Limitation on geographic concentration

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20-1543. Limitation on geographic concentration

A. A mortgage guaranty insurance company shall not:

1. Insure loans secured by a single risk in excess of ten per cent of the company's aggregate capital, surplus and contingency reserve.

2. Have more than twenty per cent of its total insurance in force in any one standard metropolitan statistical area, as defined by the United States department of commerce.

B. The provisions of this section shall not apply to a mortgage guaranty insurance company until it has possessed a certificate of authority in this state for three years.


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