Statutes, codes, and regulations
Alabama Administrative Code
Title 482 - ALABAMA DEPARTMENT OF INSURANCE
Chapter 482-1-130 - RECOGNITION OF THE 2001 CSO MORTALITY TABLE FOR USE IN DETERMINING MINIMUM RESERVE LIABILITIES AND NONFORFEITURE BENEFITS
Section 482-1-130-.05 - Conditions

Ala. Admin. Code r. 482-1-130-.05

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Current through Register Vol. 43, No. 02, November 27, 2024
Section 482-1-130-.05 - Conditions
(1) For each plan of insurance with separate rates for smokers and nonsmokers an insurer may use any of the following:
(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 Sections 27-36A-1 to 27-36A-20, Code of Ala. 1975, and use composite mortality tables to determine the basic minimum reserves, minimum cash surrender values and amounts of paid-up nonforfeiture benefits.
(c) Smoker and nonsmoker mortality to determine minimum reserve liabilities and minimum cash surrender values and amounts of paid-up nonforfeiture benefits.
(2) For plans of insurance without separate rates for smokers and nonsmokers the composite mortality tables shall be used.
(3) For the purpose of determining minimum reserve liabilities and minimum cash surrender values and amounts of paid-up nonforfeiture benefits, the 2001 CSO Mortality Table may, at the option of the company for each plan of insurance, be used in its ultimate or select and ultimate form, subject to the restrictions of Rule 482-1-130-.06 and Section 27-36A-1 to 27-36A-20, Code of Ala. 1975, relative to use of the select and ultimate form.
(4) When the 2001 CSO Mortality Table is the minimum reserve standard for any plan for a company, the actuarial opinion in the annual statement filed with the commissioner shall be based on an asset adequacy analysis as specified in Paragraph (1) of Rule 482-1-112-.06. A commissioner may exempt a company from this requirement if it only does business in this state and in no other state.

Ala. Admin. Code r. 482-1-130-.05

New Rule: December 1, 2003; effective January 1, 2004. Filed with LRS November 15, 2003. Rule is not subject to the Alabama Administrative Procedure Act.
Amended by Alabama Administrative Monthly Volume XLII, Issue No. 09, June 28, 2024, eff. 7/1/2024.

Author: Commissioner of Insurance

Statutory Authority:Code of Ala. 1975, §§ 27-2-17, 27-15-70 to 27-15-83, 27-15-28.1, and 27-36A-1 to 27-36A-20.