                                 CODE OF VIRGINIA

INVESTMENT CONVERSIONS (§ 38.2-1406)

Investments converted to a new form and resulting in a different investment
classification under § 38.2-1402, at the election of the insurer, shall retain
their previous investment classification for a period not exceeding three years
unless the Commission prescribes in writing that a longer period is reasonable.
Any prohibited investments shall be divested within that period. The investment
conversions shall include those resulting (i) from investments acquired in
satisfaction of or on account of loans, mortgages, liens, judgments, or other
debts previously owing to the insurer in the course of its business, or (ii)
from investments acquired through lawful distributions of assets, lawful plans
of reorganization, or lawful and bona fide agreements of bulk reinsurance or of
consolidation.

HISTORY: 1983, c. 457, § 38.1-217.7; 1986, c. 562.