P.R. Laws tit. 26, § 316
(1) An insurer shall not be authorized to transact insurance in Puerto Rico unless it has and maintains invested in the securities as designated in subsection (2) hereof an amount not less than one-half of the required capital, if a stock insurer, or surplus, if a mutual, reciprocal or Lloyd’s plan insurer, shown in § 309 of this title for the kind or kinds of insurance to be transacted in Puerto Rico. Provided, That in the case of foreign insurers, this amount shall not be greater than one million dollars ($1,000,000).
From the investment required in this subsection, the insurer shall invest fifty percent (50%) in the securities designated in clauses (a) and (b) of subsection (2) of this section, and may invest the remaining fifty percent (50%) in the securities designated in subsection (2)(c) of this section.
(2) The following securities only shall be eligible investments for the purposes of this section:
(a) Bonds of the People of Puerto Rico, or of the Commonwealth of Puerto Rico, or the municipalities thereof, for which the good faith and the credit of the People of Puerto Rico or the Commonwealth of Puerto Rico have been pledged.
(b) Bonds or other securities of Puerto Rico entities, public or private, which the Governor of Puerto Rico in his regulations may declare eligible as collateral security for public funds.
(c) First mortgages on real property located in Puerto Rico.
Upon request of the insurer, however, the Commissioner may waive the requirement of this section as to such investment or part thereof for such period as the Commissioner deems it reasonably impracticable for the insurer to make such investment, owing to the non-availability of securities of the kind herein required.
(3) The Commissioner shall provide insurers with the forms required for making proof as to such investment.
(4) [Repealed. Act July 20, 1979, No. 154, p. 395, § 8, eff. July 20, 1979.]
History —Ins. Code § 3.160; May 31, 1973, No. 73, p. 328, § 4; June 5, 1973, No. 98, p. 419, § 9; July 23, 1974, No. 151, Part 1, p. 695, § 3; May 10, 1976, No. 32, p. 84, § 3; July 20, 1979, No. 154, p. 395, § 8; Dec. 16, 2003, No. 303, § 7.