converted to cash, which may be later than two months after the insurer's receipt of due proof of death, or otherwise dispersible by the insurer.
Source:
SL 1966, ch 111, ch 23, §14; SL 2001, ch 54, §4; SL 2003, ch 245, §4; SL 2006, ch 252, §5; SL 2009, ch 259, §4; SL 2020, ch 207, § 1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-26.1 - Insurers to pay interest on life insurance proceeds.

58-15-26.1. Insurers to pay interest on life insurance proceeds.
Any insurer admitted to transact life insurance in this state shall pay interest on proceeds of, or payments under, any individual or group policy of life insurance which are payable to any beneficiary under a policy issued for delivery in this state.
Source:
SL 1987, ch 375, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-26.2 - Computation of interest.

58-15-26.2. Computation of interest.
Interest payable pursuant to §58-15-26.1 shall be computed from the date of death of the insured until the date of payment and shall be at the rate of four percent per annum or not less than the current rate of interest on death proceeds left on deposit with the insurer under an interest settlement option, whichever rate is greater. For any private placement policy, the interest shall be computed commencing the latter of sixty days succeeding the date of death of the insured or the date proof of death has been received by the insurer in good order until the date of payment. In any private placement policy, the obligation of the insurer to pay interest on that portion of the policy attributable to separate account assets may only be computed as and when such assets are, by their respective terms, either converted to cash or otherwise dispersible by the insurer.
Source:
SL 1987, ch 375, §2; SL 2001, ch 54, §5; SL 2003, ch 245, §5; SL 2009, ch 259, §5.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-26.3 - Interest not required where beneficiary elects to receive other than lump sum payment.

58-15-26.3. Interest not required where beneficiary elects to receive other than lump sum payment.
The provisions of §58-15-26.1 do not require the payment of interest in any case in which the beneficiary elects in writing delivered to the insurer to receive the proceeds of or payments under a life insurance policy by any means other than a lump sum payment.
Source:
SL 1987, ch 375, §3.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-26.4 - Notice to beneficiary of interest.

58-15-26.4. Notice to beneficiary of interest.
In any case in which interest on the proceeds of, or payments under, any policy of life insurance becomes payable pursuant to §58-15-26.1, the insurer shall notify the named beneficiary or beneficiaries at their last known address that interest will be paid on the proceeds of or payments under the policy. The notice shall specify the rate of interest to be paid.
Source:
SL 1987, ch 375, §4.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-26.5 - Application limited.

58-15-26.5. Application limited.
The provisions of §§58-15-26.1 to 58-15-26.5, inclusive, shall apply only to deaths of insureds which occur on or after July 1, 1987.
Source:
SL 1987, ch 375, §5.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-27 - Beneficiary to be designated in industrial life policy--Change of beneficiary--Endorsement on policy.

58-15-27. Beneficiary to be designated in industrial life policy--Change of beneficiary--Endorsement on policy.
An industrial life insurance policy shall have the name of the beneficiary designated thereon with a reservation of the right to change the beneficiary after the issuance of the policy. The policy may also provide that no designation or change of beneficiary shall be binding on the insurer until endorsed on the policy by the insurer, and that the insurer may refuse to endorse the name of any proposed beneficiary who does not appear to the insurer to have an insurable interest in the life of the insured.
Source:
SL 1966, ch 111, ch 23, §15.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-28 - Industrial life policy--Payment of benefits.

58-15-28. Industrial life policy--Payment of benefits.
An industrial life policy may also provide that if the beneficiary designated in the policy does not make a claim under the policy or does not surrender the policy with due proof of death within the period stated in the policy, which shall not be less than thirty days after the death of the insured, or if the beneficiary is the estate of the insured, or is a minor, or dies before the insured, or is not legally competent to give a valid release, then the insurer may make any payment thereunder to the personal representative of the insured, or to any relative of the insured by blood or legal adoption or connection by marriage, or to any person appearing to the insurer to be equitably entitled thereto by reason of having been named beneficiary, or by reason of having incurred expense for the maintenance, medical attention or burial of the insured. The policy may also include a similar provision applicable to any other payment due under the policy.
Source:
SL 1966, ch 111, ch 23, §15; SL 1995, ch 167, §188.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-29 - Installment payments--Table of guaranteed installments required.

58-15-29. Installment payments--Table of guaranteed installments required.
In case the policy provides that the proceeds may be payable in installments which are determinable at the time of issuance of the policy, there shall be a table showing the amounts of the guaranteed installments.
Source:
SL 1966, ch 111, ch 23, §11.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-30 - Nonforfeiture benefits in policies issued prior to the adoption of standard nonforfeiture law.

58-15-30. Nonforfeiture benefits in policies issued prior to the adoption of standard nonforfeiture law.
This section shall apply only to policies of life insurance issued prior to the operative date specified in §58-15-42.
The nonforfeiture benefit referred to in §58-15-21 shall be available to the owner of the policy in event of default in premium payments, after premiums shall have been paid for three years, and shall be a stipulated form of insurance, the net value of which shall be at least equal to the reserve at the date of default on the policy and on any dividend additions thereto, computed according to a mortality table, interest rate, and method of valuation permitted by §§58-26-17 to 58-26-20, inclusive, less a sum not more than two and one-half percent of the amount insured by the policy and of any existing dividend additions thereto, and less any existing indebtedness to insurer on the policy. The policy shall stipulate that it may be surrendered to the insurer at its home office within one month from date of default for a specified cash value at least equal to the sum which would otherwise be available for the purchase of insurance as aforesaid and may stipulate that the insurer may defer payment for not more than six months after the application therefor is made. Provided, however, that if the benefits under the policy are calculated according to the commissioner's 1958 standard ordinary mortality table, the value of any extended term insurance, with accompanying pure endowment, if any, may be calculated according to rates of mortality not exceeding those shown in the commissioner's 1958 extended term insurance table, and that if the benefits under the policy are calculated according to any other more modern table than the American experience table of mortality, the value of any extended term insurance, with accompanying pure endowment, if any, may be calculated according to rates of mortality not exceeding one hundred thirty percent of the rates according to such more modern table. The policy shall contain a table showing in figures the options available each year upon default in premium payments during at least the first twenty years of the policy, or during the term of the policy, whichever is the shorter. This section shall not apply to term insurance of twenty years or less or to industrial life insurance policies.
Source:
SL 1966, ch 111, ch 23, §29.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-34 - Paid-up nonforfeiture benefits--Default in payment of premium.

58-15-34. Paid-up nonforfeiture benefits--Default in payment of premium.
Any paid-up nonforfeiture benefit available under the policy in the event of default in a premium payment due on any policy anniversary shall be such that its present value as of such anniversary shall be at least equal to the cash surrender value then provided for by the policy or, if none is provided for, that cash surrender value which would have been required by §58-15-33 in the absence of the condition that premiums shall have been paid for at least a specified period.
Source:
SL 1966, ch 111, ch 23, §28 (4).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-35 - Adjustment of premiums under nonforfeiture provisions.

58-15-35. Adjustment of premiums under nonforfeiture provisions.
Except as provided in §58-15-37, the adjusted premiums for any policy shall be calculated on an annual basis and shall be such uniform percentage of the respective premiums specified in the policy for each policy year, excluding any extra premiums charged because of impairments or special hazards, that the present value, at the date of issue of the policy, of all such adjusted premiums shall be equal to the sum of:
(1)The then present value of the future guaranteed benefits provided for by the policy;
(2)Two percent of the amount of the insurance, if the insurance be uniform in amount, or of the equivalent uniform amount, as defined in §58-15-36, if the amount of insurance varies with duration of the policy;
(3)Forty percent of the adjusted premium for the first policy year;
(4)Twenty-five percent of either the adjusted premium for the first policy year or the adjusted premium for a whole life policy of the same uniform or equivalent uniform amount with uniform premiums for the whole of life issued at the same age for the same amount of insurance, whichever is less.
However, in applying the percentages specified in subdivisions (3) and (4) above, no adjusted premium shall be deemed to exceed four percent of the amount of insurance or uniform amount equivalent thereto. The date of issue of a policy for the purpose of §§58-15-35 to 58-15-38, inclusive, shall be the date as of which the rated age of the insured is determined. This section and §§58-15-36 to 58-15-38, inclusive, may not apply to policies issued on or after the operative date of §§58-15-43.1 to 58-15-43.11, inclusive.
Source:
SL 1966, ch 111, ch 23, §28 (5); SL 1982, ch 357, §3.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-36 - Amount of insurance varying with duration of policy--Adjustment of premiums.

58-15-36. Amount of insurance varying with duration of policy--Adjustment of premiums.
In the case of a policy providing an amount of insurance varying with duration of the policy, the equivalent uniform amount thereof for the purpose of §§58-15-35 to 58-15-38, inclusive, shall be deemed to be the uniform amount of insurance provided by an otherwise similar policy, containing the same endowment benefit or benefits, if any, issued at the same age and for the same term, the amount of which does not vary with duration and the benefits under which have the same present value at the date of issue as the benefits under the policy, provided, however, that in the case of a policy providing a varying amount of insurance issued on the life of a child under age ten, the equivalent uniform amount may be computed as though the amount of insurance provided by the policy prior to the attainment of age ten were the amount provided by such policy at age ten.
Source:
SL 1966, ch 111, ch 23, §28 (5).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-37 - Adjusted premiums--Term insurance benefits provided by rider or supplemental policy.

58-15-37. Adjusted premiums--Term insurance benefits provided by rider or supplemental policy.
The adjusted premiums for any policy providing term insurance benefits by rider or supplemental policy provision shall be equal to:
(1)The adjusted premiums for an otherwise similar policy issued at the same age without such term insurance benefits, increased during the period for which premiums for such term insurance benefits are payable, by
(2)The adjusted premiums for such term insurance,
the foregoing items (1) and (2) being calculated separately and as specified in §§58-15-35 and 58-15-36 except that, for the purposes of subdivisions 58-15-35(2), (3), and (4), the amount of insurance or equivalent uniform amount of insurance used in the calculation of the adjusted premiums referred to in item (2) of this section shall be equal to the excess of the corresponding amount determined for the entire policy over the amount used in the calculation of the adjusted premiums in item (1) of this section.
Source:
SL 1966, ch 111, ch 23, §28 (5).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-38 - Adjusted premiums and present values--Computation.

58-15-38. Adjusted premiums and present values--Computation.
Except as otherwise provided in §§58-15-43.1 to 58-15-43.11, inclusive, all adjusted premiums and present values referred to in §§58-15-31 to 58-15-43, inclusive, shall for all policies of ordinary insurance be calculated on the basis of the commissioner's 1958 standard ordinary mortality table; provided that for any category of ordinary insurance issued on female risks, adjusted premiums and present values may be calculated according to an age not more than six years younger than the actual age of the insured. Such calculations for all policies of industrial insurance shall be made on the basis of the 1941 standard industrial mortality table. However, any insurer may file with the director of the Division of Insurance a written notice of its election that such adjusted premiums and present values shall be calculated on the basis of the commissioner's 1961 standard industrial mortality table, after a specified date before January 1, 1968. Further, whether or not any election has been made, such commissioner's 1961 standard industrial mortality table shall be the basis for such calculations as to all policies of industrial insurance issued on or after January 1, 1968. All calculations shall be made on the basis of the rate of interest specified in the policy for calculating cash surrender values and paid-up nonforfeiture benefits, which rate of interest may not exceed three and one-half percent per annum except that a rate of interest not exceeding four percent per annum may be used for policies issued on or after July 1, 1973, and prior to July 1, 1978, and a rate of interest not exceeding five and one-half percent per annum may be used for policies issued on or after July 1, 1978, except that for any single premium whole life or endowment insurance policy a rate of interest not exceeding six and one-half percent per annum may be used. However, in calculating the present value of any paid-up term insurance with accompanying pure endowment, if any, offered as a nonforfeiture benefit, the rates of mortality assumed in the case of policies of ordinary insurance, may be not more than those shown in the commissioner's 1958 extended term insurance table, and, in the case of policies of industrial insurance, may be not more than one hundred thirty percent of the rates of mortality according to the 1941 standard industrial mortality table, except that when the commissioner's 1961 standard industrial mortality table becomes applicable, as hereinbefore provided, such rates of mortality assumed may be not more than those shown in the commissioner's 1961 industrial extended term insurance table. Further for insurance issued on a substandard basis, the calculation of any such adjusted premiums and present values may be based on such other table of mortality as may be specified by the insurer and approved by the director.
Source:
SL 1966, ch 111, ch 23, §28 (5); SL 1973, ch 299, §1; SL 1977, ch 412, §1; SL 1982, ch 357, §4.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-39 - Default in payment of premium--Computation of cash surrender value and paid-up nonforfeiture benefit.

58-15-39. Default in payment of premium--Computation of cash surrender value and paid-up nonforfeiture benefit.
Any cash surrender value and any paid-up nonforfeiture benefit, available under the policy in the event of default in a premium payment due at any time other than on the policy anniversary, shall be calculated with allowance for the lapse of time and the payment of fractional premiums beyond the last preceding policy anniversary. All values referred to in §§58-15-33 to 58-15-39, inclusive, may be calculated upon the assumption that any death benefit is payable at the end of the policy year of death. The net value of any paid-up additions, other than paid-up term additions, may be not less than the amounts used to provide such additions.
Source:
SL 1966, ch 111, ch 23, §28 (6); SL 1982, ch 357, §17.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-40 - Additional accident benefits--Premiums disregarded in ascertaining cash surrender value.

58-15-40. Additional accident benefits--Premiums disregarded in ascertaining cash surrender value.
Notwithstanding the provisions of §58-15-33, additional benefits payable in the event of death or dismemberment by accident or accidental means, in the event of total and permanent disability, as reversionary annuity or deferred reversionary annuity benefits, as term insurance benefits provided by a rider or supplemental policy provision to which if issued as a separate policy, §§58-15-31 to 58-15-43, inclusive, would not apply, as term insurance on the life of a child or on the lives of children provided in a policy on the life of a parent of the child, if such term insurance expires before the child's age is twenty-six, is uniform in amount after the child's age is one, and has not become paid up by reason of the death of a parent of the child, and as other policy benefits additional to life insurance and endowment benefits, and premiums for all such additional benefits, shall be disregarded in ascertaining cash surrender values and nonforfeiture benefits required by §§58-15-33 and 58-15-34, and no such additional benefits shall be required to be included in any paid-up nonforfeiture benefits.
Source:
SL 1966, ch 111, ch 23, §28 (6).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-41 - Nonforfeiture benefit provision inapplicable to reinsurance, group insurance, annuity contracts, or term insurance.

58-15-41. Nonforfeiture benefit provision inapplicable to reinsurance, group insurance, annuity contracts, or term insurance.
The provisions of §§58-15-31 to 58-15-43, inclusive, do not apply to any reinsurance; group insurance; pure endowment; annuity or reversionary annuity contract; term policy of uniform amount, which provides no guaranteed nonforfeiture or endowment benefits, or renewal thereof, of twenty years or less expiring before age seventy-one, for which uniform premiums are payable during the entire term of the policy; term policy of decreasing amount, which provides no guaranteed nonforfeiture or endowment benefits, on which each adjusted premium, calculated as specified in §§58-15-35 to 58-15-38, inclusive, and §§58-15-43.1 to 58-15-43.11, inclusive, is less than the adjusted premium so calculated, on a term policy of uniform amount, or renewal thereof, which provides no guaranteed nonforfeiture or endowment benefits, issued at the same age and for the same initial amount of insurance and for a term of twenty years or less expiring before age seventy-one, for which uniform premiums are payable during the entire term of the policy; policy, which provides no guaranteed nonforfeiture or endowment benefits, for which no cash surrender value, if any, or present value of any paid-up nonforfeiture benefit, at the beginning of any policy year, calculated as specified in §§58-15-33 to 58-15-38, inclusive, and §§58-15-43.1 to 58-15-43.11, inclusive, exceeds two and one- half percent of the amount of insurance at the beginning of the same policy year; nor policy which is delivered outside this state through an insurance producer or other representative of the company issuing the policy. For purposes of determining the applicability of §§58-15-31 to 58-15-43, inclusive, the age at expiry for a joint term life insurance policy is the age at expiry of the oldest life.
Source:
SL 1966, ch 111, ch 23, §28 (7); SL 1982, ch 357, §19; SL 2001, ch 286, §108.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-42 - Notice by company of election to comply with nonforfeiture benefit provisions--Filing with director.

58-15-42. Notice by company of election to comply with nonforfeiture benefit provisions--Filing with director.
After July 1, 1966, any company could file with the director a written notice of its election to comply with the provisions of §§58-15-31 to 58-15-43, inclusive, after a specified date before January 1, 1967. After the filing of such notice, then upon such specified date, which shall be the operative date of said sections for such company, this section became operative with respect to the policies thereafter issued by such company. If a company made no such election, the operative date of said sections for such company shall be January 1, 1967.
Source:
SL 1966, ch 111, ch 23, §28 (8).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-43 - Citation of standard nonforfeiture law for life insurance.

58-15-43. Citation of standard nonforfeiture law for life insurance.
Sections 58-15-31 to 58-15-43, inclusive, shall be known as the standard nonforfeiture law for life insurance.
For purposes of §§58-15-31 to 58-15-43, the operative date of the valuation manual is January first of the first calendar year that the valuation manual, as defined in §58-26-44.1, is effective.
Source:
SL 1966, ch 111, ch 23, §28; SL 1977, ch 412, §2; SL 2015, ch 254, §40.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-43.1 - Adjusted premiums--Calculation on annual basis.

58-15-43.1. Adjusted premiums--Calculation on annual basis.
Sections 58-15-43.1 to 58-15-43.11, inclusive, apply to all policies issued on or after July 1, 1982. Except as provided in §58-15-43.7, the adjusted premiums for any policy shall be calculated on an annual basis and shall be such uniform percentage of the respective premiums specified in the policy for each policy year, excluding amounts payable as extra premiums to cover impairments or special hazards and also excluding any uniform annual contract charge or policy fee specified in the policy in a statement of the method to be used in calculating the cash surrender values and paid up nonforfeiture benefits, that the present value, at the date of issue of the policy, of all adjusted premiums is equal to the sum of the then present value of the future guaranteed benefits provided for by the policy; one percent of either the amount of insurance, if the insurance be uniform in amount, or the average amount of insurance at the beginning of each of the first ten policy years; and one hundred twenty-five percent of the nonforfeiture net level premium as hereinafter defined. However, in applying the above percentage, no nonforfeiture net level premium may be deemed to exceed four percent of either the amount of insurance, if the insurance be uniform in amount, or the average amount of insurance at the beginning of each of the first ten policy years. The date of issue of a policy for the purpose of this section is the date as of which the rated age of the insured is determined.
Source:
SL 1982, ch 357, §5.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-43.2 - "Nonforfeiture net level premium" defined.

58-15-43.2. Nonforfeiture net level premium determined.
The nonforfeiture net level premium is equal to the present value, at the date of issue of the policy, of the guaranteed benefits provided for by the policy divided by the present value, at the date of issue of the policy, of an annuity of one per annum payable on the date of issue of the policy and on each anniversary of the policy on which a premium falls due.
Source:
SL 1982, ch 357, §6.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-43.3 - Initial calculation of changes in benefits or premiums--Recalculation after change.

58-15-43.3. Initial calculation of changes in benefits or premiums--Recalculation after change.
In the case of a policy which causes, on a basis guaranteed in the policy, unscheduled changes in benefits or premiums, or which provides an option for changes in benefits or premiums other than a change to a new policy, the adjusted premiums and present values shall initially be calculated on the assumption that future benefits and premiums do not change from those stipulated at the date of issue of the policy. At the time of any such change in the benefits or premiums, the future adjusted premiums, nonforfeiture net level premiums and present values shall be recalculated on the assumption that future benefits and premiums do not change from those stipulated by the policy immediately after the change.
Source:
SL 1982, ch 357, §7.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 15 - Life Insurance And Annuities › Section 58-15-43.4 - Recalculated future adjusted premiums.

58-15-43.4. Recalculated future adjusted premiums.
Except as otherwise provided in §58-15-43.7, the recalculated future adjusted premiums for any such policy shall be such uniform percentage of the respective future premiums specified in the policy for each policy year, excluding amounts payable as extra premiums to cover impairments and special hazards, and also excluding any uniform annual contract charge or policy fee specified in the policy in a statement of the method to be used in calculating the cash surrender values and paid-up nonforfeiture benefits, that the present value, at the time of change to the newly defined benefits or premiums, of all the future adjusted premiums is equal to the excess of (A) the sum of the then present value of the then future guaranteed benefits provided for by the policy and the additional expense allowance, if any, over (B) the then cash surrender value, if any, or present value of any paid-up nonforfeiture benefit under the policy.
Source:
SL 1982, ch 357, §8.