11 N.C. Admin. Code 4.0506

Current through Register Vol. 38, No. 19, April 1, 2024

Section 04 .0506 - STANDARDS FOR SUPPLEMENTAL ILLUSTRATIONS

(a) A supplemental illustration may be provided as long as:

(1) It is appended to, accompanied by or preceded by a basic illustration that complies with Rule .0505 of this Section;

(2) The non-guaranteed elements shown are not more favorable to the policy owner than the corresponding elements based on the scale used in the basic illustration;

(3) It contains the same statement required of a basic illustration that non-guaranteed elements are not guaranteed; and

(4) For a policy that has a contract premium, the contract premium underlying the supplemental illustration is equal to the contract premium shown in the basic illustration. For policies that do not require a contract premium, the premium outlay underlying the supplemental illustration shall be equal to the premium outlay shown in the illustration.

(b) The supplemental illustration shall include a notice referring to the basic illustration for guaranteed elements.

11 N.C. Admin. Code 04 .0506

Authority G.S. 58-2-40; 58-58-1; 58-58-40; 58-60-15; 58-60-20; 58-63-15; 58-63-65;
Eff. January 1, 1997;
Readopted Eff. December 1, 2021.

Authority G.S. 58-2-40; 58-58-1; 58-58-40; 58-60-15; 58-60-20; 58-63-15; 58-63-65;
Eff. January 1, 1997.

Readopted by North Carolina Register Volume 36, Issue 13, January 3, 2022 effective 12/1/2021.