Ch. 408                             MARVIN MANDEL, Governor                                  863

PROVISIONS OF THIS PARAGRAPH (A-2) AFTER A SPECIFIED DATE
BEFORE JANUARY 1, 1979, WHICH SHALL BE THE OPERATIVE DATE
OF THIS PARAGRAPH FOR SUCH INSURER, PROVIDED THAT AN
INSURER MAY ELECT A DIFFERENT OPERATIVE DATE FOR
INDIVIDUAL ANNUITY AND PURE ENDOWMENT CONTRACTS
FROM THAT ELECTED FOR GROUP ANNUITY AND PURE
ENDOWMENT CONTRACTS. IF AN INSURER MAKES NO SUCH
ELECTION, THE OPERATIVE DATE OF THIS PARAGRAPH FOR SUCH
INSURER SHALL BE JANUARY 1, 1979.

[[414.

(j) In the case of ordinary policies issued on or after the operative date of
this subsection as defined herein, all adjusted premiums and present values referred
to in this section shall be calculated on the basis of the Commissioners 1958
Standard Ordinary Mortality Table and the rate of interest [, not exceeding three
and one half percent (3 1/2%) per annum,) specified in the policy for calculating
cash surrender values and paid-up nonforfeiture benefits PROVIDED THAT
SUCH RATE OF INTEREST SHALL NOT EXCEED THREE AND
ONE-HALF PERCENT (3 1/2%) PER ANNUM EXCEPT THAT A RATE OF
INTEREST NOT EXCEEDING FOUR PERCENT (4%) PER ANNUM MAY
BE USED FOR POLICIES ISSUED ON OR AFTER THE EFFECTIVE
DATE OF THIS AMENDATORY ACT OF 1973 AND PRIOR TO
JANUARY 1, 1986, AND, provided that for any category of ordinary insurance
issued on female risks, adjusted premiums and present values may be calculated
according to an age not more than three years younger than the actual age of the
insured. Provided, however, that in calculating the present value of any paid-up
term insurance with accompanying pure endowment, if any, offered as a
nonforfeiture benefit, the rates of mortality assumed may be not more than those
shown in the Commissioners 1958 Extended Term Insurance Table. Provided,
further, that for insurance issued on a substandard basis, the calculation of any
such adjusted premiums and present values may be based on such other table of
mortality as may be specified by the insurer and approved by the Commissioner.

After June 1, 1959, any insurer may file with the Commissioner a written
notice of its election to comply with the provisions of this subsection after a
specified date before January 1, 1966. After the filing of such notice, then upon
such specified date (which shall be the operative date of this subsection for such
insurer), this subsection shall become operative with respect to the ordinary
policies thereafter issued by such insurer. If an insurer makes no such election, the
operative date of this subsection for such insurer shall be January 1, 1966.

(k) In the case of industrial policies issued on or after the operative date of
this subsection as defined herein, all adjusted premiums and present values referred
to in this section shall be calculated on the basis of the Commissioners 1961
Standard Industrial Mortality Table and the rate of interest I, not exceeding three
and one half percent (3 1/2%) per annum,] specified in the policy for calculating
cash surrender values and paid-up nonforfeiture benefits PROVIDED THAT
SUCH RATE OF INTEREST SHALL NOT EXCEED THREE AND
ONE-HALF PERCENT (3 1/2%) PER ANNUM EXCEPT THAT A RATE OF
INTEREST NOT EXCEEDING FOUR PERCENT (4%) PER ANNUM MAY
BE USED FOR POLICIES ISSUED ON OR AFTER THE EFFECTIVE
DATE OF THIS AMENDATORY ACT OF 1973 AND PRIOR TO
JANUARY 1, 1986. Provided, however, that in calculating the present value of
any paid-up term insurance with accompanying pure endowment, if any, offered as
a nonforfeiture benefit, the rates of mortality assumed may be not more than those
shown in the Commissioners 1961 Industrial Extended Term Insurance Table.
Provided, further, that for insurance issued on a substandard basis, the calculations