211 CMR 57.06 - Applicability of the 2001 CSO Mortality Table to 211 CMR 29.00

Current through Register 1466, April 1, 2022

(1) The 2001 C SO Mortality Table may be used in applying 211 CMR 29.00 in the following manner, subject to the transition dates for use of the 2001 CSO Mortality Table in 211 CMR 57.04. (Unless otherwise noted, the references in 211 CMR 57.06 are to 211 CMR 29.00 ):

(a) 211 CMR 29.03(1)(b)2 .: The net level reserve premium is based on the ultimate mortality rates in the 2001 CSO Mortality Table.

(b) 211 CMR 29.04 : All calculations are made using the 2001 CSO Mortality Rate, and, if elected, the optional minimum mortality standard for deficiency reserves stipulated in 211 CMR 57.06(1)(d). The value of "q _x+k+t-1 " is the valuation mortality rate for deficiency reserves in policy year k+t, but using unmodified select mortality rates if modified select mortality rates are used in the computation of deficiency reserves.

(c) 211 CMR 29.05(1) : The 2001 CSO Mortality Table is the minimum standard for basic reserves.

(d) 211 CMR 29.05(2) : The 2001 CSO Mortality Table is the minimum standard for deficiency reserves. If select mortality rates are used, they may be multiplied by X percent for durations in the first segment, subject to conditions specified in 211 CMR 29.05(2)(c)1. through 9. In demonstrating compliance with those conditions, the demonstrations may not combine the results of tests that utilize the 1980 CSO Mortality Table with those tests that utilize the 2001 CSO Mortality Table, unless the combination is explicitly required by regulation or necessary to be in compliance with relevant Actuarial Standards of Practice.

(e) 211 CMR 29.06(3) : The valuation mortality table used in determining tabular cost of insurance shall be the ultimate mortality rates in the 2001 CSO Mortality Table.

(f) 211 CMR 29.06(5)(d) : The calculations specified in 211 CMR 29.06(5) shall use the ultimate mortality rates in the 2001 CSO Mortality Table.

(g) 211 CMR 29.06(6)(d) :The calculations specified in211CMR29.06(6)shall use the ultimate mortality rates in the 2001 CSO Mortality Table.

(h) 211CMR29.06(7)(b): The calculations specified in 211 CMR 29.06(7) shall use the ultimate mortality rates in the 2001 CSO Mortality Table.

(i) 211CMR29.07(1)(a)2.: The one-year valuation premium shall be calculated using the ultimate mortality rates in the 2001 CSO Mortality Table.

(2) Nothing in 211 CMR 57.06 shall be construed to expand the applicability of 211 CMR 29.00 to include life insurance policies exempted under 211 CMR 29.03(1).

Notes

211 CMR 57.06