Connecticut Administrative Code › Title 38a - Insurance Department › 433 - Variable Life Insurance › Section 38a-433-2 - Definitions

Current through July 10, 2024
As used in this regulation:
(a) "Affiliate" of an insurer means any
			 person, directly or indirectly, controlling, controlled by, or under common
			 control with such insurer; any person who regularly furnishes investment advice
			 to such insurer with respect to its separate accounts for which a specific fee
			 or commission is charged; or any director, officer, partner, or employee of any
			 such insurer, controlling or controlled person, or person providing investment
			 advice or any member of the immediate family of such person.
(b) "Agent" has the same meaning as provided
			 in section
			 38a-702a of the
			 Connecticut General Statutes.
(c)
			 "Assumed investment rate" means the rate of investment return which would be
			 required to be credited to a variable life insurance policy, after deduction of
			 charges for taxes, investment expenses and mortality and expense guarantees to
			 maintain the variable death benefit equal at all times to the amount of death
			 benefit, other than incidental insurance benefits, which would be payable under
			 the plan of insurance if the death benefit did not vary according to the
			 investment experience of the separate account.
(d) "Benefit base" means the amount to which
			 the net investment return is applied.
(e) "Commissioner" means the Insurance
			 Commissioner of this state.
(f)
			 "Control" (including the terms "controlling," "controlled by" and "under common
			 control with") means the possession, direct or indirect, of the power to direct
			 or cause the direction of the management and policies of a person, whether
			 through the ownership of voting securities, by contract other than a commercial
			 contract for goods or non-management services, or otherwise, unless the power
			 is the result of an official position with or corporate office held by the
			 person. Control shall be presumed to exist if any person, directly or
			 indirectly, owns, controls, holds with the power to vote, or holds proxies
			 representing more than ten (10) percent of the voting securities of any other
			 person. This presumption may be rebutted by a showing made to the satisfaction
			 of the Commissioner that control does not exist in fact. The Commissioner may
			 determine, after furnishing all persons in interest notice and opportunity to
			 be heard and making specific findings of fact to support such determination,
			 that control exists in fact, notwithstanding the absence of a presumption to
			 that effect.
(g) "Flexible premium
			 policy" means any variable life insurance policy other than a scheduled premium
			 policy as defined in this section.
(h) "General account" means all assets of the
			 insurer other than assets in separate accounts established pursuant to Title
			 38a of the Connecticut General Statutes or pursuant to the corresponding
			 section of the Insurance Laws of the state of domicile of a foreign or alien
			 insurer, whether or not for variable life insurance.
(i) "Incidental insurance benefit" means all
			 insurance benefits in a variable life insurance policy, other than the variable
			 death benefit and the minimum death benefit, including but not limited to
			 accidental death and dismemberment benefits, disability benefits, guaranteed
			 insurability options, family income, or term riders.
(j) "May" is permissive.
(k) "Minimum death benefit" means the amount
			 of the guaranteed death benefit, other than incidental insurance benefits,
			 payable under a variable life insurance policy regardless of the investment
			 performance of the separate account.
(l) "Net investment return" means the rate of
			 investment return in separate account to be applied to the benefit
			 base.
(m) "Person" means an
			 individual, corporation, partnership, association, trust, or fund.
(n) "Policy processing day" means the day on
			 which charges authorized in the policy are deducted from the policy's cash
			 value.
(o) "Scheduled premium
			 policy" means any variable life insurance policy under which both the amount
			 and timing of premium payments are fixed by the insurer.
(p) "Separate account" means a separate
			 account established pursuant to Section
			 38a-433
			 of the Connecticut General Statutes or pursuant to the corresponding section of
			 the Insurance Laws of the state of domicile of a foreign or alien
			 insurer.
(q) "Shall" is
			 mandatory.
(r) "Variable death
			 benefit" means the amount of the death benefit, other than incidental insurance
			 benefits, payable under a variable life insurance policy dependent on the
			 investment performance of the separate account which the insurer would have to
			 pay in the absence of any minimum death benefit.
(s) "Variable life insurance policy" means
			 any individual policy which provides for life insurance the amount or duration
			 of which varies according to the investment experience of any separate account
			 or accounts established and maintained by the insurer as to such policy,
			 pursuant to Section
			 38a-433
			 of the Connecticut General Statutes or pursuant to the corresponding section of
			 the Insurance Laws of the state of domicile of a foreign or alien
			 insurer.