The Vermont Statutes Online
The Statutes below include the actions of the 2025 session of the General Assembly.
NOTE: The Vermont Statutes Online is an unofficial copy of the Vermont Statutes Annotated that is provided as a convenience.
Subchapter
004
:
INVESTMENTS AND LOANS
(Cite as: 8 V.S.A. § 3465)
-
§ 3465. Exemption from investment limitations
(a) Nothing in this chapter or other statute law of the State shall be construed as denying
to an insurer the right to invest its funds, operate a business, manage or deal in
property, or take any other action over whatever period of time may be reasonably
necessary to avoid loss on a loan or investment previously made or an obligation created
in good faith, the conditions and limitations of the investment of funds in this chapter
to the contrary notwithstanding.
(b) No investment limitation contained in this chapter shall prohibit an insurer from
investing in or acquiring securities or other properties of another insurance company
in connection with a lawful agreement of bulk reinsurance, merger, consolidation,
sale of assets, or acquisition of a subsidiary under subchapter 13 of this chapter.
(c) No investment limitation contained in this chapter shall prohibit the acquisition
and retention by an insurer of substitute or additional securities or property if:
(1) received as a dividend;
(2) a lawful distribution of assets;
(3) through the exercise of rights of conversion, warrants, or rights to purchase stock
or preemptive rights to subscribe to stock, contained in or attached to a previously
existing investment in such company;
(4) pursuant to a lawful plan of reorganization. (Added 1967, No. 344 (Adj. Sess.), § 1 (ch. 1, subch. 5, art. 3, § 1); amended 2003, No. 163 (Adj. Sess.), § 44, eff. June 10, 2004.)