Market level indicators10.

(1)

In these Regulations “market level indicator”, “monthly market level indicator” and “average market level indicator” shall be construed in accordance with the provisions of this regulation.

(2)

“Market level indicator” means—

(a)

for the purpose of determining the amount of a premium in a case to which regulation 3, 4, 5 or 7(a) of these Regulations applies, the sum of—

(i)

312 divided by x, where x per cent. is the gross dividend yield, and

(ii)

the 20-year index number; and

(b)

for the purpose of determining the amount of a premium in a case to which regulation 6 or 7(b), (c) or (d) of these Regulations applies, the 15-year index number.

(3)

“Monthly market level indicator”, in relation to any month, means the average of the market level indicators derived from the 15-year index numbers or (as the case maybe) the 20-year index numbers and the gross dividend yields, appropriate to the first 5 days on which the London Stock Exchange was open in that month, rounded, if that average is not a whole number, to the nearest whole number, or to the nearest lower whole number where the decimal part of that average is 0.5.

(4)

“Average market level indicator” means the average, rounded, if it is not a whole number, in the manner described in paragraph (3) of this regulation, of the monthly market level indicators relating to all of the months in the 5-year period preceding the month in which the event giving rise to the liability for the premium occurred.