West Virginia Code of State Rules › Agency 114 - Insurance Commission › Title 114 - LEGISLATIVE RULE INSURANCE COMMISSIONER › Series 114-11D - Variable Life Insurance › Section 114-11D-2 - Definitions

Current through Register Vol. XLI, No. 28, July 12, 2024
2.1. "Affiliate" of an
				insurer means a person, directly or indirectly, controlling, controlled by, or under
				common control with the insurer; a person who regularly furnishes investment advice
				to the insurer with respect to its separate accounts for which a specific fee or
				commission is charged; or any director, officer, partner or employee of the insurer,
				controlling or controlled person, or person providing investment advice or any
				member of the immediate family of such person.
2.2. "Assumed investment rate" means the rate of
				investment return that would be required to be credited to a variable life insurance
				policy, after deduction of charges for taxes, investment expenses and mortality and
				expense guarantees to maintain the variable death benefit equal at all times to the
				amount of death benefit, other than incidental insurance benefits, which would be
				payable under the plan of insurance if the death benefit did not vary according to
				the investment experience of the separate account.
2.3. "Benefit base" means the amount to which the
				net investment return is applied.
2.4.
				"Commissioner" means the West Virginia insurance commissioner.
2.5. "Control" (including the terms "controlling,"
				"controlled by" and "under common control with") means the possession, direct or
				indirect, of the power to direct or cause the direction of the management and
				policies of a person, whether through the ownership of voting securities, by
				contract other than a commercial contract for goods or nonmanagement services, or
				otherwise, unless the power is the result of an official position with or corporate
				office held by the person. Control shall be presumed to exist if a person, directly
				or indirectly, owns, controls, holds with the power to vote, or holds proxies
				representing more than ten percent (10%) of the voting securities of any other
				person. This presumption may be rebutted by a showing made to the satisfaction of
				the Commissioner that control does not exist in fact. The Commissioner may
				determine, after furnishing to all persons in interest notice and opportunity to be
				heard and making specific findings of fact to support such determination, that
				control exists in fact, notwithstanding the absence of a presumption to that
				effect.
2.6. "Flexible premium policy "
				means any variable life insurance policy other than a scheduled premium policy under
				which both the amount and timing of premium payments are fixed by the
				insurer.
2.7. "General account" means
				all assets of the insurer other than assets in separate accounts established
				pursuant W. Va. Code §
									33-13A-1
				or pursuant to the corresponding section of the insurance laws of the state of
				domicile of a foreign or alien insurer, whether or not for variable life
				insurance.
2.8. "Incidental insurance
				benefit" means all insurance benefits in a variable life insurance policy, other
				than the variable death benefit and the minimum death benefit, including but not
				limited to, accidental death and dismemberment benefits, disability benefits,
				guaranteed insurability options, family income or term riders.
2.9. "Minimum death benefit" means the amount of
				the guaranteed death benefit, other than incidental insurance benefits, payable
				under a variable life insurance policy regardless of the investment performance of
				the separate account.
2.10. "Net
				investment return" means the rate of investment return in a separate account to be
				applied to the benefit base.
2.11.
				"Person" means an individual, corporation, partnership, association, trust or
				fund.
2.12. "Policy processing day"
				means the day on which charges authorized in the policy are deducted from the
				policy's cash value.
2.13. "Producer"
				means a person, corporation, partnership or other legal entity that is licensed by
				this state as a life insurance producer.
2.14. "Scheduled premium policy" means a variable
				life insurance policy under which both the amount and timing of premium payments are
				fixed by the insurer.
2.15. "Separate
				account" means a separate account established pursuant to W. Va. Code §
									33-13A-1
				or pursuant to the corresponding section of the insurance laws of the state of
				domicile of a foreign or alien insurer.
2.16. "Variable death benefit" means the amount of
				the death benefit, other than incidental insurance benefits, payable under a
				variable life insurance policy dependent on the investment performance of the
				separate account, which the insurer would have to pay in the absence of any minimum
				death benefit.
2.17. "Variable life
				insurance policy" means an individual policy that provides for life insurance the
				amount or duration of which varies according to the investment experience of any
				separate account or accounts established and maintained by the insurer as to the
				policy, pursuant to W. Va. Code §
									33-13A-1
				or pursuant to the corresponding section of the insurance laws of the state of
				domicile of a foreign or alien insurer.