§ 16-307. Adjusted premiums for policies calculated on annual basis to be uniform percentage of...
West's Annotated Code of MarylandInsurance
MD Code, Insurance, § 16-307
§ 16-307. Adjusted premiums for policies calculated on annual basis to be uniform percentage of premiums specified in policy
(a) This section does not apply to a policy of life insurance issued on or after the operative date of § 16-309 of this subtitle.
Adjusted premiums for policies calculated on annual basis to be uniform percentage of premiums specified in policy
(b)(1) For purposes of this section, the date of issue of a policy is the date as of which the rated age of the insured is determined.
(2) Subject to subsection (d) of this section, the adjusted premiums for a policy shall be calculated on an annual basis and shall be a uniform percentage of the premiums specified in the policy for each policy year, excluding extra premiums on a substandard policy, so that the present value of the adjusted premiums, calculated as of the date of issue, shall equal the sum of:
(c)(1) Subject to paragraph (2) of this subsection, if a policy has a variable amount of insurance over its duration, for purposes of subsection (b) of this section the equivalent uniform amount of insurance shall be based on the uniform amount of insurance provided by an otherwise similar policy that:
Adjusted premiums for policies providing term insurance benefits by rider or supplemental policy provision
(d)(1) Subject to paragraph (2) of this subsection, the adjusted premiums for a policy that provides term insurance benefits by rider or supplemental policy provision shall equal the sum of:
(2) Paragraph (1)(i) and (ii) of this subsection shall be calculated separately in accordance with subsections (b) and (c) of this section except that, for purposes of subsection (b)(2)(ii), (iii), and (iv) of this section, the amount of insurance or the equivalent uniform amount of insurance used in calculating the adjusted premiums in paragraph (1)(ii) of this subsection shall equal the corresponding amount determined for the entire policy less the amount used in calculating the adjusted premiums in paragraph (1)(i) of this subsection.
Credits
Added by Acts 1996, c. 11, § 1, eff. Oct. 1, 1997.
Formerly Art. 48A, § 414.
MD Code, Insurance, § 16-307, MD INSURANCE § 16-307
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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