31A-17-508 - Reserve valuation method -- Annuity and pure endowment benefits. - Utah Statutes

31A-17-508. Reserve valuation method -- Annuity and pure endowment benefits.
(1) This section shall apply to all annuity and pure endowment contracts other than groupannuity and pure endowment contracts purchased under a retirement plan or plan of deferredcompensation, established or maintained by an employer, including a partnership or soleproprietorship, or by an employee organization, or by both, other than a plan providing individualretirement accounts or individual retirement annuities under Section 408, Internal Revenue Code.
(2) Reserves according to the commissioner's annuity reserve method for benefits underannuity or pure endowment contracts, excluding any accident and health and accidental deathbenefits in such contracts, shall be the greatest of the respective excesses of the present values, atthe date of valuation, of the future guaranteed benefits, including guaranteed nonforfeiturebenefits, provided for by such contracts at the end of each respective contract year, over thepresent value, at the date of valuation, of any future valuation considerations derived from futuregross considerations, required by the terms of such contract, that become payable prior to the endof such respective contract year. The future guaranteed benefits shall be determined by using themortality table, if any, and the interest rate, or rates, specified in such contracts for determiningguaranteed benefits. The valuation considerations are the portions of the respective grossconsiderations applied under the terms of such contracts to determine nonforfeiture values.

Amended by Chapter 116, 2001 General Session