In this example, assume a participating plan has 4 policies A, B, C, D effective in three different years.

Policy

Policy Effective Year

Actual total cash value^

Illustrated total cash value at the point of sale^

A

2019

195

200

B

2018

525

500

C

2018

390

400

D

2017

285

270

^Total cash value includes guaranteed cash value and corresponding non-guaranteed elements of the plan.

Total cash value ratio for this participating plan would be as follows.

Total Cash Value ratio for reporting year 2023
Policy Year (Policy effective in)

1-3
(2022-2020)

4
(2019)

5
(2018)

6
(2017)

N/A*

98%
= 195/200
(Policy A)

102%
= (525 + 390)/(500 + 400)
(Policy B&C)

106%
= 285/270
(Policy D)

*N/A: the products were closed to sale.