reglab/housing_qa huggingface dataset:
TX Ins Code § 463.260 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter F. Powers and Duties of Association Relating|Section 463.260. Limits on and Termination of Association Obligation

Sec. 463.260.  LIMITS ON AND TERMINATION OF ASSOCIATION OBLIGATION.  (a)  The association is not liable for benefits that exceed the contractual obligations for which the insurer is liable or would have been liable if not impaired or insolvent.  The association has no obligation to provide benefits outside the express written terms of the policy or contract, including:(1)  claims based on marketing materials;(2)  claims based on side letters, riders, or other documents that were issued without meeting applicable policy form filing or approval requirements;(3)  claims based on misrepresentation of or regarding policy benefits;(4)  extracontractual claims; or(5)  claims for penalties or consequential or incidental damages.(b)  The association's obligations with respect to coverage under a policy of an impaired or insolvent insurer or under a reissued or alternative policy terminate on the date the coverage or policy is replaced by another similar policy by the policyholder, the contract owner, the insured, the enrollee, or the association.(c)  If a premium is not paid before the 32nd day after the date the premium is due under a guaranteed, assumed, alternative, or reissued policy or contract or substitute coverage, the association's obligations under the policy, contract, or coverage terminate, except with respect to a claim incurred or any net cash surrender value due as provided by this chapter.|Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.Amended by: Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 3B.018(d), eff. September 1, 2007.Acts 2007, 80th Leg., R.S., Ch. 921 (H.B. 3167), Sec. 9.018(d), eff. September 1, 2007.Acts 2019, 86th Leg., R.S., Ch. 432 (S.B. 1153), Sec. 22, eff. September 1, 2019.|
TX Ins Code § 463.261 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter F. Powers and Duties of Association Relating|Section 463.261. Assignment of Rights

Sec. 463.261.  ASSIGNMENT OF RIGHTS.  (a)  A person receiving a benefit under this chapter, including a payment of or on account of a contractual obligation, continuation of coverage, or provision of substitute or alternative coverage, is considered to have assigned to the association the rights under, and any cause of action relating to, the covered policy to the extent of the benefit received.  The association may require a payee, policy or contract owner, beneficiary, insured, enrollee, or annuitant to assign the person's rights and cause of action to the association as a condition of receiving a right or benefit under this chapter.(b)  The association's subrogation rights under Subsection (a) have the same priority against the assets of the impaired or insolvent insurer as that held by the person entitled to receive a benefit under this chapter.(c)  The association has all common law rights of subrogation and any other equitable or legal remedy that would have been available to the impaired or insolvent insurer or holder, beneficiary, enrollee, or payee of a policy or contract with respect to the policy or contract.(d)  The rights of the association under Subsection (c) include, in the case of a structured settlement annuity, any rights of the owner, beneficiary, or payee of the annuity, to the extent of benefits received under this chapter, against any person originally or by succession responsible for the losses arising from the personal injury relating to the annuity or payment for the annuity, other than a person responsible solely by reason of serving as an assignee in respect of a qualified assignment under Section 130, Internal Revenue Code of 1986 (26 U.S.C. Section 130).(e)  If a provision of this section is invalid or ineffective with respect to any person or claim for any reason, the amount payable by the association with respect to the related covered obligations is reduced by the amount realized by any other person with respect to the person or claim that is attributable to the policies, or portion of the policies, covered by the association.  If the association has provided benefits with respect to a covered obligation and a person recovers amounts as to which the association has rights described in this section, the person shall pay to the association the portion of the recovery attributable to the policies, or portion of the policies, covered by the association.|Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.Amended by: Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 3B.015(d), eff. September 1, 2007.Acts 2007, 80th Leg., R.S., Ch. 921 (H.B. 3167), Sec. 9.015(d), eff. September 1, 2007.Acts 2019, 86th Leg., R.S., Ch. 432 (S.B. 1153), Sec. 23, eff. September 1, 2019.|
TX Ins Code § 463.262 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter F. Powers and Duties of Association Relating|Section 463.262. Effect of Subrogation and Assignment of Rights and Available Assets on Association Obligation

Sec. 463.262.  EFFECT OF SUBROGATION AND ASSIGNMENT OF RIGHTS AND AVAILABLE ASSETS ON ASSOCIATION OBLIGATION.  (a)  The limitations set forth in this chapter are limitations on the benefits for which the association is obligated before taking into account either the association's subrogation and assignment rights or the extent to which those benefits could be provided out of the assets of the impaired or insolvent insurer attributable to covered policies.(b)  The costs of the association's obligations under this chapter may be met by the use of assets attributable to covered policies or reimbursed to the association pursuant to the association's subrogation and assignment rights.|Added by Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 3B.018(e), eff. September 1, 2007.Added by Acts 2007, 80th Leg., R.S., Ch. 921 (H.B. 3167), Sec. 9.018(e), eff. September 1, 2007.|
TX Ins Code § 463.263 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter F. Powers and Duties of Association Relating|Section 463.263. Deposit to Be Paid to Association

Sec. 463.263.  DEPOSIT TO BE PAID TO ASSOCIATION.  (a)  A deposit in this state, held under law or required by the commissioner for the benefit of creditors, including policy owners, that is not turned over to the domiciliary receiver on the entry of a final order of liquidation or order approving a rehabilitation plan of an insurer domiciled in this state or a reciprocal state in accordance with Section 443.402 shall be promptly paid to the association.(b)  The association is entitled to retain a portion of any amount paid to the association under this section equal to the percentage determined by dividing the aggregate amount of policy owners' claims related to that insolvency for which the association has provided statutory benefits by the aggregate amount of all policy owners' claims in this state related to that insolvency and shall remit to the domiciliary receiver the amount paid to the association less the amount retained under this section.(c)  The amount paid to the association under this section, less the amount retained by the association under this section, is treated as a distribution of estate assets under Section 443.303 or the similar law of the state of domicile of the impaired or insolvent insurer.|Added by Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 3B.015(e), eff. September 1, 2007.Added by Acts 2007, 80th Leg., R.S., Ch. 921 (H.B. 3167), Sec. 9.015(e), eff. September 1, 2007.Amended by: Acts 2011, 82nd Leg., R.S., Ch. 14 (S.B. 567), Sec. 9, eff. September 1, 2011.|
TX Ins Code § 463.264 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter F. Powers and Duties of Association Relating|Section 463.264. Reinsurance

Sec. 463.264.  REINSURANCE.  (a)  The association may elect to succeed to the rights of an insolvent insurer under a contract of reinsurance to which the insolvent insurer is a party to the extent:(1)  of the contractual obligations of the covered policies for which the association may become obligated; and(2)  that the reinsurance contract provides coverage for losses occurring after the association is obligated to provide coverage.(b)  As a condition to making an election under Subsection (a), the association shall pay all unpaid premiums due under the reinsurance contract to which Subsection (a) refers for coverage relating to a period before and after the date the association is obligated to provide coverage.|Added by Acts 2011, 82nd Leg., R.S., Ch. 14 (S.B. 567), Sec. 10, eff. September 1, 2011.|
TX Ins Code § 463.301 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter G. Operation of Impaired or Insolvent Insurer|Section 463.301. Issuance or Renewal of Policies Following Conservatorship or Receivership

Sec. 463.301.  ISSUANCE OR RENEWAL OF POLICIES FOLLOWING CONSERVATORSHIP OR RECEIVERSHIP.  (a)  If an assessment has been made under this chapter for the insurer or guaranty fees have been provided for the insurer, an impaired insurer placed in conservatorship or receivership may not issue a new or renewal insurance policy on release from the conservatorship or receivership until the insurer has repaid in full the amount of guaranty fees provided by the association.(b)  Notwithstanding Subsection (a), on application of the association and after hearing, the commissioner may permit the insurer to issue new policies as provided by a plan of operation by the insurer for repayment.  In approving the plan, the commissioner may restrict the issuance of new or renewal policies as necessary to implement the plan.(c)  The commissioner shall give 10 days' notice of the hearing to the association. The association and the member insurers that paid assessments in relation to the impaired insurer are entitled to appear at and participate in the hearing.(d)   Money recovered against an impaired insurer under this section shall be repaid to the member insurers that paid assessments in relation to the impaired insurer on return of the member insurers' certificates of contribution.|Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.|
TX Ins Code § 463.302 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter G. Operation of Impaired or Insolvent Insurer|Section 463.302. Distributions to Shareholders and Affiliates

Sec. 463.302.  DISTRIBUTIONS TO SHAREHOLDERS AND AFFILIATES.  (a)  An impaired or insolvent insurer may not make a distribution to shareholders until the association has recovered the total amount of valid claims for money spent in carrying out the association's powers and performing the association's duties under Section 463.101, 463.103, 463.109, or 463.111(c) or Subchapter F with respect to that insurer, plus interest on that amount.(b)  Except as otherwise provided by this section, a receiver appointed under an order of receivership for an insurer domiciled in this state may recover on behalf of the insurer from an affiliate that controlled the insurer the amount of any distribution, other than a stock dividend the insurer paid on the insurer's capital stock, made during the five years preceding the date of the petition for liquidation or rehabilitation.(c)  A person who was an affiliate that controlled the insurer when a distribution described by Subsection (b) was paid is liable for the amount of the distribution received.  A person who was an affiliate that controlled the insurer when the distribution was declared is liable for the amount of the distribution the affiliate would have received if the distribution had been paid immediately.  Two or more persons liable for the same distribution are jointly and severally liable.  If a person liable under this subsection is insolvent, all of the affiliates that controlled the insolvent person when the distribution was paid are jointly and severally liable for any resulting deficiency in the amount recovered from the insolvent person.(d)  The maximum amount recoverable under Subsections (b) and (c) is the amount needed in excess of all other available assets of the impaired or insolvent insurer to pay the insurer's contractual obligations.(e)  The receiver may not recover a distribution to shareholders under Subsection (b) if the insurer shows that, at the time the distribution was paid, the distribution was lawful and reasonable and that the insurer did not know and could not reasonably have known that the distribution might adversely affect the ability of the insurer to fulfill the insurer's contractual obligations.|Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.Amended by: Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 3B.019(a), eff. September 1, 2007.Acts 2007, 80th Leg., R.S., Ch. 921 (H.B. 3167), Sec. 9.019(a), eff. September 1, 2007.|
TX Ins Code § 463.303 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter G. Operation of Impaired or Insolvent Insurer|Section 463.303. Assets Attributable to Covered Policies

Sec. 463.303.  ASSETS ATTRIBUTABLE TO COVERED POLICIES.  (a)  For the purposes of this section, assets attributable to covered policies are the proportion of the assets that the reserves that should have been established for the covered policies bear to the reserves that should have been established for all insurance policies written by the impaired or insolvent insurer.(b)  To carry out the association's obligations under this chapter, the association is considered a creditor of the impaired or insolvent insurer to the extent of assets attributable to covered policies, less any amount to which the association is entitled as subrogee under Section 463.261.(c)  Assets of the impaired or insolvent insurer attributable to covered policies shall be used to continue all covered policies and pay all contractual obligations of the impaired or insolvent insurer as required by this chapter.|Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.|
TX Ins Code § 463.304 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter G. Operation of Impaired or Insolvent Insurer|Section 463.304. Distribution of Ownership Rights of Impaired or Insolvent Insurer

Sec. 463.304.  DISTRIBUTION OF OWNERSHIP RIGHTS OF IMPAIRED OR INSOLVENT INSURER.  In making an equitable distribution of the ownership rights of an impaired or insolvent insurer before the termination of a receivership, the court:(1)  shall consider the welfare of the policyholders, contract owners, certificate holders, and enrollees of the continuing or successor insurer; and(2)  may consider the contributions of the respective parties, including the association, the shareholders, policyholders, contract owners, certificate holders, and enrollees of the impaired or insolvent insurer, and any other party with a bona fide interest.|Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.Amended by: Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 3B.019(b), eff. September 1, 2007.Acts 2007, 80th Leg., R.S., Ch. 921 (H.B. 3167), Sec. 9.019(b), eff. September 1, 2007.Acts 2019, 86th Leg., R.S., Ch. 432 (S.B. 1153), Sec. 24, eff. September 1, 2019.|
TX Ins Code § 463.351 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter H. Powers and Duties of Commissioner and Department|Section 463.351. Notice of Commissioner Actions

Sec. 463.351.  NOTICE OF COMMISSIONER ACTIONS.  (a)  The commissioner shall:(1)  notify the insurance officials of all the other states, territories of the United States, and the District of Columbia by mail not later than the 30th day after the date the commissioner:(A)  revokes or suspends a member insurer's certificate of authority; or(B)  issues a formal order requiring a member insurer to:(i)  restrict the insurer's premium writing;(ii)  withdraw from this state;(iii)  reinsure all or part of the insurer's business;(iv)  obtain additional contributions to surplus; or(v)  increase capital, surplus, or another account for the security of policyholders, contract owners, or creditors;(2)  report to the board when the commissioner:(A)  takes an action described by Subdivision (1) or receives from another insurance official a report indicating that a similar action has been taken in another state; or(B)  has reasonable cause to believe from a completed or continuing examination that a member insurer may be impaired or insolvent; and(3)  provide to the board the National Association of Insurance Commissioners Insurance Regulatory Information System ratios and listings of insurers not included in those ratios.(b)  A report under Subsection (a)(2)(A) must contain all significant details of the action taken or report received.(c)  The board may use information described by this section to carry out the board's duties under this chapter.  The board shall keep a report made under this section and the contents of the report confidential until the commissioner or other lawful authority makes the report and the contents public.|Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.Amended by: Acts 2019, 86th Leg., R.S., Ch. 432 (S.B. 1153), Sec. 25, eff. September 1, 2019.|
TX Ins Code § 463.352 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter H. Powers and Duties of Commissioner and Department|Section 463.352. Advice From Board

Sec. 463.352.  ADVICE FROM BOARD.  The commissioner may seek the board's advice and recommendations on a matter affecting the commissioner's duties regarding the financial condition of:(1)  a member insurer; or(2)  an insurer applying for a certificate of authority to engage in the business of insurance in this state.|Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.|
TX Ins Code § 463.353 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter H. Powers and Duties of Commissioner and Department|Section 463.353. Examination

Sec. 463.353.  EXAMINATION.  (a)  The board by majority vote may request the commissioner to order an examination of a member insurer that the board in good faith believes may be impaired or insolvent.  The commissioner shall keep the request on file. The request is open for public inspection before release of the examination report to the public.(b)  Not later than the 30th day after the date the commissioner receives the request, the commissioner shall begin the examination.  The examination may be conducted:(1)  as a National Association of Insurance Commissioners examination; or(2)  by a person the commissioner designates.(c)  The association shall pay the cost of the examination.(d)  The commissioner shall notify the board when the examination is completed.  The examination report shall be treated in the same manner as other examination reports.  The report may not be released to the board before the report is released to the public, except that the commissioner may comply with Section 463.351.|Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.|
TX Ins Code § 463.354 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter H. Powers and Duties of Commissioner and Department|Section 463.354. Demand to Cure Impairment

Sec. 463.354.  DEMAND TO CURE IMPAIRMENT.  (a)  When an impairment is declared and the amount of the impairment is determined, the commissioner shall serve a demand on the impaired insurer to cure the impairment within a reasonable time.(b)  Notice of the demand under Subsection (a) to the impaired insurer constitutes notice to any shareholders of the insurer.(c)  Failure of the impaired insurer to comply promptly with the demand does not excuse the association from exercising the association's powers and performing the association's duties under this chapter.|Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.|
TX Ins Code § 463.355 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter H. Powers and Duties of Commissioner and Department|Section 463.355. Failure to Comply With Plan of Operation

Sec. 463.355.  FAILURE TO COMPLY WITH PLAN OF OPERATION.  On failure of a member insurer to comply with the plan of operation, the commissioner may suspend or revoke, after notice and hearing, the insurer's certificate of authority to engage in the business of insurance in this state.|Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.|
TX Ins Code § 463.356 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter H. Powers and Duties of Commissioner and Department|Section 463.356. Assumption of Powers and Duties of Association

Sec. 463.356.  ASSUMPTION OF POWERS AND DUTIES OF ASSOCIATION.  The commissioner may assume the powers and duties of the association under this chapter with respect to impaired or insolvent insurers if the association does not within a reasonable period act as provided by:(1)  Section 463.252(b)(2);(2)  Section 463.253; and(3)  Section 463.254.|Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.|
TX Ins Code § 463.357 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter H. Powers and Duties of Commissioner and Department|Section 463.357. Notification of Effect of Chapter

Sec. 463.357.  NOTIFICATION OF EFFECT OF CHAPTER.  The commissioner, as receiver of an impaired insurer, may notify all interested persons of the effect of this chapter.|Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.|
TX Ins Code § 463.358 (2021)
2021 Texas Statutes|Insurance Code|Title 4 - Regulation of Solvency|Subtitle D - Guaranty Associations|Chapter 463 - Texas Life and Health Insurance Guaranty Association|Subchapter H. Powers and Duties of Commissioner and Department|Section 463.358. Statement of Premiums

Sec. 463.358.  STATEMENT OF PREMIUMS.  On request, the commissioner shall provide the association with a statement of the premiums in this state and any other appropriate state for each member insurer.|Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.|