MS HB1242

Amends Mississippi Code Section 83-7-26 to require life insurance policy loans to offer only fixed interest rates, eliminating the option for adjustable rates.

Sets the maximum fixed interest rate at 8% per annum on policy loans.

Requires life insurers to notify policyholders of the fixed rate of interest in explicit bold print at the time a cash loan is made.

Removes provisions allowing adjustable rates based on cash surrender values or Moody's Corporate Bond Yield Average, along with associated rate adjustment procedures.

Takes effect July 1, 2023, and does not apply to insurance contracts issued before January 1, 1984.