Senate Bill No. 739
(By Senator Minard)
____________
[Introduced February 19, 2007; referred to the Committee on
Banking and Insurance.]
____________
A BILL to amend and reenact §33-7-3 of the Code of West Virginia,
1931, as amended, relating to the accounting for and
disclosures about transactions with affiliates and other
related parties.
Be it enacted by the Legislature of West Virginia:
That §33-7-3 of the Code of West Virginia, 1931, as amended,
be amended and reenacted to read as follows:
ARTICLE 7. ASSETS AND LIABILITIES.
§33-7-3. Assets not allowed.
In addition to assets impliedly excluded by the provisions of
section one of this article, the following expressly shall not be
allowed as assets in any determination of the financial condition
of an insurer:
(a) Goodwill, trade names and other like intangible assets.
(b) Advances to officers (other than policy loans) whether secured or not, and advances to employees, agents and other persons
on personal security only.
(c) Stock of the insurer, owned by it, or any equity therein
or loans secured thereby, or any proportionate interest in the
stock acquired or held through the ownership by the insurer of an
interest in another firm, corporation or business unit.
(d) Furniture, fixtures, furnishings, safes, vehicles,
libraries, stationery, literature and supplies, and except, in the
case of any insurer, personal property the insurer is permitted to
hold pursuant to article eight of this chapter, or which is
acquired through foreclosure of chattel mortgages acquired pursuant
to said article or which is reasonably necessary for the
maintenance and operation of real estate lawfully acquired and held
by the insurer other than real estate used by it for home office,
branch office and similar purposes.
(e) The amount, if any, by which the aggregate book value of
investments as carried in the ledger assets of the insurer exceeds
the aggregate value thereof as determined under this chapter.
(f) Receivables due from affiliates, unless the receivables
are already in transit and under the control of the insurer.
_______
(NOTE: The purpose of this bill is to bring West Virginia
Code §33-7-3 into compliance with NAIC guidelines for the treatment
of transactions between affiliates and other related parties.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would be added.)
Email
Webmaster | © 2024 West Virginia Legislature **
