- (1) "Buyer's guide" means a document that contains, and is limited to, the language contained in the "Life Insurance Buyer's Guide," as adopted and periodically amended by the National Association of Insurance Commissioners.
- (2) "Current scale of nonguaranteed elements" means a formula or other mechanism that produces values for an illustration as if there is no change in the basis of those values after the time of illustration.
- (3) "Generic name" means a short title descriptive of the policy being illustrated such as "whole life," "term life," or "flexible premium adjustable life."
(4)(a) "Nonguaranteed element" means a premium, benefit, value, credit, or charge under a life insurance policy that is not guaranteed or not determined at issue.
- (b) An element is considered nonguaranteed if any underlying nonguaranteed element is used in its calculation.
(5) "Policy data" means a display or schedule of numerical values, both guaranteed and nonguaranteed, for each policy year or a series of designated policy years of the following information:
- (a) illustrated annual, other periodic, and terminal dividends;
- (b) premiums;
- (c) death benefits;
- (d) cash surrender values; and
- (e) endowment benefits.
- (6) "Policy summary" means a written statement describing only the guaranteed elements of the policy.
- (7) "Preneed funeral contract" and "prearrangement" each mean an agreement by or for an individual before that individual's death relating to the purchase or provisions of specific funeral or cemetery merchandise or services.
Terms used in this rule are defined in Section 31A-1-301 and Rule R590-177. Additional terms are defined as follows:
KEY: insurance law
Date of Last Change: November 7, 2024
Notice of Continuation: August 9, 2024
Authorizing, and Implemented or Interpreted Law: 31A-2-201