reglab/statecodes huggingface dataset:
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-310 - Authority

Current through Register Vol. 24-14, July 15, 2024
This regulation is issued under the authority of
				RCW
				 48.02.060(3),
				48.12.030(3),
				48.74.040(1), 48.74.080 and
				48.74.030(1)(a)(iii).
Statutory Authority:
				  RCW
				  48.02.060,
				  48.74.030,
				  48.74.040,
				  48.74.070, and
				  48.74.080. 00-07-069, §
										284-74-310, filed 3/13/00,
				  effective 4/13/00.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-320 - Applicability

Current through Register Vol. 24-14, July 15, 2024
This regulation shall apply to all life insurance policies,
				with or without nonforfeiture values, issued on or after the operative date of
				this regulation, subject to the following exceptions and conditions.
(1)
(a)
			 This regulation shall not apply to any individual life insurance policy issued
			 on or after the operative date of this regulation if the policy is issued in
			 accordance with and as a result of the exercise of a reentry provision
			 contained in the original life insurance policy of the same or greater face
			 amount, issued before the operative date of this regulation, that guarantees
			 the premium rates of the new policy. This regulation also shall not apply to
			 subsequent policies issued as a result of the exercise of such a provision, or
			 a derivation of the provision, in the new policy.
(b) This regulation shall not apply to any
			 universal life insurance policy that meets all the following requirements:
(i) The secondary guarantee period, if any,
			 is five years or less;
(ii) The
			 specified premium for the secondary guarantee period is not less than the net
			 level reserve premium for the secondary guarantee period based on the 1980 CSO
			 valuation tables as defined in WAC
			 284-74-330(6)
			 and the applicable valuation interest rate; and
(iii) The initial surrender charge is not
			 less than one hundred percent of the first year annualized specified premium
			 for the secondary guarantee period.
(c) This regulation shall not apply to any
			 variable life insurance policy that provides for life insurance, the amount or
			 duration of which varies according to the investment experience of any separate
			 account or accounts.
(d) This
			 regulation shall not apply to any variable universal life insurance policy that
			 provides for life insurance, the amount or duration of which varies according
			 to the investment experience of any separate account or accounts.
(e) This regulation shall not apply to a
			 group life insurance certificate unless the certificate provides for a stated
			 or implied schedule of maximum gross premiums required in order to continue
			 coverage in force for a period in excess of one year.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-330 - Definitions

Current through Register Vol. 24-14, July 15, 2024
For purposes of this regulation:
(1) "Basic reserves" means reserves
			 calculated in accordance with
			 RCW
			  48.74.040(1).
(2) "Contract segmentation method" means the
			 method of dividing the period from issue to mandatory expiration of a policy
			 into successive segments, with the length of each segment being defined as the
			 period from the end of the prior segment (from policy inception, for the first
			 segment) to the end of the latest policy year as determined below. All
			 calculations are made using the 1980 CSO valuation tables, as defined in
			 subsection (6) of this section (or any other valuation mortality table adopted
			 by the National Association of Insurance Commissioners (NAIC) after the
			 operative date of this regulation and promulgated by regulation by the
			 commissioner for this purpose), and, if elected for the plan, the optional
			 minimum mortality standard for deficiency reserves stipulated in WAC
			 284-74-340(2).
The length of a particular contract segment shall be set equal
				to the minimum of the value t for which Gt is greater
				than Rt (if Gt never exceeds
				Rt the segment length is deemed to be the number of
				years from the beginning of the segment to the mandatory expiration date of the
				policy), where Gt and Rt are
				defined as follows:
GPx+k+t
Gt =
GPx+k+t-1
where:
x =
original issue age;
k =
the number of years from the date of issue to the
							 beginning of the segment;
t =
1, 2, ...; t is reset to 1 at the beginning of each
							 segment;
GPx+k+t-1
=
Guaranteed maximum gross premium per thousand of face
							 amount for year t of the segment, ignoring policy fees only if level for the
							 premium paying period of the policy.
qx+k+t
,
qx+k+t-1
Rt =
However, Rt may be increased
							 or decreased by one percent in any policy year, at the company's option, but
							 Rt shall not be less than one;
where:
x, k and t are as defined above, and
qx+k+t-1
=
valuation mortality rate for deficiency reserves in
							 policy year k+t but using the mortality of WAC
							 284-74-340(2)(b) if WAC
							 284-74-340(2)(c) is elected for deficiency reserves.
However, if GPx+k+t is greater than 0
				and GPx+k+t-1 is equal to 0, Gt
				shall be deemed to be 1000. If GPx+k+t and
				GPx+k+t-1 are both equal to 0, Gt
				shall be deemed to be 0.
(3) "Deficiency reserves" means the excess,
			 if greater than zero, of
(a) Minimum reserves
			 calculated in accordance with
			 RCW
			  48.74.070 over
(b) Basic reserves.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-340 - General calculation requirements for basic reserves and premium deficiency reserves

Current through Register Vol. 24-14, July 15, 2024
(1) At the
			 election of the company for any one or more specified plans of life insurance,
			 the minimum valuation standard of mortality under
			 RCW
			  48.74.030(1) for basic
			 reserves may be calculated using the 1980 CSO mortality table with select
			 mortality factors (or any other valuation mortality table adopted by the NAIC
			 after the operative date of this regulation and promulgated by regulation by
			 the commissioner for this purpose). If select mortality factors are elected,
			 they may be:
(a) The ten-year select
			 mortality factors incorporated into the 1980 amendments to the NAIC standard
			 valuation law;
(b) The select
			 mortality factors in WAC
			 284-74-380; or
(c) Any other table of select mortality
			 factors adopted by the NAIC after the operative date of this regulation and
			 promulgated by regulation by the commissioner for the purpose of calculating
			 basic reserves.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-350 - Calculation of minimum valuation standard for policies with nonlevel guaranteed maximum gross premiums or nonlevel guaranteed minimum benefits (other than universal life policies)

Current through Register Vol. 24-14, July 15, 2024
(1)
			 Basic reserves shall be calculated as the greater of the segmented reserves and
			 the unitary reserves. Both the segmented reserves and the unitary reserves for
			 any policy shall use the same valuation mortality table and select mortality
			 factors. At the option of the insurer, in calculating segmented reserves and
			 net premiums, either of the adjustments described in (a) or (b) of this
			 subsection may be made:
(a) Treat the unitary
			 reserve, if greater than zero, applicable at the end of each segment as a pure
			 endowment; and subtract the unitary reserve, if greater than zero, applicable
			 at the beginning of each segment from the present value of guaranteed life
			 insurance and endowment benefits for each segment.
(b) Treat the guaranteed cash surrender
			 value, if greater than zero, applicable at the end of each segment as a pure
			 endowment; and subtract the guaranteed cash surrender value, if greater than
			 zero, applicable at the beginning of each segment from the present value of
			 guaranteed life insurance and endowment benefits for each segment.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-360 - Calculation of minimum valuation standard for flexible premium and fixed premium universal life insurance policies that contain provisions resulting in the ability of a policy owner to keep a policy in force over a secondary guarantee period

Current through Register Vol. 24-14, July 15, 2024
(1)
(a) Policies with a secondary guarantee
			 include:
(i) A policy with a guarantee that
			 the policy will remain in force at the original schedule of benefits over a
			 specified period of time, subject only to the payment of specified
			 premiums;
(ii) A policy in which
			 the minimum premium at any duration is less than the corresponding one year
			 valuation premium, calculated using the maximum valuation interest rate and the
			 1980 CSO mortality tables with or without ten-year select mortality factors, or
			 any other table adopted after the operative date of this regulation by the NAIC
			 and promulgated by regulation by the commissioner for this purpose;
			 or
(iii) A policy with any
			 combination of (a)(i) and (ii) of this subsection.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-365 - Implementation of WAC 284-74-360

Current through Register Vol. 24-14, July 15, 2024
(1)
			 Insurers will fully apply NAIC Actuarial Guideline XXXVIII, as adopted on
			 September 12, 2012, to properly and uniformly implement WAC
			 284-74-360.
(2) NAIC Actuarial Guideline XXXVIII will be
			 effective July 1, 2013.
Statutory Authority:
				  RCW
				  48.02.060 and
				  48.74.020. 13-06-041 (Matter No. R
				  2012-30), §
										284-74-365, filed 3/4/13,
				  effective 7/1/13.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-370 - Operative date

Current through Register Vol. 24-14, July 15, 2024
On or after the effective date of this regulation, the company
				to whose policies this regulation applies may elect January 1, 2000, as its
				operative date. If the company makes no such election, this regulation shall
				become operative on its effective date.
Statutory Authority:
				  RCW
				  48.02.060,
				  48.74.030,
				  48.74.040,
				  48.74.070, and
				  48.74.080. 00-07-069, §
										284-74-370, filed 3/13/00,
				  effective 4/13/00.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-400 - Purpose

Current through Register Vol. 24-14, July 15, 2024
The purpose of this regulation, WAC
				284-74-400 through
				284-74-460, is to recognize and
				prescribe the use of the 2001 commissioners standard ordinary (CSO) mortality
				table in compliance with
				RCW
				 48.74.030(1)(a)(iii),
				48.76.050(4)(h)(vi),
				and WAC 284-74-340(1) and
				(2).
Statutory Authority:
				  RCW
				  48.02.060,
				  48.74.030, and
				  48.76.050. 04-04-070 (Matter No. R
				  2003-02), §
										284-74-400, filed 2/2/04,
				  effective 3/4/04.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-410 - Definitions

Current through Register Vol. 24-14, July 15, 2024
(1) "2001 CSO
			 mortality table" means that mortality table, consisting of separate rates of
			 mortality for male and female lives, adopted by the National Association of
			 Insurance Commissioners (NAIC) in December of 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 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) "2001 CSO mortality table (F)" means that
			 mortality table consisting of the rates of mortality for female lives from the
			 2001 CSO mortality table.
(3) "2001
			 CSO mortality table (M)" means that mortality table consisting of the rates of
			 mortality for male lives from the 2001 CSO mortality table.
(4) "Composite mortality tables" means
			 mortality tables with rates of mortality that do not distinguish between
			 smokers and nonsmokers.
(5) "Smoker
			 and nonsmoker mortality tables" means mortality tables with separate rates of
			 mortality for smokers and nonsmokers.
Statutory Authority:
				  RCW
				  48.02.060,
				  48.74.030, and
				  48.76.050. 04-04-070 (Matter No. R
				  2003-02), §
										284-74-410, filed 2/2/04,
				  effective 3/4/04.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-420 - 2001 CSO mortality table

Current through Register Vol. 24-14, July 15, 2024
(1) The
			 2001 commissioners standard ordinary (CSO) mortality table may be used as
			 allowed in
			 RCW
			  48.74.030(1)(a)(iii),
			 48.76.050(4)(h)(vi),
			 and WAC 284-74-340(1) and
			 (2), subject to the conditions in this
			 regulation.
(2) An insurer may
			 elect to use the 2001 CSO mortality table as the minimum standard for policies
			 issued on or after January 1, 2004, until January 1, 2009. This table may be
			 used for any one or more specified plans of insurance subject to the conditions
			 in this regulation. If the insurer elects to use the 2001 CSO mortality table,
			 it must do so for both valuation and nonforfeiture purposes.
(3) An insurer must use the 2001 CSO
			 mortality table as the minimum standard for policies issued on or after January
			 1, 2009.
Statutory Authority:
				  RCW
				  48.02.060,
				  48.74.030, and
				  48.76.050. 04-04-070 (Matter No. R
				  2003-02), §
										284-74-420, filed 2/2/04,
				  effective 3/4/04.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-430 - Conditions

Current through Register Vol. 24-14, July 15, 2024
(1) For each plan
			 of insurance with separate rates for smokers and nonsmokers an insurer may use:
(a) Composite mortality tables to determine
			 minimum reserve liabilities and minimum cash surrender values and amounts of
			 paid-up nonforfeiture benefits;
(b)
			 Smoker and nonsmoker mortality tables to determine the valuation net premiums
			 and additional minimum reserves, if any, required by
			 RCW
			  48.74.070 and use composite mortality tables
			 to determine the basic minimum reserves, minimum cash surrender values and
			 amounts of paid-up nonforfeiture benefits; or
(c) Smoker and nonsmoker mortality to
			 determine minimum reserve liabilities and minimum cash surrender values and
			 amounts of paid-up nonforfeiture benefits.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-440 - Applicability to WAC 284-74-300 through 284-74-380

Current through Register Vol. 24-14, July 15, 2024
(1) The 2001 CSO mortality table may be used
			 in applying WAC
			 284-74-300 through
			 284-74-380 in the following
			 manner, subject to the transition dates for use of the 2001 CSO mortality table
			 in WAC 284-74-420 of this regulation
			 (unless otherwise noted, the references in this section are to WAC
			 284-74-300 through
			 284-74-380) :
(a) WAC
			 284-74-320(1)(b)(ii):
			 The net level reserve premium is based on the ultimate mortality rates in the
			 2001 CSO mortality table.
(b) WAC
			 284-74-330(2):
			 All calculations are made using the 2001 CSO mortality rate, and, if elected,
			 the optional minimum mortality standard for deficiency reserves stipulated in
			 (d) of this subsection. The value of "qx+k+t-1" is the
			 valuation mortality rate for deficiency reserves in policy year k+t, but using
			 the unmodified select mortality rates if modified select mortality rates are
			 used in the computation of deficiency reserves.
(c) WAC
			 284-74-340(1):
			 The 2001 CSO mortality table is the minimum standard for basic
			 reserves.
(d) WAC
			 284-74-340(2):
			 The 2001 CSO mortality table is the minimum standard for deficiency reserves.
			 If select mortality rates are used, they may be multiplied by X percent for
			 durations in the first segment, subject to the conditions specified in WAC
			 284-74-340(3)(a) through
			 (i). In demonstrating compliance with those
			 conditions, the demonstrations may not combine the results of tests that
			 utilize the 1980 CSO mortality table with those tests that utilize the 2001 CSO
			 mortality table, unless the combination is explicitly required by regulation or
			 necessary to be in compliance with relevant actuarial standards of
			 practice.
(e) WAC
			 284-74-350(3):
			 The valuation mortality table used in determining the tabular cost of insurance
			 is the ultimate mortality rates in the 2001 CSO mortality table.
(f) WAC
			 284-74-350(5)(e):
			 The calculations specified in WAC
			 284-74-350(5)
			 must use the ultimate mortality rates in the 2001 CSO mortality
			 table.
(g) WAC
			 284-74-350(6)(e):
			 The calculations specified in WAC
			 284-74-350(6)
			 must use the ultimate mortality rates in the 2001 CSO mortality
			 table.
(h) WAC
			 284-74-350(7)(b):
			 The calculations specified in WAC
			 284-74-350(7)
			 must use the ultimate mortality rates in the 2001 CSO mortality
			 table.
(i) WAC
			 284-74-360(1)(a)(ii):
			 The one-year valuation premium must be calculated using the ultimate mortality
			 rates in the 2001 CSO mortality table.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-450 - Gender blended tables

Current through Register Vol. 24-14, July 15, 2024
(1) On
			 or after January 1, 2004, an insurer may substitute a blended mortality table
			 for the 2001 CSO mortality table for any ordinary life insurance policy
			 delivered or issued for delivery in this state. The ordinary life policy must
			 have (a) utilized the same premium rates and charges for male and female lives
			 and (b) been issued in circumstances where applicable law does not permit
			 distinctions on the basis of gender. The substituted table may blend the 2001
			 CSO mortality table (M) and the 2001 CSO mortality table (F) for use in
			 determining minimum cash surrender values and amounts of paid-up nonforfeiture
			 benefits. The table may be used for any one or more specified plans of
			 insurance subject to the conditions in this regulation. No change in minimum
			 valuation standards is implied by this subsection.
(2) The insurer may choose from among the
			 blended tables developed by the American Academy of Actuaries CSO task force
			 and adopted by the NAIC in December of 2002. The mortality table chosen must be
			 based on the blend of lives by gender expected for the policies to be issued.
			 The 2001 CSO mortality table (M) and 2001 CSO mortality table (F) may only be
			 used where the proportion of individuals insured is anticipated to be ninety
			 percent or more of one gender or the other.
(3) An insurer shall not use gender blended
			 mortality tables unless:
(a) The Norris
			 decision (Arizona Governing Committee v. Norris, 463 U.S. 1073, 103 S. Ct.
			 3492, 77 1. Ed 2d 1236 (1983)) or other federal law is known to apply to the
			 policies involved; or
(b) The
			 insurer has a bona fide concern that the Norris decision or other federal law
			 might reasonably be construed to apply by a court having
			 jurisdiction.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-460 - Effective date

Current through Register Vol. 24-14, July 15, 2024
The effective date of this regulation is January 1,
				2004.
Statutory Authority:
				  RCW
				  48.02.060,
				  48.74.030, and
				  48.76.050. 04-04-070 (Matter No. R
				  2003-02), §
										284-74-460, filed 2/2/04,
				  effective 3/4/04.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-470 - Purpose

Current through Register Vol. 24-14, July 15, 2024
The purpose of these rules, WAC
				284-74-470 through
				284-74-510, 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
				RCW
				 48.74.030(1)(a)(iii), and
				WAC 284-74-340(1) and
				(2).
Statutory Authority:
				  RCW
				  48.02.060,
				  48.74.030(1)(b),
				  and 48.02.160(1).
				  11-15-084 (Matter No. R 2011-03), §
										284-74-470, filed 7/20/11,
				  effective 9/1/11.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-480 - Definitions

Current through Register Vol. 24-14, July 15, 2024
(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, and adopted by the National Association of Insurance Commissioners
			 (NAIC) in December of 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 defined in subsection
			 (2) of this section. Unless the context indicates otherwise, the 2001 CSO
			 mortality table includes both the ultimate form 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)" means that
			 mortality table consisting of the rates of mortality for female lives from the
			 2001 CSO mortality table.
(b) "2001
			 CSO mortality table (M)" means that mortality table consisting of the rates of
			 mortality for male lives from the 2001 CSO mortality table.
(c) "Composite mortality tables" means
			 mortality tables with rates of mortality that do not distinguish between
			 smokers and nonsmokers.
(d) "Smoker
			 and nonsmoker mortality tables" means mortality tables with separate rates of
			 mortality for smokers and nonsmokers.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-490 - 2001 CSO preferred class structure table

Current through Register Vol. 24-14, July 15, 2024
(1) At the election of the company, for each
			 calendar year of issue, for any one or more specific plans of insurance and
			 subject to satisfying the conditions stated in this regulation, 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.
(2) For policies issued on or after January
			 1, 2004, and prior to January 1, 2007, these tables may be substituted with the
			 consent of the commissioner and subject to the conditions of WAC
			 284-74-500. 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.
(3) A table from the 2001 CSO preferred class
			 structure mortality table used in place of a 2001 CSO mortality table, pursuant
			 to the requirements of this rule, will be treated as part of the 2001 CSO
			 mortality table only for purposes of reserve valuation pursuant to the
			 requirements of these rules, WAC
			 284-74-400 through
			 284-74-460.
Statutory Authority:
				  RCW
				  48.02.060,
				  48.74.030(1)(b),
				  and 48.02.160(1).
				  11-15-084 (Matter No. R 2011-03), §
										284-74-490, filed 7/20/11,
				  effective 9/1/11.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-500 - Conditions

Current through Register Vol. 24-14, July 15, 2024
(1) For each plan
			 of insurance with separate rates for preferred and standard nonsmoker lives, an
			 insurer may use the super preferred nonsmoker, preferred nonsmoker, and
			 residual standard nonsmoker tables to substitute for the nonsmoker mortality
			 table found in the 2001 CSO mortality table to determine minimum reserves. At
			 the time of election and annually thereafter, except for business valued under
			 the residual standard nonsmoker table, the appointed actuary shall certify
			 that:
(a) 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.
(b) 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.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-510 - Effective date

Current through Register Vol. 24-14, July 15, 2024
The effective date of this regulation is September 1,
				2011.
Statutory Authority:
				  RCW
				  48.02.060,
				  48.74.030(1)(b),
				  and 48.02.160(1).
				  11-15-084 (Matter No. R 2011-03), §
										284-74-510, filed 7/20/11,
				  effective 9/1/11.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-525 - Purpose

Current through Register Vol. 24-14, July 15, 2024
The purpose of this regulation, WAC 284-74-525 through
				284-74-555, is to recognize and prescribe the use of the 2017 commissioners
				standard ordinary (CSO) mortality table in compliance with
				RCW
				 48.74.030(1)(a)(iii),
				48.76.050(4)(h)(vi),
				and WAC 284-74-340(1) and
				(2).
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-530 - Definitions

Current through Register Vol. 24-14, July 15, 2024
(1) "2017 CSO
			 mortality table" means that mortality table, consisting of separate rates of
			 mortality for male and female lives, adopted by the National Association of
			 Insurance Commissioners (NAIC) in April of 2016. The 2017 CSO mortality table
			 is included in the
2015 Proceedings of the NAIC (Fall Volume
			 I)
. Unless the context indicates otherwise, the "2017 CSO mortality
			 table" includes both the ultimate form 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) "2017 CSO mortality table (F)" means that
			 mortality table consisting of the rates of mortality for female lives from the
			 2017 CSO mortality table.
(3) "2017
			 CSO mortality table (M)" means that mortality table consisting of the rates of
			 mortality for male lives from the 2017 CSO mortality table.
(4) "Composite mortality tables" means
			 mortality tables with rates of mortality that do not distinguish between
			 smokers and nonsmokers.
(5) "Smoker
			 and nonsmoker mortality tables" means mortality tables with separate rates of
			 mortality for smokers and nonsmokers.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-535 - 2017 CSO mortality table

Current through Register Vol. 24-14, July 15, 2024
(1) The
			 2017 commissioners standard ordinary (CSO) mortality table may be used as
			 allowed in
			 RCW
			  48.74.030(1)(a)(iii),
			 48.76.-050 (4)(h)(vi), and WAC
			 284-74-340(1) and
			 (2), subject to the conditions in this
			 regulation.
(2) An insurer may
			 elect to use the 2017 CSO mortality table as the minimum standard for policies
			 issued on or after January 1, 2017, until January 1, 2020. This table may be
			 used for any one or more specified plans of insurance subject to the conditions
			 in this regulation. If the insurer elects to use the 2017 CSO mortality table,
			 it must do so for both valuation and nonforfeiture purposes.
(3) An insurer must use the 2017 CSO
			 mortality table as the minimum standard for policies issued on or after January
			 1, 2020.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-540 - Conditions

Current through Register Vol. 24-14, July 15, 2024
(1) For each plan
			 of insurance with separate rates for smokers and nonsmokers an insurer may use:
(a) Composite mortality tables to determine
			 minimum reserve liabilities and minimum cash surrender values and amounts of
			 paid-up nonforfeiture benefits;
(b)
			 Smoker and nonsmoker mortality tables to determine the valuation net premiums
			 and additional minimum reserves, if any, required by
			 RCW
			  48.74.070 and use composite mortality tables
			 to determine the basic minimum reserves, minimum cash surrender values and
			 amounts of paid-up nonforfeiture benefits; or
(c) Smoker and nonsmoker mortality to
			 determine minimum reserve liabilities and minimum cash surrender values and
			 amounts of paid-up nonforfeiture benefits.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-545 - Applicability to WAC 284-74-300 through 284-74-380

Current through Register Vol. 24-14, July 15, 2024
(1) The 2017 CSO mortality table may be used
			 in applying WAC
			 284-74-300 through
			 284-74-380 in the following
			 manner, subject to the transition dates for use of the 2017 CSO mortality table
			 in WAC 284-74-535 of this regulation (unless otherwise noted, the references in
			 this section are to WAC
			 284-74-300 through
			 284-74-380) :
(a) WAC
			 284-74-320(1)(b)(ii):
			 The net level reserve premium is based on the ultimate mortality rates in the
			 2017 CSO mortality table.
(b) WAC
			 284-74-330(2):
			 All calculations are made using the 2017 CSO mortality rate, and, if elected,
			 the optional minimum mortality standard for deficiency reserves stipulated in
			 (d) of this subsection. The value of "qx+k+t-1" is the
			 valuation mortality rate for deficiency reserves in policy year k+t, but using
			 the unmodified select mortality rates if modified select mortality rates are
			 used in the computation of deficiency reserves.
(c) WAC
			 284-74-340(1):
			 The 2017 CSO mortality table is the minimum standard for basic
			 reserves.
(d) WAC
			 284-74-340(2):
			 The 2017 CSO mortality table is the minimum standard for deficiency reserves.
			 If select mortality rates are used, they may be multiplied by X percent for
			 durations in the first segment, subject to the conditions specified in WAC
			 284-74-340(3)(a) through
			 (i). In demonstrating compliance with those
			 conditions, the demonstrations may not combine either:
(i) The results of tests that utilize the
			 1980 CSO mortality table with those tests that utilize the 2017 CSO mortality
			 table; or
(ii) the results of
			 tests that utilize the 2001 CSO mortality table with those tests that utilize
			 the 2017 CSO mortality table, unless the combination is explicitly required by
			 regulation or necessary to be in compliance with relevant actuarial standards
			 of practice.
(e) WAC
			 284-74-350(3):
			 The valuation mortality table used in determining the tabular cost of insurance
			 is the ultimate mortality rates in the 2017 CSO mortality table.
(f) WAC
			 284-74-350(5)(e):
			 The calculations specified in WAC
			 284-74-350(5)
			 must use the ultimate mortality rates in the 2017 CSO mortality
			 table.
(g) WAC
			 284-74-350(6)(e):
			 The calculations specified in WAC
			 284-74-350(6)
			 must use the ultimate mortality rates in the 2017 CSO mortality
			 table.
(h) WAC
			 284-74-350(7)(b):
			 The calculations specified in WAC
			 284-74-350(7)
			 must use the ultimate mortality rates in the 2017 CSO mortality
			 table.
(i) WAC
			 284-74-360(1)(a)(ii):
			 The one-year valuation premium must be calculated using the ultimate mortality
			 rates in the 2017 CSO mortality table.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-550 - Gender blended tables

Current through Register Vol. 24-14, July 15, 2024
(1) On or after
			 January 1, 2017, an insurer may substitute a blended mortality table for the
			 2017 CSO mortality table for any ordinary life insurance policy delivered or
			 issued for delivery in this state. The ordinary life policy must have (a)
			 utilized the same premium rates and charges for male and female lives and (b)
			 been issued in circumstances where applicable law does not permit distinctions
			 on the basis of gender. The substituted table may blend the 2017 CSO mortality
			 table (M) and the 2017 CSO mortality table (F) for use in determining minimum
			 cash surrender values and amounts of paid-up nonforfeiture benefits. The table
			 may be used for any one or more specified plans of insurance subject to the
			 conditions in this regulation. No change in minimum valuation standards is
			 implied by this subsection.
(2) The
			 insurer may choose from among the blended tables developed by the American
			 Academy of Actuaries CSO task force and adopted by the NAIC in April of 2016.
			 The mortality table chosen must be based on the blend of lives by gender
			 expected for the policies to be issued. The 2017 CSO mortality table (M) and
			 2017 CSO mortality table (F) may only be used where the proportion of
			 individuals insured is anticipated to be ninety percent or more of one gender
			 or the other.
(3) An insurer shall
			 not use gender blended mortality tables unless:
(a) The Norris decision (Arizona Governing
			 Committee v. Norris, 463 U.S. 1073, 103 S. Ct. 3492, 77 1. Ed 2d 1236 (1983))
			 or other federal law is known to apply to the policies involved; or
(b) The insurer has a bona fide concern that
			 the Norris decision or other federal law might reasonably be construed to apply
			 by a court having jurisdiction.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-560 - Purpose

Current through Register Vol. 24-14, July 15, 2024
The purpose of these rules, WAC 284-74-560 through 284-74-580,
				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
				RCW
				 48.74.030(1)(a)(iii), and
				WAC 284-74-340(1) and
				(2).
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-565 - Definitions

Current through Register Vol. 24-14, July 15, 2024
(1) "2017 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 National Association of Insurance Commissioners
			 (NAIC) in April of 2016. The 2017 CSO mortality table is included in the
2015 Proceedings of the NAIC (Fall Volume I)
and supplemented
			 by the 2017 CSO preferred class structure mortality table defined in subsection
			 (2) of this section. Unless the context indicates otherwise, the 2017 CSO
			 mortality table includes both the ultimate form 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 2017 CSO mortality table include the following:
(a) "2017 CSO mortality table (F)" means that
			 mortality table consisting of the rates of mortality for female lives from the
			 2017 CSO mortality table.
(b) "2017
			 CSO mortality table (M)" means that mortality table consisting of the rates of
			 mortality for male lives from the 2017 CSO mortality table.
(c) "Composite mortality tables" means
			 mortality tables with rates of mortality that do not distinguish between
			 smokers and nonsmokers.
(d) "Smoker
			 and nonsmoker mortality tables" means mortality tables with separate rates of
			 mortality for smokers and nonsmokers.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-570 - 2017 CSO preferred class structure table

Current through Register Vol. 24-14, July 15, 2024
(1) At the election of the company, for each
			 calendar year of issue, for any one or more specific plans of insurance and
			 subject to satisfying the conditions stated in this regulation, the 2017 CSO
			 preferred class structure mortality table may be substituted in place of the
			 2017 CSO smoker or nonsmoker mortality table as the minimum valuation standard
			 for policies issued on or after January 1, 2017.
(2) For policies issued on or after January
			 1, 2017, and prior to January 1, 2020, these tables may be substituted with the
			 consent of the commissioner and subject to the conditions of WAC 284-74-575. 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.
(3) A table from the 2017 CSO preferred class
			 structure mortality table used in place of a 2017 CSO mortality table, pursuant
			 to the requirements of this rule, will be treated as part of the 2017 CSO
			 mortality table only for purposes of reserve valuation pursuant to the
			 requirements of these rules, WAC 284-74-525 through 284-74-555.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Section 284-74-575 - Conditions

Current through Register Vol. 24-14, July 15, 2024
(1) For each plan
			 of insurance with separate rates for preferred and standard non-smoker lives,
			 an insurer may use the super preferred non-smoker, preferred nonsmoker, and
			 residual standard non-smoker tables to substitute for the nonsmoker mortality
			 table found in the 2017 CSO mortality table to determine minimum reserves. At
			 the time of election and annually thereafter, except for business valued under
			 the residual standard nonsmoker table, the appointed actuary shall certify
			 that:
(a) 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.
(b) 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.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Subchapter A - Adoption of Valuation Manual › Section 284-74-600 - Authority, purpose, and definition

Current through Register Vol. 24-14, July 15, 2024
(1) The purpose of this subchapter is to
				formally adopt the valuation manual adopted by the National Association of
				Insurance Commissioners as specified in chapter 48.74 RCW.
(2) "Valuation manual" has the meaning set
				forth in RCW  48.74.015.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Subchapter A - Adoption of Valuation Manual › Section 284-74-610 - Determination of operative date of valuation manual

Current through Register Vol. 24-14, July 15, 2024
(1) The insurance commissioner hereby makes
				the following determination:
(a) The
				valuation manual was adopted by the National Association of Insurance
				Commissioners on December 2, 2012, by an affirmative vote of forty-three
				members, representing over three-fourths of the members voting.
(b) The standard valuation law, as amended by
				the National Association of Insurance Commissioners in 2009, or legislation
				including substantially similar terms and conditions, has been enacted by
				states representing over eighty-five percent of the direct premiums written as
				reported in the following annual statements submitted in 2008: Life, accident
				and health annual statements; health annual statements; or fraternal annual
				statements.
(c) The standard
				valuation law, as amended by the NAIC in 2009, or legislation including
				substantially similar terms and conditions, has been enacted by forty-six
				states.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-74 - Approved insurance tables › Subchapter B - Alternative Uses Of Interest Rate Tables › Section 284-74-700 - Acquiring irrigation district lands

Current through Register Vol. 24-14, July 15, 2024
The local government investment pool (LGIP) daily yield, as
				  calculated by the state treasurer, is the proper interest rate to be used as
				  the annual rate of interest for the purpose of calculating a lump sum payment
				  to irrigation districts for lands acquired by the Washington state department
				  of transportation per
				  RCW
				   87.03.810. The last published daily yield
				  prior to the official transfer of property should be used for the calculation.
				  The last published daily yield means the day prior to the day that the deed is
				  recorded.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-78 - Joint underwriting association for day care insurance › Section 284-78-010 - Purpose

Current through Register Vol. 24-14, July 15, 2024
The purpose of this chapter is to establish a joint
				underwriting association pursuant to chapter 141, Laws of 1986, to provide
				liability insurance for day care services.
Statutory Authority:
				  RCW
				  48.02.060(3)(a). 86-18-043
				  (Order R 86-3), §
										284-78-010, filed
				  8/29/86.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-78 - Joint underwriting association for day care insurance › Section 284-78-020 - Definitions

Current through Register Vol. 24-14, July 15, 2024
Unless the context clearly requires otherwise, the definitions
				in this section apply throughout this chapter.
(1) "Insurer" means any insurance company
			 that, on or after July 1, 1986, possesses a certificate of authority to write
			 property and casualty insurance within this state on a direct basis.
(2) "Day care insurance" means insurance
			 coverage against the legal liability of the insured and against loss, damage,
			 or expense incident to a claim arising out of the death or injury of any person
			 as a result of negligence or malpractice in rendering professional service by
			 any licensee.
(3) "Association"
			 means the joint underwriting association established pursuant to the provisions
			 of chapter 141, Laws of 1986.
(4)
			 "Licensee" means any person or facility licensed to provide day care services
			 pursuant to
			 chapter
			 74.15 RCW.
(5) "Commissioner" means the insurance
			 commissioner of the state of Washington.
(6) "Service insurer" means any insurance
			 company designated by the association and approved by the commissioner to issue
			 policies pursuant to this chapter.
(7) "Board" means the governing board of the
			 association.
Statutory Authority:
				  RCW
				  48.02.060(3)(a). 86-18-043
				  (Order R 86-3), §
										284-78-020, filed
				  8/29/86.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-78 - Joint underwriting association for day care insurance › Section 284-78-030 - The association

Current through Register Vol. 24-14, July 15, 2024
(1) A
			 nonprofit joint underwriting association for day care insurance is hereby
			 established. Membership in the association shall be mandatory for all insurers
			 that on or after July 1, 1986, possess a certificate of authority to write
			 property and casualty insurance within this state on a direct basis. Every such
			 insurer shall be and remain a member of the association and fulfill all its
			 membership obligations as a condition of its authority to continue to transact
			 property and casualty insurance business in this state.
(2) The association shall remain inactive,
			 except for the actions of the board enumerated in WAC
			 284-78-050 through
			 284-78-080, until it is activated
			 by the commissioner as provided in WAC
			 284-78-040.
Statutory Authority:
				  RCW
				  48.02.060(3)(a). 86-18-043
				  (Order R 86-3), §
										284-78-030, filed
				  8/29/86.
Washington Administrative Code › Title 284 - Insurance Commissioner, Office of the › Chapter 284-78 - Joint underwriting association for day care insurance › Section 284-78-040 - Activation of association

Current through Register Vol. 24-14, July 15, 2024
If the commissioner finds that any licensee is unable to obtain
				day care insurance with liability limits of at least one hundred thousand
				dollars per occurrence from the voluntary insurance market, or through any
				market assistance plan organized pursuant to section 906, chapter 305, Laws of
				1986, the commissioner may notify the board in writing of such finding and may
				direct the board to activate the association and commence writing day care
				insurance within thirty days of receipt of the notice in accordance with the
				provisions of these regulations.
Statutory Authority:
				  RCW
				  48.02.060(3)(a). 86-18-043
				  (Order R 86-3), §
										284-78-040, filed
				  8/29/86.