Section 0780-01-41-.04 - DEPOSIT REQUIREMENT(1) Whenever the commissioner deems that the financial condition of the company warrants additional security, the commissioner may require a company to deposit cash or securities approved by the commissioner in addition to statutory prescribed amounts. The deposit shall be in the form of cash or cash equivalent or an irrevocable letter of credit issued by a bank acceptable to the commissioner.(2) The company may receive interest or dividends from said deposit; however the company may not exchange the deposits for others of equal value without the approval of the commissioner.(3) If such company discontinues business, the commissioner shall release any claim to such deposit only after being satisfied that all obligations of the company have been discharged.Tenn. Comp. R. & Regs. 0780-01-41-.04
Original rule filed November 30, 2012; effective February 28, 2013. Repeal and new rule filed September 22, 2017; effective 12/21/2017.Authority: 2011 Public Acts, Chapter 468, T.C.A. §§ 56-13-101 through 56-13-418, 56-13-105, 56-13-108, 56-13-115, and 56-13-121.