Texas § 425.071 LAPSE RATES IN MINIMUM STANDARD OF VALUATION.

Texas Statutes

§ 425.071 — LAPSE RATES IN MINIMUM STANDARD OF VALUATION.

Texas § 425.071

Code INInsurance Code

This text of Texas § 425.071 (LAPSE RATES IN MINIMUM STANDARD OF VALUATION.) is published on Counsel Stack Legal Research, covering Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Tex. Insurance Code Code Ann. § 425.071 (2026).

Text

Sec. 425.071. LAPSE RATES IN MINIMUM STANDARD OF VALUATION.

(a)The minimum standard of valuation under this subchapter may include lapse rates in the calculation of reserves for a secondary guarantee in universal life contracts issued after December 31, 2006.

(b)For purposes of this section, a secondary guarantee refers to specified conditions in a universal life contract that, if satisfied, provide for death benefits to remain in effect regardless of the accumulation value in the contract.

(c)Lapse rates authorized by this section may not exceed two percent per year.

(d)The commissioner is authorized to adopt rules to implement this section.

Free access — add to your briefcase to read the full text and ask questions with AI

Sec. 425.071. LAPSE RATES IN MINIMUM STANDARD OF VALUATION. (a) The minimum standard of valuation under this subchapter may include lapse rates in the calculation of reserves for a secondary guarantee in universal life contracts issued after December 31, 2006.
(b) For purposes of this section, a secondary guarantee refers to specified conditions in a universal life contract that, if satisfied, provide for death benefits to remain in effect regardless of the accumulation value in the contract.
(c) Lapse rates authorized by this section may not exceed two percent per year.
(d) The commissioner is authorized to adopt rules to implement this section.