NORTH CAROLINA GENERAL ASSEMBLY

1981 SESSION

 

 

CHAPTER 834

SENATE BILL 617

 

 

AN ACT TO PROVIDE CHANGES IN THE VALUATION AND NONFORFEITURE STANDARDS OF THE BENEFIT CERTIFICATES OF FRATERNAL BENEFIT SOCIETIES AND TO DELETE THE FIVE THOUSAND DOLLAR NONMEDICAL EXAMINATION LIMITATION.

 

The General Assembly of North Carolina enacts:

 

Section 1. G.S. 58-273(d) is amended by deleting the words "when valued for death benefits upon the basis of the National Fraternal Congress Table of Mortality, as adopted by the National Fraternal Congress August 23, 1899, or any higher standard at the option of the Society, and for disability benefits by tables based upon reliable experience, and for combined death and permanent total disability benefits by tables based upon reliable experience, with interest assumption not higher than four percent (4%) per annum", substituting the words "according to mortality, morbidity, and interest standards permitted by the laws of this State for use by life insurance companies".

Sec. 2. G.S. 58-280(b) is amended by inserting immediately after the words "four percent (4%) interest" the words ", or by such mortality, morbidity, and interest standards permitted by the laws of this State for use by life insurance companies".

Sec. 3. The first sentence of G.S. 58-284 is amended by adding after the words "or some higher standard" the words "or upon such mortality, morbidity, and interest standards permitted by the laws of this State for use by life insurance companies" and by substituting a period for the semicolon following the word "society" and deleting the remainder of the sentence.

Sec. 4. G.S. 58-285(a) is amended by replacing the final period with a semicolon and by adding the following words: "provided, however, that any society may value its certificates in accordance with such mortality, morbidity, and interest standards permitted by the laws of this State for use by life insurance companies."

Sec. 5. G.S. 58-292(c) is amended by replacing the final period with a semicolon and by adding: "not withstanding the foregoing a society may value its certificates in accordance with such mortality, morbidity, and interest standards permitted by the laws of this State for use by life insurance companies."

Sec. 6. The second paragraph of G.S. 58-308 is amended by deleting the words "by a table of mortality, not lower than the American Experience Table of Mortality, with an interest assumption of not more than four percent (4%)" and by substituting the words: "by such mortality, morbidity, and interest standards permitted by the laws of this State for use by life insurance companies."

Sec. 7. G.S. 58-309 is amended by deleting the words "or upon a higher standard" and substituting the words: "upon a higher standard or upon such mortality, morbidity, and interest standards permitted by the laws of this State for use by life insurance companies."

Sec. 8. This act shall become effective October 1, 1981.

In the General Assembly read three times and ratified, this the 7th day of July, 1981.