§ 38.2-3113. Variable life insurance and variable annuities; separateaccounts to be established; authority to issue; reports; special votingrights and procedures for owners.
A. Each domestic insurer that issues life insurance or annuities providingfor payments that vary directly according to investment experience shallestablish one or more separate accounts in connection with these types oflife insurance or annuities. All amounts received by the insurer that arerequired by contract to be applied to provide for variable payments shall beadded to the appropriate separate account. The assets of any such separateaccount shall not be chargeable with liabilities arising out of any otherbusiness the insurer may conduct. Any surplus or deficit that may arise inany separate account by virtue of mortality experience shall be adjusted bywithdrawals from or additions to the account so that the assets of theaccount shall always at least equal the assets required to satisfy theinsurer's obligations for the variable payments.
B. A foreign or alien insurer licensed to do business in this Commonwealthmay be licensed to deliver or issue for delivery life insurance or annuitycontracts in this Commonwealth providing for payments which vary directlyaccording to investment experience only if authorized to issue such lifeinsurance or annuity contracts under the laws of its domicile.
C. No domestic, foreign, or alien insurer shall be licensed to deliver orissue for delivery variable life insurance or variable annuity contracts inthis Commonwealth, until the insurer has satisfied the Commission that itscondition and methods of operation in connection with the issuance ofvariable life insurance or variable annuity contracts will not render itsoperation hazardous to the public or to its policyholders in thisCommonwealth. In determining the qualification of an insurer to deliver orissue for delivery such variable life insurance or variable annuity contractsin this Commonwealth, the Commission shall consider, but shall not be limitedto considering, the following: (i) the history and financial condition of theinsurer; (ii) the character, responsibility, and general fitness of theofficers and directors of the insurer; and, (iii) in the case of a foreign oralien insurer, whether the regulation provided by the laws of its domicileprovides a degree of protection to policyholders and the public substantiallyequal to that provided by this section and any rules and regulations issuedby the Commission.
D. Each insurer that delivers or issues for delivery variable life insuranceor variable annuity contracts in this Commonwealth shall file with theCommission, in addition to the annual statement required by § 38.2-1300, anyother periodic or special reports the Commission prescribes.
E. The provisions of this section shall not apply to any contracts orpolicies which do not provide for payments which vary directly according toinvestment experience.
F. Any domestic life insurer that establishes one or more separate accountspursuant to this section may amend its charter to provide for special votingrights and procedures for the owners of variable life insurance or variableannuity contracts relating to investment policy, investment advisory servicesand selection of certified public accountants, in relation to theadministration of the assets in any such separate account. This subsectionshall not in any way affect existing laws pertaining to the voting rights ofthe insurer's policyholders.
(1966, c. 289, § 38.1-443; 1976, c. 562; 1986, c. 562.)
§ 38.2-3113. Variable life insurance and variable annuities; separateaccounts to be established; authority to issue; reports; special votingrights and procedures for owners.
A. Each domestic insurer that issues life insurance or annuities providingfor payments that vary directly according to investment experience shallestablish one or more separate accounts in connection with these types oflife insurance or annuities. All amounts received by the insurer that arerequired by contract to be applied to provide for variable payments shall beadded to the appropriate separate account. The assets of any such separateaccount shall not be chargeable with liabilities arising out of any otherbusiness the insurer may conduct. Any surplus or deficit that may arise inany separate account by virtue of mortality experience shall be adjusted bywithdrawals from or additions to the account so that the assets of theaccount shall always at least equal the assets required to satisfy theinsurer's obligations for the variable payments.
B. A foreign or alien insurer licensed to do business in this Commonwealthmay be licensed to deliver or issue for delivery life insurance or annuitycontracts in this Commonwealth providing for payments which vary directlyaccording to investment experience only if authorized to issue such lifeinsurance or annuity contracts under the laws of its domicile.
C. No domestic, foreign, or alien insurer shall be licensed to deliver orissue for delivery variable life insurance or variable annuity contracts inthis Commonwealth, until the insurer has satisfied the Commission that itscondition and methods of operation in connection with the issuance ofvariable life insurance or variable annuity contracts will not render itsoperation hazardous to the public or to its policyholders in thisCommonwealth. In determining the qualification of an insurer to deliver orissue for delivery such variable life insurance or variable annuity contractsin this Commonwealth, the Commission shall consider, but shall not be limitedto considering, the following: (i) the history and financial condition of theinsurer; (ii) the character, responsibility, and general fitness of theofficers and directors of the insurer; and, (iii) in the case of a foreign oralien insurer, whether the regulation provided by the laws of its domicileprovides a degree of protection to policyholders and the public substantiallyequal to that provided by this section and any rules and regulations issuedby the Commission.
D. Each insurer that delivers or issues for delivery variable life insuranceor variable annuity contracts in this Commonwealth shall file with theCommission, in addition to the annual statement required by § 38.2-1300, anyother periodic or special reports the Commission prescribes.
E. The provisions of this section shall not apply to any contracts orpolicies which do not provide for payments which vary directly according toinvestment experience.
F. Any domestic life insurer that establishes one or more separate accountspursuant to this section may amend its charter to provide for special votingrights and procedures for the owners of variable life insurance or variableannuity contracts relating to investment policy, investment advisory servicesand selection of certified public accountants, in relation to theadministration of the assets in any such separate account. This subsectionshall not in any way affect existing laws pertaining to the voting rights ofthe insurer's policyholders.
(1966, c. 289, § 38.1-443; 1976, c. 562; 1986, c. 562.)
§ 38.2-3113. Variable life insurance and variable annuities; separateaccounts to be established; authority to issue; reports; special votingrights and procedures for owners.
A. Each domestic insurer that issues life insurance or annuities providingfor payments that vary directly according to investment experience shallestablish one or more separate accounts in connection with these types oflife insurance or annuities. All amounts received by the insurer that arerequired by contract to be applied to provide for variable payments shall beadded to the appropriate separate account. The assets of any such separateaccount shall not be chargeable with liabilities arising out of any otherbusiness the insurer may conduct. Any surplus or deficit that may arise inany separate account by virtue of mortality experience shall be adjusted bywithdrawals from or additions to the account so that the assets of theaccount shall always at least equal the assets required to satisfy theinsurer's obligations for the variable payments.
B. A foreign or alien insurer licensed to do business in this Commonwealthmay be licensed to deliver or issue for delivery life insurance or annuitycontracts in this Commonwealth providing for payments which vary directlyaccording to investment experience only if authorized to issue such lifeinsurance or annuity contracts under the laws of its domicile.
C. No domestic, foreign, or alien insurer shall be licensed to deliver orissue for delivery variable life insurance or variable annuity contracts inthis Commonwealth, until the insurer has satisfied the Commission that itscondition and methods of operation in connection with the issuance ofvariable life insurance or variable annuity contracts will not render itsoperation hazardous to the public or to its policyholders in thisCommonwealth. In determining the qualification of an insurer to deliver orissue for delivery such variable life insurance or variable annuity contractsin this Commonwealth, the Commission shall consider, but shall not be limitedto considering, the following: (i) the history and financial condition of theinsurer; (ii) the character, responsibility, and general fitness of theofficers and directors of the insurer; and, (iii) in the case of a foreign oralien insurer, whether the regulation provided by the laws of its domicileprovides a degree of protection to policyholders and the public substantiallyequal to that provided by this section and any rules and regulations issuedby the Commission.
D. Each insurer that delivers or issues for delivery variable life insuranceor variable annuity contracts in this Commonwealth shall file with theCommission, in addition to the annual statement required by § 38.2-1300, anyother periodic or special reports the Commission prescribes.
E. The provisions of this section shall not apply to any contracts orpolicies which do not provide for payments which vary directly according toinvestment experience.
F. Any domestic life insurer that establishes one or more separate accountspursuant to this section may amend its charter to provide for special votingrights and procedures for the owners of variable life insurance or variableannuity contracts relating to investment policy, investment advisory servicesand selection of certified public accountants, in relation to theadministration of the assets in any such separate account. This subsectionshall not in any way affect existing laws pertaining to the voting rights ofthe insurer's policyholders.
(1966, c. 289, § 38.1-443; 1976, c. 562; 1986, c. 562.)
