(215 ILCS 5/227) (from Ch. 73, par. 839)
Sec. 227.
Standard
provisions for reversionary or survivorship annuity contracts.
(1) After the effective date of this Code no contract for a reversionary
annuity or survivorship annuity shall be issued or delivered in this State
unless it contains in substance the following provisions:
(a) The provisions of clauses (a), (b), (c), (d) and (e) of subsection
(1) of section 226, except that under said clause (a) the company may at
its option provide for an equitable reduction of the amount of the annuity
payments in settlement of an overdue or deferred payment in lieu of
providing for a deduction of such payments from an amount payable upon a
settlement under the contract.
(b) A provision that the contract may be reinstated at any time within
three years from the date of default in making stipulated payments to the
company, upon production of evidence of insurability satisfactory to the
company, provided that all overdue payments and any indebtedness to the
company on account of the contract shall be paid or reinstated with
interest thereon at a rate to be specified in the contract but not
exceeding six per centum per annum payable annually.
(2) Any of the foregoing provisions or portions thereof contained in
this section and in section 226 not applicable to non-participating
contracts nor to contracts for which a single stipulated payment to the
company is made, shall, to that extent, not be incorporated therein.
(3) The provisions of this section and section 226 shall not apply to
contracts of re-insurance nor to contracts for deferred annuities or
reversionary annuities included in life insurance policies.
(Source: Laws 1937, p. 696.)
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