CHAP. 499.—An ACT to authorize the valuation of bonds and other securities
owned by insurance companies and fraternal beneficiary associations by the
amortization method. [S B 229]

Approved March 25, 1920.

1. Be it enacted by the general assembly of Virginia, That all
bonds or other evidences of debt having a fixed term and rate held
by an insurance company or fraternal beneficiary association author-
ized to do business in this State may, if amply secured and not in
default as ‘to principal and interest, be valued as follows: If pur-
chased at par, at the par value; if purchased above or below par, on
the basis of the purchase price adjusted so as to bring the value to par
at maturity and so as to yield in the meantime the effective rate of
interest at which the purchase was made; provided that that purchase
price shall in no case be taken at a higher figure than the actual market
value at the time of purchase; and, provided further, that the com-
missioner of insurance shall have full discretion in determining the
method of calculating values according to the foregoing rule.