Glossary
This glossary is used in conjunction with the ASOPs listed on this website.
X Factor Class
Proposed Revision of ASOP No. 40 – Compliance with the NAIC Valuation of Life Insurance Policies Model Regulation with Respect to X Factors (Exposure Draft)
A group of policies under one or more plans of insurance to which a single set of X factors applies.
Compliance with the NAIC Valuation of Life Insurance Policies Model Regulation with Respect to X Factors
A group of policies under one or more plans of insurance to which a single set of X factors applies.
X Factors
Proposed Revision of ASOP No. 40 – Compliance with the NAIC Valuation of Life Insurance Policies Model Regulation with Respect to X Factors (Exposure Draft)
The percentages that may be applied to the Model select mortality rates for the purpose of calculating deficiency reserves in the first segment only, for segments determined under the contract segmentation method defined in the Model.
Compliance with the NAIC Valuation of Life Insurance Policies Model Regulation with Respect to X Factors
For durations in the first segment (only), as determined under the contract segmentation method, the percentages that may be applied to the Model select mortality factors for the purpose of calculating deficiency reserves. Subject to the requirements set forth in section 5 of the Model, the X factors may vary by policy year, policy form, underwriting classification, issue age, or any other policy factor expected to affect mortality experience. (ASOP No. 40)