378.625. Valuation of certificates, standards--reserves, excess permitted.

MISSOURI STATUTES AND CODES

378.625. Valuation of certificates, standards--reserves, excess permitted.

Valuation of certificates, standards--reserves, excess permitted.

378.625. 1. Standards of valuation for certificates issuedprior to one year after January 1, 1993, shall be those providedby the laws applicable immediately prior to January 1, 1993.

2. The minimum standards of valuation for certificatesissued on or after one year from January 1, 1993, shall be basedon the following tables:

(1) For certificates of life insurance -- theCommissioner's 1941 Standard Ordinary Mortality Table, theCommissioner's 1941 Standard Industrial Mortality Table, theCommissioner's 1958 Standard Ordinary Mortality Table, theCommissioner's 1980 Standard Ordinary Mortality Table or any morerecent table made applicable to life insurers;

(2) For annuity and pure endowment certificates, for totaland permanent disability benefits, for accidental death benefitsand for noncancelable accident and health benefits -- such tablesas are authorized for use by life insurers in this state.

All of the above shall be under valuation methods and standards,including interest assumptions, in accordance with the laws ofthis state applicable to life insurers issuing policiescontaining like benefits.

3. The director may, in his discretion, accept otherstandards for valuation if the director finds that the reservesproduced thereby will not be less in the aggregate than reservescomputed in accordance with the minimum valuation standard hereinprescribed. The director may, in his discretion, vary thestandards of mortality applicable to all benefit contracts onsubstandard lives or other extra hazardous lives by any societyauthorized to do business in this state.

4. Any society, with the consent of the insuranceregulatory official of the state of domicile of the society andunder such conditions, if any, which the director may impose, mayestablish and maintain reserves on its certificates in excess ofthe reserves required thereunder, but the contractual rights ofany benefit member shall not be affected thereby.