reglab/statecodes huggingface dataset:
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter B. Prohibited Policy Provisions › Section 1101.052. Exclusion

Sec. 1101.052.  EXCLUSION.  Unless otherwise provided by this subchapter, this subchapter does not apply to a policy issued instead of or in exchange for a policy issued before July 10, 1909.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter B. Prohibited Policy Provisions › Section 1101.053. Certain Limitations Periods

Sec. 1101.053.  CERTAIN LIMITATIONS PERIODS.  A life insurance policy may not include a provision that limits the time during which an action under the policy may be commenced to a period of less than two years after the date the cause of action accrues.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter B. Prohibited Policy Provisions › Section 1101.054. Retroactive Issuance or Effect; Exchange or Conversion

Sec. 1101.054.  RETROACTIVE ISSUANCE OR EFFECT;  EXCHANGE OR CONVERSION.  (a)  Except as provided by Subsection (b), a life insurance policy may not contain a provision under which the policy is issued or takes effect on a date more than six months before the date of the original policy application if the provision causes the insured to rate at an age that is younger than the age of the insured on the date of the application.  For the purposes of this subsection, the age of the insured on the date of the application is the age of the insured on the birthday of the insured that is nearest to the date of the application.
(b)  An issuer of a life or endowment insurance policy or annuity contract may, with the consent of the policyholder or contract holder, exchange the policy or contract for, or convert the policy or contract into, a policy of another plan of insurance or an endowment or annuity contract as of a date not earlier than the effective date of the original policy or contract.
(c)  If an exchange or conversion is made under Subsection (b) and the newly written policy or contract is issued as of a date earlier than the date of the application for exchange or conversion, the amount of life or endowment insurance or annuity provided under the newly written policy or contract may not exceed the greater of:
(1)  the amount that the premium paid for the original policy or contract would have purchased on the plan of the newly written policy or contract for an individual the age of the insured on the effective date of the original policy or contract;  or
(2)  the amount of the original policy or contract.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter B. Prohibited Policy Provisions › Section 1101.055. Settlement on Maturity Less Than Face Value

Sec. 1101.055.  SETTLEMENT ON MATURITY LESS THAN FACE VALUE.  (a)  Except as provided by Subsection (b), a life insurance policy may not contain a provision for a settlement at maturity that is less than the amount insured on the face of the policy plus the amount of any dividend additions to the policy minus the sum of the amount of any debt to the company that issues the policy and the amount of any premium that may be deducted from the settlement under the terms of the policy.
(b)  A life insurance policy may provide for a settlement that will be less than the amount required under Subsection (a) if the death of the insured is:
(1)  by the insured's own hand regardless of whether the insured is sane or insane;
(2)  caused by following a hazardous occupation that is stated in the policy; or
(3)  the result of aviation activities under conditions specified in the policy and approved by the department under Chapter 1701.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 2F.001, eff. April 1, 2009.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter B. Prohibited Policy Provisions › Section 1101.056. Preliminary Term Insurance of More Than One Year in Level Premium Policy

Sec. 1101.056.  PRELIMINARY TERM INSURANCE OF MORE THAN ONE YEAR IN LEVEL PREMIUM POLICY.  (a)  Sections 1101.051 and 1101.052 do not apply to this section.
(b)  This section does not apply to a life insurance policy issued on or after the date determined under Section 1105.002(a) or (b), as applicable.
(c)  A level premium life insurance policy may not be issued or sold in this state by any company if the policy provides for more than one year of preliminary term insurance.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter C. Policy Provisions Required by Other Jurisdictions › Section 1101.101. Required Policy Provisions

Sec. 1101.101.  REQUIRED POLICY PROVISIONS.  (a)  A policy issued in this state by a life insurance company not organized under the laws of this state may contain any provision that the law of the state, territory, district, or county under which the company is organized requires the policy to contain.
(b)  Notwithstanding Chapter 1701, a policy issued or delivered in another state, territory, district, or county by a life insurance company organized under the laws of this state may contain any provision required by the laws of that state, territory, district, or county.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 2F.002, eff. April 1, 2009.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter D. Rights of Insured Under Certain Older Policies › Section 1101.151. Applicability of Subchapter

Sec. 1101.151.  APPLICABILITY OF SUBCHAPTER.  This subchapter applies only to a life insurance policy issued before a date described by Section 1101.010(a)(2).  A term life insurance policy is not required to comply with this subchapter.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter D. Rights of Insured Under Certain Older Policies › Section 1101.152. Stipulated Form of Insurance

Sec. 1101.152.  STIPULATED FORM OF INSURANCE.  In case of a default in the payment of a premium after premiums have been paid for three years, a life insurance policy to which this subchapter applies must contain a provision that secures a stipulated form of insurance on the life of the insured.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter D. Rights of Insured Under Certain Older Policies › Section 1101.153. Computation of Net Value of Stipulated Form of Insurance

Sec. 1101.153.  COMPUTATION OF NET VALUE OF STIPULATED FORM OF INSURANCE.  (a)  Except as provided by Subsection (c), the net value of a life insurance policy secured under Section 1101.152 must be equal to the amount of the reserve on the policy for which premium payment is in default and on any dividend additions to that policy on the date of default, less the sum of:
(1)  not more than two and one-half percent of the amount insured under the policy and any existing dividend additions to the policy;  and
(2)  the amount of any existing indebtedness to the company on the policy.
(b)  The reserve described by Subsection (a) excludes any reserve for disability or accidental death benefits.
(c)  The net value of a life insurance policy that is secured under Section 1101.152 for a policy other than an industrial life insurance policy and that is issued to insure a female risk may be computed using an age not more than three years younger than the actual age of the insured if the policy uses the same age differential to compute the policy reserve.
(d)  Except as provided by Subsection (e), the amount of the policy reserve under Subsection (a) must be computed according to the mortality table, interest rate, and method adopted in the policy for computing the reserve.
(e)  In computing the value of paid-up term insurance with any accompanying pure endowment, a rate of mortality may be assumed that is not more than:
(1)  130 percent of the rate of mortality according to the applicable table, or, for a substandard policy, the adopted multiple of that mortality rate, if the American Men Ultimate Table of Mortality or the Commissioners 1941 Standard Ordinary Mortality Table is adopted for computing the reserve;  or
(2)  the rate of mortality shown by the Commissioners 1958 Extended Term Insurance Table, or, for a substandard policy, the adopted multiple of that mortality rate, if the Commissioners 1958 Standard Ordinary Mortality Table is adopted for computing the reserve.
(f)  Subject to Subsection (g), a life insurance policy must state:
(1)  the amount and term of the insurance to be secured in accordance with Section 1101.152 computed as if there were no indebtedness on the policy and no dividend additions to the policy;  and
(2)  the mortality table, interest rate, method, and, if the policy is issued to insure the life of a woman, any age differential, that will be used to compute the policy reserve.
(g)  A mortality table, interest rate, method, or age differential stated under Subsection (f) must be authorized by law to compute the reserve liability on the policy.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter D. Rights of Insured Under Certain Older Policies › Section 1101.154. Surrender of Policy for Specified Cash Surrender Value

Sec. 1101.154.  SURRENDER OF POLICY FOR SPECIFIED CASH SURRENDER VALUE.  (a)  A life insurance policy to which this subchapter applies must:
(1)  provide within one month after a due date for a premium, after premiums have been paid for three years, the policy may be surrendered to the company that issues the policy at the company's home office in return for an amount equal to the cash value of the policy;  and
(2)  specify the cash value of the policy, which, subject to Subsection (b), may not be less than the amount that would otherwise be available to secure insurance in accordance with Section 1101.152.
(b)  The cash value of the policy may not exceed the amount of the policy reserve.
(c)  The policy may provide that the company that issues the policy may defer payment of the cash value of the policy for a period not to exceed six months after the date of application for the payment.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter D. Rights of Insured Under Certain Older Policies › Section 1101.155. Cash Value Table

Sec. 1101.155.  CASH VALUE TABLE.  A life insurance policy to which this subchapter applies must include a table that shows in dollar amounts the cash value of the policy and the options available to the policy owner if the owner defaults in premium payments during each of the first 20 years that the policy will be in force or each of the years during which premiums are payable, beginning with the first year in which the cash values and options are available.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter D. Rights of Insured Under Certain Older Policies › Section 1101.156. Purchase of Other Insurance and Reinstatement

Sec. 1101.156.  PURCHASE OF OTHER INSURANCE AND REINSTATEMENT.  A life insurance policy to which this subchapter applies must provide that if there is a default in premium payments, the value of the policy shall be applied to the purchase of other insurance and the original life insurance policy may be reinstated within three years after the date of default if:
(1)  other insurance purchased with the value of the original life insurance policy remains in force;
(2)  the original life insurance policy has not been surrendered to the company and canceled;
(3)  the company receives evidence of insurability that is satisfactory to the company;  and
(4)  the arrears of premiums are paid with interest.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter E. Disclosures and Notices Relating to Life Insurance Policies With Non-Guaranteed Charges › Section 1101.201. Purpose

Sec. 1101.201.  PURPOSE.  This subchapter is intended to provide standards for disclosures relating to changes in certain non-guaranteed charges of life insurance policies subject to this subchapter.
Added by Acts 2019, 86th Leg., R.S., Ch. 1026 (H.B. 207), Sec. 1, eff. September 1, 2019.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter E. Disclosures and Notices Relating to Life Insurance Policies With Non-Guaranteed Charges › Section 1101.202. Definitions

Sec. 1101.202.  DEFINITIONS.  In this subchapter:
(1)  "Adverse change" means a change by an insurer in the insurer's current scale of charges applied to a policy that increases a premium or charge to a policy owner.
(2)  "Current scale of charges" means the scale or schedule of non-guaranteed charges in effect for a policy during the period of time immediately before an adverse change to the policy.
(3)  "Non-guaranteed charges" means the scale or schedule of charges in a policy provision at the time the policy was issued that may be changed at the insurer's discretion without the consent or request of the policy owner. The term does not include a policy loan interest rate charged on a policy loan.
Added by Acts 2019, 86th Leg., R.S., Ch. 1026 (H.B. 207), Sec. 1, eff. September 1, 2019.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter E. Disclosures and Notices Relating to Life Insurance Policies With Non-Guaranteed Charges › Section 1101.203. Applicability

Sec. 1101.203.  APPLICABILITY.  (a)  This subchapter applies to a life insurance policy issued by an insurer, as defined by Section 1102.001, that contains non-guaranteed charges that may change at the discretion of the insurer.
(b)  This subchapter does not apply to:
(1)  group life insurance without separately identifiable accounts for insureds;
(2)  a life insurance policy in which the insurer assumes all risk and contractually guarantees a death benefit in exchange for a guaranteed premium set at the time of the policy's issuance;
(3)  an individual or group annuity contract;
(4)  credit life insurance;
(5)  a life insurance policy with no illustrated death benefits on any individual exceeding $10,000;
(6)  a bank-owned or corporate-owned life insurance policy; or
(7)  a life insurance policy that does not provide for cash values or nonforfeiture values.
Added by Acts 2019, 86th Leg., R.S., Ch. 1026 (H.B. 207), Sec. 1, eff. September 1, 2019.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter E. Disclosures and Notices Relating to Life Insurance Policies With Non-Guaranteed Charges › Section 1101.204. Disclosure of Non-Guaranteed Charge Increase After Issuance of Policy

Sec. 1101.204.  DISCLOSURE OF NON-GUARANTEED CHARGE INCREASE AFTER ISSUANCE OF POLICY.  (a) If an insurer increases a non-guaranteed charge applied to a policy, the insurer must provide a written notice to the policy owner:
(1)  disclosing:
(A)  each non-guaranteed charge that has changed;
(B)  the new scale of non-guaranteed charges after the change;
(C)  the current scale of charges; and
(D)  the guaranteed maximum scale of charges; and
(2)  including a prominent display of any adverse change in the current scale of charges identifying:
(A)  the nature of the change;
(B)  that the change is adverse or the conditions under which the change would be adverse; and
(C)  the new age and year at which the policy will lapse if there are no changes to payments or coverage.
(b)  The notice under Subsection (a) must include the insurer's telephone number and the following statement placed prominently on the front of the notice:
"YOU SHOULD KNOW: This increase may change the value of your policy and may change how long your policy will last unless you increase your premium payments or reduce your coverage, if permitted under your policy.  Ask your insurance company for an illustration, at no cost, that shows the effect of this change on your policy and discuss with your agent or financial advisor other options that are available to you."
(c)  The notice required by Subsection (a) must be given not later than the 90th day before the date the change is applied.
(d)  The notice required by Subsection (a) does not constitute an illustration, as defined by rules adopted by the department relating to life insurance illustrations.
Added by Acts 2019, 86th Leg., R.S., Ch. 1026 (H.B. 207), Sec. 1, eff. September 1, 2019.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter E. Disclosures and Notices Relating to Life Insurance Policies With Non-Guaranteed Charges › Section 1101.205. Disclosure of Credited Interest Rate Decrease After Issuance of Policy

Sec. 1101.205.  DISCLOSURE OF CREDITED INTEREST RATE DECREASE AFTER ISSUANCE OF POLICY.  (a)  If an insurer decreases the credited interest rate paid on a policy's accumulation value, the insurer must provide annually a written notice to the policy owner:
(1)  disclosing:
(A)  the new current credited interest rate;
(B)  the previous credited interest rate;
(C)  the minimum credited interest rate stated in the policy; and
(D)  the effective date of the change; and
(2)  including a prominent display of the new age and year at which the policy will lapse based on all changes to non-guaranteed charges and the credited interest rate if there are no changes to payments or coverage.
(b)  The notice under Subsection (a) must include the insurer's telephone number and the following statement placed prominently on the front of the notice:
"YOU SHOULD KNOW: This decrease may change the value of your policy and may change how long your policy will last unless you increase your premium payments or reduce your coverage.  Ask your insurance company for an in-force illustration that shows the effect of this change on your policy and discuss with your agent or financial advisor other options that are available to you."
(c)  Notwithstanding any other provision of this section, this section does not apply to or require disclosures for a variable universal or indexed life insurance policy.
Added by Acts 2019, 86th Leg., R.S., Ch. 1026 (H.B. 207), Sec. 1, eff. September 1, 2019.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter E. Disclosures and Notices Relating to Life Insurance Policies With Non-Guaranteed Charges › Section 1101.206. Annual Illustration

Sec. 1101.206.  ANNUAL ILLUSTRATION.  Regardless of whether any non-guaranteed charges are changed, an insurer that issues a policy subject to this subchapter must offer to provide to the policy owner at least annually an in-force illustration.  If the insurer has changed any non-guaranteed charges or the credited interest rate, the insurer must offer the illustration at no charge.
Added by Acts 2019, 86th Leg., R.S., Ch. 1026 (H.B. 207), Sec. 1, eff. September 1, 2019.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter E. Disclosures and Notices Relating to Life Insurance Policies With Non-Guaranteed Charges › Section 1101.207. Rules

Sec. 1101.207.  RULES.  (a)  The commissioner may adopt rules as necessary to implement this subchapter.
(b)  The commissioner by rule may exempt certain types of life insurance policies from one or more of the requirements of this subchapter.
(c)  Section 2001.0045, Government Code, does not apply to rules adopted under this section.
Added by Acts 2019, 86th Leg., R.S., Ch. 1026 (H.B. 207), Sec. 1, eff. September 1, 2019.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter F. Prohibited Practices Relating to Prescription for or Obtainment of Opioid Antagonist › Section 1101.251. Definition

Sec. 1101.251.  DEFINITION.  In this subchapter, "opioid antagonist" means any drug that binds to opioid receptors and blocks or otherwise inhibits the effects of opioids acting on those receptors to reverse the effects of an opioid overdose.
Added by Acts 2019, 86th Leg., R.S., Ch. 515 (S.B. 437), Sec. 1, eff. September 1, 2019.
Redesignated by Acts 2021, 87th Leg., R.S., Ch. 915 (H.B. 3607), Sec. 21.001(59), eff. September 1, 2021.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter F. Prohibited Practices Relating to Prescription for or Obtainment of Opioid Antagonist › Section 1101.252. Applicability of Subchapter

Sec. 1101.252.  APPLICABILITY OF SUBCHAPTER.  This subchapter applies to a life insurance policy:
(1)  issued or delivered in this state; or
(2)  issued by a life insurance company organized in this state.
Added by Acts 2019, 86th Leg., R.S., Ch. 515 (S.B. 437), Sec. 1, eff. September 1, 2019.
Redesignated by Acts 2021, 87th Leg., R.S., Ch. 915 (H.B. 3607), Sec. 21.001(59), eff. September 1, 2021.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1101 - Life Insurance › Subchapter F. Prohibited Practices Relating to Prescription for or Obtainment of Opioid Antagonist › Section 1101.253. Prohibition

Sec. 1101.253.  PROHIBITION.  A life insurance company may not, based solely on whether an individual has been prescribed or has obtained through a standing order an opioid antagonist:
(1)  deny coverage to the individual;
(2)  limit the amount, extent, or kind of coverage available to the individual; or
(3)  charge the individual or a group to which the individual belongs a rate that is different from the rate charged to other individuals or groups, respectively, for the same coverage, unless the charge is based on sound underwriting or actuarial principles reasonably related to actual or anticipated loss experience for a particular risk.
Added by Acts 2019, 86th Leg., R.S., Ch. 515 (S.B. 437), Sec. 1, eff. September 1, 2019.
Redesignated by Acts 2021, 87th Leg., R.S., Ch. 915 (H.B. 3607), Sec. 21.001(59), eff. September 1, 2021.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1102 - Payment of Insurance Benefits in Currency › Section 1102.001. Definitions

Sec. 1102.001.  DEFINITIONS.  In this chapter:
(1)  "Insurance policy" means a policy, certificate, or contract of:
(A)  life, term, or endowment insurance, including an annuity or pure endowment contract;
(B)  group life or term insurance, including a group annuity contract;
(C)  industrial life insurance;
(D)  accident or health insurance;
(E)  group accident or health insurance;
(F)  hospitalization insurance;
(G)  group hospitalization insurance;
(H)  medical or surgical insurance;
(I)  group medical or surgical insurance;  or
(J)  fraternal benefit insurance.
(2)  "Insurer" means any insurer, including a:
(A)  life, accident, health, or casualty insurance company;
(B)  mutual life insurance company;
(C)  mutual insurance company other than a life insurance company;
(D)  mutual or natural premium life insurance company;
(E)  general casualty company;
(F)  Lloyd's plan or a reciprocal or interinsurance exchange;
(G)  fraternal benefit society;  or
(H)  group hospital service corporation.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1102 - Payment of Insurance Benefits in Currency › Section 1102.002. Benefits Payable in Currency

Sec. 1102.002.  BENEFITS PAYABLE IN CURRENCY.  Each benefit payable under an insurance policy delivered, issued, or used in this state by an insurer shall be payable in currency.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1102 - Payment of Insurance Benefits in Currency › Section 1102.003. Statement Regarding Value of Foreign Currency

Sec. 1102.003.  STATEMENT REGARDING VALUE OF FOREIGN CURRENCY.  (a)  An insurance policy described by Section 1102.002 providing that benefits are payable in foreign currency must include a conspicuous statement that the value of the currency denominated in the policy can fluctuate as compared to the value of United States currency.
(b)  The statement must be:
(1)  included as part of the policy;  or
(2)  attached to the insurance policy at the time it is issued.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1102 - Payment of Insurance Benefits in Currency › Section 1102.004. Previously Approved Insurance Policy Form Payable in Foreign Currency

Sec. 1102.004.  PREVIOUSLY APPROVED INSURANCE POLICY FORM PAYABLE IN FOREIGN CURRENCY.  (a)  The commissioner may disapprove or withdraw approval of a previously approved insurance policy form that provides benefits payable in foreign currency if the commissioner determines that the foreign currency has been less stable than United States currency in the previous 20-year period.
(b)  This section does not require the resubmission for approval of any previously approved insurance policy form unless:
(1)  withdrawal of approval is authorized under this section or Chapter 1701; or
(2)  after notice and hearing, the commissioner determines that approval was obtained by improper means, including by misrepresentation, fraud, or a misleading statement or document.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 2F.003, eff. April 1, 2009.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1102 - Payment of Insurance Benefits in Currency › Section 1102.005. Rules

Sec. 1102.005.  RULES.  The commissioner may adopt reasonable rules to accomplish the purposes of this chapter, including rules requiring:
(1)  appropriate reserves for insurance policies subject to this chapter;  or
(2)  prudent investment of premiums collected from insurance policies subject to this chapter regardless of any other provision of this code related to the investment of money by an insurance company.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter A. Statutory Life Insurance Beneficiaries; Insurable Interest › Section 1103.001. Applicability of Subchapter

Sec. 1103.001.  APPLICABILITY OF SUBCHAPTER.  This subchapter applies only to a life insurance policy issued by a legal reserve life insurance company.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter A. Statutory Life Insurance Beneficiaries; Insurable Interest › Section 1103.002. Insurable Interest of Beneficiary

Sec. 1103.002.  INSURABLE INTEREST OF BENEFICIARY.  A beneficiary described by this subchapter who is designated in a life insurance policy has an insurable interest for the face amount of the policy and is entitled to collect that amount.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter A. Statutory Life Insurance Beneficiaries; Insurable Interest › Section 1103.003. Corporation, Joint Stock Association, or Trust Estate as Beneficiary

Sec. 1103.003.  CORPORATION, JOINT STOCK ASSOCIATION, OR TRUST ESTATE AS BENEFICIARY.  A corporation, a joint stock association, or a trust estate that is engaging in business for profit may be designated as a beneficiary in a policy that insures the life of an officer or stockholder of the corporation, joint stock association, or trust estate.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter A. Statutory Life Insurance Beneficiaries; Insurable Interest › Section 1103.004. Partnership or Partner as Beneficiary

Sec. 1103.004.  PARTNERSHIP OR PARTNER AS BENEFICIARY.  A partnership or a member of a partnership may be designated as a beneficiary in a policy that insures the life of a member of the partnership.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter A. Statutory Life Insurance Beneficiaries; Insurable Interest › Section 1103.005. Religious, Educational, Eleemosynary, Charitable, or Benevolent Institution or Undertaking as Beneficiary

Sec. 1103.005.  RELIGIOUS, EDUCATIONAL, ELEEMOSYNARY, CHARITABLE, OR BENEVOLENT INSTITUTION OR UNDERTAKING AS BENEFICIARY.  A religious, educational, eleemosynary, charitable, or benevolent institution or undertaking may be designated as a beneficiary in a policy that insures the life of an individual.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter B. Designation of Beneficiary or Owner of Life Insurance Policy; Insurable Interest › Section 1103.051. Applicability of Subchapter

Sec. 1103.051.  APPLICABILITY OF SUBCHAPTER.  This subchapter applies only to a life insurance policy issued by:
(1)  a legal reserve life insurance company;  or
(2)  a mutual assessment life insurance company.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter B. Designation of Beneficiary or Owner of Life Insurance Policy; Insurable Interest › Section 1103.052. Liberal Construction

Sec. 1103.052.  LIBERAL CONSTRUCTION.  This subchapter shall be liberally construed to implement the purposes of this subchapter.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter B. Designation of Beneficiary or Owner of Life Insurance Policy; Insurable Interest › Section 1103.053. Insurable Interest of Beneficiary, Owner, Transferee, or Assignee

Sec. 1103.053.  INSURABLE INTEREST OF BENEFICIARY, OWNER, TRANSFEREE, OR ASSIGNEE.  (a)  Except as provided by Subsection (b), a beneficiary or owner of a life insurance policy who is designated in accordance with this subchapter or an entity to which a life insurance policy or an interest, benefit, right, or title in a life insurance policy is transferred or assigned in accordance with this subchapter has, at all times after the designation, an insurable interest in the life of the individual who is insured under the policy.
(b)  An individual, partnership, association, corporation, or other legal entity that is directly or indirectly engaged in the business of burying the dead does not directly or indirectly have an insurable interest in the life of an individual unless the interest is established under other applicable statutory law or under common law.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
Amended by:
Acts 2005, 79th Leg., Ch. 728 (H.B. 2018), Sec. 11.0225, eff. September 1, 2005.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter B. Designation of Beneficiary or Owner of Life Insurance Policy; Insurable Interest › Section 1103.054. Designation of Beneficiary or Owner in Policy Application

Sec. 1103.054.  DESIGNATION OF BENEFICIARY OR OWNER IN POLICY APPLICATION.  An individual of legal age may:
(1)  apply for a policy insuring the individual's life;  and
(2)  designate in writing in the application for the policy any individual, partnership, association, corporation, or other legal entity as:
(A)  a beneficiary of the policy;
(B)  an absolute or partial owner of the policy;  or
(C)  both a beneficiary and an absolute or partial owner of the policy.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter B. Designation of Beneficiary or Owner of Life Insurance Policy; Insurable Interest › Section 1103.055. Designation of Beneficiary of Policy; Transfer or Assignment of Policy or Interest

Sec. 1103.055.  DESIGNATION OF BENEFICIARY OF POLICY;  TRANSFER OR ASSIGNMENT OF POLICY OR INTEREST.  An individual of legal age who is insured under a life insurance policy may in writing:
(1)  in a manner and to the extent permitted by the policy, designate any individual, partnership, association, corporation, or other legal entity as a beneficiary of the policy;  and
(2)  in a manner and to the extent not prohibited by the policy, transfer or assign to any entity described by Subdivision (1):
(A)  the policy;  or
(B)  an interest, benefit, right, or title in the policy.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter B. Designation of Beneficiary or Owner of Life Insurance Policy; Insurable Interest › Section 1103.056. Purchase of or Application for Policy by Third Party

Sec. 1103.056.  PURCHASE OF OR APPLICATION FOR POLICY BY THIRD PARTY.  An individual of legal age may in a single written document:
(1)  consent to the purchase of or application for an individual or group life insurance policy by a third party;  and
(2)  designate or consent to the designation of any individual, partnership, association, corporation, or other legal entity as:
(A)  a beneficiary of the policy;
(B)  an absolute or partial owner of the policy;  or
(C)  both a beneficiary and an absolute or partial owner of the policy.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter C. Payment of Proceeds › Section 1103.101. Applicability of Subchapter

Sec. 1103.101.  APPLICABILITY OF SUBCHAPTER.  This subchapter applies only to a life insurance policy issued by a legal reserve life insurance company.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter C. Payment of Proceeds › Section 1103.102. Payment to Designated Beneficiary

Sec. 1103.102.  PAYMENT TO DESIGNATED BENEFICIARY.  (a)  Except as provided by Subsection (b) or (c), if an individual obtains a policy insuring the individual's life, designates in writing a beneficiary to receive the proceeds of the policy, and files the written designation with the company, the company shall pay the proceeds that become due on the death of the insured to the designated beneficiary.
(b)  A company that issues a life insurance policy is not required to pay the proceeds of the policy to a designated beneficiary under Subsection (a) if the company receives notice of an adverse claim to the proceeds from a person who has a bona fide legal claim to all or part of the proceeds.
(c)  A private placement contract issued under Section 1152.110 may provide that:
(1)  settlement of that portion of the contract attributable to separate account assets is subject to the liquidity of those assets; and
(2)  the portion of the contract described by Subdivision (1) must be settled by the insurer when the separate account assets are converted to cash under any applicable terms, which may be a period longer than the two-month period described by Section 1101.011(a).
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 737 (H.B. 2765), Sec. 3, eff. September 1, 2007.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter C. Payment of Proceeds › Section 1103.103. Discharge of Liability

Sec. 1103.103.  DISCHARGE OF LIABILITY.  In the absence of notice under Section 1103.102(b) received by the company before the date of payment, a company that issues a life insurance policy is discharged from all liability under the policy if the company pays the proceeds of the policy to a designated beneficiary under Section 1103.102(a).
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter C. Payment of Proceeds › Section 1103.104. Interest on Proceeds

Sec. 1103.104.  INTEREST ON PROCEEDS.  (a)  Interest on the proceeds of a life insurance policy accrues from the date the company that issues the policy receives due proof of loss until the date the company accepts the claim and offers to pay.
(b)  Interest that accrues under this section shall be paid at the same time that the proceeds of the policy are paid under this subchapter.
(c)  The interest rate under this section is the rate provided in the policy or, if a rate is not provided in the policy, the rate at which interest accrues on proceeds that are left on deposit with the company that issues the policy.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter D. Forfeiture of Beneficiary's Rights › Section 1103.151. Forfeiture

Sec. 1103.151.  FORFEITURE.  A beneficiary of a life insurance policy or contract forfeits the beneficiary's interest in the policy or contract if the beneficiary is a principal or an accomplice in wilfully bringing about the death of the insured.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1103 - Life Insurance Policy Beneficiaries › Subchapter D. Forfeiture of Beneficiary's Rights › Section 1103.152. Payment of Proceeds to Contingent Beneficiary or to Relative

Sec. 1103.152.  PAYMENT OF PROCEEDS TO CONTINGENT BENEFICIARY OR TO RELATIVE.  (a)  Except as provided by Subsection (b), if a beneficiary of a life insurance policy or contract forfeits an interest in the policy or contract under Section 1103.151, a contingent beneficiary named by the insured in the policy or contract is entitled to receive the proceeds of the policy or contract.
(b)  A contingent beneficiary is not entitled to receive the proceeds of a life insurance policy or contract if the contingent beneficiary forfeits an interest in the policy or contract under Section 1103.151.
(c)  If there is not a contingent beneficiary entitled to receive the proceeds of a life insurance policy or contract under Subsection (a), the nearest relative of the insured is entitled to receive those proceeds.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1104 - Life Insurance and Annuity Contracts Issued to Certain Persons › Subchapter A. Life Insurance and Annuity Contracts With Certain Minors › Section 1104.001. Applicability of Subchapter

Sec. 1104.001.  APPLICABILITY OF SUBCHAPTER.  This subchapter applies only to a policy or contract issued by a stock or mutual legal reserve life insurance company that:
(1)  is licensed by the department to transact the business of life insurance in this state;  and
(2)  maintains the legal reserve required by state law.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1104 - Life Insurance and Annuity Contracts Issued to Certain Persons › Subchapter A. Life Insurance and Annuity Contracts With Certain Minors › Section 1104.002. Certain Transactions Exempt

Sec. 1104.002.  CERTAIN TRANSACTIONS EXEMPT.  This subchapter does not apply to a transaction between an insurance company and a minor described by Section 1104.003(a) that occurs after the date the company receives at its home office or its principal office in this state written notice from a parent of the minor stating that a parent or the parents of the minor elect that this subchapter not apply to the minor specifically named in the notice.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1104 - Life Insurance and Annuity Contracts Issued to Certain Persons › Subchapter A. Life Insurance and Annuity Contracts With Certain Minors › Section 1104.003. Authority to Contract

Sec. 1104.003.  AUTHORITY TO CONTRACT.  (a)  Subject to this subchapter, a minor 14 years of age or older who is without a guardian of the estate of the minor may:
(1)  contract for or otherwise acquire a life, term, or endowment insurance policy or an annuity contract, including:
(A)  applying for the policy or contract;  and
(B)  making agreements with respect to the policy or contract or a right, privilege, or benefit under the policy or contract;
(2)  exercise all rights and powers in regard to the policy or contract in the same manner as an adult;  and
(3)  surrender an interest in the policy or contract and give a discharge for a benefit paid under the policy or contract.
(b)  An insurance policy acquired by a minor under this subchapter must:
(1)  be owned by the minor;  and
(2)  insure the life of:
(A)  the minor;
(B)  a spouse, child, parent, grandparent, or sibling of the minor;  or
(C)  another in whose life the minor has an insurable interest.
(c)  A minor who acquires an annuity contract under this subchapter is the annuitant of the contract during the minor's life.
(d)  A minor who acquires an insurance policy or an annuity contract under this subchapter, the estate of the minor, or a spouse, child, parent, grandparent, or sibling of the minor must be the beneficiary of the policy or, in the case of an annuity contract, of the death benefit of the contract.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1104 - Life Insurance and Annuity Contracts Issued to Certain Persons › Subchapter A. Life Insurance and Annuity Contracts With Certain Minors › Section 1104.004. Written Approval by Adult Required

Sec. 1104.004.  WRITTEN APPROVAL BY ADULT REQUIRED.  An application or agreement made by a minor under this subchapter must be signed or approved in writing by:
(1)  a parent, grandparent, or adult sibling of the minor; or
(2)  if the minor does not have a parent, grandparent, or adult sibling, an adult eligible under the Estates Code to be appointed guardian of the estate of the minor.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
Amended by:
Acts 2017, 85th Leg., R.S., Ch. 324 (S.B. 1488), Sec. 22.048, eff. September 1, 2017.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1104 - Life Insurance and Annuity Contracts Issued to Certain Persons › Subchapter A. Life Insurance and Annuity Contracts With Certain Minors › Section 1104.005. Rescission Because of Minority Prohibited

Sec. 1104.005.  RESCISSION BECAUSE OF MINORITY PROHIBITED.  A minor who acquires a policy or contract under this subchapter may not by reason of minority rescind, avoid, or repudiate:
(1)  the policy or contract;  or
(2)  the exercise of a right or privilege, or the receipt of any benefit, under the policy or contract.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 7 - Life Insurance and Annuities › Subtitle A - Life Insurance in General › Chapter 1104 - Life Insurance and Annuity Contracts Issued to Certain Persons › Subchapter A. Life Insurance and Annuity Contracts With Certain Minors › Section 1104.006. Effect on Policy or Contract

Sec. 1104.006.  EFFECT ON POLICY OR CONTRACT.  This subchapter does not modify any provision in a policy or contract.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003.