French Insurance Code
In forceI. - For rights in the course of constitution of operations whose benefits are linked to the cessation of professional activity, the agreement provides for the transfer option mentioned in the eighth paragraph of article L. 132-23 according to the procedures described in section 5 of chapter II of title III of book I as well as the redemption option under the conditions provided for in articles L. 224-4 and L. 224-5 of the monetary and financial code.
II. - A. - The transfer or surrender value referred to in I is equal to the product of the special technical provision and the ratio between :
a) The member's individual rights calculated on the same technical basis as the theoretical mathematical provision ;
b) The theoretical mathematical provision.
The calculation must be made on the date of the last inventory. However, if contributions have been paid by the member since this date, the elements must be updated to a date subsequent to that of the last contribution paid by the member.
B. - Notwithstanding the provisions of A, agreements may stipulate that the transfer or surrender value is equal to the sum of the contributions net of payment deductions, actuarially revalued at an annual index common to all members. The annual revaluation index is positive or zero, before management deductions.
For agreements amended by rider to introduce this method of calculation, the revaluation indices are established year by year in proportion to the accounting rate of return on the assets held to represent the special technical reserve, so that the overall sum of the transfer or surrender values is not modified on the date the rider comes into force. In the event of a negative return, a zero floor applies.
C. - The calculation method provided for in B can only be applied when the ratio between, on the one hand, the sum of the special technical provision and the unrealised capital gains or losses on the assets representing the special technical provision, and the theoretical mathematical provision, on the other hand, is greater than or equal to 1.1. If this calculation method is not applicable because the ratio is strictly less than 1.1, the transfer value provided for in A may not exceed the value which would result from the application of the calculation method provided for in B.
D. - Agreements entered into before 1 October 2019 may retain a method for calculating the transfer value corresponding to the wording of this article prior to the entry into force of Decree no. du on the reform of retirement savings.
III. - The agreement may provide for the transfer value, calculated as described in A of II, to be reduced by the difference, if positive, between that same value and an amount equal to the product of :
a) The value of the auxiliary accounting assets, valued as described in articles R. 343-11 and R. 343-12 ;
b) The ratio between the individual rights of the member calculated on the same technical basis as the theoretical mathematical provision mentioned in article R. 441-21 and this same theoretical mathematical provision;
c) And the ratio between the amount of the provisions mentioned in 1° and 3° of article R. 441-7 and the value of the assets in the auxiliary accounts, valued as described in articles R. 343-9 and R. 343-10.
This reduction in the transfer value may not, however, exceed 15% of the value of the member's individual rights, calculated on the same technical basis as the theoretical mathematical provision referred to in article R. 441-21.
IV. - Notwithstanding the second paragraph of III and IV of article D. 132-7, when the agreement of the host insurance company falls under article L. 441-1, and within fifteen days of notification of the transfer value by the insurance company of the original agreement, the insurance company of the host agreement, if it accepts the transfer, notifies the member of the number of annuity units corresponding to the transfer value as well as the service value of these annuity units. The member may cancel the transfer within fifteen days of this notification. The interest referred to in IV of article D. 132-7 runs from the expiry of this final period.
Within fifteen days of the surrender request made by the member, the company will notify him of the surrender value. The member may cancel the surrender within fifteen days of this notification. The interest referred to in IV of article D. 132-7 runs from the expiry of this period.
V. - By way of derogation from II, when the number of members of an agreement mentioned in Article L. 441-1, less the number of transfers requested and not yet carried out, is less than or equal to the threshold mentioned in Article R. 441-26, the transfer value is equal to the amount of the share of the reserves which would accrue to the member in the event of conversion, calculated in accordance with the provisions of the third paragraph of Article R. 441-27.
