EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).

1-1 Section 1. Chapter 680B of NRS is hereby amended by adding thereto

1-2 a new section to read as follows:

1-3 1. If an insurer includes any portion of the general premium tax

1-4 which the insurer is required to pay pursuant to NRS 680B.027 in the

1-5 amount billed to its insureds for the premium for insurance, the insurer

1-6 shall provide with each notice of renewal sent to its insureds a statement

1-7 that a portion of the premium is attributable to the general premium tax.

1-8 2. If an insurer includes any portion of any annual fees or

1-9 assessments that it is required to pay to the State of Nevada in the

1-10 amount billed to its insureds for the premium for insurance, the insurer

1-11 may provide with each notice of renewal sent to its insureds a statement

1-12 that a portion of the premium is attributable to the annual fees or

1-13 assessments that it is required to pay to the State of Nevada.

1-14 Sec. 2. NRS 680B.025 is hereby amended to read as follows:

1-15 680B.025 For the purposes of NRS 680B.025 to 680B.039, inclusive

1-19 life insurance policies or annuity contracts issued in connection with the

2-1 funding of a pension, annuity or profit-sharing plan qualified or exempt

2-2 pursuant to sections 401, 403, 404, 408, 457 or 501 of the United States

2-3 Internal Revenue Code as renumbered from time to time.

2-4 (b) Does not include payments received by an insurer from the Secretary

2-5 of Health and Human Services pursuant to a contract entered into pursuant

2-6 to section 1876 of the Social Security Act , [(] 42 U.S.C. § 1395mm . [).]

2-7 (c) As to title insurance , consists of the total amount charged by the

2-8 company for the sale of policies of title insurance.

2-9 2. Money accepted by a life insurer pursuant to an agreement which

2-10 provides for an accumulation of money to purchase annuities at future dates

2-11 may be considered as "total income derived from direct premiums written"

2-12 either upon receipt or upon the actual application of the money to the

2-13 purchase of annuities, but any interest credited to money accumulated while

2-14 under the latter alternative must also be included in "total income derived

2-15 from direct premiums written," and any money taxed upon receipt,

2-16 including any interest later credited thereto, is not subject to taxation upon

2-17 the purchase of annuities. Each life insurer shall signify on its return

2-18 covering premiums for the calendar year 1971 or for the first calendar year

2-19 it transacts business in this state, whichever is later, its election between

2-20 those two alternatives. Thereafter an insurer shall not change his election

2-21 without the consent of the commissioner. Any such money taxed as "total

2-22 income derived from direct premiums written" is, in the event of

2-23 withdrawal of the money before its actual application to the purchase of

2-24 annuities, eligible to be included as "return premiums" pursuant to the

2-25 provisions of NRS 680B.030.

2-26 Sec. 3. This act becomes effective on July 1, 2000.