Limitations on aggregate of medium or lower quality investments,requirements.
375.1075. 1. No domestic insurer shall acquire, directly orindirectly, any medium or lower quality obligation of any institution if,after giving effect to any such acquisition, the aggregate amount of allmedium and lower quality obligations then held by the domestic insurerwould exceed twenty percent of its admitted assets, and no more than tenpercent of its admitted assets consists of obligations rated four, five orsix by the Securities Valuation Office, and no more than three percent ofits admitted assets consists of obligations rated five or six by theSecurities Valuation Office, and no more than one percent of its admittedassets consists of obligations rated six by the Securities ValuationOffice. Attaining or exceeding the limit of any one category shall notpreclude an insurer from acquiring obligations in other categories subjectto the specific and multicategory limits.
2. The provisions of this section shall not prohibit a domesticinsurer from acquiring any obligations which it has committed to acquire ifthe insurer would have been permitted to acquire that obligation pursuantto this section on the date on which such insurer committed to purchasethat obligation.
3. Notwithstanding the other provisions of this section, a domesticinsurer may acquire an obligation of an institution in which the insureralready has one or more obligations, if the obligation is acquired in orderto protect an investment previously made in the obligations of theinstitution, provided that all such acquired obligations shall not exceedone-half of one percent of the insurer's admitted assets.
4. The board of directors of any domestic insurance company whichacquires or invests in, directly or indirectly, medium or lower qualityobligations of any institution shall adopt a written plan for the making ofsuch investments. The plan, in addition to guidelines with respect to thequality of the obligations invested in, shall contain diversificationstandards including, but not limited to, standards for issuer, industry,duration, liquidity and geographic location.
5. No investments in excess of the limitations provided by this actshall be recognized as an asset of the insurer pursuant to section 379.080,RSMo.
Limitations on aggregate of medium or lower quality investments,requirements.
375.1075. 1. No domestic insurer shall acquire, directly orindirectly, any medium or lower quality obligation of any institution if,after giving effect to any such acquisition, the aggregate amount of allmedium and lower quality obligations then held by the domestic insurerwould exceed twenty percent of its admitted assets, and no more than tenpercent of its admitted assets consists of obligations rated four, five orsix by the Securities Valuation Office, and no more than three percent ofits admitted assets consists of obligations rated five or six by theSecurities Valuation Office, and no more than one percent of its admittedassets consists of obligations rated six by the Securities ValuationOffice. Attaining or exceeding the limit of any one category shall notpreclude an insurer from acquiring obligations in other categories subjectto the specific and multicategory limits.
2. The provisions of this section shall not prohibit a domesticinsurer from acquiring any obligations which it has committed to acquire ifthe insurer would have been permitted to acquire that obligation pursuantto this section on the date on which such insurer committed to purchasethat obligation.
3. Notwithstanding the other provisions of this section, a domesticinsurer may acquire an obligation of an institution in which the insureralready has one or more obligations, if the obligation is acquired in orderto protect an investment previously made in the obligations of theinstitution, provided that all such acquired obligations shall not exceedone-half of one percent of the insurer's admitted assets.
4. The board of directors of any domestic insurance company whichacquires or invests in, directly or indirectly, medium or lower qualityobligations of any institution shall adopt a written plan for the making ofsuch investments. The plan, in addition to guidelines with respect to thequality of the obligations invested in, shall contain diversificationstandards including, but not limited to, standards for issuer, industry,duration, liquidity and geographic location.
5. No investments in excess of the limitations provided by this actshall be recognized as an asset of the insurer pursuant to section 379.080,RSMo.
Limitations on aggregate of medium or lower quality investments,requirements.
375.1075. 1. No domestic insurer shall acquire, directly orindirectly, any medium or lower quality obligation of any institution if,after giving effect to any such acquisition, the aggregate amount of allmedium and lower quality obligations then held by the domestic insurerwould exceed twenty percent of its admitted assets, and no more than tenpercent of its admitted assets consists of obligations rated four, five orsix by the Securities Valuation Office, and no more than three percent ofits admitted assets consists of obligations rated five or six by theSecurities Valuation Office, and no more than one percent of its admittedassets consists of obligations rated six by the Securities ValuationOffice. Attaining or exceeding the limit of any one category shall notpreclude an insurer from acquiring obligations in other categories subjectto the specific and multicategory limits.
2. The provisions of this section shall not prohibit a domesticinsurer from acquiring any obligations which it has committed to acquire ifthe insurer would have been permitted to acquire that obligation pursuantto this section on the date on which such insurer committed to purchasethat obligation.
3. Notwithstanding the other provisions of this section, a domesticinsurer may acquire an obligation of an institution in which the insureralready has one or more obligations, if the obligation is acquired in orderto protect an investment previously made in the obligations of theinstitution, provided that all such acquired obligations shall not exceedone-half of one percent of the insurer's admitted assets.
4. The board of directors of any domestic insurance company whichacquires or invests in, directly or indirectly, medium or lower qualityobligations of any institution shall adopt a written plan for the making ofsuch investments. The plan, in addition to guidelines with respect to thequality of the obligations invested in, shall contain diversificationstandards including, but not limited to, standards for issuer, industry,duration, liquidity and geographic location.
5. No investments in excess of the limitations provided by this actshall be recognized as an asset of the insurer pursuant to section 379.080,RSMo.
