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:         5/31/11         
 
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) 
      
   
   May 31, 2011 
      
Principal 
    
Optional Call 
    
Amount (000) 
  
Description (1) 
Provisions (2) 
Ratings (3) 
Value 
   
Education and Civic Organizations – 5.2% (3.4% of Total Investments) 
      
$     585 
  
California Educational Facilities Authority, Revenue Bonds, University of the Pacific, Series 
9/11 at 100.00 
A2 
$    586,925 
   
2000, 5.875%, 11/01/20 – NPFG Insured 
      
750 
  
California Educational Facilities Authority, Student Loan Revenue Bonds, Cal Loan Program, 
9/11 at 100.00 
Baa1 
750,158 
   
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 
1,525,800 
   
AMBAC Insured 
      
6,000 
  
University of California, General Revenue Bonds, Series 2003A, 5.000%, 5/15/27 – 
5/13 at 100.00 
Aa1 
6,093,060 
   
AMBAC Insured (UB) 
      
8,835 
  
Total Education and Civic Organizations 
    
8,955,943 
   
Health Care – 4.7% (3.1% of Total Investments) 
      
1,410 
  
California Statewide Communities Development Authority, Revenue Bonds, Saint Joseph Health 
7/18 at 100.00 
AA+ 
1,070,472 
   
System, Trust 2554, 18.728%, 7/01/47 – AGM Insured (IF) 
      
4,690 
  
Santa Clara County Financing Authority, California, Insured Revenue Bonds, El Camino Hospital, 
8/17 at 100.00 
A+ 
4,653,277 
   
Series 2007A, 5.750%, 2/01/41 – AMBAC Insured 
      
2,000 
  
The Regents of the University of California, Medical Center Pooled Revenue Bonds, Series 
5/15 at 101.00 
Aa2 
1,745,180 
   
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 
666,894 
   
5/15/18 – AMBAC Insured 
      
8,750 
  
Total Health Care 
    
8,135,823 
   
Housing/Single Family – 0.9% (0.6% of Total Investments) 
      
215 
  
California Housing Finance Agency, Home Mortgage Revenue Bonds, Series 2006H, 
2/16 at 100.00 
A3 
218,032 
   
5.750%, 8/01/30 – FGIC Insured (Alternative Minimum Tax) 
      
1,350 
  
California Housing Finance Agency, Home Mortgage Revenue Bonds, Series 2006K, 
2/16 at 100.00 
N/R 
1,373,760 
   
5.500%, 2/01/42 – AMBAC Insured (Alternative Minimum Tax) 
      
1,565 
  
Total Housing/Single Family 
    
1,591,792 
   
Long-Term Care – 1.4% (0.9% of Total Investments) 
      
1,575 
  
California Health Facilities Financing Authority, Insured Revenue Bonds, California-Nevada 
7/16 at 100.00 
A– 
1,412,318 
   
Methodist Homes, Series 2006, 5.000%, 7/01/36 
      
1,000 
  
California Health Facilities Financing Authority, Insured Revenue Bonds, Community Program for 
No Opt. Call 
A– 
1,054,790 
   
Persons with Developmental Disabilities, Series 2011A, 6.250%, 2/01/26 
      
2,575 
  
Total Long-Term Care 
    
2,467,108 
   
Tax Obligation/General – 33.0% (21.9% of Total Investments) 
      
1,425 
  
Bassett Unified School District, Los Angeles County, California, General Obligation Bonds, 
8/16 at 100.00 
A– 
1,452,959 
   
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+ 
2,654,490 
6,000 
  
California State, General Obligation Bonds, Various Purpose Series 2010, 6.000%, 3/01/33 
3/20 at 100.00 
A1 
6,538,080 
4,200 
  
Coast Community College District, Orange County, California, General Obligation Bonds, Series 
8/18 at 100.00 
AA+ 
3,634,680 
   
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+ 
2,553,450 
   
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+ 
3,566,047 
3,545 
  
5.000%, 8/01/28 – AGC Insured 
8/19 at 100.00 
AA+ 
3,595,800 
3,110 
  
5.000%, 8/01/29 – AGC Insured 
8/19 at 100.00 
AA+ 
3,131,552 
2,210 
  
Fontana Unified School District, San Bernardino County, California, General Obligation Bonds, 
8/18 at 100.00 
AA+ 
2,373,849 
   
Trust 2668, 9.549%, 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+ 
1,307,898 
   
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+ 
4,053,000 
   
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+ 
2,253,986 
3,250 
  
5.000%, 8/01/22 – AGM Insured (UB) 
8/14 at 102.00 
AA+ 
3,589,658 
3,395 
  
5.000%, 8/01/23 – AGM Insured (UB) 
8/14 at 102.00 
AA+ 
3,722,618 
1,270 
  
Merced City School District, Merced County, California, General Obligation Bonds, Series 2004, 
8/13 at 100.00 
A 
1,298,499 
   
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– 
311,820 
   
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 
2,554,950 
   
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 
689,141 
   
Election of 1998, Series 1999A, 0.000%, 7/01/21 – FGIC Insured 
      
2,000 
  
San Francisco Community College District, California, General Obligation Bonds, Series 2002A, 
6/11 at 101.00 
Aa2 
2,004,760 
   
5.000%, 6/15/26 – FGIC Insured 
      
2,000 
  
San Jacinto Unified School District, Riverside County, California, General Obligation Bonds, 
No Opt. Call 
AA+ 
2,011,880 
   
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+ 
1,054,220 
   
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+ 
2,569,353 
   
2004A, 5.000%, 8/01/21 – FGIC Insured 
      
56,135 
  
Total Tax Obligation/General 
    
56,922,690 
   
Tax Obligation/Limited – 61.9% (41.0% 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+ 
3,653,483 
8,000 
  
0.000%, 9/01/21 – AGM Insured 
No Opt. Call 
AA+ 
4,444,640 
2,235 
  
Antioch Public Financing Authority, California, Lease Revenue Refunding Bonds, Municipal 
7/11 at 100.00 
A 
2,095,022 
   
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 
1,612,425 
1,780 
  
5.000%, 12/01/23 – AMBAC Insured 
12/13 at 100.00 
AA 
1,843,332 
3,725 
  
California State Public Works Board, Lease Revenue Bonds, Department of Corrections & 
1/16 at 100.00 
A2 
4,017,711 
   
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 
4,080,520 
   
2009G-1, 5.750%, 10/01/30 
      
380 
  
Capistrano Unified School District, Orange County, California, Special Tax Bonds, Community 
9/15 at 100.00 
BBB 
363,633 
   
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 
Baa1 
5,779,130 
   
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– 
1,177,290 
   
Cloverdale Redevelopment Project Series 2006, 5.000%, 8/01/36 – AMBAC Insured 
      
5,225 
  
El Monte, California, Senior Lien Certificates of Participation, Department of Public Services 
7/11 at 100.00 
A2 
5,227,351 
   
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 
6,823,548 
   
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+ 
6,494,913 
7,500 
  
5.000%, 6/01/45 – AGC Insured (4) 
6/15 at 100.00 
AA+ 
6,573,600 
6,215 
  
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement 
6/15 at 100.00 
AA+ 
4,679,646 
   
Asset-Backed Revenue Bonds, Tender Option Bonds Trust 4686, 9.139%, 6/01/45 – 
      
   
AGC Insured (IF) 
      
2,000 
  
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement 
6/15 at 100.00 
A2 
1,103,480 
   
Revenue Bonds, Tender Option Bonds Trust 2040, 10.555%, 6/01/45 – FGIC Insured (IF) 
      
875 
  
Hesperia Public Financing Authority, California, Redevelopment and Housing Projects Tax 
9/17 at 100.00 
Ba1 
577,561 
   
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– 
1,395,785 
   
Participation, Capital Improvement, Series 2007, 5.000%, 2/01/41 – AMBAC Insured 
      
5,000 
  
La Quinta Redevelopment Agency, California, Tax Allocation Refunding Bonds, Redevelopment 
9/11 at 100.00 
A+ 
4,693,350 
   
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 
1,855,764 
   
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+ 
1,065,330 
   
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+ 
3,986,760 
   
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+ 
2,798,580 
   
Headquarters, Series 2006A, 4.750%, 1/01/31 – FGIC Insured 
      
6,120 
  
Moreno Valley Community Redevelopment Agency, California, Tax Allocation Bonds, Series 2007A, 
8/17 at 100.00 
A– 
4,978,865 
   
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+ 
2,934,820 
   
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 
979,560 
   
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 
3,933,000 
   
2003A, 5.000%, 6/01/28 – AMBAC Insured 
      
390 
  
Poway Redevelopment Agency, California, Tax Allocation Refunding Bonds, Paguay Redevelopment 
12/12 at 100.00 
Baa1 
360,910 
   
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– 
268,785 
   
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– 
938,270 
   
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 
1,958,775 
   
9/01/33 – AMBAC Insured 
      
405 
  
Roseville, California, Certificates of Participation, Public Facilities, Series 2003A, 5.000%, 
8/13 at 100.00 
AA– 
405,506 
   
8/01/25 – AMBAC Insured 
      
4,655 
  
San Bernardino Joint Powers Financing Authority, California, Certificates of Participation 
9/11 at 100.00 
Baa1 
4,656,676 
   
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 
BBB+ 
1,250,100 
   
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+ 
5,481,238 
   
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+ 
1,198,276 
   
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 
974,671 
   
Series 2007, 5.125%, 8/01/37 – AMBAC Insured 
      
122,025 
  
Total Tax Obligation/Limited 
    
106,662,306 
   
Transportation – 7.6% (5.1% of Total Investments) 
      
6,500 
  
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Refunding 
7/11 at 70.31 
Baa1 
4,174,430 
   
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 
4,237,760 
   
Project, Series 2003A, 5.000%, 8/15/18 – AMBAC Insured 
      
5,000 
  
San Francisco Airports Commission, California, Revenue Refunding Bonds, San Francisco 
11/11 at 100.00 
A1 
4,753,850 
   
International Airport, Second Series 2001, Issue 27A, 5.250%, 5/01/31 – NPFG Insured 
      
   
(Alternative Minimum Tax) 
      
15,500 
  
Total Transportation 
    
13,166,040 
   
U.S. Guaranteed – 5.7% (3.8% of Total Investments) (5) 
      
1,705 
  
Central Unified School District, Fresno County, California, General Obligation Bonds, Series 
9/11 at 100.00 
N/R (5) 
1,725,613 
   
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+ (5) 
1,146,010 
1,000 
  
5.250%, 8/01/22 (Pre-refunded 8/01/14) – AGM Insured 
8/14 at 100.00 
AA+ (5) 
1,146,010 
4,320 
  
Riverside County, California, GNMA Mortgage-Backed Securities Program Single Family Mortgage 
No Opt. Call 
AAA 
5,736,312 
   
Revenue Bonds, Series 1987B, 8.625%, 5/01/16 (Alternative Minimum Tax) (ETM) 
      
8,025 
  
Total U.S. Guaranteed 
    
9,753,945 
   
Utilities – 8.5% (5.6% of Total Investments) 
      
670 
  
Merced Irrigation District, California, Electric System Revenue Bonds, Series 2005, 5.125%, 
9/15 at 100.00 
N/R 
579,872 
   
9/01/31 – SYNCORA GTY Insured 
      
100 
  
Sacramento City Financing Authority, California, Capital Improvement Revenue Bonds, Solid 
12/11 at 100.00 
N/R 
100,234 
   
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%, 8/01/27 – 
8/12 at 100.00 
A+ 
1,835,379 
   
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 
2,864,904 
5,000 
  
5.000%, 7/01/28 – NPFG Insured 
7/13 at 100.00 
A1 
5,028,750 
4,000 
  
Southern California Public Power Authority, California, Milford Wind Corridor Phase I Revenue 
No Opt. Call 
AA– 
4,215,200 
   
Bonds, Series 2010-1, 5.000%, 7/01/28 
      
14,520 
  
Total Utilities 
    
14,624,339 
   
Water and Sewer – 22.0% (14.6% of Total Investments) 
      
1,100 
  
Atwater Public Financing Authority, California, Wastewater Revenue Bonds, Tender Option Bond 
5/19 at 100.00 
AA+ 
1,008,832 
   
Trust 3145, 17.925%, 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 
2,060,360 
   
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+ 
729,473 
   
10/01/36 – AGM Insured 
      
460 
  
Healdsburg Public Financing Authority, California, Wastewater Revenue Bonds, Series 2006, 
4/16 at 100.00 
AA– 
447,534 
   
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+ 
2,898,558 
   
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 
2,003,260 
   
NPFG Insured 
      
430 
  
Marina Coast Water District, California, Enterprise Certificate of Participation, Series 2006, 
6/16 at 100.00 
AA– 
428,654 
   
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 
12,113,280 
   
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 
1,548,135 
   
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+ 
1,007,810 
   
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+ 
3,900,939 
   
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+ 
1,479,156 
445 
  
5.000%, 2/01/20 – FGIC Insured 
2/14 at 100.00 
AA+ 
467,441 
465 
  
5.000%, 2/01/21 – FGIC Insured 
2/14 at 100.00 
AA+ 
485,558 
2,500 
  
West Basin Municipal Water District, California, Revenue Certificates of Participation, Series 
8/13 at 100.00 
Aa2 
2,511,800 
   
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 
AA+ 
2,067,747 
2,530 
  
5.000%, 10/01/33 – FGIC Insured 
10/13 at 100.00 
AA+ 
2,539,766 
36,985 
  
Total Water and Sewer 
    
37,698,3034 
$ 274,915 
  
Total Investments (cost $265,340,806) – 150.9% 
    
259,978,289 
   
Floating Rate Obligations – (10.4)% 
    
(17,880,000) 
   
Variable Rate Demand Preferred Shares, at Liquidation Value – (43.0)% (6) 
    
(74,000,000) 
   
Other Assets Less Liabilities – 2.5% (7) 
    
4,134,771 
   
Net Assets Applicable to Common Shares – 100% 
    
$ 172,233,060 
 
 
 
 
 
 

                 
Investments in Derivatives 
            
             
Forward Swaps outstanding at May 31, 2011: 
            
   
Fund 
    
Fixed Rate 
    
Unrealized 
 
Notional 
Pay/Receive 
Floating Rate 
Fixed Rate 
Payment 
Effective 
Termination 
Appreciation 
Counterparty 
Amount 
Floating Rate 
Index 
(Annualized) 
Frequency 
Date (8) 
Date 
(Depreciation) 
Morgan Stanley 
$5,750,000 
Receive 
3-Month USD-LIBOR 
4.431% 
Semi-Annually 
2/17/12 
2/17/30 
$(344,583) 
 
 
Fair Value Measurements
 
 
Fair value is defined as the price that the Fund would receive upon selling an investment or transferring a liability in an orderly transaction to an independent buyer in the principal or most advantageous market of the investment. A three-tier hierarchy is used to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability. Observable inputs are based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability. Unobservable inputs are based on the best information available in the circumstances. The three-tier hierarchy of inputs is 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 May 31, 2011:
 
         
 
Level 1 
Level 2 
Level 3 
Total 
Investments: 
        
Municipal Bonds 
$ — 
$259,978,289 
$ — 
$259,978,289 
Derivatives: 
        
Forward Swaps* 
— 
(344,583) 
— 
(344,583) 
Total 
$ — 
$259,633,706 
$ — 
$259,633,706 
* Represents net unrealized appreciation (depreciation).
 
 
During the period ended May 31, 2011, the Fund recognized no significant transfers to/from Level 1, Level 2 or Level 3.
 
 
Derivative Instruments and Hedging Activities
 
 
The Fund records derivative instruments at fair value, with changes in fair value recognized on the Statement of Operations, when applicable. Even though the Fund's investments in derivatives may represent economic hedges, they are not considered to be hedge transactions for financial reporting purposes.
 
 
The following table presents the fair value of all derivative instruments held by the Fund as of May 31, 2011, the location of these instruments on the Statement of Assets and Liablilities, and the primary underlying risk exposure.
 
             
   
Location on the Statements of Assets and Liabilities 
  
Underlying 
Derivative 
Asset Derivatives 
  
Liability Derivatives 
Risk Exposure 
Instrument 
Location 
Value 
  
Location 
Value 
Interest Rate 
Forward Swaps 
Unrealized appreciation 
$ — 
  
Unrealized depreciation 
$344,583 
   
on forward swaps* 
    
on forward swaps* 
  
* Represents cumulative appreciation (depreciation) of forward swap contracts as reported in the Portfolio of Investments.
 
 
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 May 31, 2011, the cost of investments (excluding investments in derivatives) was $247,147,379.
 
 
Gross unrealized appreciation and gross unrealized depreciation of investments (excluding investments in derivatives) at May 31, 2011, were as follows:
 
   
Gross unrealized: 
  
Appreciation 
$  5,033,453 
Depreciation 
(10,083,146)
Net unrealized appreciation (depreciation) of investments 
$ (5,049,693)
 

     
   
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) 
  
Investment, or portion of investment, has been pledged to collateralize the net payment obligations for 
   
investments in derivatives. 
(5) 
  
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. 
(6) 
  
Variable Rate Demand Preferred Shares, at Liquidation Value as a percentage of Total Investments is 28.5%. 
(7) 
  
Other Assets Less Liabilities includes the Value and/or the Unrealized Appreciation (Depreciation) of 
   
derivative instruments as listed within Investments in Derivatives. 
(8) 
  
Effective date represents the date on which both the Fund and Counterparty commence interest payment 
   
accruals on each forward swap contract. 
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. 
USD-LIBOR 
  
United States Dollar-London Inter-Bank Offered. Rate. 
 
 
 
 
 
 
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         July 29, 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         July 29, 2011        
 
By (Signature and Title)     /s/ Stephen D. Foy                              
                                                   Stephen D. Foy
                                                  Vice President and Controller (principal financial officer) 
 
Date         July 29, 2011