712 LAWS OF MARYLAND. [CH. 561

(vi) A statement of the method to be used in calculating
the cash surrender value and the paid-up non-forfeit-
ure benefit available under the policy on any policy
anniversary with an explanation of the manner in
which the cash surrender values and the paid-up non-
forfeiture benefits are altered by the existence of any
paid-up additions credited to the policy or any indebt-
edness to the company on the policy.

Any of the foregoing provisions or portions thereof not ap-
plicable by reason of the plan of insurance may, to the extent
inapplicable, be omitted from the policy.

The company shall reserve the right to defer the payment
of any cash surrender value for a period of six months after
demand therefor with surrender of the policy.

(2) Any cash surrender value available under the policy
in the event of default in a premium payment due on any policy
anniversary, whether or not required by Sub-section (1), shall
be an amount not less than the excess, if any, of the present
value, on such anniversary, of the future guaranteed benefits
which would have been provided for by the policy, including
any existing paid-up additions, if there had been no default,
over the sum of (A) the then present value of the adjusted
premiums as defined in Sub-section (4), corresponding to pre-
miums which would have fallen due on and after such anniver-
sary, and (B) the amount of any indebtedness to the company
on the policy. Any cash surrender value available within
thirty days after any policy anniversary under any policy paid
up by completion of all premium payments or any policy con-
tinued under any paid-up non-forfeiture benefit, whether or not
required by Sub-section (1), shall be an amount not less than
the present value, on such anniversary, of the future guaranteed
benefits provided for by the policy, including any existing
paid-up additions, decreased by any indebtedness to the com-
pany on the policy.

(3) Any paid-up non-forfeiture benefit available under the
policy in the event of default in a premium payment due on
any policy anniversary shall be such that its present value as of
such anniversary shall be at least equal to the cash surrender
value then provided for by the policy or, if none is provided for,
that cash surrender value which would have been required by
this section in the absence of the condition that premiums
shall have been paid for at least a specified period.

(4) The adjusted premiums for any policy shall be cal-
culated on an annual basis and shall be such uniform percent-
age of the respective premiums specified in the policy for each
policy year that the present value, at the date of issue of the