DE HB3

Lowers the minimum interest rate floor used to calculate nonforfeiture amounts for individual deferred annuity contracts from 1% to 0.15%

Adopts changes from the National Association of Insurance Commissioners (NAIC) Model Law #805 to address challenges posed by the low interest rate environment following the COVID-19 pandemic

Nonforfeiture amounts determine the minimum paid-up annuity or cash surrender benefits owed to contract holders who stop making payments during the accumulation period

Applies only to annuity products delivered or issued in Delaware on or after the Act's effective date

Takes effect immediately upon enactment