New York Codes, Rules and Regulations
Title 11 - INSURANCE
Chapter III - Policy and Certificate Provisions
Subchapter A - Life, Accident and Health Insurance
Part 44 - Individual Deferred Annuities, Market-value Adjustments Withdrawal Charges, Availability Of Cash Values
Section 44.9 - Policy provisions for contracts containing market-value adjustments
Current through Register Vol. 46, No. 39, September 25, 2024
(a) The contract cover page shall contain a prominent statement that the contract contains a market-value adjustment formula, and that the operation of the formula may result in both upward and downward adjustments in cash surrender benefits. Points in time when cash surrender benefits are available without the application of the market-value adjustment formula shall also be described on the cover page.
(b) The contract shall contain a description of the market-value adjustment formula containing:
(c) The contract's annuity payment provision shall describe how annuity benefits are affected by the market-value adjustment formula. If the amount applied to provide annuities is adjusted by a market-value adjustment formula, then such adjusted value must be treated as new funds and current annuity purchase rates must be based on new monies.
(d) The contract's death benefit provision shall describe how death benefits are affected by the market-value adjustment formula.
(e) If a loan provision is contained in the contract, this provision shall describe how contract loans and loan accounts are affected by the market-value adjustment formula, including the effect of loan repayments on the actual accumulation amount.