Section 132B. No group annuity contract shall be issued or delivered in the commonwealth, except as provided in section one hundred and thirty-two A, nor until a copy of the form thereof has been on file for thirty days with the commissioner unless before the expiration of such thirty days he shall have approved in writing the form of the contract; nor if the commissioner notifies the company in writing within said thirty days that in his opinion the form of the contract does not comply with the laws of the commonwealth, specifying his reasons therefor; provided, that such action of the commissioner shall be subject to review by the supreme judicial court; nor shall any such contract be so issued or delivered unless it contains in substance the following provisions:—

1. That the holder is entitled to thirty days of grace within which the payment of any considerations or stipulated payments falling due on the contract after one year from its date of issue may be made, subject, at the option of the company, to an interest charge at a rate, to be specified in the contract, not exceeding six per cent per annum for the number of days of grace elapsing before payment of the considerations or stipulated payments.

2. That (1) the contract, or (2) a provision that the contract and the application of the holder, a copy of which shall be attached thereto, or (3) a provision that the contract and the application of the holder, a copy of which shall be attached thereto, and the individual applications of the annuitants filed with the company and referred to in the contract, shall constitute the entire agreement between the parties.

3. That if the age, service, salary or any other fact affecting the amount of any considerations or stipulated payments payable to the company or the amount or the date or dates of payment of any benefits with respect to any annuitant has been misstated, the considerations or stipulated payments, or the benefits, or both, shall be the amount which would have been payable if such fact or facts had not been misstated, and that, in no case, shall the company be liable to pay any greater benefit with respect to any annuitant than that which would be payable on the basis of the true facts and the actual considerations or stipulated payments received by the company.

4. That in case of the termination, otherwise than by death, of the employment of an annuitant or the discontinuance of the payment of considerations or stipulated payments under the contract, an annuitant who contributes to such considerations or payments shall be entitled to a paid-up annuity, payable commencing on a fixed date, based upon the same mortality table, rate of interest and loading formula used by the company in computing such considerations or payments; that such annuity shall be for an amount at least equal to that purchased by the contributions of the annuitant, determined as of the respective dates of payment of his several contributions, as shown by a schedule which shall be included in the contract; that, if the amount of such paid-up annuity is less than sixty dollars annually, the company may, at its option, in lieu of such paid-up annuity, pay as a cash surrender value an amount at least equal to ninety-six per cent of the aggregate amount of the annuitant's contributions, without interest, and that such value may be paid either in a single sum or in equal instalments over a period of not more than twelve months; and that, in case of the death of the annuitant prior to the commencement date of the annuity, the company shall pay a death benefit at least equal to the aggregate amount of the annuitant's contributions, without interest, but not exceeding the aggregate amount of the considerations or stipulated payments made to the company on account of the annuitant, with interest. A group annuity contract which is a contract on a variable basis need not comply with the foregoing requirements provided that such contract specifies, in a manner satisfactory to the commissioner, the nature and the basis of the ascertainment of benefits to be paid to or in respect of an annuitant who has contributed to the considerations or payments under such a contract.

5. That the company will issue to the holder of the contract, for delivery to each annuitant who contributes to the considerations or stipulated payments thereunder, an individual certificate setting forth a summary of the benefits to which he is entitled under the contract.

6. That, in the case of a participating contract, any dividend or dividends apportioned thereunder by the company shall be paid in cash to the holder for his or its own benefit; or a provision that any such dividend or dividends shall be applied in reduction of the considerations or stipulated payments, or portion thereof, paid or payable by the holder; or a provision that any such dividend or dividends may be paid in cash or applied, as aforesaid.

7. That, in case of a non-participating contract that provides for experience rating credits, any such credit or credits which may be allowed by the company shall be paid in cash to the holder of the contract for his or its own benefit; or a provision that any such credit or credits shall be applied in reduction of the considerations or stipulated payments, or portion thereof, paid by the holder; or a provision that any such credit or credits may be paid in cash or applied, as aforesaid.

Any such contract may, at the option of the company, provide that, in case of the termination, otherwise than by death, of the employment of an annuitant or the discontinuance of the payment of considerations or stipulated payments thereunder, benefits shall be payable to the holder, and, in such a case, the contract shall specify the nature and the basis of the ascertainment of any such benefits.

Any such contract may, by mutual agreement of the company and the holder, contain any provision which is required or authorized by, or is necessary to conform the contract to, or to give the holder the benefit of, any federal statute or any rule or regulation of the United States Treasury Department.

Provisions numbered 3 and 4, and no other such provision, shall be required to be contained in substance in the certificate mentioned in provision numbered 5.

A group annuity contract, and any certificate issued thereunder, shall be deemed to contain in substance any provision required by this section when in the opinion of the commissioner the provision is stated in terms more favorable to the annuitants or not less favorable to the annuitants and more favorable to the holder.