reglab/housing_qa huggingface dataset:
TX Ins Code § 887.065 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter B. General Powers and Duties; Officers and Directors|Section 887.065. Merger

Sec. 887.065.  MERGER.  (a)  An association may not merge with another association without the advance approval of the department.(b)  The department may grant approval under Subsection (a) only after the department:(1)  completely investigates the facts;  and(2)  determines that the proposed merger is to the advantage of the members.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.101 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter C. Authority to Engage in Business|Section 887.101. Certificate of Authority Required

Sec. 887.101.  CERTIFICATE OF AUTHORITY REQUIRED.  (a)  Except as provided by Section 887.102, the department shall require an association or person to hold a certificate of authority issued by the department before the association or person may engage in the business of insurance in this state.(b)  If an association or person writes insurance without a certificate of authority issued under Subsection (a), the department shall notify the attorney general.  The attorney general shall institute proceedings in the district court of Travis County to restrain the association or person from writing insurance without a certificate of authority.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.102 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter C. Authority to Engage in Business|Section 887.102. Exempt Association; Permit

Sec. 887.102.  EXEMPT ASSOCIATION;  PERMIT.  (a)  An association is not required to hold a certificate of authority under Section 887.101 if the association:(1)  limits its membership to:(A)  the employees and the families of employees of a particular designated firm, corporation, or individual;  or(B)  borrowers of a federal agency in this state and members of the borrower's immediate family who are living with the borrower and are not engaged in nonfarm work for their chief income;(2)  has been in existence for at least five years;(3)  is not operated for profit;  and(4)  does not pay commissions.(b)  An association exempt under this section shall:(1)  make annual reports to the department, on forms provided for that purpose, showing the financial condition of the association, receipts and expenditures of the association, and any other facts required by the department;  and(2)  obtain from the department a permit to engage in the business of insurance.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.103 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter C. Authority to Engage in Business|Section 887.103. Refusal of Certificate of Authority or Permit

Sec. 887.103.  REFUSAL OF CERTIFICATE OF AUTHORITY OR PERMIT.  (a)  An association may not continue to engage in the business of insurance in this state if the commissioner notifies the association in writing of the commissioner's refusal to issue a certificate of authority or a permit.(b)  Not later than the 60th day after the date notice is received under Subsection (a), an association may file suit to review the commissioner's action in accordance with Subchapter D, Chapter 36.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.104 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter C. Authority to Engage in Business|Section 887.104. Refusal or Removal for Unworthiness of Public Trust

Sec. 887.104.  REFUSAL OR REMOVAL FOR UNWORTHINESS OF PUBLIC TRUST.  (a)  The department may not issue a certificate of authority to an association if the department determines that an officer, employee, or member of the board of directors of the association is unworthy of the trust or confidence of the public.(b)  On issuance of a certificate of authority to an association, the commissioner shall order the removal of an officer, employee, or director of the association if the officer, employee, or director is found unworthy of the trust or confidence of the public.(c)  If the association does not remove an officer, employee, or director as required by an order issued under Subsection (b), the commissioner shall:(1)  revoke the certificate of authority;  and(2)  treat the association as insolvent.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.151 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter D. Members|Section 887.151. Classes of Members

Sec. 887.151.  CLASSES OF MEMBERS.  (a)  An association's constitution and bylaws shall state the number of members to be admitted in a class of the association.(b)  An association shall keep the accounts of the classes' mortuary assessments separate.  The association may not use the funds of a class to pay claims for any other class.(c)  Not later than six months after the date a class of members is created, an association must build the class up to the required membership to pay claims in full.  Until the required membership level is reached, the insurance certificates for the class may not provide for a benefit greater than $500, unless the association has sufficient funds to lawfully make the full payment of benefits.(d)  Creation of any new class is subject to advance approval of the department.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.152 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter D. Members|Section 887.152. Qualifying Membership in Association

Sec. 887.152.  QUALIFYING MEMBERSHIP IN ASSOCIATION.  (a)  An individual must qualify under an association's bylaws to become a member of the association.(b)  An association must maintain the qualifying membership at all times.  If an association fails to maintain the qualifying membership, the commissioner shall treat the association as insolvent.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.153 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter D. Members|Section 887.153. Voting Rights of Members

Sec. 887.153.  VOTING RIGHTS OF MEMBERS.  An association shall permit each member of the association to vote at any periodic meeting or special meeting of the members.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.154 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter D. Members|Section 887.154. Membership Records

Sec. 887.154.  MEMBERSHIP RECORDS.  An association shall keep:(1)  a complete and correct roster of the association's members, with proper statistical records for determining by age or some other method the proper cost of insurance;(2)  accurate records of classes of memberships;  and(3)  records of amounts of assessments paid by each member and by each class that show:(A)  how the funds are distributed between mortuary and expense funds for each class;  and(B)  the amounts paid out of the funds of the whole membership or each class in death claims or other benefits.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.155 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter D. Members|Section 887.155. Transfer of Membership or Merger of Classes

Sec. 887.155.  TRANSFER OF MEMBERSHIP OR MERGER OF CLASSES.  (a)  Without advance approval of the department, an association may not:(1)  transfer any part or class of membership or all membership to another association;  or(2)  merge classes or transfer a member from one class to another in the association.(b)  The department may grant approval under Subsection (a) only after the department:(1)  completely investigates the facts;  and(2)  determines that the proposed merger or transfer is to the advantage of the members or classes affected by the merger or transfer.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.201 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter E. Powers and Duties Relating to Insurance and Coverages|Section 887.201. Limit on Life Insurance

Sec. 887.201.  LIMIT ON LIFE INSURANCE.  An association may not insure an individual life for more than $5,000.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.202 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter E. Powers and Duties Relating to Insurance and Coverages|Section 887.202. Stipulated Premium Plan; Deduction of Unpaid Premium Balance

Sec. 887.202.  STIPULATED PREMIUM PLAN;  DEDUCTION OF UNPAID PREMIUM BALANCE.  (a)  An association may issue an insurance certificate on a stipulated premium plan that provides for the insured to pay regular premiums weekly, monthly, quarterly, semiannually, or annually, as determined by the insured.(b)  An association may issue an insurance certificate that provides that on the maturity of benefits payable under the certificate any balance of premium for the certificate year remaining unpaid is deducted from the benefits payable.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.203 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter E. Powers and Duties Relating to Insurance and Coverages|Section 887.203. Issuance of Life Insurance Policy by Certain Associations

Sec. 887.203.  ISSUANCE OF LIFE INSURANCE POLICY BY CERTAIN ASSOCIATIONS.  (a)  A local mutual aid association or statewide mutual assessment company that has a mortuary fund and expense fund with a combined value of at least $100,000 greater than the liabilities of the combined funds may issue a life insurance policy in the same manner as a company organized under Chapter 841. (b)  An insurance policy issued as provided by Subsection (a):(1)  may not insure an individual life for more than $5,000;(2)  must be reserved as required for a company organized under Chapter 841;  and(3)  may be issued only on an endowment or limited pay basis.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.204 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter E. Powers and Duties Relating to Insurance and Coverages|Section 887.204. Renewal or Reinstatement of Insurance Certificate

Sec. 887.204.  RENEWAL OR REINSTATEMENT OF INSURANCE CERTIFICATE.  (a)  If an insurance certificate terminates for any reason and the association's rules provide that a reinstated certificate is regarded as a new certificate, an application for reinstatement must state in at least 10-point type that:(1)  the same rules that apply to the original certificate apply to the reinstated certificate;  and(2)  the association may invalidate the certificate within the contestable period for a false statement regarding the applicant's health or physical condition or another matter material to the risk.(b)  On reinstatement of an insurance certificate, an association shall send to the certificate holder by first class mail a copy of the application for reinstatement.  The burden of proof is on the association to prove that the association mailed the application.(c)  If a renewal insurance certificate is issued after termination of an insurance certificate, the association shall attach to the renewal insurance certificate a copy of the application for reinstatement.  The application is part of the renewal insurance certificate.(d)  If an association renews or reinstates an insurance certificate after termination of the certificate, the association shall divide the reinstated member's payments between the funds in the same percentage as is required of regular payments in the association's bylaws, except that if the period between termination and reinstatement is nine months or longer, the association may:(1)  charge a reinstatement fee not greater than the membership fee;  and(2)  place the fee in the expense fund.(e)  A renewal or reinstatement certificate may not be contestable for any cause except nonpayment of assessments for a period longer than six months from the date of renewal or reinstatement, except that if the renewal or reinstatement occurs within the certificate's original two-year contestable period, the contestable period may be extended for six months from the date it would have originally expired.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.205 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter E. Powers and Duties Relating to Insurance and Coverages|Section 887.205. Life Insurance Certificate Beneficiaries

Sec. 887.205.  LIFE INSURANCE CERTIFICATE BENEFICIARIES.  (a)  An association may pay death benefits only to:(1)  a member's spouse;(2)  a member's relative by blood to the fourth degree or by marriage to the third degree;(3)  a person actually dependent on the member;(4)  a creditor, estate, or other person with an insurable interest;  or(5)  a purely charitable or religious institution.(b)  A beneficiary of a life insurance certificate forfeits the beneficiary's interest in the certificate if the beneficiary is the principal or an accomplice in wilfully bringing about the death of the insured.  The nearest relative of the insured is entitled to the proceeds of an insurance certificate forfeited under this subsection.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.206 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter E. Powers and Duties Relating to Insurance and Coverages|Section 887.206. Payment of Claim; Proof of Claim

Sec. 887.206.  PAYMENT OF CLAIM;  PROOF OF CLAIM.  (a)  An association shall pay each claim under an insurance certificate in full not later than the 60th day after the date of receipt of due proof of claim.(b)  Written notice of a claim given to an association is considered due proof of claim if the association does not provide the claimant with the forms usually provided for filing claims before the 16th day after the date notice is received.(c)  If an association is unable to pay a valid claim in full within the time prescribed by Subsection (a), the commissioner shall treat the association as insolvent.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.207 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter E. Powers and Duties Relating to Insurance and Coverages|Section 887.207. Exception to Full Payment Requirement: Assessment-as-Needed Associations

Sec. 887.207.  EXCEPTION TO FULL PAYMENT REQUIREMENT:  ASSESSMENT-AS-NEEDED ASSOCIATIONS.  (a)  Section 887.206 does not apply to a class organized before May 12, 1939, and operating on the postmortem or assessment-as-needed plan on that date.(b)  An association with a postmortem or assessment-as-needed class to which Subsection (a) applies may continue to operate on the plan only if:(1)  the class has a sufficient membership at the assessment rate charged to produce for the mortuary fund at least 50 percent of the maximum value of the largest certificate in the class;  and(2)  the association receives the amount required by Subdivision (1).(c)  If the membership of a class is sufficient in number to pay more than 50 percent but less than 100 percent of the maximum value of the largest certificate in the class, an officer of the association shall print on each assessment notice the percentage of the maximum value of the certificate actually paid on the last claim for death benefits in the class.(d)  If the amount realized on an assessment is not sufficient to pay 50 percent of the maximum amount of promised benefits as shown on the certificate, the commissioner shall treat the association as insolvent.(e)  Any benefits paid by an association operating on a postmortem or assessment-as-needed basis are dependent on the amount realized from assessments on the membership.  Each of the association's insurance certificates must state:(1)  that any benefits paid are dependent on the amount realized from assessments on the membership;  and(2)  the certificate's maximum payment.(f)  An association or a class in an association organized after May 12, 1939, may not operate on the postmortem or assessment-as-needed plan.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.208 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter E. Powers and Duties Relating to Insurance and Coverages|Section 887.208. Contested Claims

Sec. 887.208.  CONTESTED CLAIMS.  (a)  An association may not contest a claim:(1)  only for delay or for a captious or inconsequential reason;  or(2)  to force settlement at less than full payment.(b)  An association shall notify a claimant of the association's intent to deny liability on a claim not later than the 60th day after the date the association receives due proof of claim.(c)  An association that does not notify a claimant as provided by Subsection (b) is presumed as a matter of law to have accepted liability on the claim.(d)  The commissioner shall revoke the certificate of authority of any association the commissioner finds is operating fraudulently or improperly contesting claims.(e)  An association shall report to the department the costs of contests in the annual statement under Section 887.060.  The report must be verified by an officer of the association.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.209 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter E. Powers and Duties Relating to Insurance and Coverages|Section 887.209. Venue

Sec. 887.209.  VENUE.  An action brought against an association that grows out of or is based on any right of claim or loss or proceeds due, arising from or predicated on any claim for benefits under an insurance certificate issued by the association, may be brought in:(1)  the county where the certificate holder or beneficiary instituting the action resides;  or(2)  the county of the principal office of the association.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.210 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter E. Powers and Duties Relating to Insurance and Coverages|Section 887.210. Reinsurance

Sec. 887.210.  REINSURANCE.  (a)  An association may enter into a reinsurance agreement with a legal reserve company that:(1)  is authorized to write life, health, and accident insurance in this state;  and(2)  has capital or surplus of at least $100,000.(b)  A reinsurance agreement under this section is subject to the commissioner's approval.(c)  An association may not pay more out from its mortuary fund for reinsurance under this section than is received at the time of reinsurance by the mortuary fund on the insurance certificates or members reinsured.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|
TX Ins Code § 887.251 (2021)
2021 Texas Statutes|Insurance Code|Title 6 - Organization of Insurers and Related Entities|Subtitle E - Mutual and Fraternal Companies and Related Entities|Chapter 887 - Provisions Applicable to Certain Mutual Assessment Companies|Subchapter F. Contents of Applications and Insurance Certificates|Section 887.251. General Requirements for Insurance Certificate and Application Forms; Incontestability

Sec. 887.251.  GENERAL REQUIREMENTS FOR INSURANCE CERTIFICATE AND APPLICATION FORMS;  INCONTESTABILITY.  (a)  An insurance certificate issued by an association must include:(1)  any condition of the certificate, including any portion of the bylaws of the association that affects the insurance rights of the parties in any material way;  and(2)  a statement that the certificate is issued subject to:(A)  the association's constitution and bylaws;  and(B)  any amendments to the constitution and bylaws approved by the commissioner.(b)  An insurance certificate must provide that a certificate in force for two years becomes incontestable, except for nonpayment of dues or assessments, on the second anniversary of the date of issuance, if the insured does not die before that date.(c)  An insurance certificate issued by an association or an application for the certificate may not contain language or be in a form that misleads the certificate holder or applicant about the kind of insurance provided under the certificate.|Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.|