Virginia Statutes

§ 38.2-2606 — Reserves required

Virginia § 38.2-2606
JurisdictionVirginia
Title 38.2Insurance
Ch. 26Home Protection Companies

This text of Virginia § 38.2-2606 (Reserves required) is published on Counsel Stack Legal Research, covering Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Va. Code Ann. § 38.2-2606 (2026).

Text

A home protection company licensed in this Commonwealth shall maintain reserves in an amount sufficient to provide for its liability to furnish appropriate indemnity, repairs, and replacement services under its issued and outstanding contracts. The reserve account shall be calculated according to sound actuarial principles, but shall equal at a minimum fifty percent of the premiums received from all contracts in force in this Commonwealth, net of applicable reinsurance and any amounts paid on account of liabilities incurred under the contracts. To receive credit for reinsurance on home protection contracts, the reinsurance contract or policy shall be issued by a solvent insurer licensed in this Commonwealth or any other state having standards of solvency at least equal to those required in

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Legislative History

1981, c. 530, § 38.1-936; 1986, c. 562.

Nearby Sections

15
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Cite This Page — Counsel Stack

Bluebook (online)
Virginia § 38.2-2606, Counsel Stack Legal Research, https://law.counselstack.com/statute/va/38.2/38.2-2606.