South Dakota Codified Laws 58-15-15.4. Insurance policy loan–Definition of terms
For purposes of §§ 58-15-15.5 to 58-15-15.12, inclusive:
(1) The rate of interest on policy loans permitted under §§ 58-15-15.5 to 58-15-15.12, inclusive, includes the interest rate charged on reinstatement of policy loans for the period during and after any lapse of a policy;
Terms Used In South Dakota Codified Laws 58-15-15.4
- Annuity: A periodic (usually annual) payment of a fixed sum of money for either the life of the recipient or for a fixed number of years. A series of payments under a contract from an insurance company, a trust company, or an individual. Annuity payments are made at regular intervals over a period of more than one full year.
- Interest rate: The amount paid by a borrower to a lender in exchange for the use of the lender's money for a certain period of time. Interest is paid on loans or on debt instruments, such as notes or bonds, either at regular intervals or as part of a lump sum payment when the issue matures. Source: OCC
- Person: includes natural persons, partnerships, associations, cooperative corporations, limited liability companies, and corporations. See South Dakota Codified Laws 2-14-2
(2) The term “policy loan” includes any premium loan made under a policy to pay one or more premiums that were not paid to the life insurer as they fell due;
(3) The term “policyholder” includes the owner of the policy or the person designated to pay premiums as shown on the records of the life insurer; and
(4) The term “policy” includes certificates issued by a fraternal benefit society and annuity contracts which provide for policy loans.
Source: SL 1982, ch 358, § 1.