Louisiana § RS 22:601.8 - Equity interests
Full text of Louisiana Louisiana Civil Code § RS 22:601.8 — Equity interests, with citation guidance and answers to common questions.
§ RS 22:601.8. Equity interests
A. An insurer may acquire preferred stocks in any United States business entity if, as a result of and after giving effect to the investment:
(1) Securities of a single issuer and its affiliates, other than the government of the United States and subsidiaries authorized pursuant to R.S. 22:691.3, shall not exceed three percent of admitted assets.
(2) The aggregate amount of preferred stocks then held by the insurer under this Subsection does not exceed twenty-five percent of its admitted assets.
B. An insurer may acquire equity interests in solvent business entities meeting any of the following criteria:
(1) Domiciled in the United States.
(2) Domiciled in a foreign jurisdiction if listed on a qualified exchange.
(3) Permitted pursuant to R.S. 22:601.12.
C. An insurer shall not acquire an investment pursuant to this Section if, as a result of and after giving effect to the investment:
(1) The aggregate amount of investments then held by the insurer under this Section, excluding exchange-traded funds and mutual funds, would exceed fifty percent of its admitted assets, or the amount of equity interests then held by the insurer that are not listed on a qualified exchange would exceed five percent of its admitted assets.
(2) The aggregate amount of exchange-traded fund and mutual fund investments then held by the insurer under this Section would exceed the greater of fifty percent of its admitted assets or one hundred percent of its surplus as regards policyholders. The investment in any one fund shall be limited to ten percent of admitted assets.
D. If the commissioner considers it desirable in order to properly evaluate the investment portfolio of an insurer, the commissioner may require that investments in exchange-traded funds, mutual funds, pooled investment vehicles, or other investment companies be treated for purposes of this Subpart as if the investor owned directly its proportional share of the assets owned by the exchange-traded fund, mutual fund, pooled investment vehicle, or investment company.
Acts 2021, No. 165, §1, eff. Jan. 1, 2022.
Source: official Louisiana text · Last verified 2026-08-27
Frequently Asked Questions About Louisiana § RS 22:601.8
What does Louisiana Civil Code § RS 22:601.8 cover?
Section RS 22:601.8 ("Equity interests") is part of the Louisiana Civil Code, the codified statutory law of Louisiana. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Louisiana § RS 22:601.8?
A common citation format is "Louisiana Civil Code § RS 22:601.8" (Louisiana). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Louisiana law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Louisiana official source linked on this page or consult a licensed Louisiana attorney.
How does Louisiana § RS 22:601.8 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Louisiana can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Louisiana.