### Question
How does the law define CARVM?


### Answer
Under *26 U.S.C. § 807*, **CARVM** is defined as:

> the Commissioners' Annuities Reserve Valuation Method prescribed by the National Association of Insurance Commissioners which is applicable to the contract and in effect as of the date the reserve is determined

#### Citation:
  - *26 U.S.C. § 807*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter L-Insurance Companies > PART I-LIFE INSURANCE COMPANIES > Subpart C-Life Insurance Deductions**

