§ 26.1-35-03 — Computation of minimum standard for annuities

North Dakota § 26.1-35-03

• Jurisdiction: North Dakota
• Title 26.1: Insurance
• Ch. 26.1-35: Standard Valuation Law

Text

1. Except as provided in section 26.1-35-04, the minimum standard of valuation for
individual annuity and pure endowment contracts issued on or after the operative date
of this section, and for annuities and pure endowments purchased on or after the
operative date under group annuity and pure endowment contracts, must be the
commissioners reserve valuation methods defined in sections 26.1-35-05 and
26.1-35-06 and the following tables and interest rates:
a. For individual annuity and pure endowment contracts issued before July 1, 1977,
excluding any disability and accidental death benefits in those contracts, the 1971
individual annuity mortality table, or any modification of this table approved by the
commissioner, and six percent interest for single premium immediate annuity
contracts and four percent interest for all other individual annuity and pure
endowment contracts.
b. For individual single premium immediate annuity contracts issued after June 30,
1977, excluding any disability and accidental death benefits in those contracts,
the 1971 individual annuity mortality table or any individual annuity mortality table,
adopted after 1980 by the national association of insurance commissioners, that
is approved by rule adopted by the commissioner for use in determining the
minimum standard of valuation for the contracts, or any modification of these
tables approved by the commissioner, and seven and one-half percent interest.
c. For individual annuity and pure endowment contracts issued after June 30, 1977,
other than single premium immediate annuity contracts, excluding any disability
and accidental death benefits in the contracts, the 1971 individual annuity
mortality table or any individual annuity mortality table adopted after 1980 by the
national association of insurance commissioners, that is approved by rule
adopted by the commissioner for use in determining the minimum standard of
valuation for the contracts, or any modification of these tables approved by the
commissioner, and five and one-half percent interest for single premium deferred
annuity and pure endowment contracts and four and one-half percent interest for
all other individual annuity and pure endowment contracts.
d. For annuities and pure endowments purchased prior to July 1, 1977, under group
annuity and pure endowment contracts, excluding any disability and accidental
death benefits purchased under those contracts, the 1971 group annuity mortality
table or any modification of this table approved by the commissioner, and six
percent interest.
e. For annuities and pure endowments purchased after June 30, 1977, under group
annuity and pure endowment contracts, excluding any disability and accidental
death benefits purchased under these contracts, the 1971 group annuity mortality
table or any group annuity mortality table adopted after 1980 by the national
association of insurance commissioners, that is approved by rule adopted by the
commissioner for use in determining the minimum standard of valuation for
annuities and pure endowments, or any modification of these tables approved by
the commissioner, and seven and one-half percent interest.
2. After June 30, 1977, any insurer may file with the commissioner a written notice of its
election to comply with the provisions of this section after a specified date before
January 1, 1979, which must be the operative date of this section for that insurer. If an
insurer makes no election, the operative date of this section for that insurer must be
January 1, 1979.