Minnesota Administrative Code

2745.0040 USE OF ASSESSMENTS. A long-term care insurance policy may use activities of daily living and cognitive impairment assessments as a basis for defining when a service, type of care, or procedure could not be omitted without adversely affecting the patient's illness or con…

2745.0050 ALTERNATIVE STANDARDS AND CERTIFICATION. If an insurer proposes standards other than those described in parts 2745.0020, 2745.0030, and 2745.0040, upon request the insurer shall provide to the department a detailed description of the proposed assessment methodology expl…

2747.0010 APPLICABILITY. Subpart 1. Generally. This chapter applies to all life insurance policies, with or without nonforfeiture values, issued on or after January 1, 2000, subject to the exceptions and conditions in subparts 2 and 3. Subp. 2. Exceptions. A. This chapter does no…

2747.0020 DEFINITIONS. Subpart 1. Scope. For purposes of this chapter, the terms defined in this part have the meanings given them. Subp. 2. Basic reserves. "Basic reserves" means reserves calculated according to Minnesota Statutes, section 61A.25, subdivision 4. Subp. 3. Contrac…

2747.0030 GENERAL CALCULATION REQUIREMENTS FOR BASIC RESERVES AND PREMIUM DEFICIENCY RESERVES. Subpart 1. Basic reserves. At the election of the company for any one or more specified plans of life insurance, the minimum mortality standard for basic reserves may be calculated usin…

2747.0040 CALCULATION OF MINIMUM VALUATION STANDARD FOR POLICIES WITH GUARANTEED NONLEVEL GROSS PREMIUMS OR GUARANTEED NONLEVEL BENEFITS OTHER THAN UNIVERSAL LIFE POLICIES. Subpart 1. Basic reserves. Basic reserves are calculated as the greater of the segmented reserves and the u…

2747.0050 MINIMUM VALUATION STANDARD FOR CERTAIN FLEXIBLE PREMIUM AND FIXED PREMIUM UNIVERSAL LIFE INSURANCE POLICIES; SECONDARY GUARANTEE PERIOD POLICIES. Subpart 1. General. A. Policies with a secondary guarantee include: (1) a policy with a guarantee that the policy will remai…

2747.0060 SELECT MORTALITY FACTORS. Subpart 1. Generally. The tables of select mortality factors contained in subparts 2 to 7 include: (1) male aggregate; (2) male nonsmokers; (3) male smoker; (4) female aggregate; (5) female nonsmoker; and (6) female smoker. These tables apply t…

2747.0065 2001 CSO MORTALITY TABLE. The 2001 CSO Mortality Table, as defined in part 2748.0010, subpart 2, shall be used for purposes of parts 2747.0010 to 2747.0060 pursuant to the requirements of parts 2748.0010 to 2748.0050. Statutory Authority: MS s 45.023; 61A.24; 61A.25 His…

2748.0010 DEFINITIONS. Subpart 1. Scope. For the purposes of parts 2748.0010 to 2748.0050, the terms defined in subparts 2 to 6 have the meanings given them. Subp. 2. 2001 CSO Mortality Table. "2001 CSO Mortality Table" means that mortality table, consisting of separate rates of …

2748.0020 2001 CSO MORTALITY TABLE. Subpart 1. Permissive use. At the election of the company for any one or more specified plans of insurance and subject to the conditions stated in parts 2748.0010 to 2748.0050, the 2001 CSO Mortality Table may be used as the minimum standard fo…

2748.0030 CONDITIONS. Subpart 1. Plans with separate smoker/nonsmoker rates. For each plan of insurance with separate rates for smokers and nonsmokers, an insurer may use: A. composite mortality tables to determine minimum reserve liabilities and minimum cash surrender values and…

2748.0040 APPLICABILITY OF 2001 CSO MORTALITY TABLE TO PARTS 2747.0010 TO 2747.0060. Subpart 1. Application to specific rule parts. The 2001 CSO Mortality Table may be used in applying parts 2747.0010 to 2747.0060 in the following manner, subject to the transition dates for use o…

2748.0050 GENDER-BLENDED TABLES. Subpart 1. Use authorized. For any ordinary life insurance policy delivered or issued for delivery in this state on and after January 1, 2004, that utilizes the same premium rates and charges for male and female lives or is issued in circumstances…

2750.0100 DEFINITIONS. Subpart 1. Scope. For the purposes of this chapter, the terms defined in this part have the meanings given them. Subp. 1a. Affiliate. "Affiliate" of an insurer means any person, directly or indirectly, controlling, controlled by, or under common control wit…

2750.0200 AUTHORITY AND SCOPE. This chapter applies to all variable life insurance policies issued in this state, and are adopted under the authority of Minnesota Statutes, section 61A.20. Statutory Authority: MS s 61A.20 History: 8 SR 1948 Published Electronically: September 14,…

2750.0300 QUALIFICATION OF INSURER TO ISSUE VARIABLE LIFE INSURANCE. Subpart 1. Compliance with laws and grant of authority. An insurer shall not deliver or issue for delivery in this state any variable life insurance policy unless it has complied with this chapter and Minnesota …

2750.1100 CONFORMANCE WITH STATUTES. The commissioner shall not accept the filing of any variable life insurance policy form unless it conforms to the requirements of parts 2750.1100 to 2750.1500 and Minnesota Statutes, chapter 61A. Statutory Authority: MS s 61A.20 History: 8 SR …

2750.1200 MANDATORY POLICY BENEFIT AND DESIGN REQUIREMENTS. Variable life insurance policies delivered or issued for delivery in this state shall comply with the following minimum requirements: A. Mortality and expense risk shall be borne by the insurer. The mortality and expense…

2750.1300 MANDATORY POLICY PROVISIONS. Every variable life insurance policy filed for approval in this state shall contain at least the following: A. The cover page or pages corresponding to the cover page of each policy shall contain: (1) a prominent statement in either contrast…

2750.1400 POLICY LOAN PROVISIONS. Every variable life insurance policy, other than term insurance policies and pure endowment policies, delivered or issued for delivery in this state must contain provisions for policy loans after the policy has been in force for three full years …

2750.1500 OTHER POLICY PROVISIONS. Other policy provisions include the following: A. Incidental insurance benefits, if offered, may be offered on a fixed or variable basis. B. Policies issued on a participating basis shall offer to pay dividend amounts in cash. In addition, the p…

2750.2100 STANDARD VALUATION LAW. Reserve liabilities for variable life insurance policies shall be established under the Standard Valuation Law, Minnesota Statutes, section 61A.25, in accordance with actuarial procedures that recognize the variable nature of the benefits provide…

2750.2200 SCHEDULED PREMIUM POLICIES. For scheduled premium policies, reserve liabilities for the guaranteed minimum death benefit shall be the reserve needed to provide for the contingency of death occurring when the guaranteed minimum death benefit exceeds the death benefit tha…

2750.2201 FLEXIBLE PREMIUM POLICIES. For flexible premium policies, reserve liabilities for any guaranteed minimum death benefit shall be maintained in the general account of the insurer and shall be not less than the aggregate total of the term costs, if any, covering the period…

2750.2300 FIXED INCIDENTAL INSURANCE BENEFITS. Reserve liabilities for all fixed incidental insurance benefits and any guarantees associated with variable incidental insurance benefits shall be maintained in the general account and reserve liabilities for all variable aspects of …

2750.3000 REQUIREMENTS. The requirements in parts 2750.3100 to 2750.3700 apply to the establishment and administration of variable life insurance separate accounts by any domestic insurer. Statutory Authority: MS s 61A.20 History: 8 SR 1948 Published Electronically: September 14,…

2750.3100 ESTABLISHMENT AND ADMINISTRATION OF SEPARATE ACCOUNTS. Any domestic insurer issuing variable life insurance shall establish and administer one or more separate accounts pursuant to Minnesota Statutes, section 61A.14: A. All persons with access to the cash, securities, o…

2750.3200 AMOUNTS IN THE SEPARATE ACCOUNT. The insurer shall maintain in each separate account assets with a value at least equal to the greater of the valuation reserves for the variable portion of the variable life insurance policies or the benefit base for such policies. Statu…

2750.3300 INVESTMENTS BY THE SEPARATE ACCOUNT. The separate account shall have sufficient net investment income and readily marketable assets to meet anticipated withdrawals under policies funded by the account and be registered under the Investment Company Act of 1940. Statutory…

2750.3400 LIMITATIONS ON OWNERSHIP. Subpart 1. Securities. A separate account shall not purchase or otherwise acquire the securities of any issuer, other than securities issued or guaranteed as to principal and interest by the United States, if immediately after the purchase or a…

2750.3500 VALUATION OF SEPARATE ACCOUNT. Investments of the separate account shall be valued at their market value on the date of valuation, or at amortized cost if it approximates market value. Statutory Authority: MS s 61A.20 History: 8 SR 1948 Published Electronically: Septemb…

2750.3600 SEPARATE ACCOUNT INVESTMENT POLICY. The investment policy of a separate account operated by a domestic insurer filed under part 2750.0300, subpart 2, item C shall not be changed without first filing the change with the commissioner. Statutory Authority: MS s 61A.20 Hist…

2750.3700 CHARGES AGAINST A VARIABLE LIFE INSURANCE SEPARATE ACCOUNT. The insurer must disclose in writing, prior to or contemporaneously with delivery of the policy, all charges that may be made against the separate account, including, but not limited to the following: A. taxes …

2750.4100 INFORMATION FURNISHED TO APPLICANTS. The requirements of this part shall be deemed to have been satisfied to the extent that a disclosure containing information required by this part is delivered, either in the form of a prospectus included in a registration statement r…

2750.4200 APPLICATIONS. The application for a variable life insurance policy shall contain: A. a prominent statement that the death benefit may be variable or fixed under specified conditions; B. a prominent statement that cash values may increase or decrease in accordance with t…

2750.4300 REPORTS TO POLICYHOLDERS. Any insurer delivering or issuing for delivery in this state any variable life insurance policies shall mail to each variable life insurance policyholder at his or her last known address the following reports: A. Within 30 days after each anniv…

2750.4400 FOREIGN COMPANIES. If the law, rule, or regulation in the place of domicile of a foreign company provides a degree of protection to the policyholders and the public that is substantially greater than that provided by this chapter, the commissioner shall consider complia…

2750.4500 QUALIFICATION OF AGENTS FOR SALE OF VARIABLE LIFE INSURANCE. Any person who holds a valid license to solicit and sell life insurance in this state and has filed with the commissioner evidence of compliance with all applicable state and federal securities laws shall be q…

2751.0100 PURPOSE. This chapter regulates modified guaranteed annuities, a new form of variable annuity, the assets of which are placed in a separate account. Statutory Authority: MS s 45.023; 61A.20 History: 14 SR 2052 Published Electronically: September 14, 2007

2751.0200 AUTHORITY. This chapter is adopted pursuant to the authority granted to the commissioner of the Department of Commerce in Minnesota Statutes, section 61A.20. Statutory Authority: MS s 45.023; 61A.20 History: 14 SR 2052 Published Electronically: September 14, 2007

2751.0300 APPLICABILITY AND SCOPE. This chapter applies to: A. the qualifications of agents to be authorized to sell modified guaranteed annuity contracts in this state; B. the qualification of insurers to be authorized to issue these contracts; C. the required contract form and …

2751.0400 DEFINITIONS. Subpart 1. Scope. For the purposes of this chapter, the terms defined in this part have the meanings given them. Subp. 2. Commissioner. "Commissioner" means the commissioner of the Department of Commerce of the state of Minnesota. Subp. 3. Interest credits.…

2751.0500 AUTHORITY OF INSURERS. Subpart 1. Application. The following requirements in this part apply to all insurers seeking authority to issue modified guaranteed annuities in this state. Subp. 2. Licensing and approval to do business. No company shall deliver or issue for del…

2751.0600 FILING OF CONTRACTS. The filing requirements applicable to modified guaranteed annuities are those filing requirements otherwise applicable under existing statutes and rules of this state with respect to individual and group life insurance and annuity contract form fili…

2751.0700 CONTRACT REQUIREMENTS. Subpart 1. Mandatory contract benefit and design requirements. The following benefit and design requirements apply to a modified guaranteed annuity contract delivered or issued for delivery in this state: A. The contract must contain a statement o…

2751.0800 RESERVE LIABILITIES. Reserve liabilities for modified guaranteed annuities shall be established in accordance with actuarial procedures that recognize: A. that assets of the separate account are based on market values; B. the variable nature of benefits provided; and C.…