reglab/statecodes huggingface dataset:
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter D. Surplus Lines Stamping Office › Section 981.155. Supervision by Commissioner

Sec. 981.155.  SUPERVISION BY COMMISSIONER.  The commissioner shall supervise the stamping office.  The stamping office is subject to the applicable provisions of this code and rules of the commissioner.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter D. Surplus Lines Stamping Office › Section 981.156. Examination by Commissioner

Sec. 981.156.  EXAMINATION BY COMMISSIONER.  (a)  The commissioner shall examine the stamping office at any time the commissioner considers an examination necessary.
(b)  The stamping office shall pay the cost of the examination.
(c)  During an examination, a stamping office board member, officer, agent, or employee:
(1)  may be examined under oath regarding the operation of the office;  and
(2)  shall make available any book, record, account, document, or agreement relating to the operation of the office.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter D. Surplus Lines Stamping Office › Section 981.157. Immunity From Liability

Sec. 981.157.  IMMUNITY FROM LIABILITY.  A person or entity is not liable for, and a cause of action does not arise out of, an act or omission in performing a power or duty under this subchapter if the person or entity is:
(1)  the stamping office or a board member, officer, agent, or employee of the stamping office;  or
(2)  the department or an employee or representative of the department, including the commissioner.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter D. Surplus Lines Stamping Office › Section 981.158. Exemption From Public Information Law

Sec. 981.158.  EXEMPTION FROM PUBLIC INFORMATION LAW.  (a)  An individual surplus lines insurance contract filed with the stamping office is:
(1)  confidential;  and
(2)  not public information under Chapter 552, Government Code.
(b)  This section does not prevent access by a state agency to an individual surplus lines insurance contract filed with the stamping office.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter D. Surplus Lines Stamping Office › Section 981.159. Exemption From Library and Archives Law

Sec. 981.159.  EXEMPTION FROM LIBRARY AND ARCHIVES LAW.  Chapter 441, Government Code, does not apply to the stamping office or its records.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter D. Surplus Lines Stamping Office › Section 981.160. No Enforcement Authority

Sec. 981.160.  NO ENFORCEMENT AUTHORITY.  This subchapter does not give the stamping office authority to enforce this chapter or Chapter 225.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 2E.130, eff. April 1, 2009.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.201. Definition

Sec. 981.201.  DEFINITION.  In this subchapter, "managing general agent" means an agent licensed under Chapter 4053.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 2E.131, eff. April 1, 2009.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.202. Surplus Lines License Required

Sec. 981.202.  SURPLUS LINES LICENSE REQUIRED.  An agent licensed by this state may not issue or cause to be issued an insurance contract with an eligible surplus lines insurer unless the agent possesses a surplus lines license issued by the department.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.204. Classification of Surplus Lines Agents

Sec. 981.204.  CLASSIFICATION OF SURPLUS LINES AGENTS.  The department may classify surplus lines agents and issue a surplus lines license to an agent in accordance with:
(1)  a classification created under this section;  and
(2)  reasonable rules of the commissioner.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.210. Placement of Coverage

Sec. 981.210.  PLACEMENT OF COVERAGE.  A surplus lines agent may not place surplus lines coverage with an insurer unless:
(1)  the insurer meets the eligibility requirements of Subchapter B or B-1; and
(2)  the stamping office provides evidence to the department that the insurer meets those requirements.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
Amended by:
Acts 2017, 85th Leg., R.S., Ch. 854 (H.B. 2492), Sec. 6, eff. January 1, 2018.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.211. Financial Condition of Surplus Lines Insurers

Sec. 981.211.  FINANCIAL CONDITION OF SURPLUS LINES INSURERS.  (a)  A surplus lines agent must make a reasonable effort to determine the financial condition of an eligible surplus lines insurer before placing insurance with that insurer.
(b)  A surplus lines agent may not knowingly place surplus lines insurance with a financially unsound insurer.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.212. Accepting Surplus Lines Insurance From Other Agents

Sec. 981.212.  ACCEPTING SURPLUS LINES INSURANCE FROM OTHER AGENTS.  (a)  A surplus lines agent may originate surplus lines insurance or accept surplus lines insurance from another agent who is licensed to handle the kind of insurance being accepted.
(b)  A surplus lines agent who accepts surplus lines insurance from an agent may share a commission with that agent.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.213. Filing Contract With Stamping Office

Sec. 981.213.  FILING CONTRACT WITH STAMPING OFFICE.  A surplus lines agent responsible under Section 225.006 for the filing, reporting, collection, payment, and other requirements imposed by Chapter 225 shall report to and file with the stamping office a copy of each surplus lines insurance contract as provided in the stamping office's plan of operation.  The department may accept that filing instead of the filings required under Section 981.105.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 920 (H.B. 1405), Sec. 3, eff. January 1, 2014.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.214. Compliance With Stamping Office Plan of Operation

Sec. 981.214.  COMPLIANCE WITH STAMPING OFFICE PLAN OF OPERATION.  A surplus lines agent shall comply with the stamping office's plan of operation.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.215. Surplus Lines Agent Records

Sec. 981.215.  SURPLUS LINES AGENT RECORDS.  (a)  A surplus lines agent shall maintain a complete record of each surplus lines contract obtained by the agent, including any of the following, if applicable:
(1)  a copy of the daily report;
(2)  the amount of the insurance and risks insured against;
(3)  a brief general description of the property insured and the location of that property;
(4)  the gross premium charged;
(5)  the return premium paid;
(6)  the rate of premium charged on the different items of property;
(7)  the contract terms, including the effective date;
(8)  the insured's name and post office address;
(9)  the insurer's name and home office address;
(10)  the amount collected from the insured;
(11)  an agreement under Section 225.006(c);
(12)  evidence establishing that:
(A)  the insured qualified as an exempt commercial purchaser and that the surplus lines agent complied with the requirements of Section 981.004(c) if a diligent effort to obtain insurance in the admitted market was not made pursuant to Section 981.004(a)(1); or
(B)  the insured qualified as an industrial insured and that the surplus lines agent complied with the requirements of Section 981.004(d) if a diligent effort to obtain insurance in the admitted market was not made pursuant to Section 981.004(a)(1); and
(13)  any other information required by the department.
(b)  The surplus lines agent shall keep the record required by this section open for examination by the department without notice at any time until the third anniversary of the date the surplus lines contract expires or is canceled.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.  Amended by Acts 2003, 78th Leg., ch. 1276, Sec. 10A.233(a), eff. Sept. 1, 2003.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 595 (S.B. 951), Sec. 9, eff. June 14, 2013.
Acts 2013, 83rd Leg., R.S., Ch. 920 (H.B. 1405), Sec. 4, eff. January 1, 2014.
Acts 2015, 84th Leg., R.S., Ch. 1236 (S.B. 1296), Sec. 11.002, eff. September 1, 2015.
Acts 2017, 85th Leg., R.S., Ch. 92 (H.B. 1559), Sec. 3, eff. September 1, 2017.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.216. Annual Report

Sec. 981.216.  ANNUAL REPORT.  (a)  Before March 1 of each year, a surplus lines agent shall submit a report to the department for the preceding calendar year.
(b)  The commissioner shall adopt the form for the annual report.
(c)  The annual report must:
(1)  demonstrate that the amount of insurance obtained from each eligible surplus lines insurer is only the amount that exceeds the amount obtainable from an authorized insurer;  and
(2)  include any other information required by the commissioner.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.217. Notice to Department Required

Sec. 981.217.  NOTICE TO DEPARTMENT REQUIRED.  (a)  A surplus lines agent shall notify the department not later than the 30th day after the date any of the following occurs:
(1)  balances due for more than 90 days to an eligible surplus lines insurer or for more than 60 days to the agent acting on behalf of the surplus lines insurer exceed $1 million or 10 percent of the insurer's policyholder surplus calculated on December 31 of the preceding year;
(2)  balances due for more than 60 days from a managing general agent or a local recording agent appointed by or reporting to the managing general agent exceed $500,000;
(3)  authority to settle claims for an eligible surplus lines insurer is withdrawn;
(4)  funds held for an eligible surplus lines insurer for losses are greater than $100,000 more than the amount necessary to pay losses and loss adjustment expenses expected to be paid on behalf of the insurer in the next 60-day period;  or
(5)  the agent's contract to act on behalf of a surplus lines insurer is canceled or terminated.
(b)  The commissioner shall adopt the form to be used under Subsection (a).
(c)  A surplus lines agent may comply with the notification requirement under Subsections (a)(1), (2), and (4) by submitting a single annual report if:
(1)  the agent or applicable eligible surplus lines insurer routinely operates beyond the limits provided by those subdivisions;  and
(2)  the commissioner verifies that fact under a procedure adopted by the commissioner.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.218. Department Monitoring of Surplus Lines Agents

Sec. 981.218.  DEPARTMENT MONITORING OF SURPLUS LINES AGENTS.  The commissioner shall monitor the activities of surplus lines agents as necessary to protect the public interest.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.  Amended by Acts 2003, 78th Leg., ch. 1276, Sec. 10A.228(b), eff. Sept. 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.219. Advertising

Sec. 981.219.  ADVERTISING.  A surplus lines agent may advertise regarding the agent's ability to place surplus lines insurance permitted by this chapter.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.220. Managing General Agents; Limited Authority of Certain Agents

Sec. 981.220.  MANAGING GENERAL AGENTS; LIMITED AUTHORITY OF CERTAIN AGENTS.  A surplus lines license granted to a managing general agent who is not also licensed under Chapter 4051 is limited to the acceptance of business originating through a licensed general property and casualty agent.  The license does not authorize the agent to engage in business directly with the insurance applicant.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.  Amended by Acts 2003, 78th Leg., ch. 1276, Sec. 10A.234(a), eff. Sept. 1, 2003.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 548 (S.B. 1263), Sec. 2.10, eff. September 1, 2007.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.221. Suspension or Revocation of License

Sec. 981.221.  SUSPENSION OR REVOCATION OF LICENSE.  If a license holder does not maintain the qualifications necessary to obtain the license, the department may revoke or suspend the license or deny the renewal of that license in accordance with Chapter 4003 and Subchapters B and C, Chapter 4005.
Added by Acts 2003, 78th Leg., ch. 1276, Sec. 10A.229(b), eff. Sept. 1, 2003.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 2E.134, eff. April 1, 2009.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.222. Applicability of Other Law

Sec. 981.222.  APPLICABILITY OF OTHER LAW.  In addition to the requirements of this chapter, the administration and regulation of a surplus lines agent's license is governed by Title 13, except that the provisions of Sections 4001.002(b)(2)-(6), 4001.003, and 4001.004 and Subchapters C-G, Chapter 4001, do not apply to a license issued under this subchapter.
Added by Acts 2003, 78th Leg., ch. 1276, Sec. 10A.229(c), eff. Sept. 1, 2003.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 2E.135, eff. April 1, 2009.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 981 - Surplus Lines Insurance › Subchapter E. Surplus Lines Agents › Section 981.223. Managing Underwriters

Sec. 981.223.  MANAGING UNDERWRITERS.  (a)  A managing underwriter with whom an insurance policy is placed in the manner described by Section 225.006(b) shall maintain appropriate records and make the records available for inspection by the department and the comptroller, including records of:
(1)  the name and address of the insured;
(2)  the policy number and policy period;
(3)  the name of the eligible surplus lines insurer;
(4)  the gross premium charged for the insurance;
(5)  the name of the surplus lines agent who placed the policy with the managing underwriter;
(6)  the license number of the surplus lines agent who placed the policy with the managing underwriter; and
(7)  an agreement, if any, under Section 225.006(c) that applies to the policy.
(b)  A managing underwriter who acts as a surplus lines agent for a policy issued by an eligible surplus lines insurer shall maintain appropriate records and make the records available for inspection by the department and the comptroller, including the information listed in Subdivisions (a)(1) through (6).  The records must reflect the name and license number of the managing underwriter as the surplus lines agent placing the policy.
(c)  A managing underwriter may hold both a surplus lines agent license and a managing general agent license.
Added by Acts 2011, 82nd Leg., R.S., Ch. 837 (H.B. 3410), Sec. 3, eff. January 1, 2012.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 920 (H.B. 1405), Sec. 5, eff. January 1, 2014.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter A. General Provisions › Section 982.001. Definitions

Sec. 982.001.  DEFINITIONS.  In this chapter:
(1)  "Accident insurance company," "health insurance company," "life insurance company," and "United States branch" have the meanings assigned by Section 841.001.
(2)  "Alien insurance company" means an insurance company organized under the laws of a foreign country.  The term includes an unincorporated insurance company (other than an unincorporated life insurance company, accident insurance company, life and accident insurance company, health and accident insurance company, or life, health, and accident insurance company) that is organized under the laws of a foreign country in a form recognized by the department.
(3)  "Domestic insurance company" has, in the context of a life insurance company, accident insurance company, life and accident insurance company, health and accident insurance company, or life, health, and accident insurance company, the meaning assigned by Section 841.001.
(4)  "Foreign insurance company" means an insurance company organized under the laws of another state of the United States.
(5)  "Insurance company" means a company engaged as a principal in the business of insurance.
(6)  "Policyholder" has, in the context of a life insurance company, accident insurance company, life and accident insurance company, health and accident insurance company, or life, health, and accident insurance company, the meaning assigned by Section 841.001.
(7)  "Trusteed asset" means an asset that an authorized alien insurance company is required or permitted by this chapter to deposit with one or more trustees for the security of the company's policyholders in the United States.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter A. General Provisions › Section 982.002. Applicability of Chapter

Sec. 982.002.  APPLICABILITY OF CHAPTER.  This chapter applies to any insurance company that is organized under the laws of another state or country and that wants to engage in or is engaging in the business of insurance in this state.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter A. General Provisions › Section 982.003. Life Insurance Companies Wanting to Loan Money

Sec. 982.003.  LIFE INSURANCE COMPANIES WANTING TO LOAN MONEY.  A life insurance company that wants to loan money in this state but does not want to engage in the business of life insurance in this state may obtain from the secretary of state a permit to loan money by complying with the laws of this state relating to foreign corporations engaged in loaning money in this state without having to obtain a certificate of authority to engage in the business of life insurance in this state.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter A. General Provisions › Section 982.004. Financial Statements of Foreign or Alien Insurance Companies

Sec. 982.004.  FINANCIAL STATEMENTS OF FOREIGN OR ALIEN INSURANCE COMPANIES.  (a)  Each foreign insurance company shall file with the department a statement in the form required by Section 982.101 or 982.102 not later than March 1 of each year.
(b)  Each authorized alien insurance company shall file with the department a financial statement in the form required by Section 982.252 not later than March 1 of each year.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter B. Authority to Engage in Business › Section 982.051. Certificate of Authority Required for Life, Health, or Accident Companies

Sec. 982.051.  CERTIFICATE OF AUTHORITY REQUIRED FOR LIFE, HEALTH, OR ACCIDENT COMPANIES.  A foreign insurance company may not engage in the business of insurance as a life insurance company, accident insurance company, life and accident insurance company, health and accident insurance company, or life, health, and accident insurance company in this state, except for the lending of money, without first obtaining from the department a certificate of authority that:
(1)  shows that the foreign insurance company has fully complied with the laws of this state;  and
(2)  authorizes the foreign insurance company to engage in the business of insurance in this state.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter B. Authority to Engage in Business › Section 982.052. Certificate of Authority Required for Other Companies

Sec. 982.052.  CERTIFICATE OF AUTHORITY REQUIRED FOR OTHER COMPANIES.  Except as provided by Chapter 101 or 981, a foreign or alien insurance company, other than a life insurance company, accident insurance company, life and accident insurance company, or life, health, and accident insurance company, may not engage in this state in the business of insuring others against losses without first obtaining from the department a certificate of authority that authorizes the company to engage in that business.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter C. Requirements for Certificate of Authority › Section 982.101. Filing of Financial Statement by Life, Health, or Accident Insurance Company

Sec. 982.101.  FILING OF FINANCIAL STATEMENT BY LIFE, HEALTH, OR ACCIDENT INSURANCE COMPANY.  A foreign or alien life insurance company, accident insurance company, life and accident insurance company, health and accident insurance company, or life, health, and accident insurance company that wants to engage in the business of insurance in this state shall provide to the department a written or printed statement, under the oath of the president or vice president or under the oath of the treasurer and secretary of the company, that shows:
(1)  the company's name and location;
(2)  the amount of the company's capital stock;
(3)  the amount of the company's paid up capital stock;
(4)  the company's assets, including in the following order:
(A)  the amount of cash on hand;
(B)  the amount of cash held by other persons and the names and residences of those persons;
(C)  unencumbered real estate, its location, and its value;
(D)  bonds the company owns, the manner in which the bonds are secured, and the rate of interest on the bonds;
(E)  debts due the company that are secured by mortgage, a description of the mortgaged property, and the property's market value;
(F)  debts due the company that are secured other than by mortgage and a statement of how they are secured;
(G)  debts due the company for premiums;  and
(H)  all other money and securities;
(5)  the amount of the company's liabilities and the name of the person or corporation to whom each liability is owed;
(6)  losses adjusted and due;
(7)  losses adjusted and not due;
(8)  losses adjusted;
(9)  losses in suspense and the reason for the suspension;
(10)  all other claims against the company and a description of each claim;  and
(11)  any additional facts required by the department to be shown.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter C. Requirements for Certificate of Authority › Section 982.102. Filing of Financial Statement by Other Insurance Company; Examination

Sec. 982.102.  FILING OF FINANCIAL STATEMENT BY OTHER INSURANCE COMPANY;  EXAMINATION.  (a)  This section applies only to a foreign or alien insurance company, other than a life insurance company, accident insurance company, life and accident insurance company, health and accident insurance company, or life, health, and accident insurance company.
(b)  A foreign or alien insurance company that wants to engage in the business of insurance in this state shall provide to the department copies of its annual financial statements for the two most recent years.  The copies must be certified by the commissioner or other insurance supervising official of the state or country in which the company is organized and incorporated.  The department may require that the statement show additional facts as requested by the department.
(c)  Before approving or denying the application of a foreign or alien insurance company for a certificate of authority to engage in the business of insurance in this state, the commissioner shall:
(1)  examine the company, at the company's expense, at its principal office in the United States; or
(2)  accept a report of an examination made by the insurance department or other insurance supervisory official of another state or government of a foreign country.
(d)  On the applicant's request, the commissioner shall hold a hearing on a denial.  Not later than the 30th day after the date of the applicant's request for a hearing, the commissioner shall request a hearing date.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 1022 (H.B. 4291), Sec. 17, eff. June 19, 2009.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter C. Requirements for Certificate of Authority › Section 982.103. Filing of Financial Statement by Alien Insurance Company

Sec. 982.103.  FILING OF FINANCIAL STATEMENT BY ALIEN INSURANCE COMPANY.  An alien insurance company that wants to engage in the business of insurance in this state shall file a financial statement as provided by Section 982.252.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter C. Requirements for Certificate of Authority › Section 982.104. Filing of Articles of Incorporation

Sec. 982.104.  FILING OF ARTICLES OF INCORPORATION.  (a)  A foreign or alien insurance company shall file with the statement required by Section 982.101 or 982.102:
(1)  a copy of the company's acts or articles of incorporation and any amendments to those acts or articles;  and
(2)  a copy of the company's bylaws and a statement of the name and residence of each of the company's officers and directors.
(b)  The president or the secretary of the company shall certify the documents filed under Subsection (a).
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter C. Requirements for Certificate of Authority › Section 982.105. Capital Stock and Surplus Requirements for Life, Health, or Accident Insurance Companies

Sec. 982.105.  CAPITAL STOCK AND SURPLUS REQUIREMENTS FOR LIFE, HEALTH, OR ACCIDENT INSURANCE COMPANIES.  (a)  A foreign or alien life insurance company, accident insurance company, life and accident insurance company, health and accident insurance company, or life, health, and accident insurance company is subject to Sections 841.054, 841.201, 841.204, 841.205, 841.207, 841.301, and 841.302.  The department may not issue a certificate of authority to a foreign or alien stock insurance company, and the company may not engage in any business of life, health, or accident insurance in this state, unless the company possesses at least the minimum capital and surplus required for a similar domestic insurance company organized under Chapter 841 in similar circumstances.  The minimum capital and surplus must be invested in the same character of investments as required for a domestic insurance company.
(b)  The department may not issue a certificate of authority to a foreign or alien mutual insurance company, and the company may not engage in the business of life insurance in this state, unless the company possesses at least the minimum unencumbered surplus required by Chapter 882 for a similar domestic company in similar circumstances.  The minimum unencumbered surplus must be invested in the same character of investments as required for a domestic insurance company.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter C. Requirements for Certificate of Authority › Section 982.106. Capital Stock and Surplus Requirements for Other Insurance Companies

Sec. 982.106.  CAPITAL STOCK AND SURPLUS REQUIREMENTS FOR OTHER INSURANCE COMPANIES.  (a)  This section applies only to a foreign or alien insurance company other than a life insurance company, accident insurance company, life and accident insurance company, health and accident insurance company, or life, health, and accident insurance company.
(b)  A foreign or alien insurance company is subject to Sections 822.203, 822.205, 822.210, and 822.212.  The department may not authorize a foreign or alien insurance company to engage in the business of insurance in this state unless the company has and maintains the minimum capital and surplus amounts as required by this code for companies organized under this code and engaging in the same kinds of business.
(c)  The department may not deny authorization for a foreign or alien insurance company to engage in the business of insurance in this state because all of the company's capital stock has not been fully subscribed and paid for, if:
(1)  at least the minimum dollar amount of capital stock of the company required by the laws of this state, which may be less than all of the company's authorized capital stock, has been subscribed and paid for;  and
(2)  the company:
(A)  has at least the minimum dollar amount of surplus required by the laws of this state for the kinds of business the company seeks to write;  and
(B)  has fully complied with the laws of the company's domiciliary state or country relating to authorization and issuance of capital stock.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter C. Requirements for Certificate of Authority › Section 982.107. Applicability of Other Law

Sec. 982.107.  APPLICABILITY OF OTHER LAW.  Chapter 402 applies to a foreign or alien insurance company.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 2E.136, eff. April 1, 2009.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter C. Requirements for Certificate of Authority › Section 982.108. Deposit Requirements for Alien Insurance Company

Sec. 982.108.  DEPOSIT REQUIREMENTS FOR ALIEN INSURANCE COMPANY.  An alien insurance company may not engage in the business of insurance in this state without first depositing with the comptroller, for the benefit of the company's policyholders who are citizens or residents of the United States, bonds or securities of the United States or this state in an amount at least equal to:
(1)  the minimum capital required to be maintained by a domestic stock insurer authorized to engage in the same kind of insurance;  or
(2)  one-half the minimum unencumbered surplus required to be maintained by a domestic mutual insurer authorized to engage in the same kind of insurance.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter C. Requirements for Certificate of Authority › Section 982.109. Duration of Deposit by Life, Health, or Accident Insurance Companies

Sec. 982.109.  DURATION OF DEPOSIT BY LIFE, HEALTH, OR ACCIDENT INSURANCE COMPANIES.  An alien life insurance company, accident insurance company, life and accident insurance company, health and accident insurance company, or life, health, and accident insurance company shall maintain the deposit required by Section 982.108 for the period that the company has any outstanding liability arising from its insurance transactions in the United States.  The deposit is liable to pay the judgments, as decreed by courts, of the company's policyholders in the United States.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter C. Requirements for Certificate of Authority › Section 982.110. Duration of Deposit for Other Insurance Companies

Sec. 982.110.  DURATION OF DEPOSIT FOR OTHER INSURANCE COMPANIES.  An alien insurance company, other than an alien life insurance company, accident insurance company, life and accident insurance company, health and accident insurance company, or life, health, and accident insurance company, shall maintain the deposit required by Section 982.108 for the period that the company has any outstanding liability arising from its insurance transactions in the United States.  The deposit is for the exclusive benefit, security, and protection of the company's policyholders in the United States.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter C. Requirements for Certificate of Authority › Section 982.111. Exception to Deposit Requirement: Trusteed Assets

Sec. 982.111.  EXCEPTION TO DEPOSIT REQUIREMENT:  TRUSTEED ASSETS.  (a)  On approval by the commissioner as provided by Subchapter D, instead of making the deposit with the comptroller under Section 982.108, an authorized alien insurance company may deposit bonds or securities of the United States or this state with a trustee or trustees for the security of the company's policyholders in the United States.
(b)  An alien insurance company shall maintain the deposit permitted by Subsection (a) as provided by Subchapter D.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter C. Requirements for Certificate of Authority › Section 982.112. Exception to Deposit Requirement: Deposit With Officer in Another State

Sec. 982.112.  EXCEPTION TO DEPOSIT REQUIREMENT:  DEPOSIT WITH OFFICER IN ANOTHER STATE.  (a)  The deposit required under Section 982.108 is not required in this state if the deposit required by that section has been made in any state of the United States, under the laws of that state, in a manner that secures equally the policyholders of the company who are citizens and residents of the United States.
(b)  An alien insurance company that desires to meet the requirements of Section 982.108 as provided by Subsection (a) shall file with the department a certificate of the deposit.  The certificate must be signed by and under the seal of the officer of the state with whom the deposit was made.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter C. Requirements for Certificate of Authority › Section 982.113. Issuance of Certificate of Authority to Life, Health, or Accident Insurance Company

Sec. 982.113.  ISSUANCE OF CERTIFICATE OF AUTHORITY TO LIFE, HEALTH, OR ACCIDENT INSURANCE COMPANY.  (a)  The commissioner shall file in the commissioner's office the documents delivered to the department under this subchapter and shall approve or deny an application for a certificate of authority.
(b)  The commissioner shall issue to a foreign or alien life insurance company, accident insurance company, life and accident insurance company, health and accident insurance company, or life, health, and accident insurance company a certificate of authority to engage in this state in the kind of business specified in the documents if:
(1)  the company has complied with the requirements of this chapter and any other requirement imposed on the company by law; and
(2)  the company's operational history demonstrates that the expanded operation of the company in this state or its operations outside this state will not create a condition that might be hazardous to the company's policyholders or creditors or to the public.
(c)  The operational history of a life insurance company, accident insurance company, life and accident insurance company, health and accident insurance company, or life, health, and accident insurance company under Subsection (b)(2) must be reviewed in conjunction with:
(1)  the company's loss experience;
(2)  the kinds and nature of risks insured by the company;
(3)  the company's financial condition and its ownership;
(4)  the company's proposed method of operation;
(5)  the company's affiliations;
(6)  the company's investments;
(7)  the company's contracts, if any, leading to contingent liability or agreements in respect to guaranty and surety, other than insurance; and
(8)  the ratio of total annual premium and net investment income to commission expenses, general insurance expenses, policy benefits paid, and required policy reserve increases.
(d)  On the applicant's request, the commissioner shall hold a hearing on a denial.  Not later than the 30th day after the date of the applicant's request for a hearing, the commissioner shall request a hearing date.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 1022 (H.B. 4291), Sec. 18, eff. June 19, 2009.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter C. Requirements for Certificate of Authority › Section 982.114. Payment of Tax by Foreign or Alien Life Insurance Company

Sec. 982.114.  PAYMENT OF TAX BY FOREIGN OR ALIEN LIFE INSURANCE COMPANY.  (a)  A foreign or alien life insurance company that obtains a certificate of authority under this subchapter on or after April 2, 1909, accepts that certificate and agrees to engage in the business of insurance in this state subject to a requirement that, if the company ceases to transact new insurance business in this state but continues to collect renewal premiums from residents of this state, the company shall continue to pay an occupation tax based on gross premiums for each year from residents of this state.
(b)  The rate of the tax imposed by this section may not exceed the rate imposed by law on insurance companies transacting new insurance business in this state.
(c)  The foreign or alien life insurance company shall pay the tax and make reports relating to its gross premium receipts in the same manner as a foreign or alien life insurance company that is transacting new insurance business in this state.
(d)  The foreign or alien life insurance company is subject to examination by the department or by a department designee in the same manner and to the same extent as a company that is transacting new insurance business in this state.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 19, eff. April 1, 2005.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter D. Trusteed Assets of Alien Insurance Companies › Section 982.201. Deed of Trust: General Provisions

Sec. 982.201.  DEED OF TRUST:  GENERAL PROVISIONS.  (a)  A deed of trust relating to the trusteed assets of an authorized alien insurance company and all amendments to the deed of trust are effective only if approved by the commissioner.
(b)  The deed of trust must contain provisions that:
(1)  vest legal title to trusteed assets in the trustee or trustees and the trustees' lawfully appointed successors, in trust for the security of the policyholders of the alien insurance company in the United States;
(2)  provide for substitution of a new trustee or trustees, subject to the commissioner's approval, in the event of vacancy by death, resignation, or other incapacity;  and
(3)  require that the trustee or trustees continuously maintain a record sufficient to identify the trusteed assets.
(c)  The deed of trust may provide that income, earnings, dividends, or interest accumulations of the trusteed assets may be paid over to the United States manager of the alien insurance company on request.
(d)  The deed of trust and all amendments to the deed of trust must be authenticated in the form and manner prescribed by the commissioner.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
2023 Texas Statutes › Insurance Code › Title 6 - Organization of Insurers and Related Entities › Subtitle I - Surplus Lines Insurers; Companies Not Organized in Texas › Chapter 982 - Foreign and Alien Insurance Companies › Subchapter D. Trusteed Assets of Alien Insurance Companies › Section 982.202. Deed of Trust: Approval by Commissioner

Sec. 982.202.  DEED OF TRUST:  APPROVAL BY COMMISSIONER.  (a)  The commissioner shall approve a deed of trust relating to the trusteed assets of an alien insurance company if the commissioner determines:
(1)  the deed of trust or its amendments are sufficient in form and conform with applicable law;
(2)  the trustee or trustees are eligible to serve in that capacity;  and
(3)  the deed of trust is adequate to protect the interests of the beneficiaries of the trust.
(b)  If, after notice and hearing, the commissioner determines that a requisite for approval of a deed of trust under Subsection (a) does not exist, the commissioner may withdraw approval.
(c)  The commissioner may approve a change in any deed of trust that in the commissioner's judgment is in the best interests of the policyholders of the alien insurance company in the United States.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.