Michigan Compiled Laws
218-1956-7 - Chapter 7 Reserve Standards for Disability Insurance (500.701...500.737)
Section 500.733 - Maximum Interest Rates.

Sec. 733.
(1) The maximum interest rate for contract reserves is the calendar year statutory valuation interest rate for life insurance specified in section 836 as of the date of issuance of the health insurance policy or certificate.
(2) The maximum interest rate for claim reserves on policies requiring contract reserves is the calendar year statutory valuation interest rate for life insurance specified in section 836 as of the date the claim is incurred.
(3) The maximum interest rate for claim reserves on policies not requiring contract reserves is the calendar year statutory valuation interest rate for single premium immediate annuities specified in section 836 as of the date the claim is incurred, reduced by 100 basis points.
History: Add. 1994, Act 148, Imd. Eff. June 7, 1994 Popular Name: Act 218

<< Previous
Next >>

Structure Michigan Compiled Laws

Michigan Compiled Laws

Chapter 500 - Insurance Code of 1956

Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302)

218-1956-7 - Chapter 7 Reserve Standards for Disability Insurance (500.701...500.737)

Section 500.701 - Definitions.

Section 500.702 - Health Insurance Reserves; Determination of Adequacy; Basis.

Section 500.703 - Claim Reserves and Claim Expense Reserves Required; Conditions; Testing for Adequacy and Reasonableness.

Section 500.705 - Disability Income Claim Reserves; Maximum Interest Rate; Morbidity Standards Specified in Rules; Exception; Group Disability Income Claim Reserves; Duration From Date of Disablement 2 Years or More but Less Than 5 Years; Basis; Requ...

Section 500.707 - Health Insurance Benefits Other Than Disability Income; Claim Reserves Maximum Interest Rate; Basis of Claim Reserve.

Section 500.709 - Estimation of Claim Liabilities; Methods.

Section 500.711 - Unearned Premium Reserves; Treatment of Premiums Due and Unpaid; Discount of Certain Gross Premiums Paid in Advance.

Section 500.713 - Minimum Unearned Premium Reserve; Basis; Sum of Unearned Premium and Contract Reserves; Limitation.

Section 500.715 - Premium Reserves; Computation.

Section 500.717 - Contract Reserves; Required for Certain Policies and Certificates; Exception; Addition to Claim and Premium Reserves; Methods and Procedures; Date of Incurral Defined.

Section 500.719 - Morbidity Standards; Rules; Structure of Valuation Net Premiums; Valuation of Health Insurance Policies and Certificates for Which Tabular Morbidity Standards Not Specified; Maximum Interest Rate for Contract Reserves; Termination R...

Section 500.721 - Application of Alternative Method or Basis to Contract Reserve; Assumptions; Methods to Determine Sound Value of Liabilities.

Section 500.723 - Tabular Reserves; Annual Review; Increments; Restriction of Future Gross Premiums; Establishment of Contract Reserves for Insufficiency in Aggregate.

Section 500.725 - Reinsurance; Determination of Increases To, or Credit Against, Reserves.

Section 500.729 - Individual Insurance Policies; Minimum Morbidity Standards for Disability Income Benefits; Basis of Contract Reserve Standards for Certain Hospital, Surgical, and Maternity Benefits; Basis of Contract Reserve Standards for Certain C...

Section 500.731 - Disability Benefits for Group Health Insurance Certificates; Minimum Morbidity Standards.

Section 500.733 - Maximum Interest Rates.

Section 500.735 - Mortality Basis; Use of Other Mortality Tables; Request for Approval.

Section 500.737 - Rules.