The following words as used in
211 CMR
95.00 shall, unless the context requires otherwise,
have the following meanings:
Affiliate
means any person directly or
indirectly, controlling, controlled by, or under common control with such
insurer; any person who regularly furnishes investment advice to such insurer
with respect to its separate accounts for which a specific fee or commission is
charged; or any director, officer, partner, or employee of any such insurer,
controlling or controlled person, or person providing investment advice or any
member of the immediate family of such person.
Assumed Investment Rate
means the rate
of investment return which would be required to be credited to a variable life
insurance policy, after deduction of charges for taxes, investment expenses and
mortality and expense guarantees, to maintain the variable death benefit equal
at all times to the amount of death benefit, other than incidental insurance
benefits, which would be payable under the plan of insurance if the death
benefit did not vary according to the investment experience of the separate
account.
Benefit Base
means the amount
specified by the terms of the variable life insurance policy to which the net
investment return is applied.
Cash Surrender Value
means the cash
value less any policy-defined surrender charge.
Cash Value
means the amount, specified
by the terms of the variable life insurance policy, to which separately
identified mortality, expense, or other charges are made.
Commissioner
means the Commissioner of
Insurance or his or her designee.
Control
means the possession, direct
or indirect, of the power to direct the management and policies of a person,
whether through the ownership of voting stock, by contract other than a
commercial contract for goods or non-management services, or otherwise, unless
the power is the result of official position or positions with, or corporate
office or offices held by, the person or persons. Control shall be presumed to
exist if any person directly or indirectly owns, controls, holds with the
present power to vote, or holds proxies representing more than 10% of the
voting stock of any other person. Such presumption may be rebutted by a showing
made to the satisfaction of the Commissioner that control does not exist in
fact. The Commissioner may determine, after furnishing all persons in interest
notice and opportunity to be heard and making specific findings of fact to
support such determination, that control exists in fact, notwithstanding the
absence of a presumption to that effect.
Division
means the Division of
Insurance.
Flexible Premium Policy
means any
variable life insurance policy other than a scheduled premium policy.
General Account
means all assets of
the insurer, other than assets in separate accounts established pursuant to
M.G.L. c. 175, §§ 132F or 132G, or pursuant to the corresponding
section of the insurance law of the state of domicile of a foreign or alien
insurer, whether or not for variable life insurance.
General Account Life Insurance Policy
means any life insurance policy other than a variable life insurance
policy.
Incidental Insurance Benefit
means an
insurance benefit in a variable life insurance policy, other than the variable
death benefit and the minimum death benefit, and includes but is not limited to
accidental death and dismemberment benefits, disability benefits, guaranteed
insurability options, family income, or term riders.
Insurance Producer
means any person,
corporation, partnership, or other legal entity which is licensed by the
Commonwealth as an insurance producer.
May is permissive.
Minimum Death Benefit
means the amount
of the guaranteed death benefit, other than incidental insurance benefits,
payable under a variable life insurance policy regardless of the investment
performance of the separate account.
Net Cash Surrender Value
means the
cash surrender value less any amounts outstanding as policy loans and loan
interest.
Net Investment Return
means the rate
of investment return to be applied to the benefit base.
Person
means an individual, a
corporation, a partnership, an association, a trust, a joint stock company, a
fund, an unincorporated organization, or any similar entity or combination of
the foregoing acting in concert.
Policy Processing Day
means the day on
which charges authorized in the policy are deducted from the cash value.
Scheduled Premium Policy
means any
variable life insurance policy under which both the amount and timing of
premium payments are fixed by the insurer.
Separate Account
means an account
established pursuant to M.G.L. c. 175, §§ 132F or 132G, or pursuant
to the corresponding section of the insurance law of the state of domicile of a
foreign or alien insurer.
Shall is mandatory.
Variable Death Benefit
means the
amount of death benefit, other than incidental insurance benefits, payable
under a variable life insurance policy, dependent on the investment performance
of the separate account which the insurer would have to pay in the absence of
any minimum death benefit.
Variable Life Insurance Policy
means
any individual policy which provides for life insurance, the amount or duration
of which varies according to the investment experience of any separate account
or accounts established and maintained by the insurer with respect to such
policy, pursuant to M.G.L. c. 175, §§ 132F or 132G, or pursuant to
the corresponding section of the insurance law of the state of domicile of a
foreign or alien insurer.
