Relating to life insurance company or association investments in foreign countries other than Canada, and including applicability provisions

8, if the aggregate amount of foreign investments held by the company or association does not exceed percent of the company’s or association’s legal reserve, does not exceed percent of the company’s or association’s legal reserve if the foreign jurisdiction has a sovereign debt rating of SVO 1, and for all other foreign jurisdictions does not exceed percent of the legal reserve.8 for purposes of determining compliance with any limitations under those subsections. Under current law, companies and associations may invest in bonds or other evidences of indebtedness, not to include currency, issued, assumed, or guaranteed by a foreign government other than Canada, or by a corporation incorporated under the laws of a foreign government other than Canada. Such governmental obligations must be valid, legally authorized, and issued, and on the date of acquisition have predominantly investment qualities and characteristics as provided by administrative rule. The corporate obligations have to meet specific qualifications established for bonds and other evidences of indebtedness issued, assumed, or guaranteed by a corporation incorporated under the laws of the United States or Canada. Such foreign investments cannot exceed percent of the legal reserve of the company or association. Investments in obligations of a foreign government, other than Canada, the United Kingdom (UK), and foreign governments rated AAA by Standard and Poor’s division of McGraw-Hill companies, inc. (S&P), or Aaa by Moody’s investors services, inc. (Moody’s), cannot be in excess of percent of the legal reserve in the securities of foreign governments of any one foreign nation. Investments in obligations of the UK cannot exceed percent of the legal reserve. Investments in obligations of foreign governments rated either AAA by S&P, or Aaa by Moody’s, cannot exceed percent of the legal reserve. Investments in a corporation incorporated under the laws of a foreign government other than Canada cannot exceed percent of the legal reserve in the securities of any one foreign corporation. The bill applies to funds invested by a life insurance company or association in a foreign country other than Canada on or after January 1, 2023.