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
:
SPECIAL PURPOSE FINANCIAL INSURANCE COMPANIES
(Cite as: 8 V.S.A. § 6048j)
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§ 6048j. Disposition of assets; investments
(a) The assets of a special purpose financial insurance company shall be preserved and
administered by or on behalf of the special purpose financial insurance company to
satisfy the liabilities and obligations of the special purpose financial insurance
company incident to the reinsurance contract, the insurance securitization, and other
related agreements.
(b) In the special purpose financial insurance company securitization, the security offering
memorandum or other document issued to prospective investors regarding the offer and
sale of a surplus note or other security shall include a disclosure that all or part
of the proceeds of such insurance securitization will be used to fund the special
purpose financial insurance company’s obligations to the ceding insurer.
(c) A special purpose financial insurance company shall not be subject to any restriction
on investments other than the following:
(1) a special purpose financial insurance company shall not make a loan to any person
other than as permitted under its plan of operation or as otherwise approved in advance
by the Commissioner; and
(2) the Commissioner may prohibit or limit any investment that threatens the solvency
or liquidity of the special purpose financial insurance company unless the investment
is otherwise approved in its plan of operation or in an order issued to the special
purpose financial insurance company pursuant to subsection 6048d(b) of this chapter,
as either is amended from time to time. (Added 2007, No. 49, § 17; amended 2013, No. 29, § 61, eff. May 13, 2013.)