Insurance Companies Act
Marginal note:Restriction on security interests
470 (1) Subject to subsection (3), a company shall not create a security interest in any property of the company to secure an obligation of the company, unless
(a) the security interest is created in relation to the reinsurance by the company of risks insured by another insurer; or
(b) the Superintendent has approved in writing the creation of the security interest.
Marginal note:Encumbered property
(2) A company shall notify the Superintendent in writing of any beneficial interest in real and personal property acquired by the company, other than by way of realization, that is subject to a security interest.
(3) Subsection (1) does not apply in respect of security interests created on
(a) such classes of personal property as the Superintendent may, by order, designate; or
(b) property having an aggregate value that is less than such amount as the Superintendent may, by order, specify.
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