§ 26.1-34-05 — Minimum value of paid-up annuity on cessation of payment of considerations - Cash surrender benefits not provided

considerations - Cash surrender benefits not provided.
For annuity contracts that do not provide cash surrender benefits, the present value of any
paid-up annuity benefit available as a nonforfeiture option at any time prior to maturity may not
be less than the present value of the portion of the maturity value of the paid-up annuity benefit
provided under the contract arising from considerations paid prior to the time the contract is
surrendered in exchange for, or changed to, a deferred paid-up annuity. The present value must
be calculated for the period prior to the maturity date on the basis of the interest rate specified in
the contract for accumulating the net considerations to determine the maturity value, and
increased by any existing additional amounts credited by the company to the contract. For
contracts that do not provide any death benefits prior to the commencement of any annuity
payments, the present values must be calculated on the basis of the interest rate and the
mortality table specified in the contract for determining the maturity value of the paid-up annuity
benefit. The present value of a paid-up annuity benefit may not be less than the minimum
nonforfeiture amount at that time.