reglab/statecodes huggingface dataset:
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter P - REQUIRED REINSTATEMENT RELATING TO MENTAL INCAPACITY OF THE INSURED FOR INDIVIDUAL LIFE POLICIES WITHOUT NONFORFEITURE BENEFITS › Section 4.1611 - Reduced Benefits

Current through Reg. 49, No. 28; July 12, 2024
The insurer must pay the death benefit under an eligible
					 policy if the insured dies within one year of the date of lapse and the
					 requirements for submitting proof of mental incapacity and request for
					 reinstatement are met. The insurer must reduce the death benefit under a policy
					 that is eligible for reinstatement under this subchapter by the amount of
					 premiums due and unpaid on the date of death, plus interest on such premiums at
					 the reinstatement interest rate, if there is an uncontroverted claim for
					 benefits that exceeds the amount of premiums and interest
					 owed.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter P - REQUIRED REINSTATEMENT RELATING TO MENTAL INCAPACITY OF THE INSURED FOR INDIVIDUAL LIFE POLICIES WITHOUT NONFORFEITURE BENEFITS › Section 4.1612 - Form Filing Procedures

Current through Reg. 49, No. 28; July 12, 2024
(a) For all new
				  forms subject to this subchapter filed on or after September 1, 1995, the
				  insurer must include with the form filing written notification to the
				  department specifying the method of notification as set forth in §
										4.1609 of this title (relating to
				  Notification and Disclosure Requirements) by which the notice requirements of
				  §
										4.1613 of this title (relating to
				  Notice and Disclosure Form) will be met.
(b) For all forms subject to this subchapter
				  approved or filed before September 1, 1995, the insurer must submit to the
				  department a certification, signed by an officer of the company, specifying the
				  method or methods of notification as set forth in §
										4.1609 of this title by which the
				  notice requirements of §
										4.1613 of this title will be
				  met.
(c) All policies and
				  endorsements are subject to the filing requirements of Chapter 3, Subchapter A
				  of this title (relating to Submission Requirements for Filings and Departmental
				  Actions Related to Such Filings).
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter P - REQUIRED REINSTATEMENT RELATING TO MENTAL INCAPACITY OF THE INSURED FOR INDIVIDUAL LIFE POLICIES WITHOUT NONFORFEITURE BENEFITS › Section 4.1613 - Notice and Disclosure Form

Current through Reg. 49, No. 28; July 12, 2024
(a) If the
				  elected method of compliance is notification to all existing policyholders as
				  described in §
										4.1609(b) of this
				  title (relating to Notification and Disclosure Requirements), the notice
				  required by this subchapter must be provided in the following manner:
Attached Graphic
(b) If the elected method of
				  compliance is notification within 90 days following the lapse of an eligible
				  policy as described in §
										4.1609(a) of this
				  title, the notice required by this subchapter must be provided in the following
				  manner:
Attached Graphic
(c) If the elected method of
				  compliance is incorporating the language of this section in the policy or in an
				  endorsement, the insurer may incorporate the text of subsection (a) of this
				  section, omitting the titles referencing "Notice" and substituting an
				  appropriate prominent title, such as "Reinstatement Due to the Mental
				  Incapacity of the Insured."
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter Q - NONFORFEITURE STANDARDS FOR INDIVIDUAL LIFE INSURANCE IN EMPLOYER PENSION PLANS › Section 4.1702 - Definitions

Current through Reg. 49, No. 28; July 12, 2024
The following words and terms, when used in this
					 subchapter, have the following meanings unless the context clearly indicates
					 otherwise.
(1) 1980 CET Table--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 National Association of Insurance Commissioners (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
				  Extended Term Insurance Table.
(2)
				  1980 CET Table (F)--That mortality table consisting of the rates of mortality
				  for female lives from the 1980 CET Table.
(3) 1980 CET Table (M)--That mortality table
				  consisting of the rates of mortality for male lives from the 1980 CET
				  Table.
(4) 1980 CSO Table, with or
				  without Ten-Year Select Mortality Factors--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 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.
(5) 1980 CSO Table (F),
				  with or without Ten-Year Select Mortality Factors--That mortality table
				  consisting of the rates of mortality for female lives from the 1980 CSO Table,
				  with or without Ten-Year Select Mortality Factors.
(6) 1980 CSO Table (M), with or without
				  Ten-Year Select Mortality Factors--That mortality table consisting of the rates
				  of mortality for male lives from the 1980 CSO Table, with or without Ten-Year
				  Select Mortality Factors.
(7) 1980
				  CSO and 1980 CET smoker and nonsmoker mortality tables--The mortality tables
				  derived from the 1980 CSO and 1980 CET mortality tables by the Society of
				  Actuaries Task Force on Smoker/Nonsmoker Mortality and adopted by the NAIC in
				  December 1983.
(8)
Norris
decision--The decision of the United States Supreme
				  Court in the case of
Arizona Governing Committee for Tax Deferred
				  Annuity and Deferred Compensation Plans v. Norris,
463 U.S. 1073
				  (1983).
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter Q - NONFORFEITURE STANDARDS FOR INDIVIDUAL LIFE INSURANCE IN EMPLOYER PENSION PLANS › Section 4.1703 - Standard

Current through Reg. 49, No. 28; July 12, 2024
(a) For any policy of insurance on the life
				  of either a male or female insured, delivered, or issued for delivery in this
				  state after the operative date of former Insurance Code Article 3.44a, §8
				  (recodified in Insurance Code Chapter 1105, Subchapter B, concerning
				  Computation of Adjusted Premiums Using Nonforfeiture Net Level Premium Method),
				  and before January 1, 2017, for that policy form, the following tables
				  described in paragraphs (1) and (2) of this subsection may be used as specified
				  in subsection (b) of this section in determining minimum cash surrender values,
				  amounts of paid-up nonforfeiture benefits, or benefits under extended term
				  insurance provisions included in the policy. For policies issued on or after
				  January 1, 2017, the valuation manual, adopted under Insurance Code Chapter
				  425, Subchapter B, concerning Standard Valuation Law, provides the tables to be
				  used.
(1) A mortality table that is a blend
				  of the 1980 CSO Table (M) and 1980 CSO Table (F), with or without Ten-Year
				  Select Mortality Factors, may, at the option of the company, be substituted for
				  the 1980 CSO Table, with or without Ten-Year Select Mortality
				  Factors.
(2) A mortality table that
				  is of the same blend as used in paragraph (1) of this subsection, but applied
				  to form a blend of the 1980 CET Table (M) and the 1980 CET Table (F), may, at
				  the option of the company, be substituted for the 1980 CET
				  Table.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter Q - NONFORFEITURE STANDARDS FOR INDIVIDUAL LIFE INSURANCE IN EMPLOYER PENSION PLANS › Section 4.1704 - Alternate Rule

Current through Reg. 49, No. 28; July 12, 2024
(a) In determining
				  minimum cash surrender value and amounts of paid-up nonforfeiture benefits for
				  any policy of insurance on either a male or a female insured on a form of
				  insurance with separate rates for smokers and nonsmokers delivered or issued
				  for delivery in this state after the operative date of former Insurance Code
				  Article 3.44a, §8 (recodified in Insurance Code Chapter 1105, Subchapter
				  B, concerning Computation of Adjusted Premiums Using Nonforfeiture Net Level
				  Premium Method), and before January 1, 2017, for that policy form, in addition
				  to the mortality tables that may be used according to §
										4.1703 of this title (relating to
				  Standard), the tables in paragraphs (1) and (2) of this subsection may be used.
				  For policies issued on or after January 1, 2017, the valuation manual, adopted
				  under Insurance Code Chapter 425, Subchapter B, concerning Standard Valuation
				  Law, provides the tables to be used.
(1) A
				  mortality table that is a blend of the male and female rates of mortality
				  according to the 1980 CSO Smoker Mortality Table, in the case of lives
				  classified as smokers, or the 1980 CSO Nonsmoker Mortality Table, in the case
				  of lives classified as nonsmokers, with or without 10-year select mortality
				  factors, may, at the option of the company, be substituted for the 1980 CSO
				  Table, with or without 10-year select mortality factors.
(2) A mortality table that is of the same
				  blend as used in paragraph (1) of this subsection but applied to form a blend
				  of the male and female rates of mortality according to the corresponding 1980
				  CET Smoker Mortality Table or 1980 CET Nonsmoker Mortality Table or 1980 CET
				  Nonsmoker Mortality Table may, at the option of the company, be substituted for
				  the 1980 CET Table.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter Q - NONFORFEITURE STANDARDS FOR INDIVIDUAL LIFE INSURANCE IN EMPLOYER PENSION PLANS › Section 4.1705 - Unfair Discrimination

Current through Reg. 49, No. 28; July 12, 2024
It is not a violation of Insurance Code §
										541.057, concerning
					 Unfair Discrimination in Life Insurance and Annuity Contracts, for an insurer
					 to issue the same kind of policy of life insurance on both a sex-distinct and
					 sex-neutral basis, as permitted by this subchapter.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter Q - NONFORFEITURE STANDARDS FOR INDIVIDUAL LIFE INSURANCE IN EMPLOYER PENSION PLANS › Section 4.1706 - Severability

Current through Reg. 49, No. 28; July 12, 2024
If any provision of these sections or the application of
					 these provisions to any person or circumstance is for any reason held to be
					 invalid, the remainder of the provisions of this subchapter and the application
					 of such provisions to other persons or circumstances will not be
					 affected.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter Q - NONFORFEITURE STANDARDS FOR INDIVIDUAL LIFE INSURANCE IN EMPLOYER PENSION PLANS › Section 4.1707 - 2001 CSO Mortality Table

Current through Reg. 49, No. 28; July 12, 2024
The 2001 CSO Mortality Table must be used for purposes of
					 this subchapter under the requirements of Subchapter AA, Division 3 of this
					 chapter (relating to 2001 CSO Mortality Table).
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter U - VARIABLE ANNUITIES › Section 4.2102 - Definitions

Current through Reg. 49, No. 28; July 12, 2024
The following words and terms, when used in this
					 subchapter, have the following meanings unless the context clearly indicates
					 otherwise.
(1) Agent--Any person,
				  corporation, partnership, or other legal entity that is licensed as a life
				  insurance agent.
(2)
				  Commissioner--The commissioner of insurance of this state.
(3) Flexible premium contract--Any variable
				  annuity contract other than a scheduled premium variable annuity
				  contract.
(4) General account--All
				  assets of the insurer other than assets in separate accounts established under
				  Insurance Code Chapter 1152, concerning Separate Accounts, Variable Contracts,
				  and Related Products, or under the corresponding section of the insurance laws
				  of the state of domicile of a foreign or alien insurer, whether or not for
				  variable annuities.
(5) Net
				  investment return--The rate of investment return to be credited to the variable
				  annuity contract in accordance with the terms of the contract after deductions
				  for tax charges, if any, and for asset charges either at a rate not in excess
				  of that stated in the contract, or in the case of a contract issued by a
				  nonprofit corporation under which the contract holder participates fully in the
				  investment, mortality, and expense experience of the account, in an amount not
				  in excess of the actual expense not offset by other deductions. The net
				  investment return to be credited to a contract must be determined at least
				  monthly.
(6) Scheduled premium
				  contract--Any variable contract under which both the timing and amount of
				  premium payments are fixed.
(7)
				  Separate account--A separate account established under Insurance Code Chapter
				  1152, or under the corresponding section of the insurance laws of the state of
				  domicile of a foreign or alien insurer.
(8) Variable annuity contract--Any individual
				  annuity contract or group annuity contract or certificate issued in connection
				  with a group annuity master contract that provides for benefits that vary
				  according to the investment experience of a separate account established and
				  maintained by the insurer as to such contract, under Insurance Code Chapter
				  1152. Annuity benefits may be payable in fixed or variable amounts or
				  both.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter U - VARIABLE ANNUITIES › Section 4.2103 - Qualifications of Insurer to Issue Variable Annuities

Current through Reg. 49, No. 28; July 12, 2024
The following requirements are applicable to all insurers
					 either seeking authority to issue variable annuities in this state or having
					 the authority to issue variable annuity products in this state.
(1) Licensing and approval to do business in
				  this state. An insurer may not deliver or issue for delivery in this state any
				  variable annuity unless:
(A) the insurer is
				  licensed or organized to do a life insurance business in this state;
				  and
(B) after notice and hearing,
				  the commissioner has authorized, either as part of the insurer's original
				  certificate of authority or by charter amendment, the insurer to issue,
				  deliver, and use variable annuity contracts, and only after the commissioner
				  has considered, among other things, the following:
(i) whether the plan of operation for the
				  issuance of variable annuity contracts is sound;
(ii) whether the general character,
				  reputation, and experience of the management and those persons or firms
				  proposed to supply consulting, investment, administrative, or custodial
				  services to the insurer are such as to reasonably assure competent operation of
				  the variable annuity business of the insurer in this state; and
(iii) whether the present and foreseeable
				  future financial condition of the insurer and its method of operation in
				  connection with the issuance of such contracts is likely to render its
				  operation hazardous to the public or its contract holders in this state. The
				  commissioner will consider, among other things:
(I) the history of operation and financial
				  condition of the insurer;
(II) the
				  qualifications, fitness, character, responsibility, reputation, and experience
				  of the officers and directors and other management of the insurer and those
				  persons or firms proposed to supply consulting, investment, administrative, or
				  custodial services to the insurer;
(III) the applicable law and regulations
				  under which the insurer is authorized in its state of domicile to issue
				  variable annuity contracts. The state of entry of an alien insurer will be
				  deemed its state of domicile for this purpose; and
(IV) if the insurer is a subsidiary of or is
				  affiliated by common management or ownership with another company, its
				  relationship to such other company, and the degree to which the requesting
				  insurer, as well as the other company, meets the standards specified in this
				  subparagraph.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter U - VARIABLE ANNUITIES › Section 4.2104 - Separate Accounts

Current through Reg. 49, No. 28; July 12, 2024
(a) Establishment
				  of separate account. Any domestic life insurance company issuing variable
				  annuity contracts must establish one or more separate accounts under Insurance
				  Code Chapter 1152, concerning Separate Accounts, Variable Contracts, and
				  Related Products.
(1) If no law or other
				  regulation provides for the custody of separate account assets, and if such
				  insurer is not the custodian of such separate account assets, all contracts for
				  custody of such assets must be in writing, and the commissioner has authority
				  to review and disapprove both the terms of any such contract and the proposed
				  custodian before the transfer of custody.
(2) In connection with the handling of
				  separate account assets, such insurer may not, without prior written approval
				  of the commissioner, employ in any material manner any person who:
(A) within the last 10 years has been
				  convicted of any felony or a misdemeanor arising out of such person's conduct
				  involving embezzlement, fraudulent conversion, or misappropriation of funds or
				  securities or involving violation of
				  18 United States Code
				  §§
													1341,
				  1342, or
				  1343, as amended;
(B) within the last 10 years has been found
				  by any state regulatory authority to have violated or has acknowledged
				  violation of any provision of any state insurance law involving fraud, deceit,
				  or knowing misrepresentation; or
(C) within the last 10 years has been found
				  by federal or state regulatory authorities to have violated or has acknowledged
				  violation of any provision of federal or state laws involving fraud, deceit, or
				  knowing misrepresentation.
(3) All persons with access to the cash,
				  securities, or other assets allocated to or held by the separate account must
				  be under bond in the amount of not less than $100,000.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter U - VARIABLE ANNUITIES › Section 4.2105 - Contract Requirements

Current through Reg. 49, No. 28; July 12, 2024
Variable annuity contracts must conform to the requirements
					 of this section in order to obtain the commissioner's approval.
(1) Filing of variable annuity contracts. All
				  variable annuity contracts, all riders, endorsements, applications, and other
				  documents that are attached to and made a part of the contract and that relate
				  to the variable nature of the contract, must be filed with the commissioner and
				  approved, as applicable, by the commissioner before delivery or issuance for
				  delivery in this state.
(A) Each variable
				  annuity contract and related forms must be filed according to Chapter 3,
				  Subchapter A of this title (relating to Submission Requirements for Filings and
				  Departmental Actions Related to Such Filings).
(B) The commissioner may approve variable
				  annuity contracts and related forms with provisions the commissioner deems to
				  be not less favorable to the contract holder, certificate holder, and the
				  beneficiary than those required by these sections.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter U - VARIABLE ANNUITIES › Section 4.2106 - Separability

Current through Reg. 49, No. 28; July 12, 2024
If any provision of these sections or the application of
					 these sections to any person or circumstance is for any reason held to be
					 invalid, the remainder of these sections and the application of such provision
					 to other persons or circumstances will not be affected.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter W - ANNUITY DISCLOSURES › Division 1 - ANNUITY CONTRACT DISCLOSURES › Section 4.2302 - Applicability and Scope

Current through Reg. 49, No. 28; July 12, 2024
(a) This subchapter
					 applies to all group and individual annuity contracts and certificates, except
					 as provided by subsection (b) of this section.
(b) This subchapter does not apply to the
					 following annuity products, except as provided in subsection (c) of this
					 section:
(1) immediate and deferred annuities
					 that contain no non-guaranteed elements;
(2) annuities used to fund:
(A) an employee pension plan subject to the
					 Employee Retirement Income Security Act of 1974 (29 U.S.C. Section
					 1001 et seq.);
(B) a plan described by the Internal Revenue
					 Code of 1986 §§401(a), 401(k), or 403(b), in which the plan, for
					 purposes of the Employee Retirement Income Security Act of 1974 (29 U.S.C. Section
					 1001 et seq.), is established or maintained
					 by an employer;
(C) a governmental
					 or church plan as defined by the Internal Revenue Code of 1986 §414, or a
					 deferred compensation plan of a state or local government or a tax-exempt
					 organization under the Internal Revenue Code of 1986 §457;
(D) a nonqualified deferred compensation
					 arrangement established or maintained by an employer or plan sponsor;
					 or
(E) prepaid funeral benefits, as
					 defined by Finance Code Chapter 154, concerning Prepaid Funeral
					 Services;
(3) a
					 structured settlement annuity;
(4)
					 a charitable gift annuity qualified under Insurance Code Chapter 102,
					 concerning Charitable Gift Annuities; or
(5) a funding agreement.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter W - ANNUITY DISCLOSURES › Division 1 - ANNUITY CONTRACT DISCLOSURES › Section 4.2304 - Definitions

Current through Reg. 49, No. 28; July 12, 2024
(a) Words and terms defined in Insurance Code
					 Chapter 102, concerning Charitable Gift Annuities, have the same meaning when
					 used in this subchapter.
(b) The
					 following words and terms, when used in this subchapter, have the following
					 meanings unless the context clearly indicates otherwise.
(1) Agent--An individual who holds a license
					 under Insurance Code Chapter 4054, concerning Life, Accident, and Health
					 Agents, and who sells, solicits, or negotiates annuities in this
					 state.
(2) Buyer's guide--A
					 document specified as a buyer's guide and adopted by the National Association
					 of Insurance Commissioners (NAIC) to be used in implementation of the NAIC
					 Annuity Disclosure Model Regulation.
(3) Contract owner--The owner named in the
					 annuity contract or, in the case of a group annuity contract, the certificate
					 holder.
(4) Disclosure document--A
					 document intended for consumers that provides information regarding the
					 features and restrictions of a specific annuity product and that satisfies the
					 requirements of §
												4.2309 of this title (relating to
					 Disclosure Document).
(5) Funding
					 agreement--An agreement for an insurer to accept and accumulate funds and to
					 make one or more payments at future dates in amounts that are not based on
					 mortality or morbidity contingencies.
(6) Generic name--A short title descriptive
					 of the annuity contract being illustrated or for which an applicant is
					 applying, such as "single premium deferred annuity."
(7) Structured settlement annuity--A
					 "qualified funding asset," as defined by the Internal Revenue Code of 1986
					 §130(d), or an annuity that would be a qualified funding asset but for the
					 fact that the annuity is not owned by an assignee under a qualified
					 assignment.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter W - ANNUITY DISCLOSURES › Division 1 - ANNUITY CONTRACT DISCLOSURES › Section 4.2306 - Guaranteed and Non-Guaranteed Elements

Current through Reg. 49, No. 28; July 12, 2024
(a)
					 For the purposes of this subchapter, "guaranteed element" means an element
					 listed in §4.2305(a)(1) - (7) of this title (relating to Determinable
					 Elements) that is guaranteed and determined at issue. An element is considered
					 guaranteed if all of the underlying elements used in its computation are
					 guaranteed.
(b) For the purposes of
					 this subchapter, "non-guaranteed element" means an element listed in
					 §4.2305(a)(1) - (7) of this title that is subject to the insurer's
					 discretion and is not guaranteed at issue. An element is considered
					 non-guaranteed if any underlying element used in its computation is
					 non-guaranteed.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter W - ANNUITY DISCLOSURES › Division 1 - ANNUITY CONTRACT DISCLOSURES › Section 4.2307 - Effect on Other Law

Current through Reg. 49, No. 28; July 12, 2024
Compliance with this subchapter is not a defense in any
						action brought by or for the department alleging a violation of the Insurance
						Code, or, except for this subchapter, any rule adopted under the Insurance
						Code.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter W - ANNUITY DISCLOSURES › Division 1 - ANNUITY CONTRACT DISCLOSURES › Section 4.2308 - Required Consumer Notices

Current through Reg. 49, No. 28; July 12, 2024
(a) If an
					 application for an annuity contract or certificate is taken in a face-to-face
					 meeting, the applicant must be given at or before the time of application both
					 a disclosure document and the appropriate buyer's guide specified in §
											4.2310 of this title (relating to
					 Buyer's Guide).
(b) If the
					 application is taken by means other than in a face-to-face meeting, the
					 applicant must be sent, not later than the fifth business day after the date on
					 which the completed application is received by the insurer, both a disclosure
					 document and the appropriate buyer's guide specified in §
											4.2310 of this title.
(c) If the insurer receives the application
					 as a result of a direct solicitation through the mail, the insurer's providing
					 the appropriate buyer's guide and a disclosure document in a mailing inviting
					 prospective applicants to apply for an annuity contract or certificate
					 satisfies the requirement in subsection (b) of this section that the
					 appropriate buyer's guide and the disclosure document be provided not later
					 than the fifth business day after the date of receipt of the
					 application.
(d) If the application
					 is received through the internet, and if the insurer takes reasonable steps to
					 ensure that the appropriate buyer's guide and a disclosure document are
					 available for viewing and printing on the insurer's website and are opened or
					 acknowledged by the prospective applicant, the provided buyer's guide and
					 disclosure document will be deemed to satisfy the requirement that the
					 appropriate buyer's guide and the disclosure document be provided not later
					 than the fifth business day after the date of receipt of the
					 application.
(e) A solicitation for
					 an annuity contract that is provided in a manner other than a face-to-face
					 meeting must include a statement that the proposed applicant may contact the
					 insurer for a free annuity buyer's guide.
(f) Insurers receiving an application for
					 private placement contracts as defined by Insurance Code §
											1152.110(a),
					 concerning Private Placement Contracts, are not required to provide the buyer's
					 guide specified in §
											4.2310 of this title.
(g) This section applies regardless of
					 whether an insurer is providing a 15-day free look period like that required in
					 §
											4.2311(a) of this
					 title (relating to Free Look Period) before the adoption of this subchapter or
					 whether the insurer begins providing the 15-day free look period in accordance
					 with §
											4.2311(a) of this
					 title.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter W - ANNUITY DISCLOSURES › Division 1 - ANNUITY CONTRACT DISCLOSURES › Section 4.2309 - Disclosure Document

Current through Reg. 49, No. 28; July 12, 2024
(a) At a minimum,
					 the following information, if applicable, must be included in the disclosure
					 document required to be provided under this subchapter:
(1) the generic name of the contract; the
					 insurer product name, if different from the generic name; the product's form
					 number; and a statement of the fact that the contract is an annuity;
(2) the insurer's name and address;
(3) a description of the contract and the
					 benefits provided under the contract; the description must emphasize the
					 long-term nature of the contract and include examples of the long-term nature
					 as appropriate;
(4) the guaranteed,
					 non-guaranteed, and determinable elements of the contract, any limitations of
					 those elements, and an explanation of how those elements operate;
(5) an explanation of the initial crediting
					 rate, specifying any bonus or introductory portion, the duration of the initial
					 crediting rate, and the fact that rates may change from time to time and are
					 not guaranteed;
(6) periodic income
					 options, both on a guaranteed and non-guaranteed basis;
(7) any value reductions caused by
					 withdrawals from or surrender of the contract;
(8) how values in the contract can be
					 accessed;
(9) the death benefit, if
					 available, and how the death benefit is computed;
(10) a summary of:
(A) the federal tax status of the contract;
					 and
(B) any penalties applicable on
					 withdrawal of values from the contract;
(11) the impact of any rider, such as a
					 long-term care rider;
(12) a list
					 of the specific dollar amount or percentage charges and fees, with an
					 explanation of how those charges and fees apply; and
(13) information about the current guaranteed
					 rate for new contracts that contains a clear notice that the rate is subject to
					 change.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter W - ANNUITY DISCLOSURES › Division 1 - ANNUITY CONTRACT DISCLOSURES › Section 4.2310 - Buyer's Guide

Current through Reg. 49, No. 28; July 12, 2024
For the purposes of this subchapter, an appropriate
						buyer's guide is the latest version of the buyer's guide adopted by the
						National Association of Insurance Commissioners (NAIC) that applies to the
						particular type of annuity (such as fixed deferred annuity, equity-indexed
						annuity, or variable annuity) that is the subject of the transaction. If the
						NAIC has not adopted a buyer's guide for equity-indexed annuities, then the
						appropriate buyer's guide is the Buyer's Guide to Fixed Deferred Annuities that
						has been most recently adopted by the NAIC. If the NAIC has not adopted a
						buyer's guide for variable annuities, then no buyer's guide is required until
						one year after the date on which this subchapter becomes effective. If the NAIC
						has not adopted a buyer's guide for variable annuities within one year after
						the date on which this subchapter becomes effective, then for purposes of this
						subchapter the appropriate buyer's guide is the latest version of the
						Securities and Exchange Commission (SEC) Office of Investor Education and
						Advocacy "Variable Annuities: What You Should Know," SEC
						Pub.
						011.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter W - ANNUITY DISCLOSURES › Division 1 - ANNUITY CONTRACT DISCLOSURES › Section 4.2311 - Free Look Period

Current through Reg. 49, No. 28; July 12, 2024
(a) If the buyer's
					 guide and the disclosure document required by this subchapter are not provided
					 at or before the time of application, a free look period of at least 15
					 calendar days must be provided during which the applicant may return the
					 contract without penalty.
(b)
					 Notice of the free look period required under this section must be provided to
					 consumers in a notice that is included on or attached to the cover page of the
					 delivered annuity contract. The notice must prominently disclose information
					 concerning the 15-day free look period.
(c) The free look period must begin on the
					 date the consumer receives the annuity contract and must run concurrently with
					 any other free look period required under the Texas Administrative Code, the
					 Texas Insurance Code, or another law of this state.
(d) An unconditional refund without penalty
					 for purposes of this section for variable or modified guaranteed annuity
					 contracts means a refund equal to the cash surrender value provided in the
					 annuity contract, plus any fees or charges deducted from the premiums or
					 imposed under the contract.
(e) The
					 refund and free look period requirements in this section do not apply if the
					 prospective owner is an accredited investor, as defined in Regulation D as
					 adopted by the United States Securities and Exchange Commission.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter W - ANNUITY DISCLOSURES › Division 1 - ANNUITY CONTRACT DISCLOSURES › Section 4.2312 - Report to Contract Owners

Current through Reg. 49, No. 28; July 12, 2024
(a) For
					 annuities in the payout period with changes in non-guaranteed elements and for
					 the accumulation period of a deferred annuity, the insurer must provide each
					 contract owner with a report, at least annually, on the status of the
					 contract.
(b) The report must
					 contain at least the following information:
(1) the beginning and ending dates of the
					 current reporting period;
(2) the
					 accumulation and cash surrender value, if any, at the end of:
(A) the previous reporting period;
					 and
(B) the current reporting
					 period;
(3) the total
					 amounts, if any, that have been credited, charged to the contract or
					 certificate value, or paid during the current reporting period; and
(4) the amount of any outstanding loans as of
					 the end of the current reporting period.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter W - ANNUITY DISCLOSURES › Division 2 - ANNUITY SUITABILITY DISCLOSURES › Section 4.2322 - Required Forms

Current through Reg. 49, No. 28; July 12, 2024
(a) Before the
					 recommendation or sale of an annuity, an agent must provide to the consumer a
					 form that meets the requirements of Insurance Code §
											1115.0514(b),
					 concerning Disclosure Obligation. The agent must use:
(1) form FIN194 (07/21), which is adopted by
					 reference and is available on the department's form website;
(2) the Insurance Agent (Producer) Disclosure
					 for Annuities form, adopted by the National Association of Insurance
					 Commissioners (NAIC) in the Suitability in Annuity Transactions Model
					 Regulation; or
(3) another form
					 that:
(A) meets the requirements of Insurance
					 Code §
													1115.0514(b)
					 and is substantially similar to the form specified in paragraph (2) of this
					 subsection;
(B) is understandable
					 to a person with an 8th-grade reading level; and
(C) is written in plain language, consistent
					 with federal plain language recommendations from the Plain Language Action and
					 Information Network.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter AA - MORTALITY TABLES › Division 1 - ANNUITY MORTALITY TABLES › Section 4.2701 - Purpose

Current through Reg. 49, No. 28; July 12, 2024
The purpose of this subchapter is to approve and adopt
						the following mortality tables and establish the effective dates of their use
						in determining the minimum standard of valuation for annuity and pure endowment
						contracts:
(1) the 1983 Table "a";
Attached Graphic
(2) the 1983 GAM Table;
Attached Graphic
(3) the Annuity 2000 Mortality
					 Table;
Attached Graphic
(4) the 1994 GAR Table; and
Attached Graphic
(5) the 2012 Individual Annuity
					 Reserving (2012 IAR) Table which, under §
											4.2706 of this title (relating to
					 Application of the 2012 IAR Mortality Table), is derived from the following
					 tables:
(A) the 2012 Individual Annuity
					 Mortality Period Life (2012 IAM Period) Table; and
Attached Graphic
(B) the Projection Scale G2 (Scale
					 G2) table of annual rates.
Attached Graphic
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter AA - MORTALITY TABLES › Division 1 - ANNUITY MORTALITY TABLES › Section 4.2702 - Definitions

Current through Reg. 49, No. 28; July 12, 2024
The following words and terms, when used in this
						subchapter, have the following meanings unless the context clearly indicates
						otherwise.
(1) 1983 GAM
					 Table--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 (NAIC).
(2) 1983 Table "a"--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 NAIC.
(3) 1994 GAR Table--The 1994 Group Annuity
					 Reserving Table developed by the Society of Actuaries Group Annuity Valuation
					 Table Task Force and adopted as a recognized mortality table for annuities on
					 December 16, 1996, by the NAIC.
(4)
					 Annuity 2000 Mortality Table--Mortality table developed by the Society of
					 Actuaries Committee on Life Insurance Research and adopted as a recognized
					 mortality table for annuities on December 16, 1996, by the NAIC.
(5) Period Table--Table of mortality rates
					 applicable to a given calendar year.
(6) Generational Mortality Table--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 of mortality improvement.
(7) 2012 IAR Table--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 §
											4.2706 of this title (relating to
					 Application of the 2012 IAR Mortality Table).
(8) 2012 Individual Annuity Mortality Period
					 Life (2012 IAM Period) Table--The Period Table containing loaded mortality
					 rates for calendar year 2012. This table contains rates,
					 qx2012 , developed by the
					 Society of Actuaries Committee on Life Insurance Research.
(9) Projection Scale G2 (Scale G2)--Table of
					 annual rates, G2x, of mortality improvement by age for
					 projecting future mortality rates beyond calendar year 2012. The Society of
					 Actuaries Committee on Life Insurance Research developed this table.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter AA - MORTALITY TABLES › Division 1 - ANNUITY MORTALITY TABLES › Section 4.2705 - Application of the 1994 GAR Table

Current through Reg. 49, No. 28; July 12, 2024
In using the 1994 GAR Table, the mortality rate for a
						person age x in year (1994 + n) is calculated as follows:
Attached Graphic
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter AA - MORTALITY TABLES › Division 1 - ANNUITY MORTALITY TABLES › Section 4.2706 - Application of the 2012 IAR Mortality Table

Current through Reg. 49, No. 28; July 12, 2024
In using the 2012 IAR Mortality Table, the mortality rate
						for a person age x in year (2012 + n) is calculated as follows:
Attached Graphic
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter AA - MORTALITY TABLES › Division 2 - SMOKER-NONSMOKER COMPOSITE MORTALITY TABLES › Section 4.2712 - Definitions

Current through Reg. 49, No. 28; July 12, 2024
The following words and terms, when used in these
						sections, have the following meanings unless the context clearly indicates
						otherwise.
(1) 1958 CET Table--That
					 mortality table developed by the Society of Actuaries Special Committee on New
					 Mortality Tables, incorporated in the National Association of Insurance
					 Commissioners (NAIC) Model Standard Nonforfeiture Law for Life Insurance, and
					 referred to in that model as the Commissioners 1958 Extended Term Insurance
					 Table.
(2) 1980 CET Table--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.
(3) 1958 CSO Table--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.
(4) 1980
					 CSO Table, with or without Ten-Year Select Mortality Factors--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.
(5) Composite mortality tables--The mortality
					 tables previously defined in this section as they were originally published
					 with rates of mortality that do not distinguish between smokers and
					 nonsmokers.
(6) Smoker and
					 nonsmoker mortality tables--The mortality tables with separate rates of
					 mortality for smokers and nonsmokers derived from the tables defined elsewhere
					 in this section, which were developed by the Society of Actuaries Task Force on
					 Smoker/Nonsmoker Mortality and the California Insurance Department staff and
					 recommended by the NAIC Technical Staff Actuarial Group.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter AA - MORTALITY TABLES › Division 2 - SMOKER-NONSMOKER COMPOSITE MORTALITY TABLES › Section 4.2713 - Alternate Tables

Current through Reg. 49, No. 28; July 12, 2024
(a) For any policy
					 of insurance delivered or issued for delivery in this state after the operative
					 date of former Insurance Code Article 3.44a, §8 (recodified in Insurance
					 Code Chapter 1105, Subchapter B, concerning Computation of Adjusted Premiums
					 Using Nonforfeiture Net Level Premium Method, for that policy form and before
					 January 1, 1989, at the option of the company and subject to the conditions
					 stated in §
											4.2714 of this title (relating to
					 Conditions):
(1) the 1958 CSO Smoker and
					 Nonsmoker Mortality Tables may be substituted for the 1980 CSO Table, with or
					 without Ten-Year Select Mortality Factors; and
(2) the 1958 CET Smoker and Nonsmoker
					 Mortality Tables may be substituted for the 1980 CET Table.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter AA - MORTALITY TABLES › Division 2 - SMOKER-NONSMOKER COMPOSITE MORTALITY TABLES › Section 4.2714 - Conditions

Current through Reg. 49, No. 28; July 12, 2024
For each plan of insurance with separate rates for
						smokers and nonsmokers, an insurer may:
(1) use composite mortality tables to
					 determine minimum reserve liabilities and minimum cash surrender values and
					 amounts of paid-up nonforfeiture benefits or benefits under any extended term
					 insurance provision;
(2) use smoker
					 and nonsmoker mortality tables to determine the valuation net premiums and
					 additional minimum reserves, if any, required by Insurance Code §
											425.068, concerning
					 Reserve Computation: Gross Premium Charged Less Than Valuation Net Premium, and
					 use composite mortality tables to determine the basic minimum reserves, minimum
					 cash surrender values, and amounts of paid-up nonforfeiture benefits, or
					 benefits under any extended term insurance provision; or
(3) use smoker and nonsmoker mortality tables
					 to determine minimum reserve liabilities and minimum cash surrender values and
					 amounts of paid-up nonforfeiture benefits, or benefits under any extended term
					 insurance provision.
Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 4 - LIFE AND ANNUITY › Subchapter AA - MORTALITY TABLES › Division 2 - SMOKER-NONSMOKER COMPOSITE MORTALITY TABLES › Section 4.2715 - Severability

Current through Reg. 49, No. 28; July 12, 2024
If any provision of these sections or the application of
						these sections to any person or circumstance is for any reason held to be
						invalid, the remainder of the sections and the application of such provision to
						other persons or circumstances will not be affected.