Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 3 - Life Insurance Disclosure (formerly Insurance Regulation 27) (230-RICR-20-25-3) › Section 230-RICR-20-25-3.4 - Definitions

Current through June 14, 2024
A. For the purposes of this Part, the
				  following definitions shall apply:
1.
				  "Buyer's guide" means the current Life Insurance Buyer's Guide adopted by the
				  National Association of Insurance Commissioners (NAIC) or language approved by
				  Insurance Commissioner.
2. "Current
				  scale of nonguaranteed elements" means a formula or other mechanism that
				  produces values for an illustration as if there is no change in the basis of
				  those values after the time of illustration.
3. "Generic name" means a short title which
				  is descriptive of the premium and benefit patterns of a policy or a
				  rider.
4. "Policy data" means a
				  display or schedule of numerical values, both guaranteed and nonguaranteed for
				  each policy year or a series of designated policy years of the following
				  information: illustrated annual, other periodic, and terminal dividends;
				  premiums; death benefits; cash surrender values and endowment
				  benefits.
5. "Policy summary" means
				  a written statement describing the elements of the policy including but not
				  limited to:
a. A prominently placed title as
				  follows: STATEMENT OF POLICY COST AND BENEFIT INFORMATION.
b. The name and address of the insurance
				  agent, or, if no agent is involved, a statement of the procedure to be followed
				  in order to receive responses to inquiries regarding the Policy
				  Summary.
c. The full name and home
				  office or administrative office address of the company in which the life
				  insurance policy is to be or has been written.
d. The Generic Name of the basic policy and
				  each rider.
e. The following
				  amounts, where applicable, for the first five (5) policy years and
				  representative policy years thereafter sufficient to clearly illustrate the
				  premium and benefit patterns, including at least one (1) age from sixty (60)
				  through sixty-five (65) and policy maturity:
(1) The annual premium for the basic
				  policy;
(2) The annual premium for
				  each optional rider;
(3) The amount
				  payable upon death at the beginning of the policy year regardless of the cause
				  of death, other than suicide or other specifically enumerated exclusions, which
				  is provided by the basic policy and each optional rider, with benefits provided
				  under the basic policy and each rider shown separately;
(4) The total guaranteed cash surrender
				  values at the end of the year with values shown separately for the basic policy
				  and each rider, and
(5) Any
				  endowment amounts payable under the policy that are not included under
				  guaranteed cash surrender values above.
f. The effective policy loan annual
				  percentage interest rate, if the policy contains this provision, specifying
				  whether this rate is applied in advance or in arrears. If the policy loan
				  interest rate is adjustable, the Policy Summary shall also indicate that the
				  annual percentage rate will be determined by the company in accordance with the
				  provisions of the policy and the applicable law; and
g. The date on which the Policy Summary is
				  prepared.