Ch. 408                             MARVIN MANDEL, Governor                                  861

(3) This subsection shall apply to only those policies and contracts issued on or
after the operative date of §414 (the Standard Nonforfeiture Law), EXCEPT AS
OTHERWISE PROVIDED IN PARAGRAPH (A-2) OF THIS SUBSECTION
FOR GROUP ANNUITY AND PURE ENDOWMENT CONTRACTS
ISSUED PRIOR TO SUCH OPERATIVE DATE.

[(a)](A-1) EXCEPT AS OTHERWISE PROVIDED IN PARAGRAPH
(A-2) OF THIS SUBSECTION, THE [The] minimum standard for the valuation
of all such policies and contracts shall be the commissioners reserve valuation
method defined in paragraph (b), three and one-half percent (3 1/2%) interest,
[[OR IN THE CASE OF POLICIES AND CONTRACTS, OTHER THAN
ANNUITY AND PURE ENDOWMENT CONTRACTS, ISSUED ON OR
AFTER THE EFFECTIVE DATE OF THE AMENDATORY ACT OF 1973
AND PRIOR TO JANUARY 1, 1986, FOUR PERCENT (4%) INTEREST,]]
and the following tables:

(i) For all ordinary policies of life insurance issued on the standard basis,
excluding any disability and accidental death benefits in such policies--the
Commissioners 1941 Standard Ordinary Mortality Table for such policies issued
prior to the operative date of subsection (j) of §414, and the Commissioners 1958
Standard Ordinary Mortality Table for such policies issued on or after such
operative date; provided that for any category of such policies issued on female
risks all modified net premiums and present values referred to in this subsection
may be calculated according to an age nor more than three years younger than the
actual age of the insured.

(ii) For all industrial life insurance policies issued on the standard basis,
excluding any disability and accidental death benefits in such policies--the 1941
Standard Industrial Mortality Table for such policies issued prior to the operative
date of subsection (k) of §414, and the Commissioners 1961 Standard Industrial
Mortality Table for such policies issued on or after such operative date.

(iii) For individual annuity and pure endowment contracts, excluding any
disability and accidental death benefits in such policies--the 1937 Standard Annuity
Mortality Table or, at the option of the insurer, the Annuity Mortality Table for
1949, Ultimate, or any modification of either of these tables approved by the
Commissioner.

(iv) For group annuity and pure endowment contracts, excluding any
disability and accidental death benefits in such policies-the Group Annuity
Mortality Table for 1951, any modification of such table approved by the
Commissioner, or, at the option of the insurer, any of the tables or modifications
of tables specified for individual annuity and pure endowment contracts.

(v) For total and permanent disability benefits in or supplementary to
ordinary policies or contracts--for policies or contracts issued on or after January
1, 1966, the tables of Period 2 disablement rates and the 1930 to 1950 termination
rates of the 1952 Disability Study of the Society of Actuaries, with due regard to
the type of benefit; for policies or contracts issued on or after January 1, 1961 and
prior to January 1, 1966, either such tables or, at the option of the insurer, the
Class (3) Disability Table (1926); and for policies issued prior to January 1, 1961,
the Class (3) Disability Table (1926). Any such table shall, for active lives, be
combined with a mortality table permitted for calculating the reserves for life
insurance policies.

(vi) For accidental death benefits in or supplementary to policies—for policies
issued on or after January 1, 1966, the 1959 Accidental Death Benefits Table; for
policies issued on or after January 1, 1961, and prior to January 1, 1966, either