CODE OF VIRGINIA

ESTABLISHMENT OF SEPARATE ACCOUNTS FOR PENSION, RETIREMENT OR PROFIT-SHARING
PLANS; INVESTMENT OF FUNDS IN SUCH ACCOUNTS (§ 38.2-1444)

A. A domestic insurer, after adoption of a resolution by its board of directors
and certification of that adoption to the Commission, may allocate to one or
more separate accounts, in accordance with the terms of a written agreement, any
amounts paid to or held by the insurer in connection with a pension, retirement
or profit-sharing plan.  The plan may provide (i) retirement benefits pursuant
to the terms of the agreement or under the insurer’s policies or contracts
and (ii) other benefits incidental to the agreement or policies.  The retirement
benefits may vary according to the terms of the agreement, policies or contracts
and any standards incorporated in them.  Any income and any realized or
unrealized gain or loss on each account shall be credited to or charged against
that account in accordance with the agreement, without regard to the other
income, gains or losses of the insurer.

B. Notwithstanding any other provision in this title, the amounts allocated to
the accounts and accumulations on them may be invested and reinvested in any
kinds of investment specified in the agreement other than those prohibited by §
38.2-1407. The investments shall not be taken into account in applying the
investment limitations of this chapter to investments made by the insurer.

C. Amounts allocated by an insurer to separate accounts pursuant to this section
shall be owned by the insurer, and the insurer shall not be, nor hold itself out
to be, a trustee for the amounts.  The insurer’s liability under the
accounts shall be limited to the amount of funds in the account.

HISTORY: 1983, c. 457, § 38.1-217.46; 1986, c. 562.