South Carolina Code of Regulations › Chapter 69 - DEPARTMENT OF INSURANCE › Section 69-38 - Regulation Permitting Smoker/Nonsmoker Mortality Tables for Use in Determining Minimum Reserve Liabilities and Nonforfeiture Benefits

Current through Register Vol. 48, No. 6, June 28, 2024
Section 1. Purpose.
The purpose of this regulation is to permit the use of mortality
			 tables that reflect differences in mortality between smokers and nonsmokers in
			 determining minimum reserve liabilities and minimum cash surrender values and
			 amounts of paid-up nonforfeiture benefits for plans of insurance with separate
			 premium rates for smokers and nonsmokers.
Section 2. Definitions.
A. As used in this regulation, "1980 CSO
		  Table, with or without Ten-Year Select Mortality Factors" 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. As used in this regulation, "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. As used in this regulation, "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. As used in this regulation, "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 the model as the
		  Commissioners 1958 Extended Term Insurance Table.
E. As used in this regulation, 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 A through D of 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.
F. As used in this
		  regulation, the phrase "composite mortality tables" refers to the mortality
		  tables defined in A through D of this section as they were originally published
		  with rates of mortality that do not distinguish between smokers and
		  nonsmokers.