Every variable life insurance policy filed for approval in this state shall contain at least the following:

1. (1) The cover page or pages corresponding to the cover page of each such policy shall contain:

   1. (A) A prominent statement in either contrasting color or in boldface type that the amount or duration of death benefit may be variable or fixed under specified conditions;
   2. (B) A prominent statement in either contrasting color or in boldface type that cash values may increase or decrease in accordance with the experience of the separate account subject to any specified minimum guarantees;
   3. (C) A statement describing any minimum death benefit required pursuant to 23 CAR § 93-303(2);
   4. (D) The method, or a reference to the policy provision that describes the method, for determining the amount of insurance payable to death;

   5. (E)

      1. (i) To the extent permitted by state law, a captioned provision that the policyholder may return the variable life insurance policy within ten (10) days of receipt of the policy by the policyholder and receive a refund equal to the sum of:

         1. (a) (a) The difference between the premiums paid, including any policy fees or other charges, and the amounts allocated to any separate accounts under the policy; and
         2. (b) (b) The value of the amounts allocated to any separate accounts under the policy on the date the return policy is received by the insurer or its agent.
      2. (ii) Until such time as state law authorizes the return of payments as calculated in subdivision (1)(E)(i)(b) of this section, the amount of the refund shall be the total of all premium payments for such policy; and
   6. (F) Such other items as are currently required for fixed benefit life insurance policies and that are not inconsistent with this part;

2. (2)

   1. (A) For scheduled premium policies, a provision for a grace period of not less than thirty-one (31) days from the premium date, which shall provide that when the premium is paid within the grace period, policy values will be the same, except for the deduction of any overdue premium, as if the premium were paid on or before the due date.

   2. (B)

      1. (i) For flexible premium policies, a provision for a grace period beginning on the policy processing day when the total charges authorized by the policy that are necessary to keep the policy in force until the next policy processing day exceed the amounts available under the policy to pay such charges in accordance with the terms of the policy.
      2. (ii) Such grace period shall end on date not less than sixty-one (61) days after the mailing date of the report to policyholders required by 23 CAR § 93-701(3).

   3. (C)

      1. (i) The death benefits payable during the grace period will equal the death benefit in effect immediately prior to such period less any overdue charges.
      2. (ii) If the policy processing days occur monthly, the insurer may require the payment of not more than three (3) times the charges that were due on the policy processing day on which the amounts available under the policy were insufficient to pay all charges authorized by the policy that are necessary to keep such policy in force until the next policy processing day;
3. (3) For scheduled premium policies, a provision that the policy will be reinstated at any time within two (2) years from the date of default upon the written application of the insured and evidence of insurability, including good health, satisfactory to the insurer, unless the cash surrender value has been paid or the period of extended insurance has expired, upon the payment of any outstanding indebtedness arising subsequent to the end of the grace period following the date of default together with accrued interest thereon to the date of reinstatement and payment of an amount not exceeding that permitted by Arkansas law;
4. (4) A full description of the benefit base and of the method of calculation and application of any factors used to adjust variable benefits under that policy;

5. (5) A provision designating the separate account to be used and stating that:

   1. (A) The assets of such separate account shall be available to cover the liabilities of the general account of the insurer only to the extent that the assets of the separate account exceed the liabilities of the separate account arising under the variable life insurance policies supported by the separate account; and
   2. (B) The assets of such separate account shall be valued at least as often as any policy benefits vary but at least monthly;
6. (6) A provision specifying what documents constitute the entire insurance contract under state law;
7. (7) A designation of the officers who are empowered to make an agreement or representation on behalf of the insurer and an indication that statements by the insured, or on his or her behalf, shall be considered as representations and not warranties;
8. (8) An identification of the owner of the insurance contract;
9. (9) A provision setting forth conditions or requirements as to the designation or change of designation of a beneficiary and a provision for disbursement of benefits in the absence of a beneficiary designation;
10. (10) A statement of any conditions or requirements concerning the assignment of the policy;
11. (11) A description of any adjustments in policy values to be made in the event of misstatement of age or sex of the insured;

12. (12)

    1. (A) A provision that the policy shall be incontestable by the insurer after it has been in force for two (2) years during the lifetime of the insured.
    2. (B) Provided, however, that any increase in the amount of the policy's death benefits subsequent to the policy issued date, which increase occurred upon a new application or request of the owner and was subject to satisfactory proof of the insured's insurability, shall be incontestable after any such increase has been in force, during the lifetime of the insured, for two (2) years from the date of issue of such increase;

13. (13) A provision stating that the:

    1. (A) Investment policy of the separate account shall not be changed without the approval of the insurance commissioner of the state of domicile of the insurer; and
    2. (B) Approval process is on file with the Insurance Commissioner of this state;

14. (14) A provision that payment of variable death benefits in excess of any minimum death benefits, cash values, policy loans, or partial withdrawals (except when used to pay premiums) or partial surrenders may be deferred:

    1. (A) For up to six (6) months from the date of request if such payments are based on policy values that do not depend on the investment performance of the separate account; or
    2. (B) Otherwise, for any period during which the New York Stock Exchange is closed for trading (except for normal holiday closing) or the United States Securities and Exchange Commission has determined that a state of emergency exists, which may make such payment impractical;
15. (15) If settlement options are provided, at least one (1) such option shall be provided on a fixed basis only;
16. (16) A description of the basis for computing the cash value and the surrender value under the policy shall be included;
17. (17) Any other policy provision required by this part;
18. (18) Such other items as are currently required for fixed benefit insurance policies and are not inconsistent with this part; and

19. (19)

    1. (A) A provision for nonforfeiture insurance benefits.
    2. (B) The insurer may establish a reasonable minimum cash value below which any nonforfeiture insurance options will not be available.