reglab/statecodes huggingface dataset:
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.510 - Investments of insurers; rules.

(1) Funds of a domestic insurer shall be invested, reinvested and used in the manner and subject to the conditions, restrictions and limitations set forth in ORS 733.510 to 733.780.
(2) Investments of a foreign or alien insurer which would be authorized for a like domestic insurer shall be allowed as assets in any determination of its financial condition. Other investments of a foreign or alien insurer which are authorized by the laws of its domicile may be so allowed at the discretion of the Director of the Department of Consumer and Business Services.
(3) The director may adopt rules establishing standards and limitations for investments by insurers that are not otherwise specifically permitted or prohibited by ORS 733.510 to 733.780.
(4) The investment program of an insurer must take into account the safety of the principal of the insurer, investment yield and return, stability in the value of the investment, liquidity necessary for expected business needs of the insurer and investment diversification according to standards established by rule. The director may direct an insurer to take action to conform to the requirements of this subsection. [Formerly 738.235; 1989 c.425 §2; 1993 c.447 §21]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.520 - Current operating requirements exempted.

Funds of an insurer necessary to satisfy normal current operating requirements are not subject to ORS 733.510 to 733.780. Normal current operating requirements include, but are not limited to, the acquisition of personal property necessary or convenient in the operation of the insurer’s business. [1967 c.359 §230]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.530 - "Corporation," "sovereign," "political subdivision" defined.

As used in ORS 733.510 to 733.780:
(1) "Corporation" means a corporation, joint stock association or business trust organized and existing under the laws of a sovereign.
(2) "Sovereign" means the United States, or a state, or Canada or a province thereof.
(3) "Political subdivision" means an incorporated county, city, town, village, municipality, or subdivision thereof, or a public corporation, district, agency, commission, authority or instrumentality, or subdivision thereof. [1967 c.359 §231]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.550 - "Amply secured obligation" defined.

As used in ORS 733.510 to 733.780, "amply secured obligation" means an obligation which is not in default and as to which no default is imminent, and which satisfies the requirements of one or more of the following subsections:
(1) An obligation of a sovereign or political subdivision thereof, if it is issued, assumed or guaranteed by the governmental unit involved and is payable either from:
(a) Taxes levied or which may be levied by such governmental unit; or
(b) Adequate special revenues pledged or otherwise appropriated or required by law to be used for the purpose of such payment, provided the law authorizing the issuance of the obligation requires that adequate rates be fixed, maintained and collected at all times so as to produce sufficient revenue or earnings to pay all operating expenses, maintenance charges, and the principal, interest and dividends on the obligation. An obligation payable solely out of special assessments on real property benefited by local improvements shall not be considered amply secured unless the total amount so payable is less than 50 percent of the market value of the real property (including any improvements thereon) and constitutes a lien on such property.
(2) An obligation issued, assumed or guaranteed by a corporation, if the corporation is solvent, has not been in default on any of its obligations during the preceding three years, and if the obligation is secured by the pledge of property the market value of which exceeds the amount of the obligation by 25 percent or more. Obligations which are the subject of ORS 733.580 and 733.600 are not included within the provisions of this subsection.
(3) An obligation found to be amply secured under regulations duly promulgated by the Director of the Department of Consumer and Business Services. In making such regulations the director shall give consideration to regulations pertaining to amply secured obligations issued from time to time by the National Association of Insurance Commissioners, and shall consider the financial condition of the issuing, assuming or guaranteeing corporation as well as the existence or absence of any pledge of property as security. [1967 c.359 §233]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.560 - "Unencumbered" defined.

As used in ORS 733.510 to 733.780, "unencumbered" means the nonexistence of any lien, burden or charge having priority over the lien securing the insurer’s investment. The following shall not be considered encumbrances on real property or leasehold interests therein:
(1) Reservations of mineral, oil or timber rights, easements, rights of way, sewer rights or rights of walls.
(2) Liens for taxes or assessments not delinquent.
(3) Building restrictions or other restrictive covenants common to the community.
(4) Where the loan is secured by a lien upon real property, a lease under which rents or profits are reserved to the owner, if in any event the security for the loan would be a first lien upon the real property except for such lease.
(5) Where the loan is secured by a lien on a leasehold, a prior lien on the real property, provided the security for the loan is a first lien upon the leasehold and there exists no provision preventing the insurer from continuing the lease in force for the duration of the lease or no condition or rights of reentry or forfeiture under which such lien can be cut off, subordinated or otherwise disturbed so long as the lessee’s obligations under the lease are discharged. [1967 c.359 §234]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.570 - "Improved real property" defined.

As used in ORS 733.510 to 733.780, "improved real property" means:
(1) Farmland used for tillage, crop or pasture;
(2) Real estate on which permanent improvements, or improvements under construction or in process of construction, suitable for residence, institutional, commercial or industrial use, are situated; and
(3) Real estate to be developed for the use or uses set forth in subsection (2) of this section on which improvements, or improvements under construction or in process of construction, such as streets, sidewalks, sewers and utilities which will become an integral part of such development, are situated. [1967 c.359 §235; 1989 c.425 §3]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.575 - Prohibited use of funds as compensating balances.

Except as provided in ORS 733.578, funds of an insurer shall not be used as compensating balances for loans to other persons, or otherwise pledged for the benefit of other persons. [1975 c.232 §2]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.578 - Conditions necessary for investments used to provide compensating balances.

Investments of an insurer of the kind described in ORS 733.650 (4) that are made for the purpose of providing compensating balances for other persons will not be prohibited by ORS 733.575 or 733.780 while the following conditions are met:
(1) The investment is made in the name of and remains the sole property of the insurer;
(2) The investment is not subject to appropriation in any manner by any person, including the person for whom the compensating balance is being provided, the institution in which the deposit is made and other creditors of such persons;
(3) The insurer holds an irrevocable written waiver from the depositary institution, in a form satisfactory to the Director of the Department of Consumer and Business Services, waiving all right, title and interest in or to any setoff, banker’s or similar lien or other security interest in such investment or any funds represented thereby;
(4) The investment is unrestricted as to right of withdrawal except for such restrictions as may be usual and customary for such investments under ORS 733.650 (4) when no compensating balance is involved; and
(5) The insurer is receiving a reasonable fee, taking into consideration its return on other funds, for providing the compensating balance involved. [1975 c.232 §3]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.580 - Investment of required capitalization.

(1) Funds of an insurer at least equal to its required capitalization shall be invested and kept invested as follows:
(a) In amply secured obligations of the United States, a state or a political subdivision of this state.
(b) In loans secured by first liens upon improved, unencumbered real property (other than leaseholds) in this state where:
(A) The lien does not exceed 50 percent of the appraised value of the property and the loan is for a term of five years or less;
(B) The lien does not exceed 66-2/3 percent of the appraised value of the property provided there is an amortization plan mortgage, deed of trust or other instrument under the terms of which the installment payments are sufficient to repay the loan within a period of not more than 25 years; or
(C) The investment is insured or guaranteed by the Federal Housing Administration, the United States Department of Veterans Affairs, or under Title I of the Housing Act of 1949 (providing for slum clearance and redevelopment projects) enacted by Congress on July 15, 1949.
(c) In certificates of deposit or other investments described in ORS 733.650 (4), to the extent such investments are insured by the Federal Deposit Insurance Corporation.
(2) Investments made pursuant to this section shall be kept free of any lien or pledge. The term "lien or pledge" as used in this section shall not include a deposit of securities with a sovereign, nor assets held in trust for the benefit or protection of all or any class of policyholders of an insurer. [Formerly 738.238; 1991 c.67 §195; 1993 c.447 §113]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.590 - Investment in obligations of sovereign, political subdivision thereof or corporation.

Funds of an insurer may be invested in amply secured obligations of a sovereign, political subdivision thereof or corporation. Expressly included, but not by way of limitation, are obligations of the following federal agencies and authorities: Federal Home Loan Banks, Federal Land Banks, Home Owners Loan Corporation, Public Housing Authorities (to the extent that such obligations are secured by a pledge of annual contributions to be paid by the United States or an agency thereof), and Federal Intermediate Credit Banks. [Formerly 738.245]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.600 - Investment in mortgage loans.

(1) Funds of an insurer may be invested in:
(a) Loans secured by first liens upon improved, unencumbered real property (other than leaseholds) in the manner and subject to the same terms and conditions set forth in ORS 733.580 (1)(b), except that the property may be located within the boundaries of any sovereign; for loans described in ORS 733.580 (1)(b)(B), the maximum permitted ratio of the loan to the appraised value shall be 80 rather than 66-2/3 percent, and the maximum term of the loan shall be 30 rather than 25 years.
(b) Loans secured by first liens upon a leasehold of improved, unencumbered real property located within the boundaries of any sovereign if:
(A) The leasehold has a period of not less than 20 years to run from the date of the loan, inclusive of the term which may be provided by an enforceable option of renewal, the loan does not exceed 70 percent of the fair market value of the leasehold together with any improvements located thereon which are subject to the lien, the terms of the loan provide for amortization payments to be made by the borrower on the principal thereof at least once in each year in amounts sufficient to completely amortize the loan within a period of four-fifths of the term of the leasehold, and the insurer is entitled to be subrogated to all rights of the lessee under the leasehold; or
(B) The investment is insured or guaranteed in the manner provided in ORS 733.580 (1)(b)(C).
(2) A loan upon the security of real property or a leasehold interest therein which is a participation in or a part of a series or issue shall not be made unless the insurer holds a senior participation or similar security interest in the mortgage or deed of trust giving it substantially the rights of a first mortgagee.
(3) Nothing in ORS 733.510 to 733.780 shall prohibit an insurer from renewing or extending a proper loan secured by a first lien upon real property or a leasehold interest therein made pursuant to this section or to ORS 733.580 for the original or a lesser amount even though such amount is a greater percentage of the current fair market value of the real property or leasehold than would otherwise be permitted under such sections. [Formerly 738.255; 1995 c.79 §360]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.620 - Investment in stocks of corporation.

(1) Funds of an insurer may be invested in stocks (including trust certificates) of solvent corporations organized and carrying on a business under the laws of a sovereign as follows:
(a) Preferred or guaranteed stocks if the corporation is not in default or arrears as to any preferred or guaranteed dividend and has continuously and regularly paid such dividends during the preceding three years or has paid cash dividends for five years on common stock.
(b) Common stocks as provided in paragraph (c) of this subsection if:
(A) The obligations and preferred stock, if any, of such corporation are eligible for investment under ORS 733.510 to 733.780; and
(B) The stock is registered on a national securities exchange regulated under the Securities Exchange Act, or if of a type not commonly so registered is regularly traded on a broad national or regional basis.
(c) Notwithstanding ORS 733.780 (1), not more than 25 percent of admitted assets may be in common stocks that have not paid a cash dividend during each of the five years preceding the date of acquisition.
(2) An insurer shall not invest so as to own or control more than five percent of the voting power outstanding of a corporation, nor shall it invest in the obligations or stocks of a corporation if the insurer, directors, trustees and officers own or control, or as a result thereof shall own and control, in the aggregate more than 50 percent of the voting power. This subsection does not apply to limit the amount of an insurer’s assets that may be invested in the voting securities of a depository institution or any company that controls the depository institution. [Formerly 738.275; 1995 c.565 §1; 2001 c.377 §39]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.635 - Approved activities of corporations in which investments authorized.

Investments authorized by ORS 733.630 may be made in corporations engaged, or which will be engaged, in one or more of the following insurance or ancillary businesses:
(1) Any kind of insurance business authorized by the jurisdiction in which it is incorporated.
(2) Any kind of business primarily related to the insurance business carried on by the parent.
(3) Acting as an insurance producer for its parent or for any of its parent’s insurer subsidiaries or intermediate insurer subsidiaries.
(4) Investing, reinvesting or trading in securities for its own account, that of its parent, any subsidiary of its parent, or any affiliate or subsidiary.
(5) Management of any investment company subject to or registered pursuant to the Federal Investment Company Act of 1940, as amended, including related sales and services.
(6) Acting as a broker-dealer subject to or registered pursuant to the Securities Exchange Act of 1934, as amended.
(7) Rendering investment advice to governments, government agencies, corporations or other organizations or groups.
(8) Rendering other services related to the operations of an insurance business including, but not limited to, actuarial, loss prevention, safety engineering, data processing, accounting, claims, appraisal and collection services.
(9) Ownership and management of assets or property which the parent could itself own and manage.
(10) Acting as administrative agent for a government instrumentality which is performing an insurance function.
(11) Financing of insurance premiums.
(12) Owning a corporation or corporations engaged or organized to engage exclusively in one or more of the businesses specified in subsections (1) to (11) of this section. [1969 c.285 §3; 2003 c.364 §84]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.640 - Lending funds; limitations on loans.

(1) Funds of an insurer may be invested in loans secured by pledges of obligations and stocks eligible for investment under ORS 733.510 to 733.780. As of the date the loan is made, it shall not exceed in amount 80 percent of the market value of the collateral pledged. No such loan shall be made for the purpose of providing funds to purchase or carry stocks registered on a national securities exchange.
(2) Funds of an insurer may be invested in loans secured by personal property or fixtures if such loan is:
(a) In connection with a loan on the security of real property or a leasehold as provided in ORS 733.580 or 733.600;
(b) In an amount not exceeding 20 percent of the amount loaned on the real property or leasehold;
(c) For a term of not more than five years;
(d) Secured by a security interest which constitutes a first lien, except for taxes not then delinquent, on tangible, permanent personal property of the borrower kept and used on the premises, other than stocks of goods held for sale or transfer in the ordinary course of business or items which by normal use will be consumed or depleted during the period of the loan; and
(e) In an amount, the ratio of which to the value of the security does not exceed the ratio of the companion loan to the value of the real property or leasehold.
(3) Funds of an insurer may be loaned to its own life insurance policyholder upon the security of such life insurance policy. The loan shall not exceed the cash value of the policy. [Formerly 738.285]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.650 - Investment of funds in certain obligations and other specified items.

Funds of an insurer may be invested in the following:
(1) Obligations secured by a mortgage or deed of trust payment of which is guaranteed by a policy of mortgage insurance.
(2) Obligations issued, assumed or guaranteed by the International Bank for Reconstruction and Development.
(3) Bank and bankers’ acceptances and other bills of exchange of the kind and nature made eligible by law for purchase in the open market by federal reserve banks.
(4) Deposits, certificates of deposits, accounts or savings or certificate shares or accounts of or in banks, trust companies, savings and loan associations or building and loan associations insured with the Federal Deposit Insurance Corporation or qualified to do business under the laws of this state.
(5) Obligations issued by trustees or receivers of a corporation created or existing under the laws of a sovereign which, or the assets of which, are being administered under the direction of a court having jurisdiction if the obligation is adequately secured as to principal and interest.
(6) Transportation equipment used wholly or in part within a sovereign, or adequately secured trust certificates of participation or similar obligations or contracts evidencing an interest in such transportation equipment, where the investor is entitled to receive a determined or determinable portion of rental, purchase or other obligatory payments for use or purchase of the equipment.
(7) Purchase contracts or lease-purchase agreements executed under the Federal Public Buildings Purchase Contract Act of 1954, or the Post Office Department Property Act of 1954.
(8) Stock of the Federal Home Loan Bank to the extent of the minimum required by the Federal Home Loan Bank Act. An insurer acquiring such stock may exercise all rights and powers given to members under such Act, including but not by way of limitation the right to obtain advances or borrow money from such bank and to pledge collateral as security therefor.
(9) Obligations issued, assumed or guaranteed by the Inter-American Development Bank.
(10) Obligations issued, assumed or guaranteed by the Asian Development Bank.
(11) Obligations issued, assumed or guaranteed by the African Development Bank. [Formerly 738.295; 1969 c.336 §9; 1969 c.692 §8; 1973 c.514 §1; 1985 c.456 §2; 1993 c.447 §114; 2007 c.426 §6]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.652 - Investment of funds of separate accounts.

Except as may be prescribed by the Director of the Department of Consumer and Business Services under ORS 733.220 (3) for reserves for guaranteed benefits and funds:
(1) Amounts allocated to a separate account and accumulations thereon may be invested and reinvested without regard to the requirements and limitations prescribed by ORS 733.510 to 733.780, except as expressly provided for separate accounts under such sections; and
(2) The investments in separate accounts shall not be considered in applying the investment limitations applicable to the general investments of the insurer. [1973 c.435 §9]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.654 - Limitation on amount of separate account investments; exceptions.

An insurer shall not invest the funds of a separate account so as to have more than 10 percent of the market value of the assets of the account invested in or secured by the stocks, obligations or property of any one person or political subdivision, or invested in a single parcel of real property or any other single investment. This section does not apply to:
(1) Funds equaling 25 percent of the market value of the total assets in the separate account;
(2) Investments in, or loans upon, the security of the general obligations of a sovereign; or
(3) Investments in certificates of deposits insured by the Federal Deposit Insurance Corporation. [1973 c.435 §10; 1981 c.472 §27; 1999 c.107 §17]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.656 - Limitation on securities owned or controlled by separate account investments.

An insurer shall not invest the funds of a separate account so as to own or control, under the insurer’s general and separate accounts in the aggregate, more than 10 percent of the voting power outstanding of any issuer of securities. Securities held in separate accounts, the voting rights in which are exercisable only in accordance with instructions from persons having interests in such accounts, shall not be considered in applying this section. [1973 c.435 §11]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.658 - Applicability of separate account investment limitations.

The limitations provided in ORS 733.654 and 733.656 do not apply to the investment of separate account funds in the securities of an investment company registered under the federal Investment Company Act of 1940, as amended, if the investments of the investment company comply in substance with ORS 733.654 and 733.656. [1973 c.435 §12; 1997 c.249 §219]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.670 - Investment of funds under "prudent investor" standard.

(1) Funds of an insurer may be invested in a manner not expressly prohibited under ORS 732.325 and 733.780, provided such investments are made in the exercise of the judgment and care under the circumstances then prevailing which investors of prudence, discretion and intelligence exercise in the management of their own affairs not in regard to speculation but in regard to the permanent disposition of their funds, considering the probable income as well as the probable safety of their capital.
(2) Funds invested under this section shall not exceed the lesser of seven and one-half percent of the insurer’s assets or the excess of the insurer’s assets over all liabilities and required capitalization.
(3) If the Director of the Department of Consumer and Business Services has reason to believe that loans or investments made pursuant to this section are not adequately secured or are not yielding an income the director may direct the insurer to report under oath the amount of such loans or investments, the security therefor and its market value. [Formerly 738.305; 1979 c.846 §2; 1989 c.425 §4a]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.680 - Acquisition and retention of personal property generally; purchases or loans for protection of investment property.

(1) An insurer may acquire and retain personal property received as a dividend, gift or devise, or pursuant to a lawful plan of merger, consolidation or reorganization or bona fide agreement of bulk reinsurance, or in satisfaction or liquidation of an obligation, or in exchange or part payment for real or personal property previously owned or to protect or enhance such property.
(2) An insurer may make purchases or loan sums necessary to protect, preserve or enhance investment property, real or personal, which it is otherwise authorized to acquire or hold.
(3) The Director of the Department of Consumer and Business Services shall allow as assets in any determination of the financial condition of the insurer only such property or investments acquired or retained under this section as are consistent with the customary operations of an insurer. [Formerly 738.315]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.685 - Investment of funds by home protection insurer; rules.

Funds of a home protection insurer may be invested in tangible personal property held by the insurer for the purpose of performing or providing repairs or replacements under its home protection policies. Funds so invested shall not exceed 25 percent of the assets of the insurer that are allowable in determining its financial condition under the Insurance Code, unless otherwise allowed under rules issued by the Director of the Department of Consumer and Business Services. [1981 c.247 §13]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.695 - Investment of funds in obligations that are not investment quality; rules.

Funds of an insurer may be invested in obligations that are not investment grade as established by the Director of the Department of Consumer and Business Services by rule, but the funds that an insurer may invest under this section shall not exceed 20 percent of the insurer’s assets. [1989 c.425 §2b; 1993 c.447 §22]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.710 - Investments authorized by prior law; date of eligibility of investment.

(1) An investment which was legal and proper immediately before June 8, 1967, shall be considered a proper investment and shall be subject to extension or renewal.
(2) Eligibility of an investment shall be determined as of the date of its acquisition. [Formerly 738.325]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.720 - Investments subject to additional limitations and requirements.

Except as may be expressly provided to the contrary in ORS 733.510 to 733.780, all investments shall be subject to the qualifications, restrictions and limitations set forth in ORS 733.510 to 733.780. [Formerly 738.333]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.730 - Approval by board of directors of investments and deposits.

(1) Investments and sales or exchanges thereof, except for policy loans of an insurer issuing life insurance policies, shall be approved by the board of directors or a committee thereof charged with the duty of investing the funds of the insurer.
(2) Deposits shall be made in banks or banking institutions approved by the board of directors. [Formerly 738.335]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.740 - Record of investments required.

As to each investment, an insurer shall make a written record in permanent form, signed by a person authorized by the board of directors or by a committee thereof charged with the duty of investing the funds. The record shall show the authorization and approval of the investment and in addition shall contain:
(1) In the case of mortgage loans:
(a) The name of the borrower;
(b) The location and legal description of the property;
(c) A physical description and the appraised value of the security as determined by a competent and qualified appraiser; and
(d) The amount of the loan, rate of interest and terms of repayment.
(2) In the case of obligations:
(a) The name of the obligor;
(b) A description of the security and record of earnings;
(c) The amount invested and the rate of interest or dividend; and
(d) The maturity and yield based upon the purchase price.
(3) In the case of corporate stocks:
(a) The name of the issuing corporation;
(b) The record of earnings and of dividends paid for the preceding three years for preferred stock and for the preceding five years for common stock;
(c) A summary of the financial statement of the corporation as of the end of the preceding fiscal year;
(d) The exchange, if any, on which the stock is listed; and
(e) The amount invested and the number of shares acquired and held.
(4) In the case of real estate, leaseholds or vendors’ interests under contracts of sale therein:
(a) The location and legal description of the property;
(b) A physical description and the appraised value of the property and interest therein;
(c) The purchase price and terms;
(d) The amount of any lien known to be against the property;
(e) If of a leasehold, the terms of the outstanding lease; and
(f) If a vendor’s interest under a contract of sale, the terms and status of payments under the contract.
(5) In the case of all investments:
(a) The amount of any expenses and commissions incurred on account of the investment or loan and by whom and to whom payable if not covered by contracts with mortgage loan representatives or correspondents that are part of the insurer’s records; and
(b) The name of any director, trustee or officer of the insurer, having a direct, indirect or contingent interest in the loan, security or property, or who would derive, directly or indirectly, any benefit therefrom, and the nature of such interest or benefit. [Formerly 738.345; 2005 c.22 §488]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.750 - Disposal of investments on order of director.

After a hearing, the Director of the Department of Consumer and Business Services may by written order require the disposal of an investment which the director finds to be made or retained in violation of the Insurance Code, or of an investment which the director, for good cause, determines to be prejudicial to, and to impair the security of, the stockholders or policyholders of the insurer. [Formerly 738.355]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.760 - Insurance required on buildings on property which is security for loan.

On loans secured by liens upon real property or leasehold interests therein, the buildings and other improvements located on the premises shall be kept insured against loss or damage from fire in an amount not less than the unpaid balance of the obligation or the insurable value of the property, whichever is the lesser. The fire insurance policy or policies shall be payable to the insurer, or a trustee for its benefit, and continued in force until the loan is repaid or satisfied. Such policy or policies shall be held by the insurer or the trustee, unless the Director of the Department of Consumer and Business Services has determined that a different method of protecting the insurers against loss is satisfactory and has given prior approval of such method to the insurer. [1967 c.359 §254; 1969 c.336 §10]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.770 - Limitations on investments in property of any one person or single parcel of real estate.

(1) An insurer shall not have any combination of investments in or secured by the stocks, obligations, and property of one person, corporation or political subdivision in excess of 10 percent of the insurer’s assets, nor shall it invest more than 10 percent of its assets in a single parcel of real property or in any other single investment. This subsection does not apply to:
(a) Investments in, or loans upon, the security of the general obligations of a sovereign;
(b) Policy loans by insurers issuing life insurance policies;
(c) Investments by a title insurer in its title plant, or in real property not in excess of 50 percent of the insurer’s combined capital and surplus; or
(d) Investments by a health care service contractor in all real or personal property used exclusively by such contractor to provide authorized health care services or in real property used primarily for its home office.
(2) Notwithstanding subsection (1) of this section and subject to approval by the Director of the Department of Consumer and Business Services in writing, a domestic insurer organized before 1950 may invest an amount not exceeding 15 percent of its assets in real property used primarily for its home office. [Formerly 738.375; 1983 c.732 §1]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 733 - Accounting and Investments › Section 733.780 - Prohibited investments.

(1) An insurer shall not make investments:
(a) Which at the time of purchase or acquisition are not interest-bearing or dividend or income-paying, or are in default in any respect; or
(b) From which the insurer is not entitled to receive for its exclusive account and benefit the interest, dividends or income.
(2) Subsection (1)(a) of this section shall not apply to property acquired under ORS 733.610, 733.670 or 733.680 if the property is acquired with the intent and expectation that it will be income-producing.
(3) An insurer shall not invest its funds in any investment or security found by the Director of the Department of Consumer and Business Services to be designed to evade any prohibition of the Insurance Code. [Formerly 738.385]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 734 - Rehabilitation, Liquidation and Conservation of Insurers › Section 734.014 - Definitions.

As used in this chapter:
(1) "Delinquency proceeding" means any proceeding commenced against an insurer pursuant to this chapter for the purpose of liquidating, rehabilitating or conserving the insurer.
(2) "Foreign country" means territory not in any state.
(3) "General assets" means all property, real, personal or otherwise, not specifically mortgaged, pledged, deposited or otherwise encumbered for the security or benefit of specified persons or a limited class or classes of persons. As to specifically encumbered property, "general assets" includes all such property or its proceeds in excess of the amount necessary to discharge the sum or sums secured thereby. Assets held in trust and assets held on deposit for the security or benefit of all policyholders or all policyholders and creditors, in more than a single state, shall be treated as general assets.
(4) An insurer is "impaired" when its allowed assets do not exceed its liabilities plus its required capitalization.
(5) An insurer is "insolvent" when the insurer is unable to pay its obligations when they are due, or when its allowed assets do not exceed its liabilities.
(6) "Insurer" includes:
(a) All persons transacting or purporting to transact insurance as insurers in this state; and
(b) All persons in process of organization to become insurers.
(7) "Receiver" means receiver, rehabilitator, liquidator or conservator, as the context may require.
(8) "Secured claim" means any claim secured by mortgage, trust deed, pledge, deposit as security, escrow or otherwise, but not including special deposit claims or claims against general assets. "Secured claim" also includes claims which more than four months prior to the commencement of delinquency proceedings in the state of the insurer’s domicile have become liens upon specific assets by reason of judicial process.
(9) "Special deposit claim" means any claim secured by a deposit made pursuant to statute for the security or benefit of a limited class or classes of persons, but not including any claim secured by general assets. [Formerly 734.020; 1993 c.447 §90]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 734 - Rehabilitation, Liquidation and Conservation of Insurers › Section 734.026 - "Domiciliary," "ancillary" and "reciprocal state" defined.

As used in this chapter:
(1) "Domiciliary state" means the state in which an insurer is incorporated or organized or, in the case of an alien insurer, its state of entry.
(2) "Ancillary state" means any state other than a domiciliary state.
(3) "Reciprocal state" means any state other than this state in which in substance and effect the provisions of this chapter relating to delinquency proceedings are in force, including provisions requiring that the Director of the Department of Consumer and Business Services or equivalent insurance supervisory official be the receiver of a delinquent insurer and in which some provision exists for the avoidance of fraudulent conveyances and preferential transfers. [Formerly 734.050; 1993 c.447 §91]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 734 - Rehabilitation, Liquidation and Conservation of Insurers › Section 734.047 - Time for correction of condition leading to order of supervision.

(1) An insurer placed under supervision must correct, eliminate or remedy the acts, transactions or practices that are the basis for the order of supervision and otherwise comply with the requirements of the Director of the Department of Consumer and Business Services within the period of time allowed by the director, not to exceed 60 days, after the date on which the order is served on the insurer.
(2) If the director determines that the conditions giving rise to the supervision still exist at the end of the supervision period established in subsection (1) of this section, the director may extend the period. [1989 c.425 §7; 1993 c.447 §89]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 734 - Rehabilitation, Liquidation and Conservation of Insurers › Section 734.051 - Actions by director during period of supervision.

During the period of supervision of an insurer, the Director of the Department of Consumer and Business Services may institute rehabilitation or liquidation proceedings, extend the period of supervision or take any other action under the authority of the director with respect to the insurer. [1989 c.425 §8]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 734 - Rehabilitation, Liquidation and Conservation of Insurers › Section 734.055 - Action against person violating order of supervision.

The Director of the Department of Consumer and Business Services or supervisor on behalf of an insurer under supervision may bring an action for damages against any person who violates any order of the director under ORS 734.043 if the violation reduces the net worth of the insurer or results in loss to the insurer that the insurer would not have suffered otherwise. The director or supervisor may recover damages to the extent of the reduction or loss. [1989 c.425 §9]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 734 - Rehabilitation, Liquidation and Conservation of Insurers › Section 734.059 - Request for court order.

(1) The Director of the Department of Consumer and Business Services may file a petition with the circuit court requesting an order that:
(a) Authorizes the director to seize all or part of the property, books, accounts and other records of a domestic insurer as well as the premises occupied by the insurer for transacting its business; and
(b) Enjoins the domestic insurer from disposing of its property and transacting business except as allowed by written consent of the director.
(2) The director must include all of the following in the petition under subsection (1) of this section:
(a) An allegation that one or more grounds exist that would justify a court order for a rehabilitation or liquidation proceeding against the insurer.
(b) An allegation that the interests of policyholders, creditors or the public will be endangered by delay.
(c) The contents of the order that the director requests the court to issue. [1989 c.425 §10]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 734 - Rehabilitation, Liquidation and Conservation of Insurers › Section 734.063 - Court order; hearings; notice.

(1) Upon petition by the Director of the Department of Consumer and Business Services under ORS 734.059, the court may issue the requested order immediately, ex parte and without hearing. The court in its order shall specify the duration of the order. The duration of an order shall be a period sufficient to enable the director to ascertain the condition of the insurer.
(2) On motion of the director or the insurer against whom an order under this section is issued, or on the court’s own motion, the court may hold such hearings from time to time as the court determines are desirable, after such notice as it determines appropriate, and may extend, shorten or modify the terms of the order.
(3) The court may vacate an order issued under this section if the court determines that the director has not commenced a rehabilitation or liquidation proceeding within a reasonable time.
(4) An order of the court directing a rehabilitation or liquidation proceeding vacates the order issued under this section.
(5) Entry of a seizure order under this section does not constitute an anticipatory breach of any contract of the insurer.
(6) At any time after a court issues an order under this section, the court may direct that notice of the order be given to a person if the court determines both of the following:
(a) That the person was not notified of the hearing on the order and did not appear at the hearing.
(b) That the interest of the person is or will be substantially affected by the order. [1989 c.425 §11]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 734 - Rehabilitation, Liquidation and Conservation of Insurers › Section 734.067 - Review of court order.

(1) An insurer against whom an order under ORS 734.059 is directed may petition the court for a hearing and review of the order.
(2) Not later than the 15th day after the court receives a petition under subsection (1) of this section, the court shall hold the hearing and review the order. [1989 c.425 §12]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 734 - Rehabilitation, Liquidation and Conservation of Insurers › Section 734.110 - Jurisdiction of delinquency proceedings; venue.

(1) The circuit court shall have original jurisdiction of delinquency proceedings under this chapter, and any court with jurisdiction is authorized to make all necessary or proper orders to carry out the purposes of this chapter.
(2) The venue of delinquency proceedings and proceedings under ORS 734.059 and 734.063 against a domestic insurer and the venue of delinquency proceedings against foreign and alien insurers shall be in the Circuit Court for Marion County.
(3) At any time after the commencement of a delinquency proceeding or a proceeding under ORS 734.059 and 734.063 the court may issue an order changing the venue of the proceeding on motion of the Director of the Department of Consumer and Business Services or other interested person if the court finds the proceedings may be more economically and efficiently conducted thereby. [1967 c.359 §265; 1989 c.425 §13]
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 734 - Rehabilitation, Liquidation and Conservation of Insurers › Section 734.113 - Application of Oregon Receivership Code.

Notwithstanding ORS 37.040, the Oregon Receivership Code does not apply to delinquency proceedings under this chapter. [2017 c.358 §57]
Note:
734.113 was added to and made a part of ORS chapter 734 by legislative action but was not added to any smaller series therein. See Preface to Oregon Revised Statutes for further explanation.
2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 734 - Rehabilitation, Liquidation and Conservation of Insurers › Section 734.120 - Exclusive remedy; appeal.

(1) Delinquency proceedings pursuant to this chapter shall constitute the sole and exclusive method of rehabilitating, liquidating or conserving an insurer, and no court shall entertain a petition for the commencement of such proceedings, or any other similar procedure, unless the same has been filed in the name of the state on the relation of the Director of the Department of Consumer and Business Services.
(2) An appeal shall lie to the Court of Appeals from an order granting or refusing rehabilitation, liquidation, or conservation, and from every order in delinquency proceedings having the character of a final order as to the particular portion of the proceedings embraced therein. [1967 c.359 §266; 1979 c.562 §33]