(a) An insurer may own and invest or have invested in its home office and branch office buildings any of its funds in aggregate amount not to exceed 10 percent of its assets unless approved by the Commissioner, or if a mutual insurer not to exceed 10 percent of its assets nor such amount as would reduce its surplus, exclusive of such investment, below $50,000 unless approved by the Commissioner.
(b) An insurer may own real property acquired in satisfaction or on account of loans, mortgages, liens, judgments, or other debts previously owing to the insurer in the course of its business, and may invest or have invested in aggregate amount not exceeding 3 percent of its assets in other real property, and in the repair, alteration, furnishing, or improvement thereof, as follows only:
(1) other real property requisite for its accommodation in the convenient transaction of its business if approved by the Commissioner;
(2) real property acquired by gift or devise;
(3) real property acquired in exchange for real property owned by it. If necessary in order to consummate such an exchange, the insurer may put up cash in amount not to exceed 20 percent of the fair value of its real property to be so exchanged, in addition to such property.
(4) real property acquired through a lawful merger or consolidation with it of another insurer and not required for the purposes specified in subsection (a) of this section and in paragraph (1) of this subsection; and
(5) upon approval of the Commissioner, in real property and equipment incident to real property, requisite or desirable for the protection or enhancement of the value of other real property owned by the insurer.