218 CORPORATJONS. . [ART. 23

any policies which contain any promise or agreement for the purchase
of the policy at any date prior to its maturity or its termination by
death for a sum in excess of the value of the policy at such date deter-
mined according to the standard of valuation herein prescribed for such
policy, then and in every such case the value of policies containing
such promises and agreement shall be calculated in such manner and
upon such assumptions as to rate of interest and mortality, that the
value of the policy so calculated shall at no time be less than the
amount stipulated therein, to be paid upon surrender of the policy at
the date then atttained, and for the purpose of such valuation the
standard adopted by the company for the valuation of such obligation
may, if adequate, be employed; and in the determinations of the values-
of the policies, the calculations may be made either seriatim, or of poli-
cies in groups, using approximate averages for fractions of a- year, and
the net value of a policy at any time shall be taken to be the net present
value at the attained age upon the basis adopted for the valuation as-
above provided of the sum insured less the present value determined
upon, the same basis of the future net premiums payable upon the
policy; and in all certificates of valuation issued by the insurance com-
missioner or accepted by him under the provisions of sub-section third,
the basis upon which the valuation has been made shall be expressed.

Second A. The Insurance Commissioner may, in his discretion, upon
the request of any life insurance company so reporting to him, cause
the net value of all or of any number of the policies in force in such
company to be calculated upon a higher basis of reserve than that pre-
scribed above by the assumption of a lower rate of interest than that
prescribed, or the assumption of a higher rate of mortality by the sub-
stitution 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.

Third. The insurance commissioner shall accept the valuation made
by the insurance commissioners of the State, under whose authority a
life insurance company is organized, or that of the State in which it
may elect to have its policies valued, when such valuations have been
properly made on sound and recognized principles, and legal basis not
less than that prescribed above; provided, that the company shall fur-
nish to the insurance commissioner of this State a certificate from the-
insurance commissioners of such State, setting forth the value, calcu-
lated on the data designated above, of all the policies in force in the
company on the previous thirty-first day of December, and stating that
the said company is fully authorized to do business in its own State; and
every life insurance company doing business in this State during the