NAC688A.390. Policies issued on or after January 1, 2009, but before January 1, 2012.

     1. For preneed insurance issued on or after January 1, 2009, but before January 1, 2012, an insurer may elect to use the 2001 CSO Mortality Table to determine the minimum mortality standard for determining reserve liabilities and nonforfeiture values for both male and female insureds.

     2. If an insurer elects to use the 2001 CSO Mortality Table to determine the minimum standards for reserve liabilities and nonforfeiture values, the insurer shall provide to the Commissioner, as part of the actuarial opinion memorandum submitted annually in support of the insurer’s asset adequacy testing, a written notification which must include, without limitation:

     (a) A complete list of all preneed insurance policy forms for which the insurer uses the 2001 CSO Mortality Table to determine the minimum standards for reserve liabilities and nonforfeiture values;

     (b) A certification signed by the appointed actuary which states that the reserve methodology used by the insurer to determine reserves for preneed insurance for which the insurer uses the 2001 CSO Mortality Table to determine the minimum standards for reserve liabilities develops adequate reserves; and

     (c) Any other relevant information concerning the adequacy of the reserves as may be determined by the Commissioner.

     3. For the purposes of the certification required by paragraph (b) of subsection 2, policies of preneed insurance for which the insurer elects to use the 2001 CSO Mortality Table to determine the minimum standards for reserve liabilities and nonforfeiture values may not be aggregated with any other policies of insurance.

     (Added to NAC by Comm’r of Insurance by R166-08, 9-18-2008, eff. 1-1-2009)