Additional Standards for Bonus Benefits for Individual Deferred Variable Annuity Contracts
Purpose of Proposed New Rules: The purpose of this amendment is to amend the Additional Standards for Bonus Benefits for Individual Deferred Variable Annuity Contracts to apply to bonus benefits that are built into individual deferred variable annuity contracts by rider, endorsement or amendment. The bonus benefit can be an interest bonus, a premium bonus, a persistency bonus or any other amounts/percentages that are credited to the premiums paid, account value, cash value, cash surrender value or annuity/maturity value under a specified condition, other than benefits of the type described above that are provided through any pattern of non-level interest rate guarantees (interest rate guarantees that vary over time) on the general account portion of the contract that may be similar to but are not specifically referred to as bonuses or additional credits. The bonus benefit form may reference the bonus as a credit, enhancement, bonus or similar terminology.
Published Notices of Standards: Citation of Notice published on March 20, 2024