§1406.60. Standards for Supplemental Illustrations  


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  • a)         A supplemental illustration may be provided so long as:

     

    1)         It is appended to, accompanied by or preceded by a basic illustration that complies with this Part;

     

    2)         The non-guaranteed elements shown are not more favorable to the policyowner than the corresponding elements based on the scale used in the basic illustration;

     

    3)         It contains the same statement required of a basic illustration that non-guaranteed elements are not guaranteed; and

     

    4)         For a policy that has a contract premium, the contract premium underlying the supplemental illustration is equal to the contract premium shown in the basic illustration.  For policies that do not require a contract premium, the premium outlay underlying the supplemental illustration shall be equal to premium outlay shown in the basic illustration.

     

    b)         The supplemental illustration shall include a notice referring to the basic illustration for guaranteed elements and other important information.