Iowa Administrative Rules (Last Updated: December 07, 2016) |
Department 181. Commerce Department |
Division 191. Insurance Division |
Chapter 49. FINANCIAL INSTRUMENTS USED IN HEDGING TRANSACTIONS |
Section 191.49.5. Trading requirements.
Latest version.
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Each derivative instrument qualifying for legal reserve purposes under Iowa Code section 511.8(22) shall be:
1. Traded on a qualified exchange;
2. Entered into with, or guaranteed by, a business entity with an investment grade rating by the NAIC Securities and Valuation Office or by a majority of nationally recognized statistical rating organizations (NRSRO), on the NAIC/NRSRO list, that rate the business entity;
3. Issued or written by, or entered into with, the issuer of the underlying interest on which the derivative instrument is based; or
4. Entered into with a qualified foreign exchange.