14VAC5-280-70:2. EXHIBIT 2. SAMPLE FORMULA FOR DETERMINING RESERVE INTEREST RATE ADJUSTMENT.
EXHIBIT 2. SAMPLE FORMULA FOR DETERMINING RESERVE INTEREST RATE ADJUSTMENT
(Terms and data are as defined in the NAIC Annual Statement blank)
| | Rate = | 2 (I + CG) |
| | X + Y - I - CG |
Where: I is the net investment income
CG is realized and unrealized capital gains less realized and unrealized capital losses
X is the current year cash and invested assets plus investment income due and accrued less borrowed money
Y is the same as X but for the prior year
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