Ill. Admin. Code tit. 50, § 1053.10 - Computation of Premium Refunds
Current through Register Vol. 46, No. 15, April 8, 2022
a)
The refund of return premiums in the case of Decreasing Term Insurance issue
under Article IX1/2 of the Illinois Insurance Code shall be computed by the
"Sum of Digits" formula, commonly known as the "Rule of Seventy
Eighths".
b) The refund of return
premiums in the case of Level Term Life Insurance shall be equal to the pro
rata gross unearned premium.
c) A
premium refund need not be made if the amount thereof is less than
$1.00.
Notes
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