A-32 - Act respecting insurance

Section 248 Disposition versions

1996-12-23

248. Every insurer shall adopt an investment policy approved by its board of directors. The policy must include, in particular, the matching of the maturities of its investments with its financial commitments, the diversification of investments and a precise description of the types of investments that may be made in the form of hypothecary loans and the limits applicable thereto.

Every insurer shall state in its annual report the name of each legal person in which it holds 10% or more of the voting shares.

1974, c. 70, s. 248; 1979, c. 33, s. 12; 1982, c. 26, s. 286; 1984, c. 22, s. 48; 1990, c. 86, s. 28; 1996, c. 63, s. 44, s. 80, s. 83.

1991-03-15

248. Every insurer shall adopt an investment policy approved by its board of directors. The policy must include, in particular, the matching of maturities of its investments and financial commitments and the diversification of investments.

Every insurer shall state in its annual report the corporate name of each corporation in which it holds ten per cent or more of the voting shares.

1974, c. 70, s. 248; 1979, c. 33, s. 12; 1982, c. 26, s. 286; 1984, c. 22, s. 48; 1990, c. 86, s. 28.

1984-06-20

248. Every insurer shall adopt an investment policy approved by its board of directors. The policy must include, in particular, the matching of maturities of its investments and financial commitments.

Every insurer shall state in its annual report the corporate name of each corporation in which it holds ten per cent or more of the voting shares.

1974, c. 70, s. 248; 1979, c. 33, s. 12; 1982, c. 26, s. 286; 1984, c. 22, s. 48.

1983-12-21

248. (1)  An insurer other than a mutual association may acquire and hold fully paid common shares of a corporation other than an insurance company or fully paid shares of a cooperative if the corporation or cooperative, during a period of five years that ended less than one year before the date of acquisition, obtained on its common shares or shares in each of at least four of those five years, including the last year, a net yield of at least 4 per cent of the average value at which the shares or common shares were entered in its capital account during the year in which it made earnings available for payment of dividends.

(2)  The rights conferred by this section are also subject to the following restrictions:

(a)  no insurer may hold more than 30 per cent of the common shares or of a class of common shares of one corporation or of the shares or of a class of shares of one cooperative;

(b)  no insurer may invest more than 25 per cent of its total assets in common shares except where, in the case of an insurer other than a mutual association transacting damage insurance, its assets exceed the minimum provided for in section 275 when they are established in taking account only of the first paragraph of that section; the insurer may then invest all or part of its surplus in common shares up to forty per cent of its total assets.

(3)  For the purposes of subsection 1, where a corporation or association holds more than fifty per cent of the shares or common shares of another corporation or association and the accounts of the corporation or association are presented to the shareholders or members in consolidated form, the yield must be computed on the basis of these accounts. Similarly, in the case of a corporation or association continuing or formed as a result of an amalgamation, the yield is determined, for any relevant period prior to the date of amalgamation, as though the consolidated accounts of the amalgamated corporations or associations had been established.

1974, c. 70, s. 248; 1979, c. 33, s. 12; 1982, c. 26, s. 286.

1979-06-22

248. (1)  An insurer other than a mutual association may acquire and hold fully paid common shares of a corporation other than an insurance company or of a cooperative agricultural association or fully paid shares of a cooperative association if the corporation or association, during a period of five years that ended less than one year before the date of acquisition, obtained on its common shares or shares in each of at least four of those five years, including the last year, a net yield of at least 4 per cent of the average value at which the shares or common shares were entered in its capital account during the year in which it made earnings available for payment of dividends.

(2)  The rights conferred by this section are also subject to the following restrictions:

(a)  no insurer may hold more than 30 per cent of the common shares or of a class of common shares of one corporation or cooperative agricultural association or of the shares or of a class of shares of one cooperative association;

(b)  no insurer may invest more than 25 per cent of its total assets in common shares except where, in the case of an insurer other than a mutual association transacting damage insurance, its assets exceed the minimum provided for in section 275 when they are established in taking account only of the first paragraph of that section; the insurer may then invest all or part of its surplus in common shares up to forty per cent of its total assets.

(3)  For the purposes of subsection 1, where a corporation or association holds more than fifty per cent of the shares or common shares of another corporation or association and the accounts of the corporation or association are presented to the shareholders or members in consolidated form, the yield must be computed on the basis of these accounts. Similarly, in the case of a corporation or association continuing or formed as a result of an amalgamation, the yield is determined, for any relevant period prior to the date of amalgamation, as though the consolidated accounts of the amalgamated corporations or associations had been established.

1974, c. 70, s. 248; 1979, c. 33, s. 12.

1977-12-31

248. (1)  An insurer other than a mutual association may acquire and hold fully paid common shares of a corporation other than an insurance company or of a cooperative agricultural association or fully paid shares of a cooperative association if the corporation or association, during each of the five years preceding the acquisition, has obtained on its common shares or shares a net yield of at least 4 per cent of the average value at which they were entered in its capital account during the year in which it has made earnings available for payment of dividends.

(2)  The rights conferred by this section shall also be subject to the following restrictions:

(a)  no insurer shall hold more than 30 per cent of the common shares or of a class of common shares of one corporation or cooperative agricultural association or of the shares or of a class of shares of one cooperative association;

(b)  no insurer shall invest more than 25 per cent of its total assets in common shares.

1974, c. 70, s. 248.