3901-3-17 New annuity mortality tables for use in determining reserve liabilities for annuities.

(A) Purpose

The purpose of this rule is to recognize new annuity mortality tables for use in determining the minimum standard of valuation for annuity and pure endowment contracts.

(B) Authority

This rule is issued pursuant to section 3901.041 and section 3903.72 of the Revised Code.

(C) Definitions

(1) The "1983 table 'A'" means the mortality table developed by the society of actuaries committee to recommend a new mortality basis for individual annuity valuation and adopted as a recognized mortality table for annuities in June 1982 by the national association of insurance commissioners (NAIC). (see appendix A).

(2) The "1983 GAM table" means the mortality table developed by the society of actuaries committee on annuities and adopted as a recognized mortality table for annuities in December 1983 by the NAIC. (see appendix B).

(3) The "1994 GAR table" means the mortality table developed by the society of actuaries group annuity valuation task force and adopted as a recognized mortality table for annuities in December 1996 by the NAIC. (See appendix C for males and appendix D for females).

(4) The "Annuity 2000 Mortality Table" means the mortality table developed by the society of actuaries committee on life insurance research and adopted as a recognized mortality table for annuities in December 1996 by the NAIC. (See appendix E).

(D) Individual annuity or pure endowment contracts

(1) Except as provided in paragraph (D)(2) of this rule, the 1983 table "A" and the annuity 2000 mortality table are recognized and approved as individual annuity mortality tables for valuation, and, at the option of the company, may be used for purposes of determining the minimum standard of valuation for any individual annuity or pure endowment contract issued on or after January 1, 1979.

(2) Except as provided in paragraph (D)(3) of this rule, the annuity 2000 mortality table shall be used for determining the minimum standard of valuation for any individual annuity or pure endowment contract issued on or after January 1, 1999.

(3) The 1983 table "A" without projection is to be used for determining the minimum standards of valuation for an individual annuity of pure endowment contract issued on or after January 1, 1999, solely when the contract is based on life contingencies and is issued to fund periodic benefits arising from:

(a) Settlements of various forms of claims pertaining to court settlements or out of court settlements from tort actions;

(b) Settlements involving similar actions such as worker's compensation claims; or

(c) Settlements of long term disability claims where a temporary or life annuity has been used in lieu of continuing disability payments.

(E) Group annuity or pure endowment contracts

(1) The 1983 GAM table, the 1983 table "A" and the 1994 GAR table are recognized and approved as group annuity mortality tables for valuation, and, at the option of the company, any one of these tables may be used for purposes of valuation for any annuity of pure endowment purchased on or after January 1, 1979 under a group annuity or pure endowment contract.

(2) The 1994 GAR table shall be used for determining the minimum standard of valuation for any annuity or pure endowment purchased on or after January 1, 1999 under a group annuity or pure endowment contract.

(F) Application of the 1994 GAR table

In using the 1994 GAR table, the mortality rate for a person age X in year (1994 + N) is calculated as follows:

qx1994 + n= qx1994(1 - AAx)n

Where the Q x1994S and the AAxS are as specified in the 1994 GAR table.

(G) If any paragraph, term or provision of this rule is adjudged invalid for any reason, such judgment shall not affect, impair or invalidate any other paragraph, term or provision of this rule, and the remaining paragraphs, terms and provisions shall be and shall continue in full force and effect.

Appendix A

1983 "A" ----- 1,000 Qx

AGEMALEFEMALEAGEMALEFEMALEAGEMALEFEMALE

5 0.3770.194 45 2.3991.122 85 90.98765.518

6 0.3500.160 46 2.6931.231 86 99.12273.493

7 0.3330.134 47 3.0091.356 87 107.57782.318

8 0.3520.134 48 3.3431.499 88 116.31692.017

9 0.3680.136 49 3.6941.657 89 125.394102.491

10 0.3820.141 50 4.0571.830 90 134.887113.605

11 0.3940.147 51 4.4312.016 91 144.873125.227

12 0.4050.155 52 4.8122.215 92 155.429137.222

13 0.4150.165 53 5.1982.426 93 166.629149.462

14 0.4250.175 54 5.5912.650 94 178.537161.834

15 0.4350.188 55 5.9942.891 95 191.214174.228

16 0.4460.201 56 6.4093.151 96 204.721186.535

17 0.4580.214 57 6.8393.432 97 219.120198.646

18 0.4720.229 58 7.2903.739 98 234.735211.102

19 0.4880.244 59 7.7824.081 99 251.889224.445

20 0.5050.260 60 8.3384.467 100 270.906239.215

21 0.5250.276 61 8.9834.908 101 292.111255.953

22 0.5460.293 62 9.7405.413 102 315.826275.201

23 0.5700.311 63 10.6305.990 103 342.377297.500

24 0.5960.330 64 11.6646.633 104 372.086323.390

25 0.6220.349 65 12.8517.336 105 405.278353.414

26 0.6500.368 66 14.1998.090 106 442.277388.111

27 0.6770.387 67 15.7178.888 107 483.406428.023

28 0.7040.405 68 17.4149.731 108 528.989473.692

29 0.7310.423 69 19.29610.653 109 579.351525.658

30 0.7590.441 70 21.37111.697 110 634.814584.462

31 0.7860.460 71 23.64712.905 111 695.704650.646

32 0.8140.479 72 26.13114.319 112 762.343724.750

33 0.8430.499 73 28.83515.980 113 835.056807.316

34 0.8760.521 74 31.79417.909 114 914.167898.885

35 0.9170.545 75 35.04620.127 115 1000.0001000.000

36 0.9680.574 76 38.63122.654

37 1.0320.607 77 42.58725.509

38 1.1140.646 78 46.95128.717

39 1.2160.691 79 51.75532.328

40 1.3410.742 80 57.02636.395

41 1.4920.801 81 62.79140.975

42 1.6730.867 82 69.08146.121

43 1.8860.942 83 75.90851.889

44 2.1291.026 84 83.23058.336

Appendix B

1983 GAM ----- 1,000 Qx

AGEMALEFEMALEAGEMALEFEMALEAGEMALEFEMALE

5 0.3420.171 45 2.1831.010 85 114.83669.918

6 0.3180.140 46 2.4711.117 86 124.17076.570

7 0.3020.118 47 2.7901.237 87 133.87083.870

8 0.2940.104 48 3.1381.366 88 144.07391.935

9 0.2920.097 49 3.5131.505 89 154.859101.354

10 0.2930.096 50 3.9091.647 90 166.307111.750

11 0.2980.104 51 4.3241.793 91 178.214123.076

12 0.3040.113 52 4.7551.949 92 190.460135.630

13 0.3100.122 53 5.2002.120 93 203.007149.577

14 0.3170.131 54 5.6602.315 94 217.904165.103

15 0.3250.140 55 6.1312.541 95 234.086182.419

16 0.3330.149 56 6.6182.803 96 248.436201.757

17 0.3430.159 57 7.1393.103 97 263.954222.044

18 0.3530.168 58 7.7193.443 98 280.803243.899

19 0.3650.179 59 8.3843.821 99 299.154268.185

20 0.3770.189 60 9.1584.241 100 319.185295.187

21 0.3920.201 61 10.0644.703 101 341.086325.225

22 0.4080.212 62 11.1335.210 102 365.052358.897

23 0.4240.225 63 12.3915.769 103 393.102395.843

24 0.4440.239 64 13.8686.386 104 427.255438.360

25 0.4640.253 65 15.5927.064 105 469.531487.816

26 0.4880.268 66 17.5797.817 106 521.945545.886

27 0.5130.284 67 19.8048.681 107 586.518614.309

28 0.5420.302 68 22.2299.702 108 665.268694.885

29 0.5720.320 69 24.81710.922 109 760.215789.474

30 0.6070.342 70 27.53012.385 110 1000.0001000.000

31 0.6450.364 71 30.35414.128

32 0.6870.388 72 33.37016.160

33 0.7340.414 73 36.68018.481

34 0.7850.443 74 40.38821.092

35 0.8600.476 75 44.59723.992

36 0.9070.502 76 49.38827.185

37 0.9660.536 77 54.75830.672

38 1.0390.573 78 60.67834.459

39 1.1280.617 79 67.12538.549

40 1.2380.665 80 74.07042.945

41 1.3700.716 81 81.48447.655

42 1.5270.775 82 89.32052.691

43 1.7150.842 83 97.52558.071

44 1.9320.919 84 106.04763.807

Appendix C

1994 GAR Table - Males

AGE1000Q x1994AAxAGE1000Qx1994AAxAGE1000Qx1994AAx

1 0.5920.020 41 1.1560.009 81 68.6150.009

2 0.4000.020 42 1.2520.010 82 75.5320.008

3 0.3320.020 43 1.3520.011 83 82.5100.008

4 0.2590.020 44 1.4580.012 84 89.6130.007

5 0.2370.020 45 1.5780.013 85 97.2400.007

6 0.2270.020 46 1.7220.014 86 105.7920.007

7 0.2170.020 47 1.8990.015 87 115.6710.006

8 0.2010.020 48 2.1020.016 88 126.9800.005

9 0.1940.020 49 2.3260.017 89 139.4520.005

10 0.1970.020 50 2.5790.018 90 152.9310.004

11 0.2080.020 51 2.8720.019 91 167.2600.004

12 0.2260.020 52 3.2130.020 92 182.2810.003

13 0.2550.020 53 3.5840.020 93 198.3920.003

14 0.2970.019 54 3.9790.020 94 215.7000.003

15 0.3450.019 55 4.4250.019 95 233.6060.002

16 0.3910.019 56 4.9490.018 96 251.5100.002

17 0.4300.019 57 5.5810.017 97 268.8150.002

18 0.4600.019 58 6.3000.016 98 285.2770.001

19 0.4840.019 59 7.0900.016 99 301.2980.001

20 0.5070.019 60 7.9760.016 100 317.2380.001

21 0.5300.018 61 8.9860.015 101 333.4610.000

22 0.5560.017 62 10.1470.015 102 350.3300.000

23 0.5890.015 63 11.4710.014 103 368.5420.000

24 0.6240.013 64 12.9400.014 104 387.8550.000

25 0.6610.010 65 14.5350.014 105 407.2240.000

26 0.6960.006 66 16.2390.013 106 425.5990.000

27 0.7270.005 67 18.0340.013 107 441.9350.000

28 0.7540.005 68 19.8590.014 108 457.5530.000

29 0.7790.005 69 21.7290.014 109 473.1500.000

30 0.8010.005 70 23.7300.015 110 486.7450.000

31 0.8210.005 71 25.9510.015 111 496.3560.000

32 0.8390.005 72 28.4810.015 112 500.0000.000

33 0.8480.005 73 31.2010.015 113 500.0000.000

34 0.8490.005 74 34.0510.015 114 500.0000.000

35 0.8510.005 75 37.2110.014 115 500.0000.000

36 0.8620.005 76 40.8580.014 116 500.0000.000

37 0.8910.005 77 45.1710.013 117 500.0000.000

38 0.9390.006 78 50.2110.012 118 500.0000.000

39 0.9990.007 79 55.8610.011 119 500.0000.000

40 1.0720.008 80 62.0270.010 120 1000.0000.000

Appendix D

1994 GAR Table - Females

AGE1000Q x1994AAxAGE1000Qx1994AAxAGE1000Qx1994AAx

1 0.5310.020 41 0.7680.015 81 43.9520.007

2 0.3460.020 42 0.8250.015 82 49.1530.007

3 0.2580.020 43 0.8770.015 83 54.8570.007

4 0.1940.020 44 0.9230.015 84 60.9790.007

5 0.1750.020 45 0.9730.016 85 67.7380.006

6 0.1630.020 46 1.0330.017 86 75.3470.005

7 0.1530.020 47 1.1120.018 87 84.0230.004

8 0.1370.020 48 1.2060.018 88 93.8200.004

9 0.1300.020 49 1.3100.018 89 104.5940.003

10 0.1310.020 50 1.4280.017 90 116.2650.003

11 0.1380.020 51 1.5680.016 91 128.7510.003

12 0.1480.020 52 1.7340.014 92 141.9730.003

13 0.1640.020 53 1.9070.012 93 155.9310.002

14 0.1890.018 54 2.0840.010 94 170.6770.002

15 0.2160.016 55 2.2940.008 95 186.2130.002

16 0.2420.015 56 2.5630.006 96 202.5380.002

17 0.2620.014 57 2.9190.005 97 219.6550.001

18 0.2730.014 58 3.3590.005 98 237.7130.001

19 0.2800.015 59 3.8630.005 99 256.7120.001

20 0.2840.016 60 4.4390.005 100 276.4270.001

21 0.2860.017 61 5.0930.005 101 296.6290.000

22 0.2890.017 62 5.8320.005 102 317.0930.000

23 0.2920.016 63 6.6770.005 103 338.5050.000

24 0.2910.015 64 7.6210.005 104 361.0160.000

25 0.2910.014 65 8.6360.005 105 383.5970.000

26 0.2940.012 66 9.6940.005 106 405.2170.000

27 0.3020.012 67 10.7640.005 107 424.8460.000

28 0.3140.012 68 11.7630.005 108 444.3680.000

29 0.3310.012 69 12.7090.005 109 464.4690.000

30 0.3510.010 70 13.7300.005 110 482.3250.000

31 0.3730.008 71 14.9530.006 111 495.1100.000

32 0.3970.008 72 16.5060.006 112 500.0000.000

33 0.4220.009 73 18.3440.007 113 500.0000.000

34 0.4490.010 74 20.3810.007 114 500.0000.000

35 0.4780.011 75 22.6860.008 115 500.0000.000

36 0.5120.012 76 25.3250.008 116 500.0000.000

37 0.5510.013 77 28.3660.007 117 500.0000.000

38 0.5980.014 78 31.7270.007 118 500.0000.000

39 0.6520.015 79 35.3620.007 119 500.0000.000

40 0.7090.015 80 39.3960.007 120 1000.0000.000

Appendix E

Annuity 2000 Mortality Table ------ 1,000 Qx

AGEMALEFEMALEAGEMALEFEMALEAGEMALEFEMALE

5 0.2910.171 45 1.7520.939 85 73.27557.913

6 0.2700.141 46 1.9741.035 86 80.07665.119

7 0.2570.118 47 2.2111.141 87 87.37073.136

8 0.2940.118 48 2.4601.261 88 95.16981.991

9 0.3250.121 49 2.7211.393 89 103.45591.577

10 0.3500.126 50 2.9941.538 90 112.208101.758

11 0.3710.133 51 3.2791.695 91 121.402112.395

12 0.3880.142 52 3.5761.864 92 131.017123.349

13 0.4020.152 53 3.8842.047 93 141.030134.486

14 0.4140.164 54 4.2032.244 94 151.422145.689

15 0.4250.177 55 4.5342.457 95 162.179156.846

16 0.4370.190 56 4.8762.689 96 173.279167.841

17 0.4490.204 57 5.2282.942 97 184.706178.563

18 0.4630.219 58 5.5933.218 98 196.946189.604

19 0.4800.234 59 5.9883.523 99 210.484201.557

20 0.4990.250 60 6.4283.863 100 225.806215.013

21 0.5190.265 61 6.9334.242 101 243.398230.565

22 0.5420.281 62 7.5204.668 102 263.745248.805

23 0.5660.298 63 8.2075.144 103 287.334270.326

24 0.5920.314 64 9.0085.671 104 314.649295.719

25 0.6160.331 65 9.9406.250 105 346.177325.576

26 0.6390.347 66 11.0166.878 106 382.403360.491

27 0.6590.362 67 12.2517.555 107 423.813401.054

28 0.6750.376 68 13.6578.287 108 470.893447.860

29 0.6870.389 69 15.2339.102 109 524.128501.498

30 0.6940.402 70 16.97910.034 110 584.004562.563

31 0.6990.414 71 18.89111.117 111 651.007631.645

32 0.7000.425 72 20.96712.386 112 725.622709.338

33 0.7010.436 73 23.20913.871 113 808.336796.233

34 0.7020.449 74 25.64415.592 114 899.633892.923

35 0.7040.463 75 28.30417.564 115 1000.0001000.000

36 0.7190.481 76 31.22019.805

37 0.7490.504 77 34.42522.328

38 0.7960.532 78 37.94825.158

39 0.8640.567 79 41.81228.341

40 0.9530.609 80 46.03731.933

41 1.0650.658 81 50.64335.985

42 1.2010.715 82 55.65140.552

43 1.3620.781 83 61.08045.690

44 1.5470.855 84 66.94851.456

R.C. 119.032 review dates: 09/02/2010 and 08/31/2015
Promulgated Under: 119.03
Statutory Authority: 3901.041 , 3903.72
Rule Amplifies: 3903.72
Prior Effective Dates: 5/1/1998, 4/13/2006