An insurer delivering or issuing for delivery in this state
any variable life insurance policies shall deliver to the applicant for the
policy, and obtain a written acknowledgement of receipt from such applicant
coincident with or prior to the executionof the application, the following
information. The requirements of this Article shall be deemed to have been
satisfied to the extent that a disclosure containing information required by
this Article is delivered, either in the form of (1) a prospectus included in
the requirements of the Securities Act of 1933 and which was declared effective
by the Securities and Exchange Commissioner; or (2) all information and reports
required by the Employee Retirement Income Security Act of 1974 if the policies
are exempted from the registration requirements of the Securities Act of 1933
pursuant to Section 3(a)(2) thereof.
A.
A summary explanation, in non-technical terms, of the principal features of the
policy, including a description of the manner in which the variable benefits
will reflect the investment experience of the separate account and the factors
which affect such variation. Such explanation must include notice of the
provision required by Section 4 Subsections (c)(1)(v), and (c)(6);
B. a statement of the investment policy of
the separate account, including:
1. a
description of the investment objectives intended for the separate account and
the principal types of investments intended to be made; and
2. any restriction or limitations on the
manner in which the operations of the separate account are intended to be
conducted.
C. a
statement of the net investment return of the separate account for each of the
last ten years or such lesser period as the separate account has been in
existence;
D. a statement of the
charges levied against the separate account during the previous year;
E. a summary of the method to be used in
valuing assets held by the separate account;
F. a summary of the federal income tax
aspects of the policy applicable to the insured, the policyholders and the
beneficiary;
G. illustrations of
benefits payable under the variable life insurance contract. Such illustrations
shall be prepared by the insurer and shall not include projections of past
investment experience into the future or attempted predictions of future
investments experience, provided that nothing contained herein prohibits use of
hypothetical assumed rates of return to illustrate possible levels of benefits
if it is made clear that such assumed rates are hypothetical only.
