N.J. Admin. Code § 11:28-1.12

Current through Register Vol. 57, No. 1, January 6, 2025

Section 11:28-1.12 - Deposit requirement

(a) Whenever the Commissioner deems that the financial condition of a captive warrants additional security, he or she may require the captive to deposit with the Treasurer of this State cash or securities approved by the Commissioner or, alternatively, to furnish the Commissioner an irrevocable letter of credit issued by a bank chartered by the State of New Jersey or a member bank of the Federal Reserve System and approved by the Commissioner.

(b) The captive may receive interest or dividends from said deposit or exchange the deposits for others of equal value with the approval of the Commissioner. If such captive discontinues business, the Commissioner shall return such deposit only after being satisfied that all obligations of the company have been discharged.