New York Laws
Article 76 - Property/casualty Security Funds
7607 - Management and Investment of Funds.

(b) With respect to the moneys in the property/casualty insurance
security fund the commissioner may also invest in:
(1) obligations of public benefit corporations whose obligations are
legal for investment by public officers and bodies of this state;
(2) up to thirty-three and one-third percent of the net value of the
fund in mortgage loans or deeds of trust on real property improved by
one, two, three or four family residences owned by one or more
individuals and occupied by an owner and located in this state. The
amount invested in mortgage loans and deeds of trust may not exceed the
lesser of ninety percent of the appraised value of the real property or
thirty-five thousand dollars if a one-family residence, forty thousand
dollars if a two-family residence, forty-five thousand dollars if a
three-family residence, or fifty thousand dollars if a four-family
residence. The mortgage or deed of trust shall provide for monthly
principal and interest payments in amounts sufficient to pay all
interest and effect full repayment of principal within seventy-five
percent of the estimated remaining useful life of the building or thirty
years, whichever is less.
(c) The commissioner may sell any investment of either fund, if
advisable, for proper administration or in the best interests of the
fund.