Alabama Administrative Code
Title 482 - ALABAMA DEPARTMENT OF INSURANCE
Chapter 482-1-131 - LIFE INSURANCE DISCLOSURE REGULATION
Section 482-1-131-.04 - Definitions
Current through Register Vol. 43, No. 02, November 27, 2024
For the purposes of this chapter, the following definitions shall apply:
(a) Buyer's Guide. The current Life Insurance Buyer's Guide adopted by the National Association of Insurance Commissioners (NAIC) or language approved by the commissioner.
(b) Current Scale of Nonguaranteed Elements. 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.
(c) Generic Name. A short title that is descriptive of the premium and benefit patterns of a policy or a rider.
(d) Nonguaranteed Elements. The premiums, credited interest rates (including any bonus), benefits, values, non-interest based credits, charges or elements of formulas used to determine any of these, that are subject to company discretion and are not guaranteed at issue. An element is considered non-guaranteed if any of the underlying non-guaranteed elements are used in its calculation.
(e) Policy Data. 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: illustrated annual, other periodic, and terminal dividends; premiums; death benefits; cash surrender values and endowment benefits.
(f) Policy Summary. A written statement describing the elements of the policy, including, but not limited to:
(g) Preneed Funeral Contract or Prearrangement. An agreement by or for an individual before that individual's death relating to the purchase or provision of specific funeral or cemetery merchandise or services.
Author: Commissioner of Insurance
Statutory Authority: Code of Ala. 1975, §§ 27-2-17, 27-12-1, et seq.