TITLE 41

INSURANCE

CHAPTER 8

ADMINISTRATION OF DEPOSITS

41-803.  Securities eligible for deposit. (1) All such deposits required under sections 41-316 and 41-316A, Idaho Code, for authority to transact insurance in this state shall consist of certificates of deposit issued by solvent banks, or any combination of securities the market value of which is readily ascertainable and, if negotiable by delivery or assignment, of the kinds described in the following sections:

(a)  Section 41-707 (public obligations);

(b)  Section 41-708 (securities of certain federal agencies);

(c)  Section 41-709 (irrigation district obligations);

(d)  Section 41-710 (international bank);

(e)  Section 41-711 (corporate obligations);

(f)  Section 41-717 (equipment trust obligations); and

(g)  Section 41-720 (savings and share accounts).

(2)  Except that the director shall accept as a security eligible for deposit and recognize as part of the deposit any particular valid and enforceable real estate mortgage already lawfully so on deposit at the effective date of this code, so long as the mortgage continues to qualify for investment of the insurer’s funds therein as under chapter 7 of this code and is not in default in any particular.

(3)  All such deposits required of a domestic insurer pursuant to the laws of another state, province or country shall be comprised of securities, if negotiable by delivery or assignment, of the kind or kinds required or permitted by the laws of such state, province or country, except stocks, mortgages of any kind and real estate.

(4)  Deposits of foreign insurers made in this state under the retaliatory provision, section 41-340, Idaho Code, shall consist of such securities or assets as are required by the director pursuant to such provision.

History:

[41-803, added 1961, ch. 330, sec. 172, p. 645; am. 1994, ch. 240, sec. 9, p. 756; am. 2004, ch. 90, sec. 5, p. 328.]