{"data":{"id":"us-dc/d.c.-code-31-3932.06","jurisdiction":"us-dc","citation":"D.C. Code § 31-3932.06","heading":"Securities of SPFCs.","body":"(a)\nAn SPFC may issue securities, including surplus notes and other forms of financial instruments, subject to and in accordance with applicable law, its approved strategic business plan, and its organizational documents.\n\n(b)\nAn SPFC, in connection with the issuance of securities, may enter into and perform all of its obligations under any required contracts to facilitate the issuance of such securities.\n\n(c)\nSubject to the approval of the Commissioner, an SPFC may:\n(1)\nAccount for the proceeds of surplus notes as surplus and not as debt for purposes of statutory accounting;\n(2)\nSubmit for prior approval of the Commissioner periodic written requests for payments of interest on and repayments of principal of surplus notes.\n\n(d)\nSurplus notes issued by an SPFC constitute surplus or contribution notes of the type described in § 31-1340(7).\n\n(e)\nThe Commissioner may approve formulas for an ongoing plan of interest payments or principal repayments, or both, to provide guidance in connection with his ongoing reviews of requests to approve the payments on and principal repayments of the surplus notes.\n\n(f)\nThe obligation to repay principal or interest, or both, on the securities issued by the SPFC shall reflect the risk associated with the obligations of the SPFC to the counterparty under the SPFC contract.","path":["Title 31. Insurance and Securities.","Chapter 39A. Captive Insurance Companies (2004).","Subchapter II. Special Purpose Financial Captive Insurance Companies."],"source_url":"https://code.dccouncil.gov/us/dc/council/code/sections/31-3932.06","current_through":"2026-08-20 (D.C. Law 26-175)","vintage":"","retrieved_at":"2026-08-29T05:44:07Z","sha256":"8feb11af3fc3d0155f79d81cb3c3efef8a60ea15d0d7fde7f74f5e9099662296","source_id":"us-dc","stale":false,"prev":"us-dc/d.c.-code-31-3932.05","next":"us-dc/d.c.-code-31-3932.07"},"notice":"GroundRules: Original legal text. Not legal advice."}