Unassociated Document



 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANY
 
Investment Company Act file number 811-7492
 
Nuveen Insured California Premium Income Municipal Fund 2, Inc.
(Exact name of registrant as specified in charter)
 
Nuveen Investments
        333 West Wacker Drive, Chicago, Illinois 60606         
(Address of principal executive offices) (Zip code)
 

Kevin J. McCarthy
Vice President and Secretary
        333 West Wacker Drive, Chicago, Illinois 60606         
(Name and address of agent for service)
 
Registrant's telephone number, including area code:         312-917-7700        
 
Date of fiscal year end:            2/28          
 
Date of reporting period:         11/30/10         
 
Form N-Q is to be used by management investment companies, other than small business investment companies registered on Form N-5 (§§ 239.24 and 274.5 of this chapter), to file reports with the Commission, not later than 60 days after the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under the Investment Company Act of 1940 (17 CFR 270.30b1-5). The Commission may use the information provided on Form N-Q in its regulatory, disclosure review, inspection, and policymaking roles.
 
A registrant is required to disclose the information specified by Form N-Q, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-Q unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to the Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

 
 
 
 
Item 1. Schedule of Investments
 
 

           
   
Portfolio of Investments (Unaudited)
      
   
Nuveen Insured California Premium Income Municipal Fund 2, Inc. (NCL)
      
   
    November 30, 2010
      
Principal
    
Optional Call
    
Amount (000)
  
Description (1)
Provisions (2)
Ratings (3)
Value
   
Education and Civic Organizations – 5.1% (3.4% of Total Investments)
      
$     585
  
California Educational Facilities Authority, Revenue Bonds, University of the Pacific, Series
5/11 at 100.00
A2
$   585,901
   
2000, 5.875%, 11/01/20 – NPFG Insured
      
750
  
California Educational Facilities Authority, Student Loan Revenue Bonds, Cal Loan Program,
3/11 at 100.00
Baa1
750,075
   
Series 2001A, 5.400%, 3/01/21 – NPFG Insured (Alternative Minimum Tax)
      
1,500
  
California State University, Systemwide Revenue Bonds, Series 2005A, 5.000%, 11/01/25 –
5/15 at 100.00
Aa2
1,547,895
   
AMBAC Insured
      
6,000
  
University of California, Revenue Bonds, Multi-Purpose Projects, Series 2003A, 5.000%
5/13 at 100.00
Aa1
6,098,400
   
5/15/27 – AMBAC Insured (UB)
      
8,835
  
Total Education and Civic Organizations
    
8,982,271
   
Health Care – 2.2% (1.5% of Total Investments)
      
1,410
  
California Statewide Communities Development Authority, Revenue Bonds, Saint Joseph Health
7/18 at 100.00
AA+
1,419,532
   
System, Trust 2554, 18.054%, 7/01/47 – AGM Insured (IF)
      
2,000
  
The Regents of the University of California, Medical Center Pooled Revenue Bonds, Series
5/15 at 101.00
Aa2
1,815,960
   
2007A, 4.500%, 5/15/37 – NPFG Insured
      
650
  
University of California, Hospital Revenue Bonds, UCLA Medical Center, Series 2004A, 5.500%,
5/12 at 101.00
N/R
669,520
   
5/15/18 – AMBAC Insured
      
4,060
  
Total Health Care
    
3,905,012
   
Housing/Single Family – 1.0% (0.7% of Total Investments)
      
275
  
California Housing Finance Agency, Home Mortgage Revenue Bonds, Series 2006H, 5.750%,
2/16 at 100.00
A
279,826
   
8/01/30 – FGIC Insured (Alternative Minimum Tax)
      
1,530
  
California Housing Finance Agency, Home Mortgage Revenue Bonds, Series 2006K, 5.500%,
2/16 at 100.00
Aaa
1,557,662
   
2/01/42 – AMBAC Insured (Alternative Minimum Tax)
      
1,805
  
Total Housing/Single Family
    
1,837,488
   
Tax Obligation/General – 34.4% (23.1% of Total Investments)
      
1,425
  
Bassett Unified School District, Los Angeles County, California, General Obligation Bonds,
8/16 at 100.00
A
1,445,805
   
Series 2006B, 5.250%, 8/01/30 – FGIC Insured
      
3,000
  
California State, General Obligation Bonds, Series 2006, 4.500%, 9/01/36 – AGM Insured
9/16 at 100.00
AA+
2,605,920
6,000
  
California State, General Obligation Bonds, Various Purpose Series 2010, 6.000%, 3/01/33
3/20 at 100.00
A1
6,414,360
4,400
  
California, General Obligation Bonds, Series 2003, 5.000%, 2/01/31 – NPFG Insured
2/13 at 100.00
A1
4,282,520
4,200
  
Coast Community College District, Orange County, California, General Obligation Bonds, Series
8/18 at 100.00
AA+
3,475,962
   
2006C, 0.000%, 8/01/31 – AGM Insured
      
2,500
  
Corona-Norco Unified School District, Riverside County, California, General Obligation Bonds,
8/18 at 100.00
AA+
2,561,325
   
Election 2006 Series 2009B, 5.375%, 2/01/34 – AGC Insured
      
   
East Side Union High School District, Santa Clara County, California, General Obligation
      
   
Bonds, 2008 Election Series 2010B:
      
3,490
  
5.000%, 8/01/27 – AGC Insured
8/19 at 100.00
AA+
3,592,432
3,545
  
5.000%, 8/01/28 – AGC Insured
8/19 at 100.00
AA+
3,623,593
3,110
  
5.000%, 8/01/29 – AGC Insured
8/19 at 100.00
AA+
3,161,191
2,210
  
Fontana Unified School District, San Bernardino County, California, General Obligation Bonds,
No Opt. Call
AAA
2,392,148
   
Trust 2668, 9.269%, 2/01/16 – AGM Insured (IF)
      
1,255
  
Los Angeles Community College District, Los Angeles County, California, General Obligation
8/15 at 100.00
AA+
1,296,942
   
Bonds, Series 2005A, 5.000%, 8/01/24 – AGM Insured
      
4,000
  
Los Angeles Unified School District, Los Angeles County, California, General Obligation Bonds,
7/17 at 100.00
AA+
3,959,760
   
Series 2007A, 4.500%, 7/01/24 – AGM Insured
      
   
Los Rios Community College District, Sacramento, El Dorado and Yolo Counties, California,
      
   
General Obligation Bonds, Series 2006C:
      
2,110
  
5.000%, 8/01/21 – AGM Insured (UB)
8/14 at 102.00
AA+
2,226,345
3,250
  
5.000%, 8/01/22 – AGM Insured (UB)
8/14 at 102.00
AA+
3,519,360
3,395
  
5.000%, 8/01/23 – AGM Insured (UB)
8/14 at 102.00
AA+
3,677,125
1,270
  
Merced City School District, Merced County, California, General Obligation Bonds,
8/13 at 100.00
A
1,309,421
   
Series 2004, 5.000%, 8/01/22 – FGIC Insured
      
305
  
Roseville Joint Union High School District, Placer County, California, General Obligation
8/15 at 100.00
AA–
311,405
   
Bonds, Series 2006B, 5.000%, 8/01/27 – FGIC Insured
      
2,500
  
Sacramento City Unified School District, Sacramento County, California, General Obligation
7/15 at 100.00
Aa2
2,548,575
   
Bonds, Series 2005, 5.000%, 7/01/27 – NPFG Insured
      
1,125
  
San Diego Unified School District, San Diego County, California, General Obligation Bonds,
No Opt. Call
Aa1
688,680
   
Election of 1998, Series 1999A, 0.000%, 7/01/21 – FGIC Insured
      
2,000
  
San Francisco Community College District, California, General Obligation Bonds,
6/11 at 101.00
Aa2
2,004,940
   
Series 2002A, 5.000%, 6/15/26 – FGIC Insured
      
2,000
  
San Jacinto Unified School District, Riverside County, California, General Obligation Bonds,
No Opt. Call
AA+
2,044,420
   
Series 2007, 5.250%, 8/01/32 – AGM Insured
      
1,000
  
San Ramon Valley Unified School District, Contra Costa County, California, General Obligation
8/14 at 100.00
AA+
1,027,910
   
Bonds, Series 2004, 5.000%, 8/01/24 – AGM Insured
      
2,445
  
Washington Unified School District, Yolo County, California, General Obligation Bonds, Series
8/13 at 100.00
A+
2,543,142
   
2004A, 5.000%, 8/01/21 – FGIC Insured
      
60,535
  
Total Tax Obligation/General
    
60,713,281
   
Tax Obligation/Limited – 63.1% (42.3% of Total Investments)
      
   
Anaheim Public Finance Authority, California, Subordinate Lease Revenue Bonds, Public
      
   
Improvement Project, Series 1997C:
      
5,130
  
0.000%, 9/01/18 – AGM Insured
No Opt. Call
AA+
3,720,481
8,000
  
0.000%, 9/01/21 – AGM Insured
No Opt. Call
AA+
4,547,360
2,235
  
Antioch Public Financing Authority, California, Lease Revenue Refunding Bonds, Municipal
1/11 at 100.00
A
2,235,358
   
Facilities Project, Refunding Series 2002A, 5.500%, 1/01/32 – NPFG Insured
      
   
California Infrastructure Economic Development Bank, Revenue Bonds, North County Center for
      
   
Self-Sufficiency Corporation, Series 2004:
      
1,535
  
5.000%, 12/01/20 – AMBAC Insured
12/13 at 100.00
AA
1,596,661
1,780
  
5.000%, 12/01/23 – AMBAC Insured
12/13 at 100.00
AA
1,820,228
3,725
  
California State Public Works Board, Lease Revenue Bonds, Department of Corrections &
1/16 at 100.00
A2
4,000,203
   
Rehabilitation, Series 2005J, 5.000%, 1/01/17 – AMBAC Insured
      
4,000
  
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series
10/19 at 100.00
A2
4,047,960
   
2009G-1, 5.750%, 10/01/30
      
380
  
Capistrano Unified School District, Orange County, California, Special Tax Bonds, Community
9/15 at 100.00
A
367,316
   
Facilities District, Series 2005, 5.000%, 9/01/24 – FGIC Insured
      
7,000
  
Chula Vista Public Financing Authority, California, Pooled Community Facility District
9/15 at 100.00
A
5,948,880
   
Assessment Revenue Bonds, Series 2005A, 4.500%, 9/01/27 – NPFG Insured
      
1,430
  
Cloverdale Community Development Agency, California, Tax Allocation Refunding Bonds,
No Opt. Call
A–
1,254,796
   
Cloverdale Redevelopment Project Series 2006, 5.000%, 8/01/36 – AMBAC Insured
      
5,625
  
El Monte, California, Senior Lien Certificates of Participation, Department of Public Services
1/11 at 100.00
A2
5,629,838
   
Facility Phase II, Series 2001, 5.000%, 1/01/21 – AMBAC Insured
      
8,280
  
Fontana Public Financing Authority, California, Tax Allocation Revenue Bonds, North Fontana
10/15 at 100.00
A
7,613,874
   
Redevelopment Project, Series 2005A, 5.000%, 10/01/32 – AMBAC Insured
      
   
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement
      
   
Asset-Backed Revenue Bonds, Series 2005A:
      
7,250
  
5.000%, 6/01/35 – FGIC Insured
6/15 at 100.00
AA+
6,963,118
7,500
  
5.000%, 6/01/45 – AGC Insured
6/15 at 100.00
AA+
7,077,450
6,215
  
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement
6/15 at 100.00
AA+
5,514,694
   
Asset-Backed Revenue Bonds, Tender Option Bonds Trust 4686, 9.033%, 6/01/45 –
      
   
AGC Insured (IF)
      
2,000
  
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement
6/15 at 100.00
A2
1,419,080
   
Revenue Bonds, Tender Option Bonds Trust 2040, 10.315%, 6/01/45 – FGIC Insured (IF)
      
875
  
Hesperia Public Financing Authority, California, Redevelopment and Housing Projects Tax
9/17 at 100.00
Ba1
674,083
   
Allocation Bonds, Series 2007A, 5.000%, 9/01/37 – SYNCORA GTY Insured
      
1,700
  
Hesperia Unified School District, San Bernardino County, California, Certificates of
2/17 at 100.00
A–
1,452,633
   
Participation, Capital Improvement, Series 2007, 5.000%, 2/01/41 – AMBAC Insured
      
5,000
  
La Quinta Redevelopment Agency, California, Tax Allocation Refunding Bonds, Redevelopment
3/11 at 100.00
A+
4,945,350
   
Project Area 1, Series 1998, 5.200%, 9/01/28 – AMBAC Insured
      
2,185
  
Los Angeles Community Redevelopment Agency, California, Lease Revenue Bonds, Manchester
9/15 at 100.00
A1
1,891,620
   
Social Services Project, Series 2005, 5.000%, 9/01/37 – AMBAC Insured
      
1,000
  
Los Angeles Community Redevelopment Agency, California, Tax Allocation Bonds, Bunker Hill
12/14 at 100.00
AA+
1,054,730
   
Project, Series 2004A, 5.000%, 12/01/20 – AGM Insured
      
4,000
  
Los Angeles, California, Certificates of Participation, Municipal Improvement Corporation,
6/13 at 100.00
A+
3,957,360
   
Series 2003AW, 5.000%, 6/01/33 – AMBAC Insured
      
3,000
  
Los Angeles, California, Municipal Improvement Corporation, Lease Revenue Bonds, Police
1/17 at 100.00
A+
2,733,450
   
Headquarters, Series 2006A, 4.750%, 1/01/31 – FGIC Insured
      
6,120
  
Moreno Valley Community Redevelopment Agency, California, Tax Allocation Bonds,
8/17 at 100.00
A–
5,171,400
   
Series 2007A, 5.000%, 8/01/38 – AMBAC Insured
      
2,810
  
Oakland Joint Powers Financing Authority, California, Lease Revenue Bonds, Administration
8/18 at 100.00
AA+
2,977,307
   
Building Projects, Series 2008B, 5.000%, 8/01/21 – AGC Insured
      
1,000
  
Palm Springs Financing Authority, California, Lease Revenue Bonds, Convention Center Project,
11/14 at 102.00
A
996,590
   
Refunding Series 2004A, 5.500%, 11/01/35 – NPFG Insured
      
4,140
  
Plumas County, California, Certificates of Participation, Capital Improvement Program, Series
6/13 at 101.00
A–
3,876,075
   
2003A, 5.000%, 6/01/28 – AMBAC Insured
      
390
  
Poway Redevelopment Agency, California, Tax Allocation Refunding Bonds, Paguay Redevelopment
12/10 at 102.00
A
378,725
   
Project, Series 2000, 5.750%, 6/15/33 – NPFG Insured
      
325
  
Rialto Redevelopment Agency, California, Tax Allocation Bonds, Merged Project Area, Series
9/15 at 100.00
A–
283,153
   
2005A, 5.000%, 9/01/35 – SYNCORA GTY Insured
      
1,000
  
Rocklin Unified School District, Placer County, California, Special Tax Bonds, Community
9/13 at 100.00
A
972,970
   
Facilities District 1, Series 2004, 5.000%, 9/01/25 – NPFG Insured
      
2,500
  
Roseville Financing Authority, California, Special Tax Revenue Bonds, Series 2007A, 5.000%,
9/17 at 100.00
N/R
2,162,450
   
9/01/33 – AMBAC Insured
      
405
  
Roseville, California, Certificates of Participation, Public Facilities, Series 2003A,
8/13 at 100.00
AA–
401,857
   
5.000%, 8/01/25 – AMBAC Insured
      
4,655
  
San Bernardino Joint Powers Financing Authority, California, Certificates of Participation
3/11 at 101.00
A
4,715,794
   
Refunding, Police Station Financing Project, Series 1999, 5.500%, 9/01/20 – NPFG Insured
      
1,500
  
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Project Area, Series
8/15 at 100.00
A
1,408,545
   
2005A, 5.000%, 8/01/28 – NPFG Insured
      
5,510
  
Sweetwater Union High School District Public Financing Authority, California, Special Tax
9/15 at 100.00
AA+
5,404,704
   
Revenue Bonds, Series 2005A, 5.000%, 9/01/28 – AGM Insured
      
1,205
  
Tustin Community Redevelopment Agency, California, Tax Allocation Housing Bonds Series 2010,
No Opt. Call
AA+
1,190,010
   
5.000%, 9/01/30 – AGM Insured
      
1,020
  
Washington Unified School District, Yolo County, California, Certificates of Participation,
8/17 at 100.00
A
986,116
   
Series 2007, 5.125%, 8/01/37 – AMBAC Insured
      
122,425
  
Total Tax Obligation/Limited
    
111,392,219
   
Transportation – 7.4% (5.0% of Total Investments)
      
6,500
  
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Refunding
1/11 at 68.38
Baa1
4,003,155
   
Bonds, Series 1999, 0.000%, 1/15/18 – NPFG Insured
      
4,000
  
Orange County Transportation Authority, California, Toll Road Revenue Bonds, 91 Express Lanes
8/13 at 100.00
A1
4,285,480
   
Project, Series 2003A, 5.000%, 8/15/18 – AMBAC Insured
      
5,000
  
San Francisco Airports Commission, California, Revenue Refunding Bonds, San Francisco
5/11 at 100.00
A1
4,756,350
   
International Airport, Second Series 2001, Issue 27A, 5.250%, 5/01/31 – NPFG Insured
      
   
(Alternative Minimum Tax)
      
15,500
  
Total Transportation
    
13,044,985
   
U.S. Guaranteed – 6.2% (4.2% of Total Investments) (4)
      
1,900
  
Central Unified School District, Fresno County, California, General Obligation Bonds, Series
3/11 at 100.00
N/R (4)
1,921,565
   
1993, 5.625%, 3/01/18 – AMBAC Insured (ETM)
      
   
Manteca Unified School District, San Joaquin County, California, General Obligation Bonds,
      
   
Series 2004:
      
1,000
  
5.250%, 8/01/21 (Pre-refunded 8/01/14) – AGM Insured
8/14 at 100.00
AA+ (4)
1,154,930
1,000
  
5.250%, 8/01/22 (Pre-refunded 8/01/14) – AGM Insured
8/14 at 100.00
AA+ (4)
1,154,930
4,320
  
Riverside County, California, GNMA Mortgage-Backed Securities Program Single Family Mortgage
No Opt. Call
AAA
5,784,480
   
Revenue Bonds, Series 1987B, 8.625%, 5/01/16 (Alternative Minimum Tax) (ETM)
      
905
  
University of California, Hospital Revenue Bonds, UCLA Medical Center, Series 2004A, 5.500%,
5/12 at 101.00
N/R (4)
979,653
   
5/15/18 (Pre-refunded 5/15/12) – AMBAC Insured
      
9,125
  
Total U.S. Guaranteed
    
10,995,558
   
Utilities – 8.2% (5.5% of Total Investments)
      
670
  
Merced Irrigation District, California, Electric System Revenue Bonds, Series 2005, 5.125%,
9/15 at 100.00
N/R
579,463
   
9/01/31 – SYNCORA GTY Insured
      
100
  
Sacramento City Financing Authority, California, Capital Improvement Revenue Bonds, Solid
12/10 at 101.00
N/R
100,953
   
Waste and Redevelopment Projects, Series 1999, 5.800%, 12/01/19 – AMBAC Insured
      
1,950
  
Salinas Valley Solid Waste Authority, California, Revenue Bonds, Series 2002, 5.250%,
8/12 at 100.00
A+
1,817,478
   
8/01/27 – AMBAC Insured (Alternative Minimum Tax)
      
   
Santa Clara, California, Subordinate Electric Revenue Bonds, Series 2003A:
      
2,800
  
5.000%, 7/01/24 – NPFG Insured
7/13 at 100.00
A1
2,864,596
5,000
  
5.000%, 7/01/28 – NPFG Insured
7/13 at 100.00
A1
5,068,750
4,000
  
Southern California Public Power Authority, California, Milford Wind Corridor Phase I Revenue
No Opt. Call
AA–
4,155,200
   
Bonds, Series 2010-1, 5.000%, 7/01/28
      
14,520
  
Total Utilities
    
14,586,440
   
Water and Sewer – 21.3% (14.3% of Total Investments)
      
1,100
  
Atwater Public Financing Authority, California, Wastewater Revenue Bonds, Tender Option Bond
5/19 at 100.00
AA+
1,021,064
   
Trust 3145, 18.176%, 5/01/40 – AGM Insured (IF)
      
2,000
  
El Dorado Irrigation District, California, Water and Sewer Certificates of Participation,
3/14 at 100.00
A1
2,060,740
   
Series 2004A, 5.000%, 3/01/21 – FGIC Insured
      
750
  
Fortuna Public Finance Authority, California, Water Revenue Bonds, Series 2006, 5.000%,
10/16 at 100.00
AA+
728,243
   
10/01/36 – AGM Insured
      
460
  
Healdsburg Public Financing Authority, California, Wastewater Revenue Bonds, Series 2006,
4/16 at 100.00
AA–
450,901
   
5.000%, 4/01/36 – NPFG Insured
      
2,700
  
Los Angeles County Sanitation Districts Financing Authority, California, Senior Revenue Bonds,
10/13 at 100.00
AA+
2,932,767
   
Capital Projects, Series 2003A, 5.000%, 10/01/21 – AGM Insured
      
2,000
  
Los Angeles, California, Wastewater System Revenue Bonds, Series 2005A, 4.500%, 6/01/29 –
6/15 at 100.00
AA
1,969,140
   
NPFG Insured
      
430
  
Marina Coast Water District, California, Enterprise Certificate of Participation,
6/16 at 100.00
A+
424,303
   
Series 2006, 5.000%, 6/01/31 – NPFG Insured
      
12,000
  
Orange County Sanitation District, California, Certificates of Participation, Series 2003,
8/13 at 100.00
AAA
12,084,120
   
5.000%, 2/01/33 – FGIC Insured (UB)
      
1,520
  
San Buenaventura, California, Water Revenue Certificates of Participation, Series 2004,
10/14 at 100.00
AA
1,544,001
   
5.000%, 10/01/25 – AMBAC Insured
      
1,000
  
San Diego County Water Authority, California, Water Revenue Certificates of Participation,
5/18 at 100.00
AA+
1,006,430
   
Series 2008A, 5.000%, 5/01/38 – AGM Insured
      
3,675
  
San Dieguito Water District, California, Water Revenue Bonds, Refunding Series 2004, 5.000%,
10/14 at 100.00
AA+
3,805,610
   
10/01/23 – FGIC Insured
      
   
Santa Clara Valley Water District, California, Certificates of Participation, Series 2004A:
      
1,400
  
5.000%, 2/01/19 – FGIC Insured
2/14 at 100.00
AA+
1,483,776
445
  
5.000%, 2/01/20 – FGIC Insured
2/14 at 100.00
AA+
467,117
465
  
5.000%, 2/01/21 – FGIC Insured
2/14 at 100.00
AA+
484,129
2,500
  
West Basin Municipal Water District, California, Revenue Certificates of Participation, Series
8/13 at 100.00
Aa2
2,515,324
   
2003A, 5.000%, 8/01/30 – NPFG Insured
      
   
Yorba Linda Water District, California, Certificates of Participation, Highland Reservoir
      
   
Renovation, Series 2003:
      
2,010
  
5.000%, 10/01/28 – FGIC Insured
10/13 at 100.00
AAA
2,073,957
2,530
  
5.000%, 10/01/33 – FGIC Insured
10/13 at 100.00
AAA
2,552,440
36,985
  
Total Water and Sewer
    
37,604,062
$ 273,790
  
Total Investments (cost $264,432,867) – 148.9%
    
263,061,316
   
Floating Rate Obligations – (10.1)%
    
(17,880,000)
   
Other Assets Less Liabilities – 2.7%
    
4,765,512
   
Auction Rate Preferred Shares, at Liquidation Value – (41.5)% (5)
    
(73,325,000)
   
Net Assets Applicable to Common Shares – 100%
    
$ 176,621,828
 
 
 
 
 
 
 
 
Fair Value Measurements
 
 
In determining the fair value of the Fund’s investments, various inputs are used. These inputs are summarized in the three broad levels listed below:
 
 
Level 1 – Quoted prices in active markets for identical securities.
 
 
Level 2 – Other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).
 
 
Level 3 – Significant unobservable inputs (including management’s assumptions in determining the fair value of investments).
 
 
The inputs or methodologies used for valuing securities are not an indication of the risk associated with investing in those securities. The following is a summary of the Fund’s fair value measurements as of November 30, 2010:
 
         
 
Level 1
Level 2
Level 3
Total
Investments:
        
Municipal Bonds
$ —
$263,061,316
$ —
$263,061,316
 
 
Income Tax Information
 
 
The following information is presented on an income tax basis. Differences between amounts for financial statement and federal income tax purposes are primarily due to timing differences in recognizing taxable market discount, timing differences in recognizing certain gains and losses on investment transactions and the treatment of investments in inverse floating rate securities reflected as financing transactions, if any. To the extent that differences arise that are permanent in nature, such amounts are reclassified within the capital accounts on the Statement of Assets and Liabilities presented in the annual report, based on their federal tax basis treatment; temporary differences do not require reclassification. Temporary and permanent differences do not impact the net asset value of the Fund.
 
 
At November 30, 2010, the cost of investments was $246,260,515.
 
 
Gross unrealized appreciation and gross unrealized depreciation of investments at November 30, 2010, were as follows:
 
   
Gross unrealized:
  
Appreciation
$    5,422,823
Depreciation
(6,502,438)
Net unrealized appreciation (depreciation) of investments
$(1,079,615)
 
     
   
The Fund intends to invest at least 80% of its managed assets in municipal securities that are covered by
   
insurance guaranteeing the timely payment of principal and interest.
(1)
  
All percentages shown in the Portfolio of Investments are based on net assets applicable to Common
   
shares unless otherwise noted.
(2)
  
Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption.
   
There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities
   
may be subject to periodic principal paydowns.
(3)
  
Ratings: Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investor Service, Inc.
   
(“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB
   
by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of
   
these national rating agencies.
(4)
  
Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities,
   
which ensure the timely payment of principal and interest. Such investments are normally considered to
   
be equivalent to AAA rated securities.
(5)
  
Auction Rate Preferred Shares, at Liquidation Value as a percentage of Total Investments is 27.9%.
N/R
  
Not rated.
(ETM)
  
Escrowed to maturity.
(IF)
  
Inverse floating rate investment.
(UB)
  
Underlying bond of an inverse floating rate trust reflected as a financing transaction.
 
 
 
 
 
 
Item 2. Controls and Procedures.

a.  
The registrant's principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the "1940 Act") (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rule 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934 (17 CFR 240.13a-15(b) or 240.15d-15(b)).
 
 
b.  
There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the registrant's last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant's internal control over financial reporting.
 
Item 3. Exhibits.

File as exhibits as part of this Form a separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)), exactly as set forth below: See EX-99 CERT attached hereto.

 
 
 
 
SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
 
(Registrant)  Nuveen Insured California Premium Income Municipal Fund 2, Inc. 
 
By (Signature and Title)     /s/ Kevin J. McCarthy                    
                                                   Kevin J. McCarthy
                                                   Vice President and Secretary
 
Date         January 27, 2011        
 
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
 
By (Signature and Title)     /s/ Gifford R. Zimmerman                    
                                                    Gifford R. Zimmerman
                                                  Chief Administrative Officer (principal executive officer) 
 
Date         January 27, 2011        
 
By (Signature and Title)     /s/ Stephen D. Foy                              
                                                   Stephen D. Foy
                                                  Vice President and Controller (principal financial officer) 
 
Date         January 27, 2011