Sec. 25. (a) Except as provided in section 26 of this chapter, the minimum standard of valuation for individual annuity and pure endowment contracts issued on or after the operative date of this section, and for annuities and pure endowments purchased on or after the operative date of this section under group annuity and pure endowment contracts, and before the operative date of the Valuation Manual specified in section 34 of this chapter, is the commissioners reserve valuation methods defined in sections 27 and 28 of this chapter and the following tables and interest rates:
(1) For individual annuity and pure endowment contracts issued before September 1, 1979, excluding disability and accidental death benefits in the contracts, both of the following:
(A) Either of the following:
(i) The 1971 Individual Annuity Mortality Table.
(ii) A modification of the table that is approved by the commissioner in rules adopted under IC 4-22-2.
(B) Either of the following:
(i) Six percent (6%) interest for single premium immediate annuity contracts.
(ii) Four percent (4%) interest for all other individual annuity and pure endowment contracts.
(2) For individual single premium immediate annuity contracts issued after August 31, 1979, excluding disability and accidental death benefits in the contracts, both of the following:
(A) One (1) of the following:
(i) The 1971 Individual Annuity Mortality Table.
(ii) An individual annuity mortality table adopted after 1980 by the NAIC that is approved by rule adopted by the commissioner under IC 4-22-2 for use in determining the minimum standard of valuation for the contracts.
(iii) A modification of a table described in item (i) or (ii) that is approved by the commissioner in rules adopted under IC 4-22-2.
(B) Seven and one-half percent (7 1/2%) interest.
(3) For individual annuity and pure endowment contracts issued after August 31, 1979, other than single premium immediate annuity contracts, excluding disability and accidental death benefits in the contracts, both of the following:
(A) One (1) of the following:
(i) The 1971 Individual Annuity Mortality Table.
(ii) An individual annuity mortality table adopted after 1980 by the NAIC that is approved by rule adopted by the commissioner under IC 4-22-2 for use in determining the minimum standard of valuation for the contracts.
(iii) A modification of a table described in item (i) or (ii) that is approved by the commissioner in rules adopted under IC 4-22-2.
(B) Either of the following:
(i) Five and one-half percent (5 1/2%) interest for single premium deferred annuity and pure endowment contracts.
(ii) Four and one-half percent (4 1/2%) interest for all other individual annuity and pure endowment contracts.
(4) For annuities and pure endowments purchased before September 1, 1979, under group annuity and pure endowment contracts, excluding disability and accidental death benefits purchased under the contracts, both of the following:
(A) Either of the following:
(i) The 1971 Group Annuity Mortality Table.
(ii) A modification of the table that is approved by the commissioner in rules adopted under IC 4-22-2.
(B) Six percent (6%) interest.
(5) For annuities and pure endowments purchased after August 31, 1979, under group annuity and pure endowment contracts, excluding disability and accidental death benefits purchased under the contracts, both of the following:
(A) One (1) of the following:
(i) The 1971 Group Annuity Mortality Table.
(ii) A group annuity mortality table adopted after 1980 by the NAIC that is approved by rule adopted by the commissioner under IC 4-22-2 for use in determining the minimum standard of valuation for annuities and pure endowments.
(iii) A modification of a table described in item (i) or (ii) that is approved by the commissioner in rules adopted under IC 4-22-2.
(B) Seven and one-half percent (7 1/2%) interest.
(b) After September 1, 1973, a company may file with the commissioner a written notice of the company's election to comply with this section after a specified date before January 1, 1979, which is the operative date of this section for the company. If a company makes no election, the operative date of this section for the company is January 1, 1979.
As added by P.L.276-2013, SEC.10. Amended by P.L.124-2018, SEC.26.