New York Codes, Rules and Regulations › Title 11 - INSURANCE › Chapter III - Policy and Certificate Provisions › Subchapter A - Life, Accident and Health Insurance › Part 53 - Life And Annuity Cost Disclosure And Sales Illustrations › Subpart 53-1 - General Provisions › Section 53-1.3 - Definitions

Current through Register Vol. 46, No. 28, July 10, 2024
For purposes of this Part:
(a) Actuarial Standards Board means the board
					 established by the American Academy of Actuaries to develop and promulgate
					 standards of actuarial practice.
(b) Cash dividend means the current
					 illustrated dividend which can be applied toward payment of the gross premium
					 or paid in cash.
(c) Cash value or
					 cash surrender value, as it applies to participating life insurance or
					 non-participating life insurance other than universal life insurance or
					 variable life insurance, means at the end of any policy year, assuming required
					 or illustrative premiums are paid to such time, the sum of the guaranteed or
					 tabular cash value plus the value of any dividends, if any, less any
					 indebtedness.
(d) Contract means
					 any individual immediate annuity contract, individual deferred annuity
					 contract, fraternal benefit immediate annuity certificate, fraternal benefit
					 deferred annuity certificate, individual funding agreement or group deferred
					 annuity certificate subject to sections 3219 and
					 4223  of the Insurance Law.
(e) Contract premium means the gross premium
					 that is required to be paid under a fixed premium policy, including the premium
					 for a rider for which benefits are shown in the illustration.
(f) Contract surrender value means the
					 contract value less the surrender charge and any indebtedness.
(g) Contract value, as it applies to annuity
					 contracts, annuity certificates and funding agreements, means the gross
					 consideration paid less any expense, mortality and administrative charges
					 accumulated at the contract's credited interest rate.
(h) Currently payable scale means a scale of
					 non-guaranteed elements in effect for a policy form as of the preparation date
					 of the illustration or declared to become effective within the next 95
					 days.
(i) Disciplined current scale
					 means a scale of non-guaranteed elements constituting a limit on illustrations
					 currently being illustrated by an insurer that is reasonably based on actual
					 recent historical experience, as certified annually by an illustration actuary
					 designated by the insurer. Further guidance in determining the disciplined
					 current scale as contained in standards established by the Actuarial Standards
					 Board may be relied upon if the standards:
(1) are consistent with all provisions of
					 this Part;
(2) limit a disciplined
					 current scale to reflect only actions that have already been taken or events
					 that have already occurred;
(3) do
					 not permit a disciplined current scale to include any projected trends of
					 improvements in experience or any assumed improvements in experience beyond the
					 illustration date; and
(4) do not
					 permit assumed expenses to be less than minimum assumed expenses.