(a) Tables to be used. If there are no commissioners' standard tables applicable to an insurance contract when the contract is issued, then the mortality and morbidity tables set forth in this subsection are used to compute reserves under section 807(d)(2) for the contract.
| Type of Contract | Table |
|---|---|
| 1. Group term life insurance (active life reserves) | 1960 Commissioners' Standard Group Mortality Table. |
| 2. Group life insurance (active life reserves); accidental death benefits | 1959 Accidental Death Benefits Table. |
| 3. Permanent and paid-up group life insurance (active life reserves) | Same table as are applicable to males for ordinary life insurance. |
| 4a. Group life insurance disability income benefits (active life reserves) | The tables of period 2 disablement rates and the 1930 to 1950 termination rates of the 1952 Disability Study of the Society of Actuaries. |
| 4b. Group life insurance disability income benefits (disabled life reserves) | The 1930 to 1950 termination rates of the 1952 Disability study of the Society of Actuaries. |
| 5. Group life insurance; survivor income benefits insurance | Same tables as are applicable to group annuities. |
| 6. Group life insurance; extended death benefits for disabled lives | 1970 Intercompany Group life Disability Valuation Table. |
| 7. Credit life insurance | 1958 Commissions' Extended Term Table. |
| 8. Supplementary contracts involving life contingencies | Same tables as are applicable to individual immediate annuities. |
| 9. Noncancellable accident and health insurance (active life reserves); benefits issued before 1984 | Tables used for NAIC annual statement reserves as of December 31, 1983. |
| 10a. Noncancellable accident and health insurance (active life reserves); group disability benefits issued after 1983 and individual disability benefits issued after 1983 and before 1989 | 1964 Commissioners' Disability Tables. |
| 10b. Noncancellable accident and health insurance (active life reserves); individual disability benefits issued after 1988 | 1985 Commissioners' Individual Disability Table A or Commissioners' Individual Disability Table B. |
| 11. Noncancellable accident and health insurance (active life reserves); accidental death benefits issued after 1983 | 1959 Accidental Death Benefits Tables. |
| 12. Noncancellable accident and health insurance (active life reserves); all benefits issued after 1983 other than disability and accidental death | Tables used for NAIC annual statement reserves. |
| 13a. Noncancellable accident and health insurance (claim reserves); group disability benefits for all years of issue and individual disability benefits for years before 1989 | 1964 Commissioners' Disability Tables. |
| 13b. Noncancellable accident and health insurance (claim reserves); individual disability benefits for years after 1988 | 1985 Commissioners' Individual Disability Table A or Commissioners' Individual Disability Table B. |
| 14. Noncancellable accident and health insurance (claim reserves); all benefits other than disability for all years of issue | Tables used for annual statement reserves. |
(b) Adjustments. An appropriate adjustment may be made to the tables in paragraph (a) of this section to reflect risks (such as substandard risks) incurred under the contract which are not otherwise taken into account.
(c) Special rule where more than 1 table or option applicable. If, with respect to any category of risks, there are 2 or more tables (or options under 1 or more tables) in paragraph (a) of this section, the table (and option thereunder) which generally yields the lowest reserves shall be used to compute reserves under section 807(d)(2) for the contract.
(d) Effective date. This section is effective for taxable years beginning after December 31, 1983, except that the 1985 Commissioners' Individual Disability Tables A and B shall be treated (for purposes of section 807(d)(5)(B) and for purposes of determining the issue dates of contracts for which they shall be used) as if the tables were new prevailing commissioners' standard tables adopted by the twenty-sixth State on December 26, 1989.
[T.D. 8278, 54 FR 52934, Dec. 26, 1989; 55 FR 1768, Jan. 18, 1990]
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