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A-32 - Act respecting insurance
Section 246
Disposition versions
246. No insurer may acquire claims secured by hypothec or grant a hypothecary loan of an amount exceeding 80% of the value of the immovable which secures payment thereof, less any other claims secured thereby and ranking equally with or ahead of the insurer’s claim except where the excess amount is guaranteed or assured by the government of Québec, of a Canadian province, of Canada or of a country where the insurer carries on business, by the Canada Mortgage and Housing Corporation, the Société d’habitation du Québec or an hypothecary insurance policy issued by an insurance company holding a licence issued under this Act.
However, the said amount may be exceeded in respect of an immovable on which the insurer holds security if the corresponding hypothecary claim is endangered or in respect of an immovable that has been repossessed.
246. No insurer may acquire claims secured by hypothec or grant a hypothecary loan of an amount exceeding 75 % of the value of the immovable which secures payment thereof, less any other claims secured thereby and ranking equally with or ahead of the insurer’s claim except where the excess amount is guaranteed or assured by the government of Québec, of a Canadian province, of Canada or of a country where the insurer carries on business, by the Canada Mortgage and Housing Corporation, the Société d’habitation du Québec or an hypothecary insurance policy issued by an insurance company holding a licence issued under this Act.
However, the said amount may be exceeded in respect of an immovable on which the insurer holds security if the corresponding hypothecary claim is endangered or in respect of an immovable that has been repossessed.
246. No insurer, other than a mutual association or a professional order, may hold a hypothecary debt for an amount that exceeds 75% of the value of the real estate securing payment of it, less any other debts secured by the real estate and ranking equally with or ahead of the insurer’s claim except where the excess amount is guaranteed or assured by the government of Québec, of a Canadian province, of Canada or of a country where the insurer carries on business, by the Canada Mortgage and Housing Corporation, the Société d’habitation du Québec or an hypothecary insurance policy issued by an insurance company holding a licence issued under this Act.
246. No insurer, other than a mutual association or a professional corporation, may hold a hypothecary debt for an amount that exceeds 75% of the value of the real estate securing payment of it, less any other debts secured by the real estate and ranking equally with or ahead of the insurer’s claim except where the excess amount is guaranteed or assured by the government of Québec, of a Canadian province, of Canada or of a country where the insurer carries on business, by the Canada Mortgage and Housing Corporation, the Société d’habitation du Québec or an hypothecary insurance policy issued by an insurance company holding a licence issued under this Act.
246. No insurer, other than a mutual association, may hold a hypothecary debt for an amount that exceeds seventy-five per cent of the value of the real estate securing payment of it, less any other debts secured by the real estate and ranking equally with or ahead of the insurer’s claim except where the excess amount is guaranteed or assured by the government of Québec, of a Canadian province, of Canada or of a country where the insurer carries on business, by the Canada Mortgage and Housing Corporation, the Société d’habitation du Québec or an hypothecary insurance policy issued by an insurance company holding a licence issued under this Act.
246. Any insurer may acquire and hold bonds or other securities issued by a corporation or a cooperative,
(a) if they are fully secured by real estate or by shares, common or preferred shares, bonds or other securities allowable for investment by the insurer under this division;
(b) if they are fully secured by equipment of the corporation or the cooperative and if one or the other, as the case may be, has paid in full the interest on its other debts during the ten years preceding the acquisition of the bonds or other securities by the insurer;
(c) if the common or preferred shares of the corporation or the common or preferred shares of the cooperative are allowable for investment by the insurer under section 247 or subsection 1 of section 248;
(d) if they are fully secured by a corporation whose common or preferred shares are allowable for investment by the insurer under section 247 or subsection 1 of section 248; or
(e) if they are fully secured by a cooperative whose common or preferred shares are allowable for investment by the insurer under section 247 or subsection 1 of section 248.
246. Any insurer may acquire and hold bonds or other securities issued by a corporation, a cooperative association or a cooperative agricultural association,
(a) if they are fully secured by real estate or by shares, preferred shares, bonds or other securities allowable for investment by the insurer under this division;
(b) if they are fully secured by equipment of the corporation, of the cooperative association or of the cooperative agricultural association, and if one or the other, as the case may be, has paid in full the interest on its other debts during the ten years preceding the acquisition of the bonds or other securities by the insurer;
(c) if the common or preferred shares of the corporation or of the cooperative agricultural association or the shares or preferred shares of the cooperative association are allowable for investment by the insurer under section 247 or subsection 1 of section 248;
(d) if they are fully secured by a corporation or a cooperative agricultural association whose common or preferred shares are allowable for investment by the insurer under section 247 or subsection 1 of section 248; or
(e) if they are fully secured by a cooperative agricultural association whose shares or preferred shares are allowable for investment by the insurer under section 247 or subsection 1 of section 248.
246. Any insurer may acquire and hold bonds or other securities issued by a corporation, a cooperative association or a cooperative agricultural association:
(a) if they are fully secured by real estate or by shares, preferred shares or bonds allowable for investment by the insurer under this division;
(b) if they are fully secured by equipment of the corporation, of the cooperative association or of the cooperative agricultural association, and if one or the other, as the case may be, has paid in full the interest on its other debts during the ten years preceding the acquisition of the bonds by the insurer;
(c) if the common or preferred shares of the corporation or of the cooperative agricultural association or the shares or preferred shares of the cooperative association are allowable for investment by the insurer under section 247 or by subsection 1 of section 248; or
(d) if they are fully secured by a corporation or a cooperative agricultural association whose common or preferred shares are allowable for investment by the insurer under section 247 or by subsection 1 of section 248;
(e) if they are fully secured by a cooperative agricultural association whose shares or preferred shares are allowable for investment by the insurer under section 247 or subsection 1 of section 248.
