Md. Code Regs. 31.05.10.04

Current through Register Vol. 51, No. 22, November 1, 2024

Section 31.05.10.04 - Credit Risk Exposure Limits

A. A financial guaranty insurer's outstanding total liability for municipal obligation bonds, special revenue bonds, and industrial development bonds shall be investment grade to the following extent:

(1) For financial guaranty insurers rated AAA by a nationally recognized statistical rating organization, at least 95 percent;

(2) For financial guaranty insurers rated AA by a nationally recognized statistical rating organization, at least 85 percent; and

(3) For financial guaranty insurers rated A by a nationally recognized statistical rating organization, at least 70 percent.

B. By written request of a financial guaranty insurer, the Commissioner may approve any other level considered appropriate.

Md. Code Regs. 31.05.10.04

Regulations .04 and new Regulation .04 adopted as an emergency provision effective March 9, 2006 (33:7 Md. R. 667); adopted permanently effective June 5, 2006 (33:11 Md. R. 954)