If premiums or identifiable charges are paid monthly on outstanding balances, the monthly premiums shall be related to single premiums or identifiable charges by using the following formula:
If this method is used, approval will not be given for a period longer than the credibility period utilized in the filing.
the company shall not use prima facie rates provided above but shall file rates based upon one of the methods in paragraph (4).
No insurer shall pay or propose to pay, directly or indirectly, to any creditor as compensation for that creditor, total compensation as defined above in excess of 40% of premiums earned excepting that if provision is made for refund of unearned commissions in the event of termination of coverage, commissions may be paid in one sum at the time the single premium policy or certificate is written.
TABLE I
If C is | z | l-z |
less than $10,000 | .1414 | .8586 |
$10,000 but less than $20,000 | .2458 | .7542 |
$20,000 but less than $30,000 | .3162 | .6838 |
$30,000 but less than $40,000 | .3741 | .6259 |
$40,000 but less than $50,000 | .4243 | .5757 |
$50,000 but less than $60,000 | .4690 | .5310 |
$60,000 but less than $70,000 | .5100 | .4900 |
$70,000 but less than $80,000 | .5477 | .4523 |
$80,000 but less than $90,000 | .5831 | .4169 |
$90,000 but less than $100,000 | .6165 | .3835 |
$100,000 but less than $150,000 | .7071 | .2929 |
$150,000 but less than $200,000 | .8367 | .1633 |
$200,000 but less than $250,000 | .9487 | .0513 |
$250,000 and over | 1.0000 | .0000 |
TABLE II
Coverage | ||
Life: | Premium | k |
S.P. Reducing | .75 | .405 |
S.P. Level | 1.38 | .414 |
Outstanding Balance | 1.17 | .407 |
Accident and Health: | ||
7 day retroactive | .430 | |
all others | .500 |
TABLE III
No. of Months | Nonretroactive Benefits | Retroactive Benefits | |||
in which | 14 day | 30 day | 7 day | 14 day | 30 day |
Indebtness | Nonretroactive | Nonretroactive | |||
is repayable | Retroactive | Retroactive | Retroactive | ||
1 | $ .13 | $--- | $ .58 | $ .40 | $----- |
2 | .42 | .13 | 1.01 | .81 | .56 |
3 | .68 | .35 | 1.34 | 1.12 | .91 |
4 | .90 | .53 | 1.60 | 1.36 | 1.17 |
5 | 1.08 | .70 | 1.82 | 1.55 | 1.38 |
6 | 1.24 | .85 | 2.01 | 1.71 | 1.54 |
7 | 1.37 | .98 | 2.18 | 1.86 | 1.69 |
8 | 1.50 | 1.09 | 2.32 | 1.98 | 1.82 |
9 | 1.61 | 1.20 | 2.46 | 2.10 | 1.94 |
10 | 1.71 | 1.30 | 2.58 | 2.20 | 2.04 |
11 | 1.81 | 1.39 | 2.69 | 2.30 | 2.14 |
12 | 1.89 | 1.48 | 2.79 | 2.39 | 2.23 |
13 | 1.97 | 1.56 | 2.89 | 2.47 | 2.32 |
14 | 2.05 | 1.63 | 2.98 | 2.55 | 2.40 |
15 | 1.70 | 3.06 | 2.62 | 2.47 | 2.32 |
16 | 2.19 | 1.77 | 3.14 | 2.69 | 2.55 |
17 | 2.26 | 1.83 | 3.25 | 2.76 | 2.61 |
18 | 2.32 | 1.89 | 3.29 | 2.82 | 2.68 |
19 | 2.38 | 1.95 | 3.36 | 2.88 | 2.74 |
20 | 2.44 | 2.01 | 3.43 | 2.94 | 2.80 |
21 | 2.49 | 2.07 | 3.50 | 3.00 | 2.85 |
22 | 2.55 | 2.12 | 3.56 | 3.05 | 3.91 |
23 | 2.60 | 2.17 | 3.62 | 3.11 | 2.96 |
24 | 2.65 | 2.22 | 3.68 | 3.16 | 3.02 |
25 | 2.70 | 2.27 | 3.74 | 3.21 | 3.06 |
26 | 5.75 | 2.32 | 3.79 | 3.26 | 3.12 |
27 | 2.80 | 2.37 | 3.85 | 3.31 | 3.16 |
28 | 2.84 | 2.41 | 3.90 | 3.35 | 3.21 |
29 | 2.89 | 2.46 | 3.95 | 3.40 | 3.56 |
30 | 2.93 | 2.50 | 4.01 | 3.44 | 3.30 |
31 | 2.97 | 2.54 | 4.06 | 3.49 | 3.35 |
32 | 3.02 | 2.59 | 4.11 | 3.53 | 3.39 |
33 | 3.06 | 2.63 | 4.16 | 3.57 | 3.43 |
34 | 3.10 | 2.67 | 4.21 | 3.16 | 3.47 |
35 | 3.14 | 2.71 | 4.25 | 3.65 | 3.51 |
36 | 3.18 | 2.75 | 4.30 | 3.69 | 3.55 |
37 | 3.22 | 2.79 | 4.35 | 3.73 | 3.59 |
38 | 3.26 | 2.83 | 4.39 | 3.77 | 3.63 |
39 | 3.30 | 2.86 | 4.44 | 3.81 | 3.67 |
40 | 3.34 | 2.90 | 4.48 | 3.85 | 3.71 |
41 | 3.37 | 2.94 | 4.52 | 3.89 | 3.75 |
42 | 3.41 | 2.98 | 4.57 | 3.92 | 3.78 |
43 | 3.45 | 3.01 | 4.61 | 3.96 | 3.82 |
44 | 3.48 | 3.05 | 4.65 | 3.99 | 3.85 |
45 | 3.52 | 3.08 | 4.69 | 4.03 | 3.89 |
46 | 3.55 | 3.12 | 4.73 | 4.06 | 3.93 |
47 | 3.59 | 3.15 | 4.77 | 4.10 | 3.96 |
48 | 3.62 | 3.18 | 4.81 | 4.13 | 4.00 |
49 | 3.65 | 3.22 | 4.85 | 4.17 | 4.03 |
50 | 3.69 | 3.25 | 4.89 | 4.20 | 4.06 |
51 | 3.72 | 3.28 | 4.93 | 4.23 | 4.10 |
52 | 3.75 | 3.32 | 4.97 | 4.27 | 4.13 |
53 | 3.79 | 3.35 | 5.00 | 4.30 | 4.16 |
54 | 3.82 | 3.38 | 5.04 | 4.33 | 4.19 |
55 | 3.85 | 3.32 | 5.08 | 4.36 | 4.22 |
56 | 3.88 | 3.44 | 5.11 | 4.39 | 4.25 |
57 | 3.91 | 3.47 | 5.15 | 4.42 | 4.29 |
58 | 3.94 | 3.50 | 5.18 | 4.45 | 4.32 |
59 | 3.97 | 3.54 | 5.22 | 4.49 | 4.35 |
60 | 4.00 | 3.57 | 5.26 | 4.52 | 4.38 |
Tenn. Comp. R. & Regs. 0780-01-04-.06
Authority: T.C.A. §§ 45-5-403, 56-7-901 and 56-8-110.