Code of Virginia - Title 38.2 Insurance - Chapter 14 Investments

38.2-1400 Scope and purpose of chapter
This chapter applies to and regulates the investments of all domestic insurers as defined in this chapter. Upon petition to, and approval by, the Commission, ...

38.2-1401 Definitions
As used in this chapter: "Admitted assets" means, for purposes of the limitations and standards imposed by Articles 1 and 2 of this chapter, the ...

38.2-1402 Authority to invest; classification of investments by category
A. A domestic insurer may invest its funds and assets in accordance with this chapter. All investments of a domestic insurer shall be classified as ...

38.2-1403 Category 2 investments limits
The value of Category 2 investments shall be excluded from the value of admitted assets to the extent the value of Category 2 investments exceeds ...

38.2-1404 Classification of existing investments
Any investment held on July 1, 1983, that was permitted at the time it was made under former § 38.1-181 or former §§ 38.1-183 through ...

38.2-1405 Dates of determination
A. The classification by investment category of each investment, based on type of investment as set forth in §§ 38.2-1415 through 38.2-1442, inclusive, shall be ...

38.2-1406 Investment conversions
Investments converted to a new form and resulting in a different investment classification under § 38.2-1402, at the election of the insurer, shall retain their ...

38.2-1407 Prohibited investments
A. No domestic insurer shall invest in or loan funds secured by: 1. Issued shares of its own capital stock without the Commission's approval. This ...

38.2-1408 Authorization of investments
No domestic insurer shall make any loan, investment, or any sale or exchange of a loan or investment, except policy loans of an insurer issuing ...

38.2-1409 Powers with respect to property
Subject to any applicable limitations and restrictions in this chapter, a domestic insurer may own, hold, maintain, manage, operate, lease, sell, convey, and collect and ...

38.2-1410 Items not deemed to be prior liens or encumbrances
In construing and applying this title, the following shall not be deemed prior liens or encumbrances: easements; rights-of-way; joint driveways; party wall agreements; current taxes ...

38.2-1411 Description unavailable
Repealed by Acts 1992, c. 588. ...

38.2-1411.1 Investment limits generally
A. Any securities described in 15 U.S.C. § 77r-1 shall be subject to all the limitations prescribed by this chapter for investments not guaranteed by ...

38.2-1411.2 Investment limits in medium grade and lower grade obligations
A. No domestic insurer shall acquire, directly or indirectly, any medium grade or lower grade obligations of any business entity if, after giving effect to ...

38.2-1412 Scope of article
This article sets forth requirements for qualifying as a Category 1 investment. If an investment or portion thereof does not comply either with this article ...

38.2-1413 Investment limits for one obligor, one issue or one loan
A. No domestic insurer shall have at any one time any combination of investments in or loans upon the security of the property and securities ...

38.2-1414 Limits by type of investment
A. The portion of a domestic insurer's total admitted assets in the following types of investments shall not exceed: 1. Ten percent for the aggregate ...

38.2-1415 Obligations of domestic governmental entities
A. United States obligations. A domestic insurer may invest in any bonds, notes, warrants, and other evidences of indebtedness which are direct obligations of the ...

38.2-1416 Canadian governmental obligations
A. Obligations of Canada. - A domestic insurer may invest in bonds, notes, warrants, and other evidences of indebtedness which are direct obligations of the ...

38.2-1417 Canadian corporate obligations
A domestic insurer may invest in obligations issued, assumed or guaranteed by any solvent corporation created or existing under the laws of Canada, or any ...

38.2-1418 Obligations of certain international agencies
A domestic insurer may invest in valid and legally authorized high grade obligations issued, assumed or guaranteed by an international development bank of which the ...

38.2-1419 Railroad terminal and other securities
A domestic insurer may invest in obligations secured by first mortgages, first deeds of trust or other similar liens upon terminal, depot or tunnel property, ...

38.2-1420 Transportation equipment trust certificates
A domestic insurer may invest in adequately secured equipment trust certificates or other adequately secured instruments evidencing (i) an interest in transportation equipment wholly or ...

38.2-1421 Business entity obligations
A. High grade. A domestic insurer may invest in any high grade obligations issued, assumed or guaranteed by any solvent business entity that is not ...

38.2-1422 Obligations secured by certain leases
A. A domestic insurer may invest in obligations of any solvent company other than companies referred to in § 38.2-1419, incorporated under the laws of ...

38.2-1423 Preferred stocks
A domestic insurer may invest in preferred stocks of any company incorporated under the laws of the United States or any state if: 1. a. ...

38.2-1424 Guaranteed stocks
A domestic insurer may invest in stocks guaranteed by a solvent company incorporated under the laws of the United States or of any state if ...

38.2-1425 Common stock of banks or trust companies
A. A domestic insurer may invest in the common capital stock of any bank or trust company that is a member of the Federal Deposit ...

38.2-1426 Application of earnings tests
If the issuing, assuming or guaranteeing business entity has not been in operation for the entire period for which earnings are being applied pursuant to ...

38.2-1427 Common stock; covered call options
A. A domestic insurer may invest in the common capital stock of any company incorporated under the laws of the United States or any state, ...

38.2-1427.1 Limited partnerships
A domestic insurer may become a limited partner in a partnership organized and governed under the laws of the United States or any state for ...

38.2-1427.2 Investment company shares and units of beneficial interest
A domestic insurer may invest in shares of common stock or units of beneficial interest issued by any solvent business corporation or trust incorporated or ...

38.2-1427.3 Investment authority; subsidiary corporations
A domestic insurer may invest in common stock, preferred stock, debt obligations, and other securities of a subsidiary. For investments in subsidiary corporations made prior ...

38.2-1428 Hedging transactions
A domestic insurer may effect or maintain bona fide hedging transactions pertaining to securities otherwise eligible for investment under §§ 38.2-1415 through 38.2-1427 and 38.2-1433, ...

38.2-1429 Lending of securities
A. A domestic insurer may lend securities held by it pursuant to §§ 38.2-1415 through 38.2-1427.2 if: 1. Simultaneously with the delivery of the securities, ...

38.2-1430 Collateral loans
A domestic insurer may make loans secured by securities eligible for investment under this article. At the date of investment, the loan shall not exceed ...

38.2-1431 Policy loans
A domestic insurer issuing life insurance policies or annuities may loan any sum not exceeding the cash surrender value specified in the policy to its ...

38.2-1432 Savings, certificates, etc
A domestic insurer may invest in any of the following: 1. Interest-bearing checking or savings accounts, certificates of deposit, or other short-term investments made available ...

38.2-1433 Foreign securities
A. A domestic insurer transacting the business of insurance in a foreign country may invest in securities of or issued in that country of substantially ...

38.2-1434 Mortgage loans
Subject to the provisions of § 38.2-1437, a domestic insurer may invest in: 1. Obligations secured by first mortgages or first deeds of trust on ...

38.2-1435 Second mortgages; wrap-around mortgages
A domestic insurer may invest in obligations secured by second mortgages or second deeds of trust on real property encumbered only by a first mortgage ...

38.2-1436 Mortgage participations
Notwithstanding the provisions of §§ 13.1-627 and 13.1-826, a domestic insurer may acquire or sell participation interests in any loans secured by a mortgage or ...

38.2-1437 Limitations on mortgages
A. The amount of any loan secured by a mortgage or deed of trust referred to in §§ 38.2-1434 through 38.2-1436 shall not exceed the ...

38.2-1437.1 Mortgage pass-through securities
A domestic insurer may invest in mortgage pass-through securities backed by a pool of mortgages of the kind, class and investment quality as those eligible ...

38.2-1438 Renewals and extensions when value of property decreases
Nothing in this chapter shall prohibit a domestic insurer from renewing or extending, or consenting to the renewal or extension of, evidences of indebtedness secured ...

38.2-1439 Chattel mortgages
A. In connection with a mortgage loan on the security of real property designed and used primarily for residential purposes and acquired pursuant to § ...

38.2-1440 Investment in personal property
A. A domestic insurer may invest in interests in tangible personal property for the production of income, evidenced by trust certificates or other instruments. B. ...

38.2-1441 Real estate
A. A domestic insurer may invest in real estate, as set forth in subsections B, C and D of this section, unless the property is ...

38.2-1442 Guaranty association obligations
A domestic insurer may invest in any obligation not in default of the Virginia Life, Accident and Sickness Insurance Guaranty Association issued pursuant to subdivision ...

38.2-1443 Investment of amounts allocated to separate accounts for variable life insurance and variable annui...
The amounts allocated to separate accounts for variable life insurance and variable annuities, pursuant to the provisions of § 38.2-3113, and accumulations on them, may ...

38.2-1443.1 Investment of amounts allocated to separate accounts for modified guaranteed life insurance, modifi...
A. Unless otherwise provided by regulation, the amounts allocated to separate accounts for modified guaranteed life insurance and modified guaranteed annuities pursuant to the provisions ...

38.2-1444 Establishment of separate accounts for pension, retirement or profit-sharing plans; investment of f...
A. A domestic insurer, after adoption of a resolution by its board of directors and certification of that adoption to the Commission, may allocate to ...

38.2-1445 Separate accounts deemed Category 1 investments
All investments made in compliance with this article shall be deemed Category 1 investments except that nothing contained in this section shall be construed to ...

38.2-1446 Prohibition of hypothecation
A. Every domestic insurer subject to the provisions of this chapter shall at all times have and maintain free and unencumbered admitted assets in an ...

38.2-1447 Exception
A. This article shall not apply to those assets of any insurer that are held, deposited, pledged, hypothecated or otherwise encumbered as provided herein to ...