31A-18-109, whether the insurer makes these investments directly or as a participant in a partnership, joint venture, or limited liability company:

1. (1) cash in the direct possession of the insurer or on deposit with a financial institution regulated by a federal or state agency;

2. (2) a bond, debt-like preferred stock, and other evidence of indebtedness to:

   1. (a) a government unit in the United States or Canada;
   2. (b) an instrumentality of a government unit in the United States or Canada; or
   3. (c) a private business entity domiciled in the United States or Canada, including asset-backed securities and mutual funds listed by the Securities Valuation Office of the NAIC;

3. (3) a loan secured by:

   1. (a) a mortgage, trust deed, or other security interest in real property located in the United States or Canada; or

   2. (b) insurance against default issued by:

      1. (i) a government insurance corporation of the United States or Canada; or
      2. (ii) an insurer authorized to do business in this state;

4. (4)

   1. (a) common stock, equity-like preferred stock, or equity interests in any United States or Canadian business entity; or
   2. (b) a share of mutual funds registered with the Securities and Exchange Commission of the United States under the Investment Company Act of 1940, 15 U.S.C. Sec. 80a-1 et seq., other than any mutual fund listed by the Securities Valuation Office of the NAIC;
5. (5) real property necessary for the convenient transaction of the insurer's business;

6. (6) real property, including the fixtures, furniture, furnishings, and equipment pertaining to the real property that:

   1. (a) is located in the United States or Canada; and
   2. (b) produces, or after suitable improvement can reasonably be expected to produce substantial income;
7. (7) a loan, security, or other investment described in Subsections (1) through (6) in a country other than the United States or Canada;
8. (8) a bond or other evidence of indebtedness to an international development organization of which the United States is a member;

9. (9) a loan upon the security of the insurer's own policies:

   1. (a) in an amount that is adequately secured by the policies; and
   2. (b) that does not exceed the surrender values of the policies;
10. (10) tangible personal property under contract of sale or lease with a contractual payment that may be reasonably expected to return the principal of, and provide earnings on, the investments within the tangible personal property's anticipated useful life;
11. (11) a loan secured by a pledged security or evidence of debt eligible for investment under this section;
12. (12) other investments the commissioner authorizes by rule; and

13. (13) for an investment not otherwise permitted by this section, and not specifically prohibited by statute, the lesser of:

    1. (a) excess surplus as that term is defined in Section 31A-1-301; or
    2. (b) 5% of the first $500,000,000 of the insurer's admitted assets plus 10% of the insurer's admitted assets exceeding $500,000,000.

Repealed and Re-enacted by Chapter 368, 2025 General Session