Statute · California Insurance Code
Cal. Ins. Code § 1196 — Property Authorized for Excess Funds Investments
Cal. Ins. Code § 1196
- Type
- Statute
- Source
- California Insurance Code
- Jurisdiction
- California
- Current through
- Nov 2, 2026 (California Legislative Counsel)
Excess funds investments shall not be made in any stock or obligation unless:
Citator
Cal. Ins. Code § 1196 — Property Authorized for Excess Funds Investments is in force in the current edition of the Code, and nothing recorded condemns it.
Excess funds investments shall not be made in any stock or obligation unless:
(a) The stock or obligation qualifies as a sound investment.
(b) In case of a purchase, the price paid for the security is not in excess of the current market value at the date of purchase.
(c) In case of a loan, the amount loaned does not exceed eighty-five per cent of the market value, at the date of the loan, of the collateral taken as security.