33-2-401. Short title

33-2-401. Short title. This part may be cited as the “Standard Valuation Act”. History: En. Sec. 10, Ch. 370, L. 2015.

33-2-402. Definitions

33-2-402. Definitions. As used in this part, the following definitions apply unless the context clearly indicates otherwise: (1) ”Accident and health insurance” means contracts that incorporate morbidity risk and provide protection against economic loss resulting from accident, sickness, or medical conditions. (2) ”Appointed actuary” means a qualified actuary who is appointed in accordance with the valuation manual to […]

33-2-403. Valuation for policies

33-2-403. Valuation for policies. (1) For policies issued on or after the operative date of the valuation manual, the standard prescribed in the valuation manual is the minimum standard of valuation required under 33-2-407, except as provided in subsection (6) or (8) of this section. (2) The operative date of the valuation manual is January 1 of […]

33-2-404. Principle-based valuation

33-2-404. Principle-based valuation. (1) A company domiciled in Montana shall establish reserves using a principle-based valuation that meets the conditions for policies or contracts in this section and as specified in the valuation manual. (2) The principle-based valuation at a minimum must: (a) quantify the benefits and guarantees as well as the funding associated with the contracts and […]

33-2-405. Experience reporting

33-2-405. Experience reporting. A company shall submit mortality, morbidity, policyholder behavior, expense experience, and other data as prescribed by the commissioner and in accordance with the valuation manual. History: En. Sec. 14, Ch. 370, L. 2015.

33-2-406. Confidentiality — definitions

33-2-406. Confidentiality — definitions. (1) Except as provided in subsection (9), a company’s confidential information is confidential information as provided in 2-6-1002 and privileged, is not subject to subpoena or discovery, and is not admissible in evidence in any private civil action. (2) The commissioner may use the confidential information to further any regulatory or legal action […]

33-2-407. Standard valuation of reserve liabilities law

33-2-407. Standard valuation of reserve liabilities law. (1) The commissioner shall annually value or cause to be valued the reserve liabilities (reserves) for all outstanding life insurance policies and annuity and pure endowment contracts of every life insurer doing business in this state issued on or before the operative date of the valuation manual. In calculating […]

33-2-408. Contracts prior to the operative date of 33-20-213 — valuation

33-2-408. Contracts prior to the operative date of 33-20-213 — valuation. (1) This section shall apply to only those policies and contracts issued prior to the operative date of 33-20-213. (2) Except as otherwise provided in 33-2-410 for group annuity and pure endowment contracts, the minimum standard of valuation on all policies of domestic life insurers issued […]

33-2-409. Contracts on or after operative date of 33-20-213 and prior to operative date of valuation manual — valuation

33-2-409. Contracts on or after operative date of 33-20-213 and prior to operative date of valuation manual — valuation. (1) This section applies to only those policies and contracts issued prior to the date of adoption of the valuation manual, which is the operative date for the valuation manual, and on or after the operative date […]

33-2-410. Individual and group annuity and pure endowment contracts — valuation

33-2-410. Individual and group annuity and pure endowment contracts — valuation. (1) Except as provided in 33-2-413, the minimum standard for the valuation of all individual annuity and pure endowment contracts issued on or after the operative date of this section, as defined herein, and for all annuities and pure endowments purchased on or after that […]

33-2-411. Commissioner’s reserve valuation method

33-2-411. Commissioner’s reserve valuation method. (1) Except as otherwise provided in 33-2-412(3) and (4), 33-2-417(2), and subsection (4) of this section, reserves according to the commissioner’s 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, must be the excess, […]

33-2-412. Limits — options — minimum reserves

33-2-412. Limits — options — minimum reserves. (1) (a) An insurer’s aggregate reserves for all life insurance policies, excluding disability and accidental death benefits issued on or after October 1, 1995, and prior to adoption of the valuation manual by the commissioner by rule may not be less than the aggregate reserves calculated in accordance with the […]

33-2-413. Interest rates — determination of minimum standard valuation

33-2-413. Interest rates — determination of minimum standard valuation. (1) For policies issued prior to the operative date of the valuation manual, the calendar year statutory valuation interest rates as established in this section must be used in determining the minimum standard for the valuation of: (a) all life insurance policies issued in a particular calendar year […]

33-2-414. Interest rate weighting factor

33-2-414. Interest rate weighting factor. (1) The weighting factors referred to in the formulas stated in 33-2-413 are as follows: (a) (i) for life insurance: Guarantee Duration in Years Weighting Factors 10 or less .50 More than 10 but not more than 20 .45 More than 20 .35 (ii) for life insurance, the guarantee duration is the maximum number […]

33-2-415. Reference interest rate

33-2-415. Reference interest rate. (1) The reference interest rate referred to in the formulas in 33-2-413 is: (a) for all life insurance, the lesser of the average over a period of 36 months and the average over a period of 12 months, ending on June 30 of the calendar year next preceding the year of issue, of […]

33-2-416. Deposit of reserves — domestic life insurers

33-2-416. Deposit of reserves — domestic life insurers. (1) Domestic life insurers shall deposit and maintain on deposit, in securities and assets, with depositaries and subject to conditions as provided for in part 6 of this chapter, an amount not less than the reserves on its outstanding life insurance policies and annuity contracts, as valued under […]

33-2-417. Reserve calculation — indeterminate premium plans — minimum standards for disability plans and accident and health plans

33-2-417. Reserve calculation — indeterminate premium plans — minimum standards for disability plans and accident and health plans. (1) In the case of a plan of life insurance that provides for future premium determination, the amounts of which are to be determined by the insurer based on then estimates of future experience, or in the case […]

33-2-418. Rulemaking

33-2-418. Rulemaking. The commissioner shall adopt rules necessary to implement the provisions of this part, including but not limited to adopting the valuation manual. History: En. Sec. 16, Ch. 370, L. 2015.