IN PART AND REMANDED. NO COSTS. 1 . Pacific must shield funds in the separate account from its general liabilities and expenses, and use it only to fund the variable universal insurance contracts. See 15 U.S.C. § 80a-2(a)(37); 17 C.F.R. § 270.0-1 (e). The separate account is registered with the Securities and Exchange Commission as a unit investment trust under the Investment Company Act of 1940. See Prudential Ins. Co. of Am. v. SEC, 326 F.2d 383, 388 (3d Cir.1964). 2 . Plaintiffs don't dispute that variable universal policies are covered securities. We therefore have no cause to consider whether or not we agree with our sister circuits, though our precedent suggests we would. See Patenaude v. Equitable Life Assurance Soc’y of the United States, 290 F.3d 1020, 1022 (9th Cir.2002)(<HOLDING>), abrogated on other grounds by Kircher v.
holding security interest in insurance premiums perfected by creation of security interest holding that a closing protection letter offering to indemnify a mortgage company was not an insurance contract where although issued by an insurance company there was no distribution of the risk holding that plaintiff could recover medical fees not actually paid by the insurance company pursuant to an insurance contract holding a variable annuity issued by an insurance company to be a covered security holding airport security company protected by the convention