ND HB1153

Amends North Dakota Century Code section 26.1-34-02 to modify how interest rates are calculated for minimum nonforfeiture amounts in annuity contracts issued after July 31, 2005.

Sets the interest rate as the lesser of 3 percent per annum or the five-year constant maturity rate reported by the federal reserve reduced by 125 basis points, with a minimum floor of 1.15 percent.

Requires net considerations for calculating nonforfeiture amounts to equal 87.5 percent of gross considerations credited during each contract year, reduced by specified deductions including $50 annual contract charges, premium taxes, and withdrawals.

Allows for redetermination of interest rates for additional periods with terms specified in the contract, and permits up to an additional 100 basis points reduction for contracts providing equity indexed benefits if the present value does not exceed market value.

Grants the commissioner authority to adopt rules implementing these provisions and to adjust calculations for equity indexed benefit contracts or other contracts when adjustments are justified.