380.471. Approved investments.
Approved investments.
380.471. Any company operating under the provisions ofsections 380.201 to 380.591 may invest in bonds of the UnitedStates, or of this state, or of any county, or of anymunicipality of this state, or in improvement bonds issued forstreet improvements in any city or town of this state, or inbonds issued by any county of this state for the improvement ofhighways, or in notes, bonds, debentures or other similarobligations issued by the federal land banks, federalintermediate credit banks, or banks for cooperatives or any otherobligations issued pursuant to the provisions of an act of theCongress of the United States known as the Farm Credit Act of1971, and acts amendatory thereto, or in bonds issued by buildingand loan funds, mutual investment fund, or in bonds or mortgagesupon unencumbered real estate in this state or in any other stateprovided such real estate shall be worth at least twice theamount loaned thereon. The value of such real estate shall bedetermined by a valuation made under oath by two residents of thecounty where the real estate is located, and if buildings areconsidered as part of the value of such real estate, they shallbe insured for the benefit of the mortgagee. To constitute aproper investment, county, city, town, school district, sanitarydistrict or other political subdivision bonds or other evidenceof indebtedness must be issued by authority of the law, andinterest thereon must not be in default. Any company operatingunder sections 380.201 to 380.591 may also invest in certificatesof deposit issued by any bank, savings and loan, or credit union,in an amount which is fully insured, and may loan or advancemoney to any other insurance company, provided that each suchloan or advancement shall not exceed an amount equal to fiftypercent of the average annual income of the borrowing companyduring the last five-year period. Any company may make suchother investments as may be approved by the director.
(L. 1984 H.B. 1498, A.L. 1990 H.B. 1070)