Subpart 1.
Application to specific rule parts.
The 2001 CSO Mortality Table may be used in applying parts
2747.0010 to
2747.0060 in the following manner,
subject to the transition dates for use of the 2001 CSO Mortality Table in part
2748.0020:
A. Part
2747.0010, subpart
2, item B, subitem (2): The
net level reserve premium is based on the ultimate mortality rates in the 2001
CSO Mortality Table.
B. Part
2747.0020, subpart 3: All
calculations are made using the 2001 CSO Mortality Rate, and, if elected, the
optional minimum mortality standard for deficiency reserves stipulated in item
D. The value of "qx+k+t-1" is the valuation mortality
rate for deficiency reserves in policy year k+t, but using the unmodified
select mortality rates if modified select mortality rates are used in the
computation of deficiency reserves.
C. Part
2747.0030, subpart
1: The 2001 CSO Mortality
Table is the minimum standard for basic reserves.
D. Part
2747.0030, subpart
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 the conditions specified in part
2747.0030, subpart
2, and item C, subitems (1)
to (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. Part
2747.0040, subpart 3: The
valuation mortality table used in determining the tabular cost of insurance
shall be the ultimate mortality rates in the 2001 CSO Mortality
Table.
F. Part
2747.0040, subpart 5, item D: The
calculations specified in part
2747.0040, subpart 5, shall use
the ultimate mortality rates in the 2001 CSO Mortality Table.
G. Part
2747.0040, subpart 6, item D: The
calculations specified in part
2747.0040, subpart 6, shall use
the ultimate mortality rates in the 2001 CSO Mortality Table.
H. Part
2747.0040, subpart 7, item B: The
calculations specified in part
2747.0040, subpart 7, shall use
the ultimate mortality rates in the 2001 CSO Mortality Table.
I. Part
2747.0050, subpart
1, item A, subitem (2): The
one-year valuation premium shall be calculated using the ultimate mortality
rates in the 2001 CSO Mortality Table.
