Dynamic Valuation and NonForfeiture Interest Rate Calculations

[Pages:1]Dynamic Valuation and NonForfeiture Interest Rate Calculations

Report through:

Date Prepared:

Oct-21

11/15/21

Current Year Averages Ending: June 2022

12 Month:

3.01%

36 Month:

3.10%

Prior Year Averages Ending: June 2021

12 Month:

2.96%

36 Month:

3.54%

The rates displayed on this sheet may not apply to contracts that are subject to a principle-based valuation.

LIFE INSURANCE CALCULATIONS

Projected 2023 Interest Rates

Val. Break Pt. Rate***

2022 Actual Interest Rates

Duration

Val*

NFF**

Lower

Higher

Duration

Val

10 or Less 10+ - 20 More than 20

3.25

4.00

2.66

8.22

3.25

4.00

2.61

8.81

3.00

3.75

1.41

7.41

10 or Less

3.25

10+ - 20

3.25

More than 20

3.00

*Minimum change from previous year's rate is 50 basis points. **Function of Valuation Rate.

***These Columns reflect the average actual rate over the next 8 Months required to cause a 50 basis points change from the 2022 Actual Rate.

NFF** 4.00 4.00 3.75

ANNUITY CALCULATIONS

SINGLE PREMIUM IMMEDIATE ANNUITY

2021 Actual Valuation Interest Rate: 3.00%

Projected 2022 Valuation Interest Rate:

3.00%

Low Break Point:

2.79

High Break Point:

3.27

Duration 5 or Less 5+ - 10 10+ - 20 More than 20

5 or Less 5+ - 10 10+ - 20 More than 20

5 or Less 5+ - 10 10+ - 20 More than 20

SINGLE PREMIUM or ANNUAL PREMIUM DEFERRED ANNUITY : Issue Year Basis

Issue Year Basis: 2022 Projected

Cash

Future

Type A Break Pt.

A

B

C

Settlement Int. Guar.

Lower

Higher

3.00

3.00

3.00

2.79

3.27

3.00

3.00

3.00

Yes

Yes

2.78

3.28

3.00

3.00

3.00

2.73

3.45

3.00

3.00

3.00

2.61

3.81

3.00

3.00

3.00

2.81

3.25

3.00

3.00

3.00

Yes

No

2.79

3.27

3.00

3.00

3.00

2.76

3.36

3.00

3.00

3.00

2.66

3.72

3.00

2.79

3.27

3.00

N/A

N/A

No

Yes/No

2.78

3.28

3.00

2.73

3.33

3.00

2.61

3.45

Type C Break Pt.

Lower

Higher

2.66

3.42

2.66

3.42

2.61

3.81

2.49

4.17

2.69

3.37

2.69

3.37

2.66

3.72

2.55

3.99

N/A

N/A

Duration 5 or Less 5+ - 10 10+ - 20 More than 20

5 or Less 5+ - 10 10+ - 20 More than 20

SINGLE PREMIUM or ANNUAL PREMIUM DEFERRED ANNUITY : Change in Fund Basis

Change in Fund Basis: 2022 Projected

Cash

Future

Type A Break Pt.

A

B

C

Settlement Int. Guar.

Lower

Higher

3.00

3.00

3.00

2.82

3.24

3.00

3.00

3.00

Yes

Yes

2.82

3.24

3.00

3.00

3.00

2.79

3.27

3.00

3.00

3.00

2.72

3.34

3.00

3.00

3.00

2.84

3.22

3.00

3.00

3.00

Yes

No

2.82

3.24

3.00

3.00

3.00

2.81

3.25

3.00

3.00

3.00

2.73

3.33

Type C Break Pt.

Lower

Higher

2.69

3.37

2.69

3.37

2.66

3.42

2.55

3.51

2.72

3.34

2.72

3.34

2.69

3.37

2.61

3.45

INDIVIDUAL DEFERRED ANNUITY MINIMUM NONFORFEITURE VALUES

Five-Year Constant Maturity Treasury Rates (Based on averages of the published Monthly rates.)

12 Month Average Ending Sep 2021: 0.66%

For the Indicated Periods Ending Oct 2021: 12 Month - 0.72% 3 Month - 0.92% 1 Month - 1.11%

If one of the above rates is your basis, then the Minimum Nonforfeiture Interest Rate would be:

12 Month Average Ending Sep 2021: 1.00%

For the Indicated Periods Ending Oct 2021: 12 Month - 1.00% 3 Month - 1.00% 1 Month - 1.00%

2008 4.06%

2009 4.06%

HISTORICAL TAX INTEREST RATES*

2010

2011

2012

2013

2014

2015

2016

3.81%

3.46%

2.89%

2.16%

1.79%

1.68%

1.56%

*No longer applicable. Tax Interest Rates are for historical purposes only due to new tax laws.

(C) Copyright 2001-2022 Hause Actuarial Solutions, Inc. Telephone: (913) 685-2200 Fax: (913) 685-2205 Email: solutions@

2017 1.46%

2018 1.66%

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