760 Ind. Admin. Code 1-82-9

Current through December 25, 2024

Section 760 IAC 1-82-9 - "Primary security" defined

Authority: IC 27-6-10.1-5

Affected: IC 27-6-10.1-3

Sec. 9.

"Primary security" means the following forms of security:

(1) Cash meeting the requirements of IC 27-6-10.1-3(A).

(2) Securities listed by the Securities Valuation Office meeting the requirements of IC 27-6-10.1-3(B), but excluding a synthetic letter of credit, a contingent note, a credit-linked note, or other similar security that operates in a manner similar to a letter of credit, and excluding any securities issued by the ceding insurer or any of its affiliates.

(3) For security held in connection with funds-withheld and modified coinsurance reinsurance treaties:

(A) commercial loans in good standing of CM3 quality and higher;

(B) policy loans; and

(C) derivatives acquired in the normal course and used to support and hedge liabilities pertaining to the actual risks in the policies ceded under the reinsurance treaty.

760 IAC 1-82-9

Department of Insurance; 760 IAC 1-82-9; filed 2/13/2023, 2:47 p.m.: 20230315-IR-760220245FRA