Title 27, INSURANCE

Sec. 13. On and after the operative date of the Valuation Manual specified in section 34 of this chapter, as used in this chapter, "principal based valuation" means a reserve valuation that: (1) uses at least one (1) method or assumption determined by the insurer; and (2) is requ…

Sec. 14. (a) Before the operative date of the valuation manual specified in section 34 of this chapter, as used in this chapter, "qualified actuary" means an individual who is qualified to sign the applicable statement of actuarial opinion in accordance with the American Academy …

Sec. 15. As used in this chapter, "reserves" means reserve liabilities. As added by P.L.276-2013, SEC.10.

Sec. 16. As used in this chapter, "tail risk" means a risk that occurs where: (1) the frequency of low probability events is higher than expected under a normal probability distribution; or (2) there are observed events of very significant size or magnitude. As added by P.L.276-2…

Sec. 18. (a) Contracts of life insurance bearing dates of issue that are earlier than a transition date selected by the company under IC 27-1-12-12, the transition date in no event to be later than January 1, 1948, must be valued in accordance with the following: (1) As soon as p…

Sec. 19. (a) The commissioner shall annually value or cause to be valued the reserves for all outstanding life insurance contracts and annuity and pure endowment contracts: (1) of each company doing business in Indiana; and (2) issued on or after the transition date selected by t…

Sec. 2. (a) Before the operative date of the valuation manual specified in section 34 of this chapter, as used in this chapter, "appointed actuary" means a qualified actuary who is appointed to prepare an actuarial opinion required by sections 21 and 22 of this chapter. (b) On an…

Sec. 20. (a) The commissioner shall annually value, or cause to be valued, the reserves for all outstanding life insurance contracts, annuity and pure endowment contracts, accident and sickness insurance contracts, and deposit-type contracts: (1) of each company; and (2) issued o…

Sec. 21. (a) This section applies before the operative date of the valuation manual. (b) A company doing business in Indiana shall annually submit to the department the opinion of a qualified actuary concerning whether the reserves and related actuarial items held by the company …

Sec. 22. (a) This section applies before the operative date of the Valuation Manual. (b) Except as otherwise provided in this section, a supporting memorandum submitted by a company as required by section 21 of this chapter and material provided to the commissioner by the company…

Sec. 23. (a) This section applies on and after the operative date of the Valuation Manual. (b) A company with outstanding life insurance contracts, accident and sickness insurance contracts, or deposit-type contracts in Indiana that is subject to regulation by the commissioner sh…

Sec. 24. (a) Except as provided in sections 25, 26, and 33 of this chapter, the minimum standard for the valuation of contracts issued before the operative date of the Valuation Manual specified in section 34 of this chapter and on or after the transition date selected by the com…

Sec. 25. (a) Except as provided in section 26 of this chapter, 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 da…

Sec. 26. (a) The interest rates used in determining the minimum standard for the valuation of the following are the calendar year statutory valuation interest rates described in this section: (1) Life insurance contracts issued in a particular calendar year, on or after the opera…

Sec. 27. (a) Except as provided in sections 28, 31, and 33 of this chapter, reserves according to the commissioners reserve valuation method for the life insurance and endowment benefits of a contract providing for a uniform amount of insurance and requiring the payment of unifor…

Sec. 28. (a) This section applies to an annuity or a pure endowment contract other than a group annuity or pure endowment contract that is purchased under a retirement plan or plan of deferred compensation that is established or maintained by: (1) an employer (including a partner…

Sec. 29. (a) A company's aggregate reserves for all contracts, excluding disability and accidental death benefits, issued on or after the transition date selected by the company under IC 27-1-12-12, the transition date in no event to be later than January 1, 1948, must not be les…

Sec. 3. As used in this chapter, "change in fund basis" refers to a valuation basis under which the interest rate used to determine the minimum valuation standard applicable to each change in the fund held under an annuity or a guaranteed interest contract is the calendar year va…

Sec. 30. (a) Reserves for contracts issued before the transition date selected by a company under IC 27-1-12-12, the transition date in no event to be later than January 1, 1948, may be calculated (at the option of the company) according to any standards that produce greater aggr…

Sec. 31. (a) If in any contract year the gross premium charged by a company on a contract is less than the valuation net premium for the contract calculated by the method used in calculating the reserve, but using the minimum valuation standards of mortality and rate of interest,…

Sec. 32. In the case of: (1) a plan of life insurance that provides for future premium determination, the amounts of which are to be determined by the company based on estimates of future experience; or (2) a contract of life insurance or annuity that is of such a nature that the…

Sec. 33. The following apply to accident and sickness insurance contracts: (1) For accident and sickness insurance contracts issued on or after the operative date of the valuation manual, the standard prescribed in the valuation manual is the minimum standard of valuation require…

Sec. 34. (a) Except as provided in subsections (e) and (g), for contracts issued on or after the operative date of the Valuation Manual, the standard prescribed in the Valuation Manual is the minimum standard of valuation required under section 20 of this chapter. (b) The operati…

Sec. 35. (a) This section applies on and after the operative date of the Valuation Manual specified in section 34 of this chapter. (b) A company shall, using a principle based valuation, establish reserves that meet the following conditions for contracts, as specified in the Valu…

Sec. 36. On and after the operative date of the valuation manual specified in section 34 of this chapter, a company shall submit mortality, morbidity, contractholder behavior, or expense experience and other data as prescribed in the valuation manual. As added by P.L.276-2013, SE…

Sec. 37. (a) Except as provided in this section and section 38 of this chapter, a company's confidential information is: (1) confidential by law and privileged; (2) not subject to subpoena; and (3) not subject to discovery or admissible in evidence in a private civil action. Howe…

Sec. 38. The following apply to confidential information specified in section 5(1) and 5(4) of this chapter: (1) The confidential information may be subject to subpoena to defend an action seeking damages from the appointed actuary submitting the supporting memorandum submitted u…

Sec. 39. (a) The commissioner may exempt specific product forms or product lines of a domestic company that is licensed and doing business only in Indiana from the requirements of section 34 of this chapter if: (1) the commissioner has issued an exemption in writing to the compan…

Sec. 4. As used in this chapter, "company" is limited to a company that has: (1) issued, delivered, or reinsured at least one (1): (A) policy of insurance described in Class 1(a) or Class 1(c)(1) of IC 27-1-5-1; or (B) policy of insurance or contract described in Class 1(b), Clas…

Sec. 40. (a) If a provision of law is inconsistent with this chapter, this chapter prevails. (b) Except as otherwise provided in this chapter, this chapter applies to valuations performed after June 30, 2013. (c) Except as otherwise provided in this chapter, IC 27-1-12-9 and IC 2…

Sec. 5. As used in sections 37 and 38 of this chapter, "confidential information" means the following: (1) A supporting memorandum submitted under section 21, 22, or 23 of this chapter and any other documents, materials, and other information, including all working papers and cop…

Sec. 6. As used in this chapter, "contract" means a contract or a policy. As added by P.L.276-2013, SEC.10.

Sec. 7. (a) As used in this chapter, "contractholder behavior" means an action taken by a contract holder, certificate holder, or another person possessing the right to elect options, including: (1) lapse; (2) withdrawal; (3) transfer; (4) deposit; (5) premium payment; (6) loan; …

Sec. 8. (a) Before the operative date of the valuation manual specified in section 34 of this chapter, as used in this chapter, "deposit type contract" means a contract that does not incorporate mortality or morbidity risk. (b) On and after the operative date of the valuation man…

Sec. 9. As used in this chapter, "issue year basis" refers to a valuation basis under which the interest rate used to determine the minimum valuation standard for the entire duration of an annuity or a guaranteed interest contract is the calendar year valuation interest rate for …