TestValueAttributes
objectGuideline Level Premium Test Date
Example:2021-01-01
The Definition of Life Insurance (DLI) refers to the IRS-defined criteria that a life insurance policy must meet to maintain its tax-advantaged status. Policyholders must choose between two IRS-approved tests to ensure compliance: Guideline Premium Test (GPT) Cash Value Accumulation Test (CVAT) Each test has different implications on premium limits, cash value growth, and tax treatment
Example:Method A
The Guideline Single Premium (GSP) refers to the maximum single premium payment that can be made into a life insurance policy without violating the IRS`s Guideline Premium Test (GPT). It is used to ensure that the policy qualifies as life insurance and maintains its tax-advantaged status
Example:500
Guideline Annual Premium
Example:1000
Guideline Level Premium Excess Pay Amount
Example:200
Cumulative Guideline Annual Premium
Example:2500
The MEC Test Date refers to the last date on which the life insurance policy was tested to determine whether it qualifies as a Modified Endowment Contract (MEC) under IRS regulations. This date is updated whenever a new MEC test is performed, ensuring the policy remains compliant with federal tax rules
Example:2022-01-01
Modified Endowment Contract Maximum Contribution
Example:3000
Modified Endowment Contract Date
Example:2022-05-01
Modified Endowment Contract Indicator
Allowed values:YESNO
Example:YES
The 7-Pay Premium refers to the maximum allowable premium that can be paid into a life insurance policy during the first seven years without triggering Modified Endowment Contract (MEC) status. It ensures that the policy remains a tax-advantaged life insurance contract rather than an investment vehicle
Example:1500
Seven Pay Premium Start Date
Example:2023-01-01
Seven Pay Year
Example:5
The 7-Pay Test Basis refers to the total cumulative premium paid into a life insurance policy during the first seven years (the 7-pay period), as measured against the IRS 7-Pay Test limit. This amount is used to determine whether the policy qualifies as a life insurance contract or is classified as a Modified Endowment Contract (MEC).
Example:Basis A
Seven Pay Test Limit
Example:3000
The Year in Period refers to the current year within the seven-year time frame of the 7-Pay Test. It is crucial because the 7-Pay Limit increases each year, and the test is updated annually to ensure the policy remains within IRS limits
Example:2
TestValue
objectShow Child Parameters
CoverageValueAttributes
objectTotal Risk Amount
Example:500000
Minimum Benefit Amount
Example:10000
Maximum Benefit Amount
Example:20000
Exercise Date
Example:2023-06-01
Band
Example:Band A
Gross Death Benefit Amount
Example:45000
Low Death Benefit
Example:40000
Maximum Number of Face Changes Per Year
Example:4
Minimum Amount Decrease
Example:500
Maximum Amount Decrease
Example:2000
Maximum Age Decrease Amount
Example:70
Maximum Number of Coverage Decreases Per Year
Example:2
Minimum Amount Increase
Example:1000
Maximum Amount Increase
Example:3000
Maximum Age Increase Amount
Example:80
Maximum Number of Coverage Increases Per Year
Example:3
Net Death Benefit Amount
Example:42000
Death Benefit Remaining
Example:20000
CoverageValue
objectShow Child Parameters
CoveragesAttributes
objectCoverage ID
Example:COV123
Indicator Code
Example:IND123
Product Code
Example:PROD456
The Product Name refers to the specific life insurance or annuity product selected by the contract owner at the time of policy issuance. It identifies the type of coverage, policy structure, and key features associated with the contract
Example:Platinum Plan
Selection Indicator
Allowed values:YN
Example:Y
Current Amount
Example:20000
Prior Coverage Amount
Example:18000
Minimum Benefit Amount
Example:15000
Maximum Benefit Amount
Example:25000
Gross Death Benefit Amount
Example:5000
Low Death Benefit
Example:2000
Coverage Change Amount
Example:3000
Effective Date
Example:2022-01-01
Coverage Change Effective Date
Example:2021-12-01
Termination Date
Example:2022-12-31
Current Number of Units
Example:100
Value Per Unit
Example:50
Premium Modal Factor
Example:1.5
Exercise Date
Example:2023-03-15
Life Coverage Status
Example:Active
The Claim Status refers to the current stage of a life insurance claim, indicating whether the claim has been processed, approved, denied, or is still under review. This status helps policyholders, beneficiaries, and insurers track the progress of a claim from submission to payout
Example:Pending
Next Evaluation Date
Example:2023-12-01
Payment Mode
Example:Monthly
Maximum Benefit Percent
Example:80%
Maximum Pay Period
Example:365
The Guideline Single Premium (GSP) refers to the maximum single premium payment that can be made into a life insurance policy without violating the IRS`s Guideline Premium Test (GPT). It is used to ensure that the policy qualifies as life insurance and maintains its tax-advantaged status
Example:5000
Guideline Annual Premium
Example:2000
The 7-Pay Premium refers to the maximum allowable premium that can be paid into a life insurance policy during the first seven years without triggering Modified Endowment Contract (MEC) status. It ensures that the policy remains a tax-advantaged life insurance contract rather than an investment vehicle
Example:700
Coverage Reference ID
Example:REF456
Tier 1 Maximum Benefit Amount
Example:10000
Tier 1 Maximum Benefit Percent
Example:60%
Tier 2 Maximum Benefit Amount
Example:15000
Tier 2 Maximum Benefit Percent
Example:70%