Ind. Code § 27-9-3-40.5
Segregated investment accounts
Indiana · Indiana Code Title 27 — Insurance · Status: effective
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- Ind. Code § 27-9-3-40.5, Segregated investment accounts, Indiana, version 1 as recorded 2026-09-28, yourstate.us, https://yourstate.us/provision/1664553
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Full text
Sec. 40.5.
(a) A claim under a contract that is funded by an account established under IC 27-1-5-1 as a segregated investment account must be satisfied from the assets maintained in the account. The segregated investment account is not chargeable with a liability arising out of other business that the insurer conducts that has no specific relation to or dependence on the account.
(b) Surplus remaining in a segregated investment account by virtue of a guarantee by the insurer as described in IC 27-1-5-1 must be included in the assets of the insurer's estate.
(c) A deficit in a segregated investment account by virtue of a guarantee by an insurer as described in IC 27-1-5-1 must be treated as a Class 2 claim under section 40 of this chapter.