66 APPENDIX F § 16. The cash capital of every domestic insurance corporation required to have a capital, to the extent of the minimum capital required by law, shall be invested and kept invested in the kinds of securities in which deposits with the superintendent of insurance are required by this chapter to be made. The residue of the capital and the surplus money and funds of every domestic insurance corporation over and above its capital, and the deposit that it may be required to make with the superintendent, may be invested in or loaned on the pledge of any of the securities in which deposits are required to be invested or in the public stocks or bonds of any one of the United States, or except as in this chapter otherwise provided, in the stocks, bonds or other evidence of indebtedness of any solvent institution incorporated under the laws of the United States or of any state thereof, or in such real estate as it is authorized by this chapter to hold; but no such funds shall be invested in or loaned on its own stock or the stock of any other insurance corporation carrying on the same kind of insurance business, except that any such company engaged solely in business as a surety company under subdivision four of section seventy of this chapter may invest such funds in, or loan such funds on, the stock of any other corporation carrying on solely the same kind of business outside of, but not within, the United States. Any domestic insurance corporation may, by the direction and consent of two-thirds of its board of directors, managers or finance committee, invest, by loan or otherwise, any such surplus moneys or funds in the bonds issued by any city, county, town, village or school district of this state, pursuant to any law of this state. Any corporation organized under subdivision one-a, section one hundred and seventy of this chapter, for guaranteeing the validity and legality of bonds or other evidences of indebtedness issued by any state, or by any city, county, town, village, school district, municipality, or other civil division of any state, may invest by loan or otherwise any of such surplus moneys or funds, as provided in section one hundred of this chapter. Every such domestic corporation doing business in other states of the United States or in foreign countries may invest the funds required to meet its obligation incurred in such other states or foreign countries, and in conformity to the laws thereof, in the same kind of securities in such other states or foreign countries that such corporation is by law allowed to invest in this state. Any life insurance company may lend a sum not exceeding the lawful reserve which it holds upon any policy, on the pledge to it of such policy and its accumulations as collateral security. But nothing in this section shall be held to authorize one insurance corporation to obtain, by purchase or otherwise, the control of any other insurance corporation." on ........ 19.. is a deposit in your institution. For the sole purpose of verifying its books will you please fill out the attached certificate and return it in the enclosed stamped envelope. Very respectfully yours, (Perforated.) (Location) This is to certify that at the close of business 19. ., the books of the ... $..... due the showed a balance of and subject to its cheque and withdrawal; there were also certificates of deposits outstanding for $. $... due On the same date, the was not indebted to this institution for borrowed money, discounted notes or under any other form of agreement, or are any of the aforementioned deposits held by this institution as security for any loan made to an officer, director or employee of said By .... Cashier, President or Treasurer. [Printed in Copying Ink.] |