HERBERT R. O'CONOR, GOVERNOR. 705

that any company may value its industrial policies on the basis
of the Standard Industrial or the Substandard Industrial Mor-
tality Table, or such other table or tables of Mortality as may
be approved by the Commissioner, according to the level net
premium method or in accordance with their terms by the
modified preliminary term method hereinabove described.

The Commissioner may, in his discretion, upon the request
of any life insurance company so reporting to him, cause the
net value of all or any number of the policies in force in such
company to be calculated upon a higher basis of reserve than
that prescribed above by the assumption of a lower rate of
interest than that prescribed, or the assumption of a higher
rate of mortality by the substitution of the Actuaries' Table
for the American Experience Table of Mortality or otherwise
as the circumstances of the case may require; provided, that
in no case shall the net value so ascertained and taken as a
basis of reserve be less than that determined by the standard
of valuation above prescribed; and in every certificate of the
valuation of policies issued by the Commissioner the basis upon
which the valuation is calculated shall be stated.

(3) This sub-section shall apply to only those policies and
contracts issued on or after the operative date of Section 130B
(the Standard Non-forfeiture Law).

(a) The minimum standard for the valuation of all such
policies and contracts shall be the Commissioners reserve valu-
ation method defined in Paragraph (b), three and one-half per
cent (3y2%) interest, and the following tables:

(i) For all Ordinary policies of life insurance issued on
the standard basis, excluding any disability and acci-
dental death benefits in such policies — the Commis-
sioners 1941 Standard Ordinary Mortality Table.

(ii) For all Industrial life insurance policies issued on the
standard basis, excluding any disability and acci-
dental death benefits in such policies—the 1941 Stand-
ard Industrial Mortality Table.

(iii) For Annuity and Pure Endowment contracts, exclud-
ing any disability and accidental death benefits' in
such policies—the 1937 Standard Annuity Mortality
Table.

(iv) For Total and Permanent Disability benefits in or sup-
plementary to Ordinary policies or contracts—Class
(3) Disability Table (1926) which, for active lives,
shall be combined with a mortality table permitted for
calculating the reserves for life insurance policies.
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