Interest-Indexed Annuity Contracts Model Regulation

What this document is

Interest-Indexed Annuity Contracts Model Regulation is a naic model law published by National Association of Insurance Commissioners (NAIC). It is one of the documents that insurance license exam questions are written from, including life & health practice questions. This page summarizes it and points to the official version, which is the text to rely on.

Sections cited in practice questions

Each practice answer shows the exact passage it comes from. These are sections of this document that questions cite, with a short excerpt from the source text.

• NAIC Model NAIC 235: Section 3A(2) (Substitute Crediting Method)

  “A provision for a substitute method of crediting interest if the index is discontinued; a substitute must be approved by the insurance department;”

• NAIC Interest-Indexed Annuity Contracts Model Regulation, Section 1 (Definitions)

  ““Interest-indexed annuity contract” means an annuity contract where the interest credits are linked to an external reference.”

• NAIC Interest-Indexed Annuity Contracts Model Regulation, Section 3 (Initial Filing Requirements, introductory paragraph)

  “The following information shall be submitted in connection with any filing of interest-indexed annuity contracts. All such information received shall be treated confidentially to the extent permitted by law.”

• NAIC Interest-Indexed Annuity Contracts Model Regulation, Section 3C (Initial Filing Requirements, index period shorter than maturity)

  “If contracts are to be linked to an index for some specified period less than the time to the maturity date of the contract, the date of expiration of the period and any minimum guaranteed rates that apply thereafter;”

• NAIC Interest-Indexed Annuity Contracts Model Regulation, Section 3D (Initial Filing Requirements, interest guarantee and shortfall risk)

  “A description of any interest guarantee in addition to or in lieu of the index and a description of how the insurer plans to address the risk that the indexed interest rate may fall below the minimum guarantee.”

• NAIC Interest-Indexed Annuity Contracts Model Regulation § 4C (annual Statement of Actuarial Opinion)

  “Annually, an insurer shall submit a Statement of Actuarial Opinion by the insurer’s actuary that the assets under interest-indexed annuity products are sufficient to cover the contractual obligations under the contracts. If the insurer is unable to issue such an opinion, additional assets shall be...”

• NAIC Interest-Indexed Annuity Contracts Model Regulation § 4A (Additional Filing Requirements, material change)

  “Prior to implementation, a domestic insurer shall submit a description of any material change in investment policy or method of determining the interest credits. A change is considered to be material if it would affect the form or definition of the index or if it would significantly change the...”

• Interest-Indexed Annuity Contracts Model Regulation, Section 5B (Valuation Requirements)

  “B. In developing life insurance reserves for interest-indexed annuity contracts, the insurer shall be in compliance with the minimum requirements of the standard valuation law of this state. If the insurer does not issue an opinion as required in Section 4C of this regulation, the minimum reserves...”

Practice this material

Questions about this source

More NAIC model laws sources

• Health Carrier Prescription Drug Benefit Management Model ActNAIC model law
• INDIVIDUAL MARKET HEALTH INSURANCE COVERAGE MODEL REGULATIONNAIC model law
• INDIVIDUAL MARKET HEALTH INSURANCE COVERAGE MODEL ACTNAIC model law
• Advertisements of Accident and Sickness Insurance Model RegulationNAIC model law
• Health Information Privacy Model ActNAIC model law
• Health Benefit Plan Network Access and Adequacy Model ActNAIC model law
• Health Carrier External Review Model ActNAIC model law
• MODEL HEALTH PLAN FOR UNINSURABLE INDIVIDUALS ACTNAIC model law