1/10/07 N.Y. St. Reg. INS-32-06-00004-A
PURSUANT TO THE PROVISIONS OF THE State Administrative Procedure Act, NOTICE is hereby given of the following action:
Action taken:
Amendment of Part 98 (Regulation 147) of Title 11 NYCRR.
Statutory authority:
Insurance Law, sections 201, 301, 1304, 1308, 4217, 4218, 4240 and 4517
Subject:
Rules governing valuation of life insurance reserves.
Purpose:
To prescribe rules and guidelines for valuing individual life insurance policies and certain group life insurance certificates, with primary emphasis on valuation of non-level premium and/or non-level benefit life insurance policies, indeterminate premium life insurance policies, universal life insurance policies, variable life insurance policies, and credit life insurance policies in accordance with statutory reserve formulas.
Text or summary was published
in the notice of emergency/proposed rule making, I.D. No. INS-32-06-00004-EP, Issue of August 9, 2006.
Final rule as compared with last published rule:
No changes.
Text of rule and any required statements and analyses may be obtained from:
Andrew Mais, Insurance Department, 25 Beaver St., New York, NY 10004, (212) 480-2285, e-mail:
amais@ins.state.ny.usAssessment of Public Comment
One commentator noted that sections 98.9(c)(2)(viii)(b) and 98.9(c)(2)(viii)(e) should be changed to reflect lapse rate provisions for universal life insurance with secondary guarantees, which were recently adopted by the NAIC in September 2006. The Department decided not to include such provisions.
One commentator recommended removing portions of the amendment that applied to business prior to July 1, 2005. No specific sections were referenced by the commentator. The Department reviewed the requirements of sections 98.9(c)(2)(viii)(d)(1) and 98.9(c)(2)(viii)(h)(1) and determined that no changes were necessary.
