reglab/statecodes huggingface dataset:
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Section 38a-78-3 - Applicability and scope

Current through July 10, 2024
Sections
				38a-78-1 to
				38a-78-9,
				inclusive, of the Regulations of Connecticut State Agencies shall apply to all
				life insurance companies and fraternal benefit societies doing business in this
				state and to all life insurance companies and fraternal benefit societies which
				are authorized to reinsure life insurance, annuities or accident and health
				insurance business in this state. Sections
				38a-78-1 to
				38a-78-9,
				inclusive, of the Regulations of Connecticut State Agencies shall be applied in
				a manner which allows the appointed actuary to utilize his or her professional
				judgment in performing the asset adequacy analysis and developing the actuarial
				opinion and supporting memoranda, consistent with relevant actuarial standards
				of practice. However, the commissioner shall have the authority to specify
				specific methods of actuarial analysis and actuarial assumptions when, in the
				commissioner's judgment, these specifications are necessary for an acceptable
				opinion to be rendered relevant to the adequacy of reserves and related items.
				Sections
				38a-78-1 to
				38a-78-9,
				inclusive, of the Regulations of Connecticut State Agencies shall be applicable
				to all annual statements filed with the commissioner for the year 2009 and
				thereafter. A statement of opinion on the adequacy of the reserves and related
				actuarial items based on an asset adequacy analysis in accordance with section
				38a-78-7
				of the Regulations of Connecticut State Agencies, and a memorandum in support
				thereof in accordance with section
				38a-78-9
				of the Regulations of Connecticut State Agencies, shall be required each
				year.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Section 38a-78-4 - Definitions

Current through July 10, 2024
As used in sections
				38a-78-1 to
				38a-78-9,
				inclusive of the Regulations of Connecticut State Agencies:
(a) "Actuarial Opinion" means the opinion of
			 an appointed actuary regarding the adequacy of the reserves and related
			 actuarial items based on an asset adequacy analysis in accordance with Section
			 38a-78-7
			 of these regulations and with applicable Actuarial Standards of
			 Practice.
(b) "Actuarial Standards
			 Board" means the board established by the American Academy of Actuaries to
			 develop and promulgate standards of actuarial practice.
(c) "Annual Statement" means that statement
			 required by Section
			 38a-53
			 of the Connecticut General Statutes to be filed by the company with the
			 commissioner annually.
(d)
			 "Appointed Actuary" means any individual who is appointed or retained in
			 accordance with the requirements set forth in subsection (c) of section
			 38a-78-5 of
			 the Regulations of Connecticut State Agencies to provide the actuarial opinion
			 and supporting memorandum as required by subsection (b) of section
			 38a-78
			 of the Standard Valuation Law.
(e)
			 "Asset Adequacy Analysis" means an analysis that meets the standards and other
			 requirements referred to in subsection (d) of section
			 38a-78-5 of
			 the Regulations of Connecticut State Agencies.
(f) "Commissioner" means the insurance
			 commissioner of the State of Connecticut.
(g) "Company" means a life insurance company,
			 fraternal benefit society or reinsurer subject to the provisions of these
			 regulations.
(h) "NAIC" means the
			 National Association of Insurance Commissioners.
(i) "Qualified Actuary" means any individual
			 who meets the requirements set forth in subsection (b) of section
			 38a-78-5 of
			 the Regulations of Connecticut State Agencies.
(j) "Standard Valuation Law" means sections
			 38a-77
			 and
			 38a-78
			 of the Connecticut General Statutes.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Section 38a-78-5 - General requirements

Current through July 10, 2024
(a)
Submission of Statement of Actuarial Opinion
.
(1) There is to be included on or attached to
			 page 1 of the annual statement for each year beginning with the year in which
			 this regulation becomes effective the statement of an appointed actuary,
			 entitled "Statement of Actuarial Opinion," setting forth an opinion relating to
			 reserves and related actuarial items held in support of policies and contracts,
			 in accordance with section
			 38a-78-7
			 of the Regulations of Connecticut State Agencies.
In the case of a statement of actuarial opinion required to be
				submitted by a foreign or alien company, the commissioner may accept the
				statement of actuarial opinion filed by such company with the insurance
				supervisory regulator of another state if the commissioner determines that such
				opinion reasonably meets the requirements applicable to a company domiciled in
				this state.
(2) Upon
			 written request by the company, the commissioner may grant an extension of the
			 date for submission of the statement of actuarial opinion.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Minimum Reserve Standards for Individual and Group Health Insurance Contracts › Section 38a-78-13 - Claim reserves

Current through July 10, 2024
(a)
General
.
(1) Claim reserves are
				required for all incurred but unpaid claims on all health insurance policies.
				For contracts with an elimination period, the duration of disablement shall be
				measured as dating from the time that benefits would have begun to accrue had
				there been no elimination period.
(2) Appropriate claim expense reserves are
				required with respect to the estimated expense of settlement of all incurred
				but unpaid claims.
(3) All such
				reserves for prior valuation years are to be tested for adequacy and
				reasonableness along the lines of claim runoff schedules in accordance with the
				statutory financial statement including consideration of any residual unpaid
				liability.
(4) For claim reserves
				on policies that require contract reserves, the claim incurral date is to be
				considered the "issue date" for determining the table and interest rate to be
				used for claim reserves.
(5) The
				maximum interest rate for claim reserves is specified in Appendix A.
(6) With respect to claim reserves for
				policies issued before the operative date of the Valuation Manual, the
				requirements for claim reserves on claims incurred after such operative date
				shall be as described in the Valuation Manual based on the incurred date of the
				claim.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Minimum Reserve Standards for Individual and Group Health Insurance Contracts › Section 38a-78-14 - Premium reserves

Current through July 10, 2024
(a)
General
.
(1) Except as noted in
				subdivision (2) of this subsection, unearned premium reserves are required for
				all contracts with respect to the period of coverage for which premiums, other
				than premiums paid in advance, have been paid beyond the date of
				valuation.
(2) Single premium
				credit disability insurance, both individual and group, is excluded from the
				unearned premium reserve requirements of this section.
(3) If premiums due and unpaid are carried as
				an asset, such premiums shall be treated as premiums in force, subject to
				unearned premium reserve determination. The value of unpaid commissions,
				premium taxes, and the cost of collection associated with due and unpaid
				premiums shall be carried as an offsetting liability.
(4) The gross premiums paid in advance for a
				period of coverage commencing after the next premium due date which follows the
				date of valuation may be appropriately discounted to the valuation date and
				shall be held either as a separate liability or as an addition to the unearned
				premium reserve which would otherwise be required as a
				minimum.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Minimum Reserve Standards for Individual and Group Health Insurance Contracts › Section 38a-78-15 - Contract reserves

Current through July 10, 2024
(a)
General
.
(1) Contract reserves
				are required, unless otherwise specified in subdivision
(2)
of
				this subsection, for:
(A) all individual and
				group contracts with which level premiums are used; or
(B) all individual and group contracts with
				respect to which, due to the gross premium pricing structure at issue, the
				value of the future benefits at any time exceeds the value of any appropriate
				future valuation net premiums at that time. A valuation under this subparagraph
				may be applied on a rating block basis if the total premiums for the rating
				block were developed to support the total risk assumed and expected expenses
				for the block each year, and a qualified actuary certifies the premium
				development. The actuary should state in the certification that premiums for
				the rating block were developed such that each year's premium was intended to
				cover that year's costs without any prefunding. If the premium is also intended
				to recover costs for any prior years, the actuary should also disclose the
				reasons for and magnitude of such recovery. The values specified in this
				subparagraph shall be determined on the basis specified in subsection (b) of
				this section.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Minimum Reserve Standards for Individual and Group Health Insurance Contracts › Section 38a-78-16 - Reinsurance

Current through July 10, 2024
Increases or offsetting credits to reserves because of
				  reinsurance assumed or reinsurance ceded, must be determined in a manner
				  consistent with minimum reserve standards and with all applicable provisions of
				  the reinsurance contracts which affect the insurer's
				  liabilities.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Minimum Reserve Standards for Individual and Group Health Insurance Contracts › Appendix B

Current through July 10, 2024
Reserves for Waiver of Premium (Supplementary
				  explanatory material.)
Waiver of premium reserves involve several special
				  considerations. First, the disability valuation tables promulgated by the NAIC
				  are based on exposures that include contracts on premium waiver benefit status
				  as in-force contracts. Hence, contract reserves based on these tables are NOT
				  reserves on "active lives" but rather reserves on contracts "in force." This is
				  true for the 1964 CDT and for both the 1985 CIDA and CIDB tables.
Accordingly, tabular reserves using any of these tables
				  should value reserves on the following basis:
Claim reserves should include reserves for premiums expected
				  to be waived, valuing as a minimum the valuation net premium being
				  waived.
Premium reserves should include contracts on premium waiver
				  benefit status as in-force contracts, valuing as a minimum the unearned modal
				  valuation net premium being waived.
Contract reserves should include recognition of the waiver of
				  premium benefit in addition to other contract benefits provided for, valuing as
				  a minimum the valuation net premium to be waived.
If an insurer is, instead, valuing reserves on what is truly
				  an active life table, or if a specific valuation table is not being used but
				  the insurer's gross premiums are calculated on a basis that includes in the
				  projected exposure only those contracts for which premiums are being paid, then
				  it may not be necessary to provide specifically for waiver of premium reserves.
				  Any insurer using such a true "active life" basis should carefully consider,
				  however, whether or not additional liability should be recognized on account of
				  premiums waived during periods of disability or during claim continuation.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Mortality Tables and Minimum Reserve Liabilities › Section 38a-78-1 to 38a-78-9 - Transferred

Current through July 10, 2024
Correlated Table
Former
							 Section
New
							 Section
38a-78-1 (re: Mortality Tables
)
38a-78-17
38a-78-2 (
"
)
38a-78-18
38a-78-3 (
"
)
38a-78-19
38a-78-4 (
"
)
38a-78-20
38a-78-5 (
"
)
38a-78-21
38a-78-6 (
"
)
38a-78-22
38a-78-7 (
"
)
38a-78-23
38a-78-8 (
"
)
38a-78-24
38a-78-9 (
"
)
38a-78-25
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Determining Minimum Reserve Liabilities › Section 38a-78-17 - Purpose

Current through July 10, 2024
NAIC Model Regulation Permitting Smoker/Nonsmoker Mortality
				  Tables for Use in Determining Minimum Reserve Liabilities
The purpose of Sections
				  38a-78-18 to
				  38a-78-20, inclusive,
				  is to permit the use of mortality tables that reflect differences in mortality
				  between smokers and nonsmokers in determining minimum reserve liabilities for
				  plans of insurance with separate premium rates for smokers and
				  nonsmokers.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Determining Minimum Reserve Liabilities › Section 38a-78-18 - Definitions

Current through July 10, 2024
As used in Sections
				  38a-78-19 and
				  38a-78-20:
(a) "1980 CSO Table, with or without Ten-Year
				Select Mortality Factor" means that mortality table, consisting of separate
				rates of mortality for male and female lives, developed by the Society of
				Actuaries Committee to Recommend New Mortality Tables for Valuation of Standard
				Individual Ordinary Life Insurance, incorporated in the 1980 NAIC Amendments to
				the Model Standard Valuation Law and Standard Nonforfeiture Law for Life
				Insurance, and referred to in those models as the Commissioners 1980 Standard
				Ordinary Mortality Table, with or without Ten-Year Select Mortality Factors.
				The same select factors will be used for both smokers and nonsmokers
				tables.
(b) "1980 CET Table" means
				that mortality table consisting of separate rates of mortality for male and
				female lives, developed by the Society of Actuaries Committee to Recommend New
				Mortality Tables for Valuation of Standard Individual Ordinary Life Insurance,
				incorporated in the 1980 NAIC Amendments to the Model Standard Nonforfeiture
				Law for Life Insurance, and referred to in those models as the Commissioners
				1980 Extended Term Insurance Table.
(c) "1958 CSO Table" means that mortality
				table developed by the Society of Actuaries Special Committee on New Mortality
				Tables, incorporated in the NAIC Model Standard Nonforfeiture Law for Life
				Insurance, and referred to in that model as the Commissioners 1958 Standard
				Ordinary Mortality Table.
(d) "1958
				CET Table" means that mortality table developed by the Society of Actuaries
				Special Committee on New Mortality Tables, incorporated in the NAIC Model
				Standard Nonforfeiture Law for Life Insurance, and referred to in that model as
				the Commissioners 1958 Extended Term Insurance Table.
(e) The phrase "smoker and nonsmoker
				mortality tables" refers to the mortality tables with separate rates of
				mortality for smokers and nonsmokers derived from the tables defined in
				subsections (a) through (d) of this section which were developed by the Society
				of Actuaries Task Force on Smoker/Nonsmoker Mortality and recommended by the
				NAIC Technical Staff Actuarial Group.
(f) The phrase "composite mortality tables"
				refers to the mortality tables defined in Subsections (a) through (d) of this
				section as they were originally published with rates of mortality that do not
				distinguish between smokers and nonsmokers.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Determining Minimum Reserve Liabilities › Section 38a-78-19 - Alternate tables

Current through July 10, 2024
(a) For any policy
				of insurance delivered or issued for delivery in this state on or after the
				date of election pursuant to Section
				38a-439(e)
				(11) of the General Statutes for that policy
				form, but prior to January 1, 1989, a company may, subject to the conditions of
				Section
				38a-78-20, substitute
				for use in determining minimum reserve liabilities:
(1) the 1958 CSO Smoker and Nonsmoker
				Mortality Tables for the 1980 CSO Table, with or without Ten-Year Select
				Mortality Factors; and
(2) the 1958
				CET Smoker and Nonsmoker Mortality Tables for the 1980 CET Table. Provided that
				for any category of insurance issued on female lives with minimum reserve
				liabilities determined using the 1958 CSO or 1958 CET Smoker and Nonsmoker
				Mortality Tables, such minimum values may be calculated according to an age not
				more than six years younger than the actual age of the insured. Provided
				further that the substitution of the 1958 CSO or 1958 CET Smoker and Nonsmoker
				Mortality Tables is available only if made for each policy of insurance on a
				policy form delivered or issued for delivery on or after the operative date for
				that policy form and before a date not later than January 1, 1989.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Determining Minimum Reserve Liabilities › Section 38a-78-20 - Conditions

Current through July 10, 2024
For each plan of insurance with separate rates for smoker and
				  nonsmokers, an insurer may:
(a) use
				composite mortality tables to determine minimum reserve liabilities;
(b) use smoker and nonsmoker mortality tables
				to determine the valuation of net premiums and additional minimum reserves, if
				any, required by subsection (h) of section
				38a-78
				of the Connecticut General Statutes and use composite mortality tables to
				determine the basic minimum reserves; or
(c) use smoker and nonsmoker mortality to
				determine minimum reserve liabilities.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › NAIC Model Regulation for Recognizing New Annuity Mortality Tables For Use In Determining Reserve Liabilities for Annuities › Section 38a-78-21 - Purpose

Current through July 10, 2024
The purpose of Sections
				  38a-78-22 to
				  38a-78-24,
				  inclusive, of the Regulations of Connecticut State Agencies is to recognize the
				  following mortality tables for use in determining the minimum standard of
				  valuation for annuity and pure endowment contracts: the 1983 Table "a"; the
				  1983 Group Annuity Mortality (1983 GAM) Table; the Annuity 2000 Mortality
				  Table; the 2012 Individual Annuity Reserving (2012 IAR) Table, and the 1994
				  Group Annuity Reserving (1994 GAR) Table.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › NAIC Model Regulation for Recognizing New Annuity Mortality Tables For Use In Determining Reserve Liabilities for Annuities › Section 38a-78-22 - Definitions

Current through July 10, 2024
As used in Sections
				  38a-78-23
				  and
				  38a-78-24
				  of the Regulations of Connecticut State Agencies:
(a) "1983 Table 'a' " means that mortality
				table developed by the Society of Actuaries Committee to Recommend a New
				Mortality Basis for Individual Annuity Valuation and adopted as a recognized
				mortality table for annuities in June 1982 by the National Association of
				Insurance Commissioners.
(b) "1983
				GAM Table" means that mortality table developed by the Society of Actuaries
				Committee on Annuities and adopted as a recognized mortality table for
				annuities in December 1983 by the National Association of Insurance
				Commissioners.
(c) "1994 GAR Table"
				means that mortality table developed by the Society of Actuaries Group Annuity
				Valuation Table Task Force and adopted as a recognized mortality table for
				annuities in December 1996 by the National Association of Insurance
				Commissioners.
(d) "Annuity 2000
				Mortality Table" means that mortality table developed by the Society of
				Actuaries Committee on Life Insurance Research and adopted as a recognized
				mortality table for annuities in December 1996 by the National Association of
				Insurance Commissioners.
(e) "2012
				IAR Table" means that generational mortality table developed by the Society of
				Actuaries Committee on Life Insurance Research and containing rates,
				qx2012+n , derived from a combination of the 2012
				IAM Period Table and Projection Scale G2, using the methodology stated in
				section
				38a-78-23
				a of the Regulations of Connecticut State Agencies.
(f) "2012 Individual Annuity Mortality Period
				Life (2012 IAM Period) Table" means the Period Table containing loaded
				mortality rates for calendar year 2012 and containing rates,
				qx2012 , developed by the Society of Actuaries
				Committee on Life Insurance Research, as is shown in Appendices 1and 2 of
				Sections
				38a-78-1 to
				38a-78-44,
				inclusive, of the Regulations of Connecticut State Agencies.
(g) "Generational mortality table" means a
				mortality table containing a set of mortality rates that decrease for a given
				age from one year to the next based on a combination of a Period Table and a
				projection scale containing rates or mortality improvement.
(h)"Period Table" means a table of mortality
				rates applicable to a given calendar year.
(i) "Period" means the given calendar
				year.
(j) "Projection Scale G2
				(Scale G2)" means a table of annual rates, G2x, of mortality improvement by age
				for projecting future mortality rates beyond calendar year 2012 as developed by
				the Society of Actuaries Committee on Life Insurance Research as shown in
				Appendices 3 and 4 of Sections
				38a-78-1 to
				38a-78-44,
				inclusive, of the Regulations of Connecticut State Agencies.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › NAIC Model Regulation for Recognizing New Annuity Mortality Tables For Use In Determining Reserve Liabilities for Annuities › Section 38a-78-23 - Individual annuity or pure endowment contracts

Current through July 10, 2024
(a) Except
				as provided in subsections (b), (c) and (d) of this section, the 1983 Table "a"
				is recognized and approved as an individual annuity mortality table for
				valuation and, at the option of the company, may be used for purposes of
				determining the minimum standard of valuation for any individual annuity or
				pure endowment contract issued on or after October 1, 1981.
(b) Except as provided in subsections (c) and
				(d) of this section, either the 1983 Table "a" or the Annuity 2000 Mortality
				Table shall be used for determining the minimum standard of valuation for any
				individual annuity or pure endowment contract issued on or after December 31,
				1985.
(c) Except as provided in
				subsections (c) and (d) of this section, the Annuity 2000 Mortality Table shall
				be used for determining the minimum standard of valuation for any individual
				annuity or pure endowment contract issued on or after January 1,
				1999.
(d) Except as provided in
				subsection (e) of this section, the 2012 IAR Table shall be used for
				determining the minimum standard of valuation for any individual annuity or
				pure endowment contract issued on or after January 1, 2015.
(e) The 1983 Table "a" without projection is
				to be used for determining the minimum standards of valuation for any
				individual annuity or pure endowment contract issued on or after January 1,
				1999, solely when the contract is based on life contingencies and is issued to
				fund periodic benefits arising from:
(1)
				Settlements of various forms of claims pertaining to court settlements or out
				of court settlements from tort actions;
(2) Settlements involving similar actions
				such as worker's compensation claims; or
(3) Settlements of long term disability
				claims where a temporary or life annuity has been used in lieu of continuing
				disability payments.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › NAIC Model Regulation for Recognizing New Annuity Mortality Tables For Use In Determining Reserve Liabilities for Annuities › Section 38a-78-23a - Application of the 2012 IAR Table

Current through July 10, 2024
In using the 2012 IAR Table, the mortality rate for a person
				  age x in year (2012 + n) is calculated as follows:
Click
				  here to view image
The resulting qx 2012+n shall be
				  rounded to three decimal places per 1,000, e.g., 0.741 deaths per 1,000. The
				  rounding shall occur according to the formula above, starting at the 2012
				  period table rate.
For example, for a male age 30,
				  qx2012= 0.741.
qx 2013= 0.741 * (1 - 0.010) ^ 1 =
				  0.73359, which is rounded to 0.734.
qx 2014= 0.741 * (1 - 0.010) ^ 2 =
				  0.7262541, which is rounded to 0.726.
A method leading to incorrect rounding would be to calculate
				  qx 2014 as qx 2013 * (1 -
				  0.010), or 0.734 * 0.99 = 0.727.
It is incorrect to use the already rounded qx
				  2013 to calculate qx
				  2014.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › NAIC Model Regulation for Recognizing New Annuity Mortality Tables For Use In Determining Reserve Liabilities for Annuities › Section 38a-78-24 - Group annuity or pure endowment contracts

Current through July 10, 2024
(a) Except
				as provided in subsections (b) and (c) of this section, the 1983 GAM Table, the
				1983 Table "a" and the 1994 GAR Table are recognized and approved as group
				annuity mortality tables for valuation and, at the option of the company, any
				of these tables may be used for purposes of valuation for any annuity or pure
				endowment purchased on or after October 1, 1981 under a group annuity or pure
				endowment contract.
(b) Except as
				provided in subsection (c) of this section, either the 1983 GAM Table or the
				1994 GAR Table shall be used for determining the minimum standard of valuation
				for any annuity or pure endowment purchased on or after January 1, 1986 under a
				group annuity or pure endowment contract.
(c)
(1) The
				1994 GAR Table shall be used for determining the minimum standard of valuation
				for any annuity or pure endowment purchased on or after January 1, 1999 under a
				group annuity or pure endowment contract.
(2) In using the 1994 GAR Table, the
				mortality rate for a person age x in year (1994 + n) is calculated as follows:
Click
				  here to view image
Where qx and
				  AAxs are specified in the 1994 GAR
				  Table.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › NAIC Model Regulation for Recognizing New Annuity Mortality Tables For Use In Determining Reserve Liabilities for Annuities › Section 38a-78-25 - Separability

Current through July 10, 2024
If any provision of this Regulation or the application
				  thereof to any person or circumstances is for any reason held to be invalid,
				  the remainder of the regulation and the application of such provision to other
				  persons or circumstances shall not be affected thereby.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › NAIC Model Regulation for Recognizing New Annuity Mortality Tables For Use In Determining Reserve Liabilities for Annuities › Section 38a-78-26 - Purpose

Current through July 10, 2024
The purpose of sections 38a-78-26 to
				  38a-78-30,
				  inclusive, of the Regulations of Connecticut State Agencies is to recognize,
				  permit and prescribe the use of the 2001 Commissioners Standard Ordinary (CSO)
				  Mortality Table for use in determining minimum reserve liabilities in
				  accordance with the Standard Valuation Law, subsection (d) of section
				  38a-78
				  of the Connecticut General Statutes.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › NAIC Model Regulation for Recognizing New Annuity Mortality Tables For Use In Determining Reserve Liabilities for Annuities › Section 38a-78-27 - Definitions

Current through July 10, 2024
As used in sections
				  38a-78-26 to
				  38a-78-30,
				  inclusive, of the Regulations of Connecticut State Agencies:
(a) "2001 CSO Mortality Table" means that
				mortality table, consisting of separate rates of mortality for male and female
				lives, developed by the American Academy of Actuaries CSO Task Force from the
				Valuation Basic Mortality Table developed by the Society of Actuaries
				Individual Life Insurance Valuation Mortality Task Force, proposed to the
				National Association of Insurance Commissioners' Life and Health Actuarial Task
				Force at its June 2002 meeting and adopted by the National Association of
				Insurance Commissioners in December 2002. The 2001 CSO Mortality Table is
				included in the Proceedings of the NAIC (2nd Quarter 2002). Unless the context
				indicates otherwise, the "2001 CSO Mortality Table" includes both the ultimate
				form of that table and the select and ultimate form of that table and includes
				both the smoker and nonsmoker mortality tables and the composite mortality
				tables. It also includes both the age-nearest-birthday and age-last-birthday
				bases of the mortality tables.
(b)
				"2001 CSO Mortality Table (F)" means that mortality table consisting of the
				rates of mortality for female lives from the 2001 CSO Mortality
				Table.
(c) "2001 CSO Mortality
				Table (M)" means that mortality table consisting of the rates of mortality for
				male lives from the 2001 CSO Mortality Table.
(d) "Composite mortality tables" means
				mortality tables with rates of mortality that do not distinguish between
				smokers and nonsmokers.
(e) "Smoker
				and nonsmoker mortality tables" means mortality tables with separate rates of
				mortality for smokers and nonsmokers.
(f) "Commissioner" means the Insurance
				Commissioner.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › NAIC Model Regulation for Recognizing New Annuity Mortality Tables For Use In Determining Reserve Liabilities for Annuities › Section 38a-78-28 - 2001 CSO mortality table

Current through July 10, 2024
(a) At the election
				of the company for any one or more specified plans of insurance and subject to
				the conditions stated in Section
				38a-78-29 of the
				Regulations of Connecticut State Agencies, the 2001 CSO Mortality Table may be
				used as the minimum standard for policies issued after April 1, 2005 and before
				the date specified in subsection (b) of this section to which subsection (d) of
				section
				38a-78
				of the Connecticut General Statutes and subsection (e)(8)(C)(vi) of section
				38a-439
				of the Connecticut General Statutes are applicable. If the company elects to
				use the 2001 CSO Mortality Table, it shall do so for both valuation and
				nonforfeiture purposes. With respect to domestic life insurers only, written
				notice of election to comply with the provisions of this subsection on or after
				a specified date shall be filed with the commissioner.
(b) Subject to the conditions stated in
				Section
				38a-78-29 of the
				Regulations of Connecticut State Agencies, the 2001 CSO Mortality Table shall
				be used in determining minimum standards for policies issued on and after
				January 1, 2009 to which subsection (d) of section
				38a-78
				of the Standard Valuation Law and subsection (e)(8)(C)(vi) of section
				38a-439
				of the Standard Nonforfeiture Law are applicable.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › NAIC Model Regulation for Recognizing New Annuity Mortality Tables For Use In Determining Reserve Liabilities for Annuities › Section 38a-78-29 - Conditions

Current through July 10, 2024
(a) For each plan of insurance with separate
				rates for smokers and nonsmokers an insurer may use:
(1) Composite mortality tables to determine
				minimum reserve liabilities and minimum cash surrender values and amounts of
				paid-up nonforfeiture benefits;
(2)
				Smoker and nonsmoker mortality tables to determine the valuation net premiums
				and additional minimum reserves, if any, required by subsection (j) of section
				38a-78
				of the Connecticut General Statutes and use composite mortality tables to
				determine the basic minimum reserves, minimum cash surrender values and amounts
				of paid-up nonforfeiture benefits; or
(3) Smoker and nonsmoker mortality to
				determine minimum reserve liabilities and minimum cash surrender values and
				amounts of paid-up nonforfeiture benefits.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › NAIC Model Regulation for Recognizing New Annuity Mortality Tables For Use In Determining Reserve Liabilities for Annuities › Section 38a-78-30 - Separability

Current through July 10, 2024
If any provision of sections
				  38a-78-26 to
				  38a-78-29, inclusive,
				  of the Regulations of Connecticut State Agencies or its application to any
				  person or circumstance is for any reason held to be invalid, the remainder of
				  said sections and the application of the provision to other persons or
				  circumstances shall not be affected.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Recognition of Preferred Mortality Tables for Use in Determining Minimum Reserve Liabilities › Section 38a-78-31 - Purpose

Current through July 10, 2024
The purpose of sections 38a-78-31 to
				  38a-78-35,
				  inclusive, of the Regulations of Connecticut State Agencies is to recognize,
				  permit and prescribe the use of mortality tables that reflect differences in
				  mortality between Preferred and Standard lives in determining minimum reserve
				  liabilities in accordance with the Standard Valuation Law, subsection (d) of
				  section
				  38a-78
				  of the Connecticut General Statutes.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Recognition of Preferred Mortality Tables for Use in Determining Minimum Reserve Liabilities › Section 38a-78-32 - Definitions

Current through July 10, 2024
As used in sections
				  38a-78-31 to
				  38a-78-35,
				  inclusive, of the Regulations of Connecticut State Agencies:
(1) "2001 CSO Mortality Table" means that
				mortality table, consisting of separate rates of mortality for male and female
				lives, developed by the American Academy of Actuaries CSO Task Force from the
				Valuation Basic Mortality Table developed by the Society of Actuaries
				Individual Life Insurance Valuation Mortality Task Force, proposed to the
				NAIC's Life and Health Actuarial Task Force at its June 2002 meeting and
				adopted by the NAIC in December 2002. The 2001 CSO Mortality Table is included
				in the Proceedings of the NAIC (2nd Quarter 2002) and supplemented by the 2001
				CSO Preferred Class Structure Mortality Table. Unless the context indicates
				otherwise, the "2001 CSO Mortality Table" includes both the ultimate form of
				that table and the select and ultimate form of that table and includes both the
				smoker and nonsmoker mortality tables and the composite mortality tables. It
				also includes both the age-nearest-birthday and age-last-birthday bases of the
				mortality tables. Mortality tables in the 2001 CSO Mortality Table include the
				following:
(A) 2001 CSO Mortality Table
				(F);
(B) 2001 CSO Mortality Table
				(M);
(C) Composite mortality
				tables; and
(D) Smoker and
				nonsmoker mortality tables.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Recognition of Preferred Mortality Tables for Use in Determining Minimum Reserve Liabilities › Section 38a-78-33 - 2001 CSO preferred class mortality table

Current through July 10, 2024
At the election of the company, for each calendar year of
				  issue, for any one or more specified plans of insurance and subject to
				  satisfying the conditions stated in section
				  38a-78-34 of the
				  Regulations of Connecticut State Agencies, the 2001 CSO Preferred Class
				  Structure Mortality Table may be substituted in place of the 2001 CSO Smoker or
				  Nonsmoker Mortality Table as the minimum valuation standard for policies issued
				  on or after January 1, 2007. For policies issued on or after January 1, 2004,
				  and prior to January 1, 2007, the 2001 CSO Preferred Class Structure Mortality
				  Table may be substituted in place of the 2001 CSO Smoker or Nonsmoker Mortality
				  Table as the minimum valuation standards for such policies with the consent of
				  the commissioner and subject to the conditions of section
				  38a-78-34 of the
				  Regulations of Connecticut State Agencies. In determining such consent, the
				  commissioner may rely on the consent of the commissioner of the company's state
				  of domicile. No such election shall be made until the company demonstrates at
				  least twenty percent of the business to be valued on this table is in one or
				  more of the preferred classes. A table from the 2001 CSO Preferred Class
				  Structure Mortality Table used in place of the 2001 CSO Mortality Table,
				  pursuant to the requirements of this section, will be treated as part of the
				  2001 CSO Mortality Table only for purposes of reserve valuation pursuant to the
				  requirements of the NAIC model regulation, "Recognition of the 2001 CSO
				  Mortality Table For Use In Determining Minimum Reserve Liabilities And
				  Nonforfeiture Benefits Model Regulation".
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Recognition of Preferred Mortality Tables for Use in Determining Minimum Reserve Liabilities › Section 38a-78-34 - Conditions

Current through July 10, 2024
(a) For each plan of insurance with separate
				rates for Preferred and Standard Nonsmokers lives, an insurer may use the Super
				Preferred Nonsmokers, Preferred Nonsmokers, and Residual Standard Nonsmokers
				mortality tables to substitute for the Nonsmokers mortality tables found in the
				2001 CSO Mortality Table to determine minimum reserves. At the election and
				annually thereafter, except for business valued under the Residual Standard
				Nonsmokers Mortality Table, the appointed actuary shall certify that:
(1) The present value of death benefits over
				the next ten years after the valuation date, using the anticipated mortality
				experience without recognition of mortality improvement beyond the valuation
				date for each class, is less than the present value of death benefits using the
				valuation basic table corresponding to the valuation table being used for that
				class; and
(2) The present value of
				death benefits over the future life of the contracts, using anticipated
				mortality experience without recognition of mortality improvement beyond the
				valuation date for each class, is less than the present value of death benefits
				using the valuation basic table corresponding to the valuation table being used
				for that class.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Recognition of Preferred Mortality Tables for Use in Determining Minimum Reserve Liabilities › Section 38a-78-35 - Separability

Current through July 10, 2024
If any provision of sections
				  38a-78-31 to
				  38a-78-34, inclusive,
				  of the Regulations of Connecticut State Agencies or its application to any
				  person or circumstance is for any reason held to be invalid, the remainder of
				  said sections and the application of the provision to other persons or
				  circumstances shall not be affected.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Preneed Life Insurance Minimum Standards for Determining Reserve Liabilities and Nonforfeiture Values Model › Section 38a-78-36 - Authority

Current through July 10, 2024
This regulation is promulgated by the Insurance Commissioner
				  pursuant to section
				  38a-78
				  of the Connecticut General Statutes.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Preneed Life Insurance Minimum Standards for Determining Reserve Liabilities and Nonforfeiture Values Model › Section 38a-78-37 - Scope

Current through July 10, 2024
This section applies to preneed insurance contracts, as
				  defined in section
				  38a-78-39 of the
				  Regulations of Connecticut State Agencies, and to similar policies and
				  certificates.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Preneed Life Insurance Minimum Standards for Determining Reserve Liabilities and Nonforfeiture Values Model › Section 38a-78-38 - Purpose

Current through July 10, 2024
The purpose of this regulation is to establish for preneed
				  insurance products minimum mortality standards for reserves and nonforfeiture
				  values, and to require the use of the 1980 Commissioners Standard Ordinary
				  (CSO) Life Valuation Mortality Table for use in determining the minimum
				  standard of valuation of reserves and the minimum standard nonforfeiture values
				  for preneed insurance products.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Preneed Life Insurance Minimum Standards for Determining Reserve Liabilities and Nonforfeiture Values Model › Section 38a-78-39 - Definitions

Current through July 10, 2024
As used in Sections
				  38a-78-36 to
				  38a-78-44,
				  inclusive of the Regulations of Connecticut State Agencies:
(1) The term "2001 CSO Mortality Table" means
				that mortality table, consisting of separate rates of mortality for male and
				female lives, developed by the American Academy of Actuaries CSO Task Force
				from the Valuation Basic Mortality Table developed by the Society of Actuaries
				Individual Life Insurance Valuation Mortality Task Force and adopted by the
				NAIC in December 2002. The 2001 CSO Mortality Table is included in the
				Proceedings of the NAIC (2nd Quarter 2002). Unless the context indicates
				otherwise, the "2001 CSO Mortality Table" includes both the ultimate form of
				that table and the select and ultimate form of that table and includes both the
				smoker and nonsmoker mortality tables and the composite mortality tables. It
				also includes both the age-nearest-birthday and age-last-birthday bases of the
				mortality tables.
(2) The term
				"Ultimate 1980 CSO" means the Commissioners' 1980 Standard Ordinary Life
				Valuation Mortality Tables (1980 CSO) without ten-year (10-year) selection
				factors, incorporated into the 1980 amendments to the NAIC Standard Valuation
				Law approved in December 1983.
(3)
				"NAIC" means the National Association of Insurance Commissioners.
(4) "Preneed insurance" means any life
				insurance policy or certificate that is issued in combination with, in support
				of, with an assignment to, or as a guarantee for a prearrangement agreement for
				goods and services to be provided at the time of and immediately following the
				death of the insured. Goods and services may include, but are not limited to,
				embalming, cremation, body preparation, viewing or visitation, coffin or urn,
				memorial stone, and transportation of the deceased. The status of the policy or
				contract as preneed insurance is determined at the time of issue in accordance
				with the policy form filing.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Preneed Life Insurance Minimum Standards for Determining Reserve Liabilities and Nonforfeiture Values Model › Section 38a-78-40 - Minimum valuation mortality standards

Current through July 10, 2024
For preneed insurance contracts and similar policies and
				  contracts, the minimum mortality standard for determining reserve liabilities
				  and non-forfeiture values for both male and female insureds shall be the
				  Ultimate 1980 CSO.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Preneed Life Insurance Minimum Standards for Determining Reserve Liabilities and Nonforfeiture Values Model › Section 38a-78-41 - Minimum valuation interest rate standards

Current through July 10, 2024
(a) The
				interest rates used in determining the minimum standard for valuation of
				preneed insurance shall be the calendar year statutory valuation interest rates
				as defined in section
				38a-78
				of the Connecticut General Statutes.
(b) The interest rates used in determining
				the minimum standard for nonforfeiture values for preneed insurance shall be
				the calendar year statutory nonforfeiture interest rates as defined in section
				38a-439(e)
				of the Connecticut General Statutes.
Connecticut Administrative Code › Title 38a - Insurance Department › 78 - Connecticut Standard Valuation Law Actuarial Opinion and Memorandum › Preneed Life Insurance Minimum Standards for Determining Reserve Liabilities and Nonforfeiture Values Model › Section 38a-78-42 - Minimum valuation method standards

Current through July 10, 2024
(a) The method used
				in determining the standard for the minimum valuation of reserves of preneed
				insurance shall be the method defined in section
				38a-78
				of the Connecticut General Statutes.
(b) The method used in determining the
				standard for the minimum nonforfeiture values for preneed insurance shall be
				the method defined in section
				38a-78
				of the Connecticut General Statutes.