Nev. Admin. Code § 681A.Sec. 12

Current through June 11, 2024

Section 681A.Sec. 12 - NEW

1. "Primary security" means:

(a) Cash;

(b) Except as otherwise provided in subsection 2, securities listed by the Securities Valuation Office of the National Association of Insurance Commissioners; and

(c) For security held in connection with funds withheld and modified coinsurance reinsurance treaties:

(1) Commercial loans in good standing of commercial mortgage category CM3 quality or higher;

(2) Policy loans; and

(3) Derivatives acquired in the normal course of business and used to support and hedge liabilities pertaining to the actual risks in the policies ceded pursuant to the reinsurance treaty.

2. "Primary security" does not include synthetic letters of credit, contingent notes, credit-linked notes or other similar security that operates in a manner similar to a letter of credit and any securities issued by the ceding insurer or any of its affiliates.

Nev. Admin. Code § 681A.Sec. 12

Added to NAC by Comm'r of Insurance by R187-22A, eff. 12/14/2022

NRS 679B.130, 681A.130, 681A.145