40-229. Valuation of securities. - Kansas Statutes

40-229

Chapter 40.--INSURANCE Article 2.--GENERAL PROVISIONS

      40-229.   Valuation of securities.All bonds or other evidences of debt having a fixed term and rate heldby any insurance company or fraternal benefit society authorized to dobusiness in this state may, if amply secured and not in default as toprincipal or interest, be valued as follows: If purchased at par, at thepar value; if purchased above or below par, on the basis of the purchaseprice adjusted so as to bring the value to par at maturity and so as toyield in the meantime the effective rate of interest at which the purchasewas made: Provided, That the purchase price shall in no case be takenat a higher figure than the actual market value at the time of purchase:And provided further, That the commissioner of insurance shall havefull discretion in determining the method of calculating values accordingto the foregoing rule.

      History:   L. 1927, ch. 231, 40-229; June 1.