11T4 LAWS OF MARYLAND. [Cil. 41>2

age, together with an amount which shall be equivalent to the
accumulation of a net level premium sufficient to provide for
a pure endowment at the end of the premium payment period
equal to the difference between the value at the 'end of such
period of such a twenty-payment life preliminary term policy
and the full net level premium reserve at such time of such
a limited payment life or endowment policy. The premium pay-
ment period is the period during which premiums are concur-
rently payable. The value of all 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 determined
according to the standard of valuation herein prescribed for
such policy, shall be calculated in such manner and upon such
assumption 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 attained, and for the purpose of such
valuation the standard adopted by the company for the value
of such obligation may, if adequate, be employed.

In the determination of the values of the policies, the calcu-
lations may be made either seriatim or of the policies in groups,
using approximate averages for fractions of the year; and in
all certificates of valuations issued by the insurance commis-
sioner or accepted by him under the provisions of this section,
the basis upon which the valuation has been made shall be
expressed.

All policies of life insurance issued in this state shall con-
tain a clause specifying the basis upon which the reserve is
calculated; and every policy of life insurance issued in this
state shall have legibly inscribed at the foot of the first page a
brief description of the true nature of the policy. The legal
minimum standard for the valuation of industrial policies
issued subsequent to the thirty-first day of December, in the
year nineteen hundred and eighteen, shall be the American Ex-
perience Table of Mortality with interest at three and one-half
per centum per annum.

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 com-
pany 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