reglab/statecodes huggingface dataset:
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-50 - Provisions governing submission of actuary's opinion.

58-26-50. Provisions governing submission of actuary's opinion.
Any opinion required by §§58-26-46 to 58-26-49, inclusive, shall be governed by the following provisions:
(1)The opinion shall be submitted with the annual statement reflecting the valuation of the reserve liabilities for each year ending on or after December 31, 1995;
(2)The opinion shall apply to any business in force including individual and group health insurance plans, in form and substance acceptable to the director specified by rules promulgated pursuant to chapter 1-26;
(3)The opinion shall be based on standards adopted from time to time by the Actuarial Standards Board and on additional standards as the director may by rules prescribe.
Source:
SL 1995, ch 284, §6.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-51 - Opinion submitted by foreign or alien company.

58-26-51. Opinion submitted by foreign or alien company.
In the case of an opinion required to be submitted pursuant to §§58-26-46 to 58-26-49, inclusive, by a foreign or alien company, the director may accept the opinion filed by that company with the insurance supervisory official of another state if the director determines that the opinion reasonably meets the requirements applicable to a company domiciled in this state.
Source:
SL 1995, ch 284, §7.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-52 - Qualified actuary defined.

58-26-52. Qualified actuary defined.
For the purposes of the opinion required by §§58-26-46 to 58-26-50, inclusive, qualified actuary means a member in good standing of the American Academy of Actuaries who meets the requirements set forth in rules promulgated pursuant to chapter 1-26.
Source:
SL 1995, ch 284, §8; SL 2015, ch 254, §4.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-53 - Liability of qualified actuary.

58-26-53. Liability of qualified actuary.
Except in cases of fraud or willful misconduct, the qualified actuary is not liable for damages to any person, other than the insurance company and the director, for any act, error, omission, decision, or conduct with respect to the actuary's opinion.
Source:
SL 1995, ch 284, §9.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-54 - Promulgation of rules defining disciplinary action against company or qualified actuary.

58-26-54. Promulgation of rules defining disciplinary action against company or qualified actuary.
The director shall promulgate rules pursuant to chapter 1-26 to define disciplinary action that may be taken by the director against the company or the qualified actuary.
Source:
SL 1995, ch 284, §10.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-55 - Confidentiality of material supporting opinion of qualified actuary.

58-26-55. Confidentiality of material supporting opinion of qualified actuary.
Any memorandum in support of the opinion, required pursuant to §§58-26-46 to 58-26-49, inclusive, and any other material provided by the company to the director in connection with the opinion, shall be kept confidential by the director, other than for the purpose of defending an action seeking damages from any person by reason of any action required by this chapter or by rules promulgated pursuant to this chapter. However, the memorandum or other material may otherwise be released by the director with the written consent of the company or to the American Academy of Actuaries upon request stating that the memorandum or other material is required for the purpose of professional disciplinary proceedings and setting forth procedures satisfactory to the director for preserving the confidentiality of the memorandum or other material. If any portion of the confidential memorandum is cited by the company in its marketing or is cited before any governmental agency other than a state insurance department or division or is released by the company to the news media, all portions of the confidential memorandum are no longer confidential.
Source:
SL 1995, ch 284, §11.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-56 - Minimum standard for valuation of policies and contracts.

58-26-56. Minimum standard for valuation of policies and contracts.
Except as provided in §§58-26-64 to 58-26-74, inclusive, and §58-26-84, the minimum standard for the valuation of policies and contracts issued prior to July 1, 1995, shall be that provided by the laws in effect immediately prior to July 1, 1995. Except as otherwise provided in §§58-26-64 to 58-26-74, inclusive, and §58-26-84, the minimum standard for the valuation of all policies and contracts issued on or after July 1, 1995, shall be the commissioners' reserve valuation methods defined in §§58-26-75, 58-26-76, 58-26-81, 58-26-82, and 58-26-84, three and one-half percent interest, or in the case of life insurance policies and contracts, other than annuity and pure endowment contracts, issued on or after July 1, 1973, four percent interest for such policies issued prior to July 1, 1978, five and one-half percent interest for single premium life insurance policies and four and one-half percent interest for all other policies issued on and after July 1, 1978, and the tables provided for in §§58-26-57 to 58-26-63, inclusive.
Source:
SL 1995, ch 284, §12; SL 2015, ch 254, §6.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-57 - Mortality tables used for ordinary life insurance policies.

58-26-57. Mortality tables used for ordinary life insurance policies.
The tables that shall be used for ordinary policies of life insurance issued on the standard basis, excluding any disability and accidental death benefits in the policies are: the Commissioners 1941 Standard Ordinary Mortality Table for policies issued prior to the operative date of §§58-15-38 and 58-15-42, the Commissioners 1958 Standard Ordinary Mortality Table for policies issued on or after the operative date of §§58-15-38 and 58-15-42, and prior to the operative date of §§58-15-43.1 to 58-15-43.11, inclusive, provided that for any category of policies issued on female risks, all modified net premiums and present values referred to in this chapter may be calculated according to an age not more than six years younger than the actual age of the insured; and for such policies issued on or after the operative date of §§58-15-43.1 to 58-15-43.11, inclusive, (i) the Commissioners 1980 Standard Ordinary Mortality Table, or (ii) at the election of the company 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 NAIC, which is approved by rules promulgated pursuant to chapter 1-26 by the director for use in determining the minimum standard of valuation for the policies.
Source:
SL 1995, ch 284, §13; SL 2015, ch 254, §7.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-58 - Mortality tables used for industrial life insurance policies.

58-26-58. Mortality tables used for industrial life insurance policies.
The tables that shall be used for all industrial life insurance policies issued on the standard basis, excluding any disability and accidental death benefits in the policies are: the 1941 Standard Industrial Mortality Table for policies issued prior to the operative date of §58-15-38, and for policies issued on or after the operative date, the Commissioners 1961 Standard Industrial Mortality Table or any industrial mortality table, adopted after 1980 by the NAIC, that is approved by rules promulgated pursuant to chapter 1-26 by the director for use in determining the minimum standard of valuation for the policies.
Source:
SL 1995, ch 284, §14; SL 2015, ch 254, §8.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-59 - Mortality tables used for individual annuity and pure endowment contracts.

58-26-59. Mortality tables used for individual annuity and pure endowment contracts.
The tables that shall be used for individual annuity and pure endowment contracts, excluding any disability and accidental death benefits in the policies are: the 1937 Standard Annuity Mortality Table, or at the option of the company, the Annuity Mortality Table for 1949, Ultimate, or any modification of either of these tables approved by the director.
Source:
SL 1995, ch 284, §15.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-60 - Mortality tables used for group annuity and pure endowment contracts.

58-26-60. Mortality tables used for group annuity and pure endowment contracts.
The tables that shall be used for group annuity and pure endowment contracts, excluding any disability and accidental death benefits in the policies are: the Group Annuity Mortality Table for 1951, any modification of the table approved by the director or at the option of the company, any of the tables or modifications of tables specified for individual annuity and pure endowment contracts.
Source:
SL 1995, ch 284, §16.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-61 - Disability tables used for total and permanent disability.

58-26-61. Disability tables used for total and permanent disability.
The tables that shall be used for total and permanent disability benefits in or supplementary to ordinary policies or contracts are: 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 NAIC, that are approved by rules promulgated pursuant to chapter 1-26 by the director for use in determining the minimum standard of valuation for the policies; for policies or contracts issued on or after January 1, 1961, and prior to January 1, 1966, either of the tables or, at the option of the company, the Class (3) Disability Table (1926) and for policies issued prior to January 1, 1961, the Class (3) Disability Table (1926). Any table shall, for active lives, be combined with a mortality table permitted for calculating the reserves for life insurance policies.
Source:
SL 1995, ch 284, §17; SL 2015, ch 254, §9.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-62 - Tables used for accidental death benefits.

58-26-62. Tables used for accidental death benefits.
The tables that shall be used for accidental death benefits in or supplementary to policies issued on or after January 1, 1966, are: the 1959 Accidental Death Benefits Table or any accidental death benefits table adopted after 1980 by the NAIC, that is approved by rules promulgated pursuant to chapter 1-26 by the director for use in determining the minimum standard of valuation for the policies; for policies issued on or after January 1, 1961, and prior to January 1, 1966, either table or, at the option of the company, the Inter-Company Double Indemnity Mortality Table; and for policies issued prior to January 1, 1961, the Inter-Company Double Indemnity Mortality Table. Either table shall be combined with a mortality table for calculating the reserves for life insurance policies.
Source:
SL 1995, ch 284, §18; SL 2015, ch 254, §10.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-63 - Tables to be approved by director.

58-26-63. Tables to be approved by director.
The tables for group life insurance, life insurance issued on the substandard basis, and other special benefits shall be approved by the director.
Source:
SL 1995, ch 284, §19.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-64 - Minimum standard of valuation for individual annuity and pure endowment contracts and group annuity and pure endowment contracts on or after July 1, 1995.

58-26-64. Minimum standard of valuation for individual annuity and pure endowment contracts and group annuity and pure endowment contracts on or after July 1, 1995.
Except as provided in §§58-26-71 to 58-26-74, inclusive, the minimum standard of valuation for individual annuity and pure endowment contracts issued on or after July 1, 1995, and for annuities and pure endowments purchased on or after July 1, 1995, under group annuity and pure endowment contracts, are the commissioners' reserve valuation methods defined in §§58-26-75 and 58-26-76 and the tables and interest rates set forth in §§58-26-65 to 58-26-69, inclusive.
Source:
SL 1995, ch 284, §20; SL 2015, ch 254, §11.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-65 - Tables used for individual annuity and pure endowment contracts issued prior to July 1, 1978--Interest.

58-26-65. Tables used for individual annuity and pure endowment contracts issued prior to July 1, 1978--Interest.
The tables that shall be used for individual annuity and pure endowment contracts issued prior to July 1, 1978, excluding any disability and accidental death benefits in the contracts are: the 1971 Individual Annuity Mortality Table or any modification of this table approved by the director, and six percent interest for single premium immediate annuity contracts, and four percent interest for all other individual annuity and pure endowment contracts.
Source:
SL 1995, ch 284, §21.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-66 - Tables used for individual single premium immediate annuity contracts issued on or after July 1, 1978--Interest.

58-26-66. Tables used for individual single premium immediate annuity contracts issued on or after July 1, 1978--Interest.
The tables that shall be used for individual single premium immediate annuity contracts issued on or after July 1, 1978, excluding any disability and accidental death benefits in the contracts are: the 1971 Individual Annuity Mortality Table or any individual annuity mortality table, adopted after 1980 by the NAIC that is approved by rules promulgated pursuant to chapter 1-26 by the director for use in determining the minimum standard of valuation for the contracts, or any modification of these tables approved by the director, and seven and one-half percent interest.
Source:
SL 1995, ch 284, §22; SL 2015, ch 254, §12.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-67 - Tables used for individual annuity and pure endowment contracts issued on or after July 1, 1978--Interest.

58-26-67. Tables used for individual annuity and pure endowment contracts issued on or after July 1, 1978--Interest.
The tables that shall be used for individual annuity and pure endowment contracts issued on or after July 1, 1978, other than single premium immediate annuity contracts, excluding any disability and accidental death benefits in the contracts are: the 1971 Individual Annuity Mortality Table or any individual annuity mortality table adopted after 1980 by the NAIC, that is approved by rules promulgated pursuant to chapter 1-26 by the director for use in determining the minimum standard of valuation for the contracts, or any modification of these tables approved by the director, and five and one-half percent interest for single premium deferred annuity and pure endowment contracts and four and one-half percent interest for all other individual annuity and pure endowment contracts.
Source:
SL 1995, ch 284, §23; SL 2015, ch 254, §13.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-68 - Tables used for annuities and pure endowments purchased under group contracts prior to July 1, 1978--Interest.

58-26-68. Tables used for annuities and pure endowments purchased under group contracts prior to July 1, 1978--Interest.
The tables that shall be used for all annuities and pure endowments purchased prior to July 1, 1978, under group annuity and pure endowment contracts, excluding any disability and accidental death benefits purchased under the contracts are: the 1971 Group Annuity Mortality Table or any modification of this table approved by the director, and six percent interest.
Source:
SL 1995, ch 284, §24.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-69 - Tables used for annuities and pure endowments purchased under group contracts after July 1, 1978--Interest.

58-26-69. Tables used for annuities and pure endowments purchased under group contracts after July 1, 1978--Interest.
The tables that shall be used for all annuities and pure endowments purchased on or after July 1, 1978, under group annuity and pure endowment contracts, excluding any disability and accidental death benefits purchased under the contracts are: the 1971 Group Annuity Mortality Table, or any group annuity mortality table adopted after 1980 by the NAIC, that is approved by rules promulgated pursuant to chapter 1-26 by the director for use in determining the minimum standard of valuation for annuities and pure endowments, or any modification of these tables approved by the director, and seven and one-half percent interest.
Source:
SL 1995, ch 284, §25; SL 2015, ch 254, §14.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-70 - Written notice of election to comply with provisions of §§ 58-26-64 to 58-26-69, inclusive--Operative date.

58-26-70. Written notice of election to comply with provisions of §§58-26-64 to 58-26-69, inclusive--Operative date.
After July 1, 1973, any company may file with the director a written notice of its election to comply with the provisions of §§58-26-64 to 58-26-69, inclusive, after a specified date before January 1, 1979, which is the operative date of §§58-26-64 to 58-26-69, inclusive, for the company. However, if a company does not elect to comply, the operative date of §§58-26-64 to 58-26-69, inclusive, for the company is January 1, 1979.
Source:
SL 1995, ch 284, §26.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-73 - Reference interest rate defined.

58-26-73. Reference interest rate defined.
Reference interest rate referred to in §58-26-71 is defined as follows:
(1)For all life insurance, the lesser of the average over a period of thirty-six months and the average over a period of twelve months, ending on June thirtieth of the calendar year next preceding the year of issue, of the Monthly Average of the Composite Yield on Seasoned Corporate Bonds, as published by Moody's Investors Service, Inc.;
(2)For single premium immediate annuities and for annuity benefits involving life contingencies arising from other annuities with cash settlement options and guaranteed interest contracts with cash settlement options, the average over a period of twelve months, ending on June thirtieth of the calendar year of issue or year of purchase, of the Monthly Average of the Composite Yield on Seasoned Corporate Bonds, as published by Moody's Investors Service, Inc.;
(3)For other annuities with cash settlement options and guaranteed interest contracts with cash settlement options, valued on a year of issue basis, except as stated in subdivision (2), with guarantee duration in excess of ten years, the lesser of the average over a period of thirty-six months and the average over a period of twelve months, ending on June thirtieth of the calendar year of issue or purchase, of the Monthly Average of the Composite Yield on Seasoned Corporate Bonds, as published by Moody's Investors Service, Inc.;
(4)For other annuities with cash settlement options and guaranteed interest contracts with cash settlement options, valued on a year of issue basis, except as stated in subdivision (2), with guarantee duration of ten years or less, the average over a period of twelve months, ending on June thirtieth of the calendar year of issue or purchase, of the Monthly Average of the Composite Yield on Seasoned Corporate Bonds, as published by Moody's Investors Service, Inc.;
(5)For other annuities with no cash settlement options and for guaranteed interest contracts with no cash settlement options, the average over a period of twelve months, ending on June thirtieth of the calendar year of issue or purchase, of the Monthly Average of the Composite Yield on Seasoned Corporate Bonds, as published by Moody's Investors Service, Inc.;
(6)For other annuities with cash settlement options and guaranteed interest contracts with cash settlement options, valued on a change in fund basis, except as stated in subdivision (2), the average over a period of twelve months, ending on June thirtieth of the calendar year of the change in the fund, of the Monthly Average of the Composite Yield on Seasoned Corporate Bonds, as published by Moody's Investors Service, Inc.
Source:
SL 1995, ch 284, §29.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-74 - Alternative method for determination of reference interest rate.

58-26-74. Alternative method for determination of reference interest rate.
If the Monthly Average of the Composite Yield on Seasoned Corporate Bonds is no longer published by Moody's Investors Service, Inc., or if the NAIC determines that the Monthly Average of the Composite Yield on Seasoned Corporate Bonds as published by Moody's Investors Service, Inc., is no longer appropriate for the determination of the reference interest rate, then an alternative method for determination of the reference interest rate, which is adopted by the NAIC and approved by rules promulgated pursuant to chapter 1-26 by the director, may be substituted.
Source:
SL 1995, ch 284, §30; SL 2015, ch 254, §16.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-76 - Valuation of reserves for certain annuity or pure endowment contracts.

58-26-76. Valuation of reserves for certain annuity or pure endowment contracts.
This section applies to all annuity and pure endowment contracts other than group annuity and pure endowment contracts purchased under a retirement plan or plan of deferred compensation, established or maintained by an employer, including a partnership or sole proprietorship, or by an employee organization, or by both, other than a plan providing individual retirement accounts or individual retirement annuities under section 408 of the Internal Revenue Code, as of January 1, 1995.
Reserves according to the commissioners' annuity reserve method for benefits under annuity or pure endowment contracts, excluding any disability and accidental death benefits in the contracts, are the greatest of the respective excesses of the present values, at the date of valuation, of the future guaranteed benefits, including guaranteed nonforfeiture benefits, provided for by the contracts at the end of each respective contract year, over the present value, at the date of valuation, of any future valuation considerations derived from the future gross considerations, required by the terms of the contract, that become payable prior to the end of the respective contract year. The future guaranteed benefits shall be determined by using the mortality table, if any, and the interest rate or rates, specified in the contracts for determining guaranteed benefits. The valuation considerations are the portions of the respective gross considerations applied under the terms of the contract to determine nonforfeiture values.
Source:
SL 1995, ch 284, §32.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-77 - Minimum aggregate reserves for life insurance policies.

58-26-77. Minimum aggregate reserves for life insurance policies.
No company's aggregate reserves for all life insurance policies, excluding disability and accidental death benefits, issued on or after July 1, 1995, may be less than the aggregate reserves calculated in accordance with the methods set forth in §§58-26-75, 58-26-76, 58-26-81, 58-26-82, and 58-26-83 and the mortality table or tables and rate or rates of interest used in calculating nonforfeiture benefits for the policies. The aggregate reserves for all policies, contracts, and benefits may not be less than the aggregate reserves determined by the appointed actuary to be necessary to give the opinion required by §§58-26-46 to 58-26-55, inclusive.
Source:
SL 1995, ch 284, §33; SL 2015, ch 254, §18.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-78 - Standards for calculating reserves for policies and contracts issued prior to July 1, 1995.

58-26-78. Standards for calculating reserves for policies and contracts issued prior to July 1, 1995.
Reserves for policies and contracts issued prior to July 1, 1995, may be calculated, at the option of the company, according to any standards which produce greater aggregate reserves for all the policies and contracts than the minimum reserves required by the laws in effect immediately prior to July 1, 1995.
Source:
SL 1995, ch 284, §34; SL 2015, ch 254, §19.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-79 - Standards for calculating reserves for policies, contracts or benefits issued on or after July 1, 1995.

58-26-79. Standards for calculating reserves for policies, contracts or benefits issued on or after July 1, 1995.
Reserves for any category of policies, contracts, or benefits as established by the director, issued on or after July 1, 1995, may be calculated, at the option of the company, according to any standards which produce greater aggregate reserves for any category than those calculated according to the minimum standard provided in this chapter, but the rate or rates of interest used for policies and contracts, other than annuity and pure endowment contracts, may not be greater than the corresponding rate or rates of interest used in calculating any nonforfeiture benefits provided in the policies or contracts.
Source:
SL 1995, ch 284, §35; SL 2015, ch 254, §20.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-80 - Company's greater standard of valuation may be lowered with director approval.

58-26-80. Company's greater standard of valuation may be lowered with director approval.
Any company which adopts any standard of valuation producing greater aggregate reserves than those calculated according to the minimum standard provided in this chapter may, with the approval of the director, adopt any lower standard of valuation, but not lower than the minimum provided by this chapter. However, for the purposes of this section and §§58-26-78 and 58-26-79, the holding of additional reserves previously determined by the appointed actuary to be necessary to render the opinion required by §§58-26-46 to 58-26-55, inclusive, is not considered to be the adoption of a higher standard of valuation.
Source:
SL 1995, ch 284, §36; SL 2015, ch 254, §21.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-81 - Determining minimum reserve when gross premium charged is less than the valuation net premium.

58-26-81. Determining minimum reserve when gross premium charged is less than the valuation net premium.
If in any contract year the gross premium charged by any company on any policy or contract is less than the valuation net premium for the policy or contract calculated by the method used in calculating the reserve thereon but using the minimum valuation standards of mortality and rate of interest, the minimum reserve required for the policy or contract is the greater of either the reserve calculated according to the mortality table, rate of interest, and method actually used for the policy or contract, or the reserve calculated by the method actually used for the policy or contract but using the minimum valuation standards of mortality and rate of interest and replacing the valuation net premium by the actual gross premium in each contract year for which the valuation net premium exceeds the actual gross premium. The minimum valuation standards of mortality and rate of interest referred to in this section and §58-26-82 are those standards stated in §§58-26-56 to 58-26-63, inclusive, and §§58-26-71 to 58-26-74, inclusive.
Source:
SL 1995, ch 284, §37; SL 2015, ch 254, §22.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-82 - Application of §§ 58-26-75 and 58-26-81 to certain life insurance policies issued on or after January 1, 1986.

58-26-82. Application of §§58-26-75 and 58-26-81 to certain life insurance policies issued on or after January 1, 1986.
If for any life insurance policy issued on or after January 1, 1986, for which the gross premium in the first policy year exceeds that of the second year and for which no comparable additional benefit is provided in the first year for the excess and which provides an endowment benefit or a cash surrender value or a combination thereof in an amount greater than the excess premium, the foregoing provisions of §58-26-81 and this section shall be applied as if the method actually used in calculating the reserve for the policy were the method described in §58-26-75, ignoring the second paragraph of §58-26-75. The minimum reserve at each policy anniversary of a policy shall be the greater of the minimum reserve calculated in accordance with §58-26-75, including the second paragraph of that section, and the minimum reserve calculated in accordance with §58-26-81 and this section.
Source:
SL 1995, ch 284, §38.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-83 - Requirements for reserves for life insurance providing for future premium determination or for reserves undeterminable under methods in § 58-26-75, 58-26-76, 58-26-81, or 58-26-82.

58-26-83. Requirements for reserves for life insurance providing for future premium determination or for reserves undeterminable under methods in §58-26-75, 58-26-76, 58-26-81, or 58-26-82.
Any plan of life insurance which provides for future premium determination, the amounts of which are to be determined by the insurance company based on then estimates of future experience, or in the case of any plan of life insurance or annuity which is of a nature that the minimum reserves cannot be determined by the methods described in §§58-26-75, 58-26-76, 58-26-81, and 58-26-82, the reserves which are held under any plan must:
(1)Be appropriate in relation to the benefits and the pattern of premiums for that plan; and
(2)Be computed by a method which is consistent with the principles of this Standard Valuation Law, as determined by rules promulgated by the director pursuant to chapter 1-26.
Source:
SL 1995, ch 284, §39.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-84 - Promulgation of rules for minimum standards applicable to health plans issued on or after July 1, 1995 and before operative date of valuation manual.

58-26-84. Promulgation of rules for minimum standards applicable to health plans issued on or after July 1, 1995 and before operative date of valuation manual.
The director shall promulgate rules pursuant to chapter 1-26 for containing the minimum standards applicable to the valuation of health plans, including disability, sickness, and accident, issued on or after July 1, 1995, and prior to the operative date of the valuation manual. For accident and health insurance contracts issued on or after the operative date of the valuation manual, the standard prescribed in the valuation manual is the minimum standard of valuation required pursuant to §58-26-45.1.
Source:
SL 1995, ch 284, §40; SL 2015, ch 254, §23.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-86 - Actuarial opinion summary to be filed with property, casualty, and health insurers' annual statement.

58-26-86. Actuarial opinion summary to be filed with property, casualty, and health insurers' annual statement.
Each property and casualty and health insurer domiciled in this state shall file with the insurer's annual statement an actuarial opinion summary written by the company's appointed actuary which complies with the National Association of Insurance Commissioners annual statement instructions: property and casualty, title, life/accident/health, health maintenance organizations, and hospital medical and dental service or indemnity corporations as adopted by rules promulgated by the director pursuant to chapter 1-26.
A company licensed, but not domiciled in this state, shall provide the actuarial opinion summary upon request.
Source:
SL 2009, ch 271, §41.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-87 - Actuarial report and workpapers to support actuarial opinion.

58-26-87. Actuarial report and workpapers to support actuarial opinion.
The actuarial report and underlying workpapers as required by the National Association of Insurance Commissioners annual statement instructions, as adopted by rules promulgated by the director pursuant to chapter 1-26, shall be prepared to support each actuarial opinion.
Source:
SL 2009, ch 271, §42.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-88 - Preparation of supporting actuarial report or workpapers upon insurer's failure to provide acceptable supporting documents.

58-26-88. Preparation of supporting actuarial report or workpapers upon insurer's failure to provide acceptable supporting documents.
If the insurance company fails to provide a supporting actuarial report or workpapers at the request of the director or the director determines that the supporting actuarial report or workpapers provided by the insurance company is otherwise unacceptable, the director may engage a qualified actuary at the expense of the company to review the opinion and the basis for the opinion and prepare the supporting actuarial report or workpapers.
Source:
SL 2009, ch 271, §43.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-89 - Statement of actuarial opinion to be filed with annual statement--Public document.

58-26-89. Statement of actuarial opinion to be filed with annual statement--Public document.
The statement of actuarial opinion shall be provided with the annual statement in accordance with the appropriate National Association of Insurance Commissioners Property and Casualty annual statement instructions: property and casualty, title, life/accident/health, health maintenance organizations and hospital medical and dental service or indemnity corporations as adopted by rules promulgated by the director pursuant to chapter 1-26, and shall be treated as a public document.
Source:
SL 2009, ch 271, §44.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-90 - Confidentiality of actuarial report, workpapers, or actuarial opinion summary provided in support of opinion.

58-26-90. Confidentiality of actuarial report, workpapers, or actuarial opinion summary provided in support of opinion.
Documents, materials, or other information in the possession or control of the Division of Insurance that are considered an actuarial report, workpapers, or actuarial opinion summary provided in support of the opinion, and any other material provided by the company to the director in connection with the actuarial report, workpapers, or actuarial opinion summary, are confidential and privileged, are not subject to §1-26-2, 1-27-1, or 58-2-26, are not subject to subpoena, and are not subject to discovery or admissible in evidence in any private civil action.
This section does not limit the director's authority to release the documents to the Actuarial Board for Counseling and Discipline (ABCD) so long as the material is required for the purpose of professional disciplinary proceedings and that the ABCD establishes procedures satisfactory to the director for preserving the confidentiality of the documents, nor does this section limit the director's authority to use the documents, materials, or other information in furtherance of any regulatory or legal action brought as part of the director's official duties.
Source:
SL 2009, ch 271, §45.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-91 - Minimum standard of valuation for policies issued on or after operative date of valuation manual.

58-26-91. Minimum standard of valuation for policies issued on or after operative date of valuation manual.
For policies issued on or after the operative date of the valuation manual, the standard prescribed in the valuation manual is the minimum standard of valuation required pursuant to §58-26-45.1, except as provided pursuant to §58-26-95 or 58-26-97.
Source:
SL 2015, ch 254, §25.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-92 - Prerequisites for adoption of NAIC valuation manual of instruction.

58-26-92. Prerequisites for adoption of NAIC valuation manual of instruction.
The director may not adopt the NAIC valuation manual of instruction until all of the following have occurred:
(1)The valuation manual is adopted by the NAIC by an affirmative vote of at least forty-two members, or three-fourths of the members voting, whichever is greater;
(2)The Standard Valuation Law, as amended by the NAIC in 2009, or legislation including substantially similar terms and provisions, is enacted by states representing greater than seventy-five percent of the direct premiums written as reported in the following annual statements submitted for 2008: life, accident, and health annual statements; health annual statements; or fraternal annual statements;
(3)The Standard Valuation Law, as amended by the NAIC in 2009, or legislation including substantially similar terms and provisions, is enacted by at least forty-two of the following fifty-five jurisdictions: The fifty states of the United States, American Samoa, the American Virgin Islands, the District of Columbia, Guam, and Puerto Rico.
Source:
SL 2015, ch 254, §26.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-93 - Adoption of change to valuation manual.

58-26-93. Adoption of change to valuation manual.
The director may approve a change to the valuation manual pursuant to rules promulgated pursuant to chapter 1-26 when the change to the valuation manual is adopted by the NAIC by an affirmative vote representing:
(1)At least three-fourths of the members of the NAIC voting, but not less than a majority of the total membership; and
(2)Members of the NAIC representing jurisdictions totaling greater than seventy-five percent of the direct premiums written as reported in the following annual statements most recently available prior to the vote in subdivision (1) above: life, accident, and health annual statements, health annual statements, or fraternal annual statements.
Source:
SL 2015, ch 254, §27.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-94 - Specifications required for adoption of valuation manual.

58-26-94. Specifications required for adoption of valuation manual.
The director may adopt the NAIC valuation manual of instruction if the valuation manual specifies the following:
(1)Minimum valuation standards for, and definitions of, the policies or contracts subject to §58-26-45.1. The minimum valuation standards are:
(a)The commissioner's reserve valuation method for life insurance contracts, other than annuity contracts, subject to §58-26-45.1;
(b)The commissioners annuity reserve valuation method for annuity contracts subject to §58-26-45.1; and
(c)Minimum reserves for all other policies or contracts subject to §58-26-45.1;
(2)Which policies or contracts or types of policies or contracts that are subject to the requirements of a principle-based valuation in §58-26-98 and the minimum valuation standards consistent with those requirements;
(3)For policies and contracts subject to a principle-based valuation pursuant to §§58-26-98 to 58-26-100, inclusive:
(a)Requirements for the format of reports to the director pursuant to subdivision 58-26-99(3), and which shall include information necessary to determine if the valuation is appropriate and in compliance with this chapter;
(b)Assumptions are prescribed for risks over which the company does not have significant control or influence; and
(c)Procedures for corporate governance and oversight of the actuarial function, and a process for appropriate waiver or modification of such procedures;
(4)For policies not subject to a principle-based valuation pursuant to §§58-26-98 to 58-26-100, inclusive, the minimum valuation standard shall:
(a)Be consistent with the minimum standard of valuation prior to the operative date of the valuation manual; or
(b)Develop reserves that quantify the benefits and guarantees, and the funding, associated with the contracts and their risks at a level of conservatism that reflects conditions that include unfavorable events that have a reasonable probability of occurring;
(5)Other requirements, including those relating to reserve methods, models for measuring risk, generation of economic scenarios, assumptions, margins, use of company experience, risk measurement, disclosure, certifications, reports, actuarial opinions and memorandums, transition rules, and internal controls; and
(6)The data and form of the data required pursuant to §58-26-101, with whom the data must be submitted, and may specify other requirements including data analyses and reporting of analyses.
Source:
SL 2015, ch 254, §28.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-95 - Exceptions to valuation manual requirements.

58-26-95. Exceptions to valuation manual requirements.
In the absence of a specific valuation requirement or if a specific valuation requirement in the valuation manual is not, in the opinion of the director, in compliance with this chapter, then the company shall, with respect to the requirements, comply with minimum valuation standards prescribed by the director by rules promulgated pursuant to chapter 1-26.
Source:
SL 2015, ch 254, §29.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-96 - Qualified actuary engaged by director or by official of another state.

58-26-96. Qualified actuary engaged by director or by official of another state.
The director may engage a qualified actuary, at the expense of the company, to perform an actuarial examination of the company and opine on the appropriateness of any reserve assumption or method used by the company, or to review and opine on a company's compliance with any requirement set forth in this chapter. The director may rely upon the opinion, regarding provisions contained within this chapter, of a qualified actuary engaged by the insurance supervisory official of another state, district or territory of the United States. As used in this section, the term, engage, includes employment and contracting.
Source:
SL 2015, ch 254, §30.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-97 - Required change in assumption or method and adjustment of reserves.

58-26-97. Required change in assumption or method and adjustment of reserves.
The director may require a company to change any assumption or method that in the opinion of the director is necessary in order to comply with the requirements of the valuation manual or this chapter; and the company shall adjust the reserves as required by the director. The director may take other disciplinary action as permitted pursuant to the laws of this state.
Source:
SL 2015, ch 254, §31.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 26 - Valuation Of Assets, Liabilities And Reserves › Section 58-26-98 - Reserves to be established using principle-based valuation--Conditions.

58-26-98. Reserves to be established using principle-based valuation--Conditions.
A company must establish reserves using a principle-based valuation that meets the following conditions for policies or contracts as specified in the valuation manual:
(1)Quantify the benefits and guarantees, and the funding, associated with the contracts and their risks at a level of conservatism that reflects conditions that include unfavorable events that have a reasonable probability of occurring during the lifetime of the contracts. For polices or contracts with significant tail risk, reflects conditions appropriately adverse to quantify the tail risk;
(2)Incorporate assumptions, risk analysis methods, financial models, and management techniques that are consistent with, but not necessarily identical to, those utilized within the company's overall risk assessment process, while recognizing potential differences in financial reporting structures and any prescribed assumption or method;
(3)Incorporate assumptions that are derived in one of the following manners:
(a)The assumption is prescribed in the valuation manual;
(b)For an assumption that is not prescribed, the assumption shall be established utilizing the company's available experience, to the extent it is relevant and statistically credible; or to the extent that company data is not available, relevant, or statistically credible, be established utilizing other relevant, statistically credible experience;
(4)Provide margins for uncertainty including adverse deviation and estimation error, such that the greater the uncertainty the larger the margin and resulting reserve.
Source:
SL 2015, ch 254, §32.