{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2026\/code-json\/38.2-3117.4.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2026\/code-text\/38.2-3117.4.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2026\/code-xml\/38.2-3117.4.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2026\/code-html\/38.2-3117.4.html"}],"law_id":362008,"edition_id":2,"section_id":362008,"structure_id":51731,"section_number":"38.2-3117.4","catch_line":"Disclosures for retained asset accounts to beneficiaries","history":"2011, cc. 194, 227.","full_text":"The insurer shall provide the following written disclosures to the beneficiary of a policy before the retained asset account is selected, if optional, or established, if not optional:\n\n1\n\nPayment of the full benefit amount is accomplished by delivery of the draft book or check book;\n\n2\n\nOne draft or check may be written to access the entire amount, including interest, of the retained asset account at any time;\n\n3\n\nWhether other available settlement options are preserved until the entire balance is withdrawn or the balance drops below the insurer’s minimum balance requirements;\n\n4\n\nA statement identifying the account as either a checking account or a draft account and an explanation of how the account works;\n\n5\n\nInformation about the account services provided and contact information where the beneficiary may request and obtain more details about such services;\n\n6\n\nA description of fees charged, if applicable;\n\n7\n\nThe frequency of statements showing the current account balance, the interest credited, drafts or checks written, and any other account activity;\n\n8\n\nThe minimum interest rate to be credited to the account and how the actual interest rate will be determined;\n\n9\n\nThe interest earned on the account may be taxable;\n\n10\n\nRetained asset account funds held by insurance companies are not insured by the Federal Deposit Insurance Corporation but are guaranteed by the state guaranty association. The beneficiary should be advised to contact the National Organization of Life and Health Insurance Guaranty Associations via the association’s website to learn more about the coverage limitations to the account under a state guaranty association; and\n\n11\n\nA description of the insurer’s policy regarding retained asset accounts that become inactive.\n\n","order_by":null,"text":{"0":{"id":1347737,"text":"The insurer shall provide the following written disclosures to the beneficiary of a policy before the retained asset account is selected, if optional, or established, if not optional:","type":"section","prefixes":[""],"prefix":"","entire_prefix":"","prefix_anchor":"","level":1,"next_prefix":"1"},"1":{"id":1347738,"text":"Payment of the full benefit amount is accomplished by delivery of the draft book or check book;","type":"section","prefixes":["1"],"prefix":"1","entire_prefix":"1","prefix_anchor":"1","level":1,"prior_prefix":"","next_prefix":"2"},"2":{"id":1347739,"text":"One draft or check may be written to access the entire amount, including interest, of the retained asset account at any time;","type":"section","prefixes":["2"],"prefix":"2","entire_prefix":"2","prefix_anchor":"2","level":1,"prior_prefix":"1","next_prefix":"3"},"3":{"id":1347740,"text":"Whether other available settlement options are preserved until the entire balance is withdrawn or the balance drops below the insurer’s minimum balance requirements;","type":"section","prefixes":["3"],"prefix":"3","entire_prefix":"3","prefix_anchor":"3","level":1,"prior_prefix":"2","next_prefix":"4"},"4":{"id":1347741,"text":"A statement identifying the account as either a checking account or a draft account and an explanation of how the account works;","type":"section","prefixes":["4"],"prefix":"4","entire_prefix":"4","prefix_anchor":"4","level":1,"prior_prefix":"3","next_prefix":"5"},"5":{"id":1347742,"text":"Information about the account services provided and contact information where the beneficiary may request and obtain more details about such services;","type":"section","prefixes":["5"],"prefix":"5","entire_prefix":"5","prefix_anchor":"5","level":1,"prior_prefix":"4","next_prefix":"6"},"6":{"id":1347743,"text":"A description of fees charged, if applicable;","type":"section","prefixes":["6"],"prefix":"6","entire_prefix":"6","prefix_anchor":"6","level":1,"prior_prefix":"5","next_prefix":"7"},"7":{"id":1347744,"text":"The frequency of statements showing the current account balance, the interest credited, drafts or checks written, and any other account activity;","type":"section","prefixes":["7"],"prefix":"7","entire_prefix":"7","prefix_anchor":"7","level":1,"prior_prefix":"6","next_prefix":"8"},"8":{"id":1347745,"text":"The minimum interest rate to be credited to the account and how the actual interest rate will be determined;","type":"section","prefixes":["8"],"prefix":"8","entire_prefix":"8","prefix_anchor":"8","level":1,"prior_prefix":"7","next_prefix":"9"},"9":{"id":1347746,"text":"The interest earned on the account may be taxable;","type":"section","prefixes":["9"],"prefix":"9","entire_prefix":"9","prefix_anchor":"9","level":1,"prior_prefix":"8","next_prefix":"10"},"10":{"id":1347747,"text":"Retained asset account funds held by insurance companies are not insured by the Federal Deposit Insurance Corporation but are guaranteed by the state guaranty association. The beneficiary should be advised to contact the National Organization of Life and Health Insurance Guaranty Associations via the association’s website to learn more about the coverage limitations to the account under a state guaranty association; and","type":"section","prefixes":["10"],"prefix":"10","entire_prefix":"10","prefix_anchor":"10","level":1,"prior_prefix":"9","next_prefix":"11"},"11":{"id":1347748,"text":"A description of the insurer’s policy regarding retained asset accounts that become inactive.","type":"section","prefixes":["11"],"prefix":"11","entire_prefix":"11","prefix_anchor":"11","level":1,"prior_prefix":"10"}},"ancestry":[{"id":51731,"edition_id":2,"name":"Use of Retained Asset Accounts","identifier":"1.1","label":"article","depth":3,"order_by":2,"parent_id":51729,"metadata":{"child_laws":4,"child_structures":0},"date_created":"2026-08-02 02:47:28","date_modified":"2026-08-02 12:33:09","permalink":{"id":1441445,"object_type":"structure","relational_id":51731,"identifier":"1.1","token":"38.2\/31\/1.1","url":"\/38.2\/31\/1.1\/","edition_id":2,"permalink":0,"preferred":1}},{"id":51729,"edition_id":2,"name":"Life Insurance","identifier":"31","label":"chapter","depth":2,"order_by":31,"parent_id":51644,"metadata":{"child_laws":41,"child_structures":4},"date_created":"2026-08-02 02:47:26","date_modified":"2026-08-02 12:33:09","permalink":{"id":1441333,"object_type":"structure","relational_id":51729,"identifier":"31","token":"38.2\/31","url":"\/38.2\/31\/","edition_id":2,"permalink":0,"preferred":1}},{"id":51644,"edition_id":2,"name":"Insurance","identifier":"38.2","label":"title","depth":1,"order_by":88,"parent_id":null,"metadata":{"child_laws":1890,"child_structures":173},"date_created":"2026-08-02 02:45:30","date_modified":"2026-08-02 12:32:55","permalink":{"id":1437663,"object_type":"structure","relational_id":51644,"identifier":"38.2","token":"38.2","url":"\/38.2\/","edition_id":2,"permalink":0,"preferred":1}}],"structure_contents":[{"id":362005,"structure_id":51731,"section_number":"38.2-3117.1","catch_line":"Definitions","url":"\/38.2-3117.1\/","token":"38.2\/31\/1.1\/38.2-3117.1","metadata":false},{"id":362006,"structure_id":51731,"section_number":"38.2-3117.2","catch_line":"Explanation of settlement options","url":"\/38.2-3117.2\/","token":"38.2\/31\/1.1\/38.2-3117.2","metadata":false},{"id":362007,"structure_id":51731,"section_number":"38.2-3117.3","catch_line":"Supplemental contract","url":"\/38.2-3117.3\/","token":"38.2\/31\/1.1\/38.2-3117.3","metadata":false},{"id":362008,"structure_id":51731,"section_number":"38.2-3117.4","catch_line":"Disclosures for retained asset accounts to beneficiaries","url":"\/38.2-3117.4\/","token":"38.2\/31\/1.1\/38.2-3117.4","metadata":false}],"previous_section":{"id":362007,"structure_id":51731,"section_number":"38.2-3117.3","catch_line":"Supplemental contract","url":"\/38.2-3117.3\/","token":"38.2\/31\/1.1\/38.2-3117.3","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-3117.4\/","history_text":"

This law was first created in 2011. The record of its establishment is cataloged in chapters 194<\/a> and 227<\/a> of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year.<\/p>","references":false,"refers_to":false,"permalink":{"id":1441459,"object_type":"law","relational_id":362008,"identifier":"38.2-3117.4","token":"38.2\/31\/1.1\/38.2-3117.4","url":"\/38.2-3117.4\/","edition_id":2,"permalink":0,"preferred":1},"url":"\/38.2-3117.4\/","token":"38.2\/31\/1.1\/38.2-3117.4","dublin_core":{"Title":"Disclosures for retained asset accounts to beneficiaries","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-3117.4","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

The insurer<\/span> shall provide the following written disclosures to the beneficiary of a policy<\/span> before the retained asset account<\/span> is selected, if optional, or established, if not optional:<\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> Payment of the full benefit amount is accomplished by delivery of the draft book or check book; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> One draft or check may be written to access the entire amount, including interest, of the retained asset account<\/span> at any time; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> Whether other available settlement<\/span> options are preserved until the entire balance is withdrawn or the balance drops below the insurer<\/span>’s minimum balance requirements; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

4.<\/span> A statement identifying the account as either a checking account or a draft account and an explanation of how the account works; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

5.<\/span> Information about the account services provided and contact information where the beneficiary may request and obtain more details about such services; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

6.<\/span> A description of fees charged, if applicable; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

7.<\/span> The frequency of statements showing the current account balance, the interest credited, drafts or checks written, and any other account activity; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

8.<\/span> The minimum interest rate<\/span> to be credited to the account and how the actual interest rate<\/span> will be determined; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

9.<\/span> The interest earned on the account may be taxable; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

10.<\/span> Retained asset account<\/span> funds held by insurance<\/span> companies are not insured by the Federal Deposit Insurance<\/span> Corporation but are guaranteed by the state<\/span> guaranty association. The beneficiary should be advised to contact the National Organization of Life and Health Insurance<\/span> Guaranty Associations via the association’s website to learn more about the coverage limitations to the account under a state<\/span> guaranty association; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

11.<\/span> A description of the insurer<\/span>’s policy<\/span> regarding retained asset accounts<\/span> that become inactive. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nDISCLOSURES FOR RETAINED ASSET ACCOUNTS TO BENEFICIARIES (\u00a7 38.2-3117.4)\n\nThe insurer shall provide the following written disclosures to the beneficiary\nof a policy before the retained asset account is selected, if optional, or\nestablished, if not optional:\n\n1. Payment of the full benefit amount is accomplished by delivery of the draft\nbook or check book;\n\n2. One draft or check may be written to access the entire amount, including\ninterest, of the retained asset account at any time;\n\n3. Whether other available settlement options are preserved until the entire\nbalance is withdrawn or the balance drops below the insurer’s minimum\nbalance requirements;\n\n4. A statement identifying the account as either a checking account or a draft\naccount and an explanation of how the account works;\n\n5. Information about the account services provided and contact information where\nthe beneficiary may request and obtain more details about such services;\n\n6. A description of fees charged, if applicable;\n\n7. The frequency of statements showing the current account balance, the interest\ncredited, drafts or checks written, and any other account activity;\n\n8. The minimum interest rate to be credited to the account and how the actual\ninterest rate will be determined;\n\n9. The interest earned on the account may be taxable;\n\n10. Retained asset account funds held by insurance companies are not insured by\nthe Federal Deposit Insurance Corporation but are guaranteed by the state\nguaranty association. The beneficiary should be advised to contact the National\nOrganization of Life and Health Insurance Guaranty Associations via the\nassociation’s website to learn more about the coverage limitations to the\naccount under a state guaranty association; and\n\n11. A description of the insurer’s policy regarding retained asset\naccounts that become inactive.\n\nHISTORY: 2011, cc. 194, 227.","edition":{"id":2,"name":"2026","slug":"2026","date_created":"2026-07-16 18:40:23","date_modified":"2026-08-02 15:14:36","current":1,"order_by":2,"last_import":"2026-08-02 12:37:30"}}