Section 500.4623 - Sponsored captive insurance company; discount of reserves.
THE INSURANCE CODE OF 1956 (EXCERPT)
Act 218 of 1956
500.4623 Sponsored captive insurance company; discount of reserves.
Sec. 4623.
(1) A sponsored captive insurance company may discount its loss and loss adjustment expense reserves at the lesser of treasury rates or the captive insurance company's actual rate of return applied to the applicable payments projected through the use of the expected payment pattern associated with the reserves.
(2) The commissioner may disallow the discounting of reserves if a sponsored captive insurance company violates a provision of this act.
History: Add. 2008, Act 29, Imd. Eff. Mar. 13, 2008
Popular Name: Act 218