Texas Insurance Code
§ 1107.052 — CONTRACT WITH FLEXIBLE CONSIDERATIONS
IN § 1107.052Title 7. LIFE INSURANCE AND ANNUITIES · Part A. LIFE INSURANCE IN GENERAL · Ch. 1107. STANDARD NONFORFEITURE LAW FOR CERTAIN ANNUITIES · Art. B. COMPUTATION OF MINIMUM NONFORFEITURE AMOUNT
Statute text
View on source(a)This section applies only to an annuity contract that provides for the payment of flexible considerations.
(b)The minimum nonforfeiture amount on or before annuity payments begin is an amount equal to the accumulation of the prescribed percentages of the amount of net considerations paid to the date of computation, which are accumulated at an interest rate of three percent per year, plus any additional amount credited to the contract by the company, less the amount of:
(1)any withdrawal from or partial surrender of the contract made before the minimum nonforfeiture amount is computed, accumulated at an interest rate of three percent per year; and
(2)any indebtedness to the company on the contract, including any accrued interest due on the indebtedness.
(c)For the purposes of this section, the amount of net consideration for a contract year may not be less than $0 and is computed by subtracting from the amount of gross considerations credited to the contract during that contract year:
(1)an annual contract charge of $30; and
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Legislative history
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003. Amended by Acts 2003, 78th Leg., ch. 869, Sec. 1, eff. June 20, 2003.