§ 10-7-301. Short Title

This part 3 shall be known and may be cited as the “Standard Nonforfeiture and Valuation Act”. Source: L. 61: p. 460, § 1. CRS 53: § 72-20-1. C.R.S. 1963: § 72-19-1.

§ 10-7-301.5. Definitions

As used in this part 3, unless the context otherwise requires: “Accident and health insurance” means contracts that incorporate morbidity risk and provide protection against economic loss resulting from accident, sickness, or medical conditions and as may be specified in the valuation manual. “Appointed actuary” means a qualified actuary who is appointed in accordance with […]

§ 10-7-302. Compulsory Policy Provisions

On and after the operative date of this part 3, no policy of life insurance, except as stated in section 10-7-307, shall be delivered or issued for delivery in this state by any foreign or domestic life insurance company unless it contains in substance the following provisions or corresponding provisions which, upon findings of fact […]

§ 10-7-303. Computation of Cash Surrender Value

Except as provided in paragraphs (b) and (c) of this subsection (1), any cash surrender value available under the policy in the event of default in a premium payment due on any policy anniversary, whether or not required by section 10-7-302, shall be an amount not less than the excess, if any, of the present […]

§ 10-7-304. Computation of Nonforfeiture Benefit

Any paid-up nonforfeiture benefit available under the policy in the event of default in a premium payment due on any policy anniversary shall be such that its present value as of such anniversary shall be at least equal to the cash surrender value then provided for by the policy or, if none is provided for, […]

§ 10-7-305. Adjusted Premiums

This section shall not apply to policies issued on or after the operative date of section 10-7-305.1. Except as provided in subsection (3) of this section, the adjusted premiums for any policy shall be calculated on an annual basis and shall be such uniform percentage of the respective premiums specified in the policy for each […]

§ 10-7-305.1. Adjusted Premiums for New Policies

This section shall apply to all policies issued on or after the operative date of this section. Except as provided in subsection (7) of this section, the adjusted premiums for any policy shall be calculated on an annual basis and shall be such uniform percentage of the respective premiums specified in the policy for each […]

§ 10-7-305.2. Future Premium Determination – Standards

In the case of any plan of life insurance which provides for future premium determination, the amounts of which are to be determined by the insurance company based on the then present estimates of future experience, or in the case of any plan of life insurance which is of such a nature that minimum values […]

§ 10-7-306. Calculation of Values – Supplemental Rules

Any cash surrender value and any paid-up nonforfeiture benefit, available under the policy in the event of default in a premium payment due at any time other than on the policy anniversary, shall be calculated with allowance for the lapse of time and the payment of fractional premiums beyond the last preceding policy anniversary. All […]

§ 10-7-306.1. Calculation of Values – New Policies

This section, in addition to all other applicable sections of this part 3, shall apply to all policies issued on or after January 1, 1985. Any cash surrender value available under a policy in the event of default in a premium payment due on any policy anniversary shall be in an amount which does not […]

§ 10-7-307. Exemptions

Sections 10-7-302 to 10-7-306.1 shall not apply to any of the following: Reinsurance; Group insurance; A pure endowment; An annuity or reversionary annuity contract; Any term policy of uniform amount, which provides no guaranteed nonforfeiture or endowment benefits, or renewal thereof, of twenty years or less expiring before age seventy-one, for which uniform premiums are […]

§ 10-7-308. Waiver Prohibited

No agreement between the company and the policyholder or applicant for insurance contrary to the provisions of sections 10-7-301 to 10-7-307, or contrary to the provisions of section 10-3-205, shall be held to waive any of such provisions. Source: L. 61: p. 465, § 8. CRS 53: § 72-20-8. C.R.S. 1963: § 72-19-8.

§ 10-7-309. Minimum Standard of Valuation – Rules

Except as otherwise provided in subsection (2) of this section and in section 10-7-309.5, the minimum standard for the valuation of all policies issued by any domestic or foreign life insurance company, on or after the operative date provided in paragraph (b) of subsection (2) of this section, must be the commissioners reserve valuation methods […]

§ 10-7-309.5. Minimum Standards of Valuation for New Policies – Definition

The calendar year statutory valuation interest rates, as defined in this section, must be the interest rates used in determining the minimum standard for the valuation of: Life insurance policies issued in a particular calendar year, on or after the operative date of section 10-7-305.1; Individual annuity and pure endowment contracts issued in a particular […]

§ 10-7-310. Life and Endowment Reserves

Except as otherwise provided in sections 10-7-310.5 and 10-7-313, reserves, according to the commissioners reserve valuation method for the life insurance and endowment benefits of policies providing for a uniform amount of insurance and requiring the payment of uniform premiums, shall be the excess, if any, of the present value, at the date of valuation, […]

§ 10-7-310.5. Individual Annuity and Pure Endowment Reserves

This section applies to all annuity and pure endowment contracts other than group annuity and pure endowment contracts purchased under a retirement plan or plan of deferred compensation, established or maintained by an employer (including a partnership or sole proprietorship) or by an employee organization, or by both, other than a plan providing individual retirement […]

§ 10-7-311. Minimum Aggregate Reserves

In no event shall a company’s aggregate reserves for all life insurance policies, excluding disability and accidental death benefits, issued on or after July 1, 1992, be less than the aggregate reserves calculated in accordance with the methods set forth in sections 10-7-310, 10-7-310.5, 10-7-313, and 10-7-313.1 and the mortality table or tables and rate […]

§ 10-7-312. Optional Standards

Reserves for any category of policies or benefits as established by the commissioner may be calculated, at the option of the company, according to any standards that produce greater aggregate reserves for the category than those calculated according to the minimum standard provided in this part 3, but the rate or rates of interest used […]

§ 10-7-313. Minimum Reserves

If in any contract year the gross premium charged by a company on any policy is less than the valuation net premium for the policy calculated by the method used in calculating the reserve on the policy but using the minimum standards of mortality and rate of interest, the minimum reserve required for the policy […]

§ 10-7-313.1. Minimum Reserves – Exceptions

In the case of any plan of life insurance that provides for future premium determination, the amounts of which are to be determined by the insurance company based on then-present estimates of future experience, or in the case of any plan of life insurance or annuity that is of such a nature that the minimum […]