§431:10D-408  Annual reports and notice to
policy owners.  (a)  In the case of a policy designated as one for which
illustrations will be used, the insurer shall provide each policy owner with an
annual report on the status of the policy that shall contain at least the
following information:



(1)  For universal life policies, the report shall
include the following:



(A)  The beginning and end date of the current
report period;



(B)  The policy value at the end of the
previous report period and at the end of the current report period;



(C)  The total amounts that have been credited
or debited to the policy value during the current report period, identifying
each by type (e.g., interest, mortality, expense, and riders);



(D)  The current death benefit at the end of
the current report period on each life covered by the policy;



(E)  The net cash surrender value of the policy
as of the end of the current report period; and



(F)  The amount of outstanding loans, if any,
as of the end of the current report period; and



(2)  For fixed premium policies: if assuming
guaranteed interest, mortality, and expense loads, and continued scheduled
premium payments, the policy's net cash surrender value is such that it would
not maintain insurance in force until the end of the next reporting period, a
notice to this effect shall be included in the report; or



(3)  For flexible premium policies: if, assuming
guaranteed interest, mortality, and expense loads, the policy's net cash
surrender value will not maintain insurance in force until the end of the next
reporting period unless further premium payments are made, a notice to this
effect shall be included in the report; or



(4)  For all other policies, where applicable:



(A)  Current death benefit;



(B)  Annual contract premium;



(C)  Current cash surrender value;



(D)  Current dividend;



(E)  Application of current dividend; and



(F)  Amount of outstanding loan; and



(5)  Insurers writing life insurance policies that do
not build nonforfeiture values shall only be required to provide an annual
report with respect to these policies for those years when a change has been
made to nonguaranteed policy elements by the insurer.



(b)  If the annual report does not include an
in force illustration, it shall contain the following notice displayed
prominently:



"IMPORTANT
POLICY OWNER NOTICE: You should consider requesting more detailed information
about your policy to understand how it may perform in the future.  You should
not consider replacement of your policy or make changes in your coverage
without requesting a current illustration.  You may annually request, without
charge, such an illustration by calling (insurer's phone number), writing to
(insurer's name) at (insurer's address), or contacting your agent or producer. 
If you do not receive a current illustration of your policy within thirty days
from your request, you should contact your state insurance department."



(c)  Upon the request of the policy owner, the
insurer shall furnish an in force illustration of current and future benefits
and values based on the insurer's present illustrated scale.  This illustration
shall comply with the requirements of sections 431:10D-404(a), 431:10D-404(b),
431:10D-405(a), and 431:10D-405(e).  No signature or other acknowledgment of
receipt of this illustration shall be required.



(d)  If an adverse change in nonguaranteed
elements that could affect the policy has been made by the insurer since the
last annual report, the annual report shall contain a notice of that fact and
the nature of the change shall be prominently displayed. [L 2000, c 252, pt of
§2; am L 2003, c 212, §89]