WILLIAM DONALD SCHAEFER, Governor

Ch. 5

DRAFTER'S NOTE:

Error: In Article 48A, § 242, erroneous punctuation
in subsection (a), stylistic errors in subsection (e)
and (e-l)(2) and misspelling in subsection (o)(3).

Occurred: The errors in Article 48A, § 242(a), (e),
and (o)(3) occurred in Ch. 680, Acts of 1971. The
error in Article 48A, § 242(e-l)(2) occurred in Ch.
360, Acts of 1979.

256.

(b) The deficiency may be made good in cash or in assets
eligible for the investment of the insurer's funds under
[Subtitles] SUBTITLE 6 or SUBTITLE 7 of this article; or if a
stock insurer, by reduction of the insurer's capital to an amount
not below the minimum required for the kinds of insurance
business thereafter to be transacted; or if a mutual insurer, by
amendment of its certificate of authority to cover only such kind
or kinds of insurance business thereafter for which the insurer
has sufficient surplus under this article.

DRAFTER'S NOTE:

Error: Stylistic error in Article 48A, § 256(b).

Occurred: Ch. 553, Acts of 1963.

414.

(1) Any cash surrender value and any paid-up nonforfeiture
benefit, available under the policy in the event of default in a
premium payment due at any time other than on the policy
anniversary, shall be calculated with allowance for the lapse of
time and the payment of fractional premiums beyond the last
preceding policy anniversary. All values referred to in
subsections (d), (e), (f), (g), (h), (i), (j), (k), and (k-1) of
this section may be calculated upon the assumption that any death
benefit is payable at the end of the policy year of death. The
net value of any paid-up additions, other than paid-up term
additions, shall be not less than the amounts used to provide
such additions. Notwithstanding the provisions of subsection (d)
of this section, additional benefits payable:

(7) As other policy benefits additional to life
insurance and endowment [benefits,] BENEFITS and premiums for all
such additional benefits, shall be disregarded in ascertaining
cash surrender values and nonforfeiture benefits required by this
section, and no such additional benefits, shall be required to be
included in any paid-up nonforfeiture benefits.

DRAFTER'S NOTE:

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