Statutes, codes, and regulations
Minnesota Administrative Rules
Agency 120 - Commerce Department
Chapter 2748 - 2001 COMMISSIONERS STANDARD ORDINARY MORTALITY TABLE
Part 2748.0040 - APPLICABILITY OF 2001 CSO MORTALITY TABLE TO PARTS 2747.0010 TO 2747.0060

Minn. R. agency 120, ch. 2748, pt. 2748.0040

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Current through Register Vol. 49, No. 24, December 9, 2024
Part 2748.0040 - APPLICABILITY OF 2001 CSO MORTALITY TABLE TO PARTS 2747.0010 TO 2747.0060
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.
Subp. 2.Exemptions retained.

Nothing in this part shall be construed to expand the applicability of parts 2747.0010 to 2747.0060 to include life insurance policies exempted under part 2747.0010, subpart 2.

Minn. R. agency 120, ch. 2748, pt. 2748.0040

28 SR 1039

Statutory Authority: MS s 45.023; 61A.24; 61A.25