§ 58-7-163. Assets not allowed. - North Carolina Statutes

§ 58‑7‑163. Assets not allowed.

In addition to assetsimpliedly excluded by the provisions of G.S. 58‑7‑162, thefollowing expressly shall not be allowed as assets in any determination of thefinancial condition of an insurer:

(1)        Repealed by SessionLaws 2003‑212, s. 7, effective October 1, 2003.

(2)        Advances (other thanpolicy loans) to officers, directors, and controlling stockholders, whethersecured or not, and advances to employees, agents, and other persons onpersonal security only.

(3)        Stock of the insureror any material equity therein or loans secured thereby, or any materialproportionate interest in the stock acquired or held through the ownership bythe insurer of an interest in another firm, corporation, or business unit.

(4)        Repealed by SessionLaws 2003‑212, s. 7, effective October 1, 2003.

(5)        The amount, if any,by which the aggregate book value of investments as carried in the ledgerassets of the insurer exceeds the aggregate value of the investments asdetermined under this Chapter.

(6)        Bonds, notes, orother evidences of indebtedness that are secured by mortgages or deeds of trustthat are in default, to the extent of the cost or carrying value that is inexcess of the value as determined pursuant to other provisions of this Chapter.

(7)        Repealed by SessionLaws 2003‑212, s. 7, effective October 1, 2003.

(8)        Certificates ofcontribution, surplus notes, or other similar evidences of indebtedness, to theextent that admission of these investments results in the double counting ofthese investments in the reporting entity's balance sheet.

(9)        Any asset that isencumbered in any manner unless the asset is authorized under G.S. 58‑7‑187or G.S. 58‑7‑162(13). (1991, c. 681, s. 29; 1993, c. 452, s. 9; 1993 (Reg.Sess., 1994), c. 678, s. 11; 2003‑212, s. 7.)