reglab/housing_qa huggingface dataset:
TX Ins Code § 2551.101 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter C. Authority to Engage in Business|Section 2551.101. Certificate of Authority Required

Sec. 2551.101.  CERTIFICATE OF AUTHORITY REQUIRED.  A title insurance company may not engage in the business of title insurance in this state unless the company holds a certificate of authority issued under this title.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.102 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter C. Authority to Engage in Business|Section 2551.102. Issuance of Certificate of Authority

Sec. 2551.102.  ISSUANCE OF CERTIFICATE OF AUTHORITY.  (a)  Subject to Subsection (c), the department shall issue a certificate of authority to engage in the business of title insurance if, following any examination the department considers proper, the department makes a determination favorable to the title insurance company with respect to:(1)  the payment of capital stock and surplus as required by this title;  and(2)  the value of the assets used to pay the capital stock and surplus.(b)  The title insurance company shall pay the expense of any examination conducted under Subsection (a).(c)  Issuance of a certificate of authority to a foreign corporation is governed by Section 2553.001.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.152 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter D. General Powers and Duties|Section 2551.152. Annual Statement

Sec. 2551.152.  ANNUAL STATEMENT.  (a)  Not later than March 1 of each year, each title insurance company shall file with the commissioner a verified statement.(b)  The statement must be in a form required by the commissioner and must:(1)  provide a statement of the business engaged in by the title insurance company during the preceding year;  and(2)  describe the condition of the company's affairs on December 31 of the preceding year.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.153 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter D. General Powers and Duties|Section 2551.153. Fees

Sec. 2551.153.  FEES.  The general laws applicable to payment of a filing fee by a corporation having capital stock apply to a corporation subject to this title.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.154 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter D. General Powers and Duties|Section 2551.154. Transfer of Certain Business to State Banks or Trust Companies

Sec. 2551.154.  TRANSFER OF CERTAIN BUSINESS TO STATE BANKS OR TRUST COMPANIES.  (a)  This section applies to a corporation chartered under Section 2551.051, or its antecedents, Article 9.01, Texas Insurance Code, or Chapter 40, Acts of the 41st Legislature, Regular Session, 1929 (Article 1302a, Vernon's Texas Civil Statutes), and empowered to act as:(1)  trustee under a lawful trust committed to the corporation by contract or will or by appointment by a court as trustee, receiver, or guardian;  and(2)  executor or guardian under the terms of a will or as an administrator of a decedent's estate under the appointment of the court.(b)  A corporation described by Subsection (a) may transfer and assign to one of the following entities all of the corporation's fiduciary business in which the corporation is named or acts as guardian, trustee, executor, or administrator or in any other fiduciary capacity:(1)  a state bank created under Subtitle A, Title 3, Finance Code, or a predecessor to that law;  or(2)  a state trust company created under Chapter 181, Finance Code, or a predecessor to that law.(c)  On a corporation's transfer or assignment to a state bank or trust company under this section, the state bank or trust company shall, without the necessity of any action in a court of this state or any action by the creator or beneficiary of the trust or estate:(1)  continue the guardianship, trust, executorship, administration, or other fiduciary relationship related to the trust or estate;(2)  perform all of the duties and obligations of the corporation related to the trust or estate;  and(3)  exercise any powers and authority:(A)  related to the trust or estate;  and(B)  exercised by the corporation at the time of the transfer or assignment.(d)  A transfer or assignment by a corporation under this section is not a resignation or refusal by the corporation to act on behalf of the guardianship, trust, executorship, administration, or other fiduciary relationship.(e)  On a corporation's transfer or assignment to a state bank or trust company under this section, the naming or designation by a testator or the creator of a living trust of the corporation to act as trustee, guardian, or executor or in any other fiduciary capacity includes the naming or designation of the state bank or trust company and authorizes the state bank or trust company to act in that capacity.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.201 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter E. Required Deposit|Section 2551.201. Deposit Required; Amount

Sec. 2551.201.  DEPOSIT REQUIRED;  AMOUNT.  (a)  Except as provided by Section 2551.202, a title insurance company shall deposit and maintain in the state treasury, or other depository in this state named by the company and approved by the department, either:(1)  cash;  or(2)  securities described by Section 2551.151.(b)  A title insurance company's deposit under this section must be in an amount equal to the lesser of:(1)  one-fourth of the authorized capital of the company;  or(2)  $100,000.(c)  A deposit under this section is for the benefit of all policyholders.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.202 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter E. Required Deposit|Section 2551.202. Exception: Foreign Title Insurance Company

Sec. 2551.202.  EXCEPTION:  FOREIGN TITLE INSURANCE COMPANY.  (a)  A foreign title insurance company is not required to make a deposit under Section 2551.201 if the company has on deposit with insurance regulatory bodies in the United States an aggregate amount of deposit that:(1)  is equal to the amount required by Section 2551.201;  and(2)  secures all policyholders of the company, regardless of their location.(b)  The foreign title insurance company must file with the department a certificate of deposit under the hand and seal of each insurance regulatory body holding a deposit of the company.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.203 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter E. Required Deposit|Section 2551.203. Withdrawal and Substitution of Deposit

Sec. 2551.203.  WITHDRAWAL AND SUBSTITUTION OF DEPOSIT.  A title insurance company may withdraw the deposit of securities made under Section 2551.201, or any portion of the deposit, after substituting other securities of a sufficient value to maintain the amount of deposit required under that section.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.204 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter E. Required Deposit|Section 2551.204. Use of Deposit

Sec. 2551.204.  USE OF DEPOSIT.  (a)  Except as otherwise provided by Subsection (e), a deposit made under this subchapter may be used only to pay an obligation connected with title insurance.(b)  On the insolvency or dissolution of a title insurance company, the company's deposit shall be used to protect title insurance policyholders even if no accrued title insurance claims exist and other unpaid obligations do exist, except as permitted by Subsection (e).(c)  A title insurance company's deposit must be applied to:(1)  the complete payment of any obligations and liabilities of the company connected with title insurance business;  and(2)  the establishment of adequate reserves or reinsurance to protect any subsequently accruing or maturing title insurance obligations and liabilities.(d)  The amount, handling, and distribution of any reserves required under Subsection (c)(2) are subject to the control and discretion of the department and are reviewable in judicial proceedings governed by rules applicable to review of rates under Subchapters D and E, Chapter 2703.(e)  Any deposit amount remaining after payments under Subsection (c) must be applied to:(1)  payment of other obligations and liabilities of the title insurance company;  or(2)  distribution to shareholders.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.251 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter F. Reserves|Section 2551.251. Statutory Premium Reserve Required

Sec. 2551.251.  STATUTORY PREMIUM RESERVE REQUIRED.  (a)  Each domestic title insurer shall establish and maintain a statutory premium reserve.  The reserve is cumulative.  The reserve must consist of the amounts required under Sections 2551.252-2551.260 and must be established and maintained during the period and for the uses and purposes provided by those sections.(b)  The reserve required under this section:(1)  is considered to be unearned portions of the original premium;  and(2)  must be charged as a reserve liability of the title insurer in determining the insurer's financial condition.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.252 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter F. Reserves|Section 2551.252. Amounts Added to Reserve for Calendar Year 1997; Reductions

Sec. 2551.252.  AMOUNTS ADDED TO RESERVE FOR CALENDAR YEAR 1997;  REDUCTIONS.  (a)  The total charges of a domestic title insurer for title insurance policies written or assumed on or after January 1, 1997, and before January 1, 1998, are computed by adding the following, as described in the insurer's annual statement:(1)  the direct premium written by the insurer;(2)  the escrow and settlement service fees paid directly to and collected by the insurer;(3)  other title fees and service charges paid directly to and collected by the insurer, including fees for closing protection letters;  and(4)  premiums for any reinsurance assumed by the insurer, less premiums for reinsurance ceded by the insurer during that year.(b)  The amount a domestic title insurer must set aside in the statutory premium reserve for the 1997 calendar year is computed by multiplying the total charges computed under Subsection (a) by:(1)  6-1/5 percent if the insurer had $250 million or more in direct premium written for the year 1996;  or(2)  3-1/2 percent if the insurer had less than $250 million in direct premium written for the year 1996.(c)  A domestic title insurer shall reduce additions to the statutory premium reserve set aside for title insurance policies written or assumed during the year 1997 over a 20-year period beginning in the year after the year in which the policies are written or assumed, as provided by Subsection (d), by:(1)  26 percent of the additions in the first year following the year of addition;(2)  20 percent of the additions in the second year following the year of addition;(3)  10 percent of the additions in the third year following the year of addition;(4)  nine percent of the additions in the fourth year following the year of addition;(5)  five percent of the additions in the fifth and sixth years following the year of addition;(6)  three percent of the additions in the seventh, eighth, and ninth years following the year of addition;(7)  two percent of the additions in the 10th through 14th years following the year of addition;  and(8)  one percent of the additions in the last six years of the 20-year period.(d)  A domestic title insurer shall make the annual reductions under Subsection (c) in increments of one-fourth of the appropriate percentage of the additions each on March 31, June 30, September 30, and December 31 of each year.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.253 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter F. Reserves|Section 2551.253. Amounts Added to Reserve for Calendar Years After 1997; Reductions

Sec. 2551.253.  AMOUNTS ADDED TO RESERVE FOR CALENDAR YEARS AFTER 1997;  REDUCTIONS.  (a)  Out of total charges for title insurance policies written or assumed on or after January 1, 1998, and before January 1, 2005, a domestic title insurer shall add to and set aside in the statutory premium reserve an amount equal to the total of the following, as described in the insurer's annual statement:(1)  25 cents per $1,000 of net retained liability if the insurer had $250 million or more in direct written premiums written for the most recent calendar year; or(2)  30 cents per $1,000 of net retained liability if the insurer had less than $250 million in direct written premiums written for the most recent calendar year.(b)  Out of total charges for title insurance policies written or assumed on or after January 1, 2005, a domestic title insurer shall add to and set aside in the statutory premium reserve an amount equal to the total of 18.5 cents per $1,000 of net retained liability for the most recent calendar year, as described in the insurer's annual statement.(c)  A domestic title insurer shall reduce additions to the statutory premium reserve set aside for title insurance policies written or assumed after the year 1997 over a 20-year period beginning in the year after the year in which the policies are written or assumed in the manner and under the same percentages applied under Sections 2551.252(c) and (d).|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.Amended by: Acts 2005, 79th Leg., Ch. 56 (H.B. 885), Sec. 1, eff. September 1, 2005.|
TX Ins Code § 2551.254 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter F. Reserves|Section 2551.254. Transitional Release; Transitional Charge

Sec. 2551.254.  TRANSITIONAL RELEASE;  TRANSITIONAL CHARGE.  (a)  In addition to the requirements described by Sections 2551.252 and 2551.253, each domestic title insurer shall compute a total statutory premium reserve balance for all policy years combined as of December 31, 1996.(b)  A domestic title insurer shall compute the balance under Subsection (a) as if Section 2551.252 were in effect during the 20-year period ending December 31, 1996.  That balance, less the total actual statutory premium reserve balance carried by the insurer on December 31, 1996, is the insurer's transitional charge if the resulting amount is more than zero or is the insurer's transitional release if the resulting amount is zero or less.(c)  If a domestic title insurer has a transitional charge under Subsection (b), in addition to any changes to the statutory premium reserve otherwise required by this subchapter, the insurer shall add to its statutory premium reserve, on December 31 of each year for 10 consecutive years beginning on December 31, 1997, an amount equal to one-tenth of the transitional charge.(d)  If a domestic title insurer has a transitional release under Subsection (b), in addition to any changes to the statutory premium reserve otherwise required by this subchapter, the insurer shall reduce its statutory premium reserve, on December 31 of each year for 10 consecutive years beginning on December 31, 1997, by an amount equal to one-tenth of the transitional release.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.255 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter F. Reserves|Section 2551.255. Runoff Balance

Sec. 2551.255.  RUNOFF BALANCE.  (a)  At the end of each calendar year beginning in 1997, each domestic title insurer shall compute a total statutory premium reserve balance for all policy years before January 1, 1997, combined.  The balance shall be computed as of the year-end evaluation date and as if Section 2551.252 were in effect during the 20-year period ending December 31, 1996.  The balance computed under this subsection is the runoff balance.(b)  A domestic title insurer shall reduce its statutory premium reserve by an amount equal to the difference between:(1)  the runoff balance computed under Subsection (a);  and(2)  the runoff balance computed for the preceding calendar year.(c)  The reduction of the statutory premium reserve under Subsection (b) is in addition to any other changes to the statutory premium reserve required by this subchapter.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.256 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter F. Reserves|Section 2551.256. Actuarial Certification

Sec. 2551.256.  ACTUARIAL CERTIFICATION.  (a)  Each domestic or foreign title insurer shall file annually with the insurer's annual statement required under Section 2551.152 an actuarial certification made by a member in good standing of the American Academy of Actuaries.(b)  An actuarial certification must:(1)  conform to the annual statement instructions for a title insurer adopted by the National Association of Insurance Commissioners;  and(2)  include the actuary's professional opinion of the insurer's reserves as of the date of the annual statement.(c)  The reserves analyzed under this section must include reserves for known claims, including adverse development on known claims, and reserves for incurred but not reported claims.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.257 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter F. Reserves|Section 2551.257. Supplemental Reserve

Sec. 2551.257.  SUPPLEMENTAL RESERVE.  Each domestic or foreign title insurer shall establish a supplemental reserve in an amount equal to the amount by which the actuarially certified reserves exceed the total of the known claim reserve and statutory premium reserve as set forth in the insurer's annual statement required under Section 2551.152.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.258 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter F. Reserves|Section 2551.258. Reevaluation of Certain Reserve Requirements

Sec. 2551.258.  REEVALUATION OF CERTAIN RESERVE REQUIREMENTS.  (a)  The commissioner may:(1)  reevaluate the adequacy of the statutory premium reserves required under Section 2551.253; and(2)  based on an actuarial review, change by order the amount of the statutory premium reserve required of any domestic title insurer or all domestic title insurers.(b)  Any change in the amount of a statutory premium reserve under Subsection (a)(2) is considered a statutory premium reserve and is not considered a supplemental reserve.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.Amended by: Acts 2005, 79th Leg., Ch. 56 (H.B. 885), Sec. 2, eff. September 1, 2005.|
TX Ins Code § 2551.259 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter F. Reserves|Section 2551.259. Statutory Premium Reserve and Supplemental Reserve Fund

Sec. 2551.259.  STATUTORY PREMIUM RESERVE AND SUPPLEMENTAL RESERVE FUND.  The statutory premium reserve and supplemental reserve fund shall be:(1)  held in cash;  or(2)  invested in first mortgage notes or other securities admissible for investment by title insurers under Section 2551.151.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.260 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter F. Reserves|Section 2551.260. Effect of Insolvency or Dissolution

Sec. 2551.260.  EFFECT OF INSOLVENCY OR DISSOLUTION.  On the insolvency or dissolution of a title insurer, the statutory premium reserve and supplemental reserve fund shall be used to protect title insurance policyholders, even if no accrued title insurance claims exist and other unpaid obligations do exist.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|
TX Ins Code § 2551.261 (2021)
2021 Texas Statutes|Insurance Code|Title 11 - Title Insurance|Subtitle B - Organization of Title Insurance Companies|Chapter 2551 - Title Insurers|Subchapter F. Reserves|Section 2551.261. Reserve for Unpaid Losses and Loss Expenses

Sec. 2551.261.  RESERVE FOR UNPAID LOSSES AND LOSS EXPENSES.  (a)  A title insurance company shall establish and maintain, in addition to any other reserves, a reserve against:(1)  unpaid losses;  and(2)  loss expense for costs of defense of an insured and other costs expected to be paid to other parties in the defense, settlement, or processing of a claim under the terms of a title insurance policy.(b)  A title insurance company shall compute the amount of the reserve required by this section by carefully estimating any loss and loss expense likely to be incurred on a proper disposition of each claim presented, under notice from or on behalf of the insured, of a title defect in or lien or adverse claim against a title insured by the company.(c)  The total expenses of the title insurance company are equal to the estimate under Subsection (b) for payment of loss and costs of defense of the insured and other costs expected to be paid to other parties in the defense, settlement, or processing of the claim under the terms of the title insurance policy.  The title insurance company shall revise the estimate at least annually and may additionally revise the estimate as circumstances warrant.(d)  The amounts set aside in the reserve in any year shall be deducted in determining the net profits for that year of any title insurance company.|Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.|