reglab/housing_qa huggingface dataset:
TX Lab Code § 407A.001 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter A. General Provisions|Section 407A.001. Definitions

Sec. 407A.001.  DEFINITIONS.  (a)  In this chapter:(1)  "Administrator" means an individual, partnership, or corporation engaged by the board of trustees of a group to implement the policies established by the board of trustees and to provide day-to-day management of the group.(2)  "Commissioner" means the commissioner of insurance.(3)  "Department" means the Texas Department of Insurance.(4)  "Estimated premium subject to experience modifier" means the premium derived from applying the filed rates to estimated payrolls and before the adjustment of the premium by experience modifiers, schedule rating plan factors, deductible credits, minimum premiums, and premium discounts.(5)  "Group" means a workers' compensation self-insurance group that holds a certificate of approval under this chapter.(5-a)  "Managing company" means an individual, partnership, or corporation engaged by the board of trustees of a group to implement the policies established by the board of trustees and to provide day-to-day management of the group.(6)  "Modified schedule rating premium" means premium derived from applying filed rates to estimated payrolls and then adjusted by the experience modifier and any schedule rating plan factors.(7)  "Same or similar" means, with regard to members of a group, that:(A)  the governing classification code of the members of the group is the same;  or(B)  the members of the group are engaged in similar operations.(8)  "Service company" means a person that provides services to the group other than services provided by the managing company, including:(A)  claims adjustment;(B)  safety engineering;(C)  compilation of statistics and the preparation of premium, loss, and tax reports;(D)  preparation of other required self-insurance reports;(E)  development of members' assessments and fees; and(F)  administration of a claim fund.(b)  For purposes of this chapter, when used as a modifier of "benefits," "liabilities," or "obligations," the term "workers' compensation" includes both workers' compensation and employers' liability.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.Amended by: Acts 2007, 80th Leg., R.S., Ch. 1176 (H.B. 472), Sec. 3.04, eff. September 1, 2007.|
TX Lab Code § 407A.002 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter A. General Provisions|Section 407A.002. Application of Chapter; Establishment of Private Group

Sec. 407A.002.  APPLICATION OF CHAPTER;  ESTABLISHMENT OF PRIVATE GROUP.  (a)  An unincorporated association or business trust composed of five or more private employers may establish a workers' compensation self-insurance group under this chapter if the employers:(1)  are engaged in the same or a similar type of business;(2)  are members of a bona fide trade or professional association that has been in existence in this state for purposes other than insurance for at least five years before the establishment of the group;  and(3)  enter into agreements to pool their liabilities for workers' compensation benefits and employers' liability in this state.(b)  This chapter does not apply to public employees or governmental entities.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.003 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter A. General Provisions|Section 407A.003. Merger of Groups

Sec. 407A.003.  MERGER OF GROUPS.  (a)  Subject to the approval of the commissioner, a group may merge with another group engaged in the same or a similar type of business if the resulting group assumes in full all obligations of the merging groups.(b)  The commissioner may conduct a hearing on a proposed merger and shall conduct a hearing if any party, including a member of either group, requests a hearing.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.004 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter A. General Provisions|Section 407A.004. Group Not Insurer

Sec. 407A.004.  GROUP NOT INSURER.  A group issued a certificate of approval by the commissioner under this chapter is not:(1)  an insurer based on that certificate;  and(2)  subject to the insurance laws and rules of this state except as otherwise provided by this chapter.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.005 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter A. General Provisions|Section 407A.005. Certificate of Approval Required

Sec. 407A.005.  CERTIFICATE OF APPROVAL REQUIRED.  An association of employers may not act as a workers' compensation self-insurance group unless it has been issued a certificate of approval by the commissioner under this chapter.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.006 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter A. General Provisions|Section 407A.006. Service of Process

Sec. 407A.006.  SERVICE OF PROCESS.  (a)  Each group shall be deemed to have appointed the commissioner as its attorney to receive service of legal process issued against the group in this state.(b)  The appointment of the commissioner is irrevocable, binds any successor in interest, and remains in effect as long as any obligation or liability of the group for workers' compensation benefits exists in this state.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.007 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter A. General Provisions|Section 407A.007. Hearings

Sec. 407A.007.  HEARINGS.  A hearing required under this chapter shall be conducted by the State Office of Administrative Hearings in the manner provided for a contested case under Chapter 2001, Government Code.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.008 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter A. General Provisions|Section 407A.008. Rules

Sec. 407A.008.  RULES.  The commissioner shall adopt rules as necessary to implement this chapter.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.009 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter A. General Provisions|Section 407A.009. Certificate of Authority Required for Certain Administrators and Service Companies

Sec. 407A.009.  CERTIFICATE OF AUTHORITY REQUIRED FOR CERTAIN ADMINISTRATORS AND SERVICE COMPANIES.  (a)  An administrator or service company under this chapter that performs the acts of an administrator as defined in Chapter 4151, Insurance Code, must hold a certificate of authority under that chapter.(b)  An entity is required to hold only one certificate of authority under Chapter 4151, Insurance Code, if:(1)  the entity acts as an administrator and a service company as defined in this chapter; and(2)  performs the acts of an administrator as that term is defined in Chapter 4151, Insurance Code.(c)  Exemptions in Chapter 4151, Insurance Code, as provided in Sections 4151.002(18), (19), and (20), apply to an administrator or service company under this section.|Added by Acts 2007, 80th Leg., R.S., Ch. 1176 (H.B. 472), Sec. 3.05, eff. September 1, 2007.|
TX Lab Code § 407A.052 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter B. Application Requirements for Certificate of Approval for Self-Insurance Group|Section 407A.052. Issuance of Certificate of Approval; Refusal

Sec. 407A.052.  ISSUANCE OF CERTIFICATE OF APPROVAL;  REFUSAL.  (a)  The commissioner shall issue a certificate of approval to a proposed group on finding that the group has met the requirements of this subchapter.(b)  If the commissioner determines that a proposed group has not satisfied the requirements under this subchapter for a certificate of approval, the commissioner shall issue an order refusing the certificate.  The order must set forth the reasons for the refusal.(c)  On issuance of the certificate of approval, the group is authorized to provide workers' compensation benefits.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.054 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter B. Application Requirements for Certificate of Approval for Self-Insurance Group|Section 407A.054. Excess Insurance Requirements

Sec. 407A.054.  EXCESS INSURANCE REQUIREMENTS.  (a)  To obtain an initial certificate of approval and to be eligible to renew its certificate of approval, each group must comply with the excess insurance requirements adopted under this section.(b)  Each group shall obtain specific excess insurance for losses that exceed the group's retention in a form prescribed by the commissioner.  The commissioner may establish minimum requirements for the amount of specific excess insurance based on differences among groups in size, types of employment, years in existence, and other relevant factors.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.055 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter B. Application Requirements for Certificate of Approval for Self-Insurance Group|Section 407A.055. Premium Requirements

Sec. 407A.055.  PREMIUM REQUIREMENTS.  Each group must have an estimated premium subject to experience modifier of at least $250,000 during the group's first year of operation.  Thereafter, the annual standard premium must be at least $500,000.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.056 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter B. Application Requirements for Certificate of Approval for Self-Insurance Group|Section 407A.056. Indemnity Agreement Requirements

Sec. 407A.056.  INDEMNITY AGREEMENT REQUIREMENTS.  (a)  An indemnity agreement filed under Section 407A.051 must jointly and severally bind the group and each employer who is a member of the group to meet the workers' compensation obligations of each member.(b)  The indemnity agreement must be in the form prescribed by the commissioner and must include minimum uniform substantive provisions as prescribed by the commissioner.  Subject to the commissioner's approval, a group may add other provisions necessary because of that group's particular circumstances.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.057 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter B. Application Requirements for Certificate of Approval for Self-Insurance Group|Section 407A.057. Additional Performance Bond Requirements

Sec. 407A.057.  ADDITIONAL PERFORMANCE BOND REQUIREMENTS.  (a)  In addition to the requirements under Section 407A.051, the commissioner may require a service company providing claim services to furnish a performance bond of $250,000 in the form prescribed by the commissioner.(b)  In lieu of a performance bond under Subsection (a), a security deposit of cash or securities acceptable to the commissioner may be deposited with the commissioner to be held in the state treasury.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.Amended by: Acts 2005, 79th Leg., Ch. 1055 (H.B. 1353), Sec. 3, eff. September 1, 2005.|
TX Lab Code § 407A.101 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter C. Termination of Certificate of Approval|Section 407A.101. Certificate of Approval; Termination

Sec. 407A.101.  CERTIFICATE OF APPROVAL;  TERMINATION.  (a)  A certificate of approval remains in effect until terminated at the request of the group or revoked by the commissioner.(b)  The commissioner may not grant the request of any group to terminate its certificate of approval unless the group has insured or reinsured all incurred workers' compensation obligations with an authorized insurer under an agreement filed with and approved in writing by the commissioner.  For purposes of this subsection, those obligations include:(1)  known claims and expenses associated with those claims;  and(2)  incurred but not reported claims and expenses associated with those claims.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.151 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter D. Board of Trustees|Section 407A.151. Board Membership

Sec. 407A.151.  BOARD MEMBERSHIP.  (a)  Each group shall be operated by a board of trustees composed of at least five persons whom the members of the group elect for stated terms of office.  The trustees must be employees, officers, or directors of employers who are members of the group.  Each board member shall be a resident of this state or an officer of a corporation authorized to do business in this state.(b)  An administrator or service company of the group, or owner, officer, employee of, or any other person affiliated with the administrator or service company, may not serve on the board of trustees.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.152 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter D. Board of Trustees|Section 407A.152. Board General Powers and Duties

Sec. 407A.152.  BOARD GENERAL POWERS AND DUTIES.  The board of trustees shall:(1)  maintain minutes of its meetings and make the minutes available to the commissioner;(2)  designate an administrator and delineate in the written minutes of its meetings the areas of authority it delegates to the administrator;  and(3)  retain an independent certified public accountant to audit the financial statements required by Section 407A.251.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.153 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter D. Board of Trustees|Section 407A.153. Prohibited Activities

Sec. 407A.153.  PROHIBITED ACTIVITIES.  The board of trustees may not:(1)  extend credit to individual members for payment of a premium, except under payment plans approved by the commissioner;  or(2)  without first advising the commissioner of the nature and purpose of the loan and obtaining prior approval from the commissioner, borrow any money from the group or in the name of the group except in the ordinary course of business.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.154 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter D. Board of Trustees|Section 407A.154. Group Funds

Sec. 407A.154.  GROUP FUNDS.  The board of trustees shall maintain responsibility for all money collected or disbursed from the group.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.201 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter E. Group Membership; Termination; Liability|Section 407A.201. Admission of Employer as Member

Sec. 407A.201.  ADMISSION OF EMPLOYER AS MEMBER.  (a)  An employer who joins an approved workers' compensation self-insurance group shall:(1)  submit an application for membership to the board of trustees or its administrator;  and(2)  enter into the indemnity agreement as required by Section 407A.056.(b)  The board of trustees shall maintain as a permanent record the employer's application for membership and the approval of the application.(c)  The membership of an individual member of a group is subject to cancellation by the group as provided by the bylaws of the group.  An individual member may also elect to terminate participation in the group.  The group shall notify the commissioner and the commissioner of workers' compensation of the cancellation or termination of a membership not later than the 10th day after the date on which the cancellation or termination takes effect and shall maintain coverage of each canceled or terminated member until the 30th day after the date of the notice, at the terminating member's expense, unless before that date the commissioner of workers' compensation notifies the group that the canceled or terminated member has:(1)  obtained workers' compensation insurance coverage;(2)  become a certified self-insurer; or(3)  become a member of another group.(d)  The group shall pay each workers' compensation claim for which a member of the group incurs liability during the period of membership.  A member who elects to terminate membership or whose membership is canceled by the group remains jointly and severally liable for the workers' compensation obligations of the group and its members incurred during the canceled or terminated member's period of membership.(e)  A member of a group is not relieved of workers' compensation liabilities incurred during its period of membership except through payment by the group or the member of required workers' compensation benefits.(f)  The insolvency or bankruptcy of a member does not relieve a group or any other member of the group of liability for the payment of any workers' compensation benefits incurred during the insolvent or bankrupt member's period of membership.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.Amended by: Acts 2005, 79th Leg., Ch. 265 (H.B. 7), Sec. 3.072, eff. September 1, 2005.|
TX Lab Code § 407A.251 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter F. Examinations, Financial Statements, and Other Reports|Section 407A.251. Financial Statement

Sec. 407A.251.  FINANCIAL STATEMENT.  (a)  Each group shall submit to the commissioner financial statements audited by an independent certified public accountant on or before the last day of the sixth month following the end of the group's fiscal year.(b)  The financial statement must include a balance sheet, income statement, and statement of cash flow and must be prepared on the basis of accounting principles generally accepted in the United States.(c)  Loss reserves may be discounted subject to generally accepted accounting principles.  The discounting must be documented in the notes accompanying the financial statement.  Notwithstanding this subsection, dividends paid to members of the group must be based on undiscounted loss reserves.(d)  The audited financial statements required by this section must be accompanied by an actuarial opinion on the adequacy of the group's loss reserves, including the reasonableness of any reserve discount.  The actuarial opinion must be given by a member in good standing of the American Academy of Actuaries and the Casualty Actuarial Society.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.252 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter F. Examinations, Financial Statements, and Other Reports|Section 407A.252. Examination

Sec. 407A.252.  EXAMINATION.  (a)  The commissioner shall examine the financial condition of each group to determine the group's ability to meet the group's obligations under this subtitle.  An examination under this section is subject to Article 1.15, Insurance Code, except that, to the extent of a conflict between this chapter and that article, this chapter prevails.  The commissioner may examine a group annually for the first three years of the group's operation.  Beginning with the fourth year of operation, the commissioner may not examine a group more frequently than once every three years unless the commissioner determines that the group:(1)  is in an impaired financial condition;  or(2)  otherwise may not be able to continue to meet the group's obligations under this subtitle.(b)  The commissioner has full access to the records, officers, agents, and employees of a group as necessary to complete an examination under this section.  The commissioner may recover the expenses of the examination under Article 1.16, Insurance Code, to the extent the maintenance tax under Section 407A.302 does not cover those expenses.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.|
TX Lab Code § 407A.301 (2021)
2021 Texas Statutes|Labor Code|Title 5 - Workers' Compensation|Subtitle A - Texas Workers' Compensation Act|Chapter 407A - Group Self-Insurance Coverage|Subchapter G. Taxes, Fees, and Assessments|Section 407A.301. Maintenance Tax for Division and Research Functions of Department

Sec. 407A.301.  MAINTENANCE TAX FOR DIVISION AND RESEARCH FUNCTIONS OF DEPARTMENT.  (a)  Each group shall pay a self-insurance group maintenance tax under this section for:(1)  the administration of the division of workers' compensation of the department;(2)  the prosecution of workers' compensation insurance fraud in this state;(3)  the research functions of the department under Chapter 405; and(4)  the administration of the office of injured employee counsel under Chapter 404.(b)  The tax liability of a group under Subsections (a)(1) and (2) is based on gross premium for the group's retention multiplied by the rate assessed insurance carriers under Sections 403.002 and 403.003.(c)  The tax liability of a group under Subsection (a)(3) is based on gross premium for the group's retention multiplied by the rate assessed insurance carriers under Section 405.003.(d)  The tax under this section does not apply to premium collected by the group for excess insurance.(e)  The tax under this section shall be collected by the comptroller as provided by Section 201.051 and Chapter 255, Insurance Code.|Added by Acts 2003, 78th Leg., ch. 275, Sec. 1, eff. Sept. 1, 2003.Amended by: Acts 2005, 79th Leg., Ch. 265 (H.B. 7), Sec. 3.073, eff. September 1, 2005.Acts 2005, 79th Leg., Ch. 265 (H.B. 7), Sec. 3.074, eff. September 1, 2005.Acts 2005, 79th Leg., Ch. 728 (H.B. 2018), Sec. 11.138, eff. September 1, 2005.|