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Texas Insurance Code - Not Codified - Article 21.49-3a. Reactivation Of Joint Underwriting Associations

Legal Research Home > Texas Lawyer > Insurance Code - Not Codified > Texas Insurance Code - Not Codified - Article 21.49-3a. Reactivation Of Joint Underwriting Associations

Art. 21.49-3a. REACTIVATION OF JOINT UNDERWRITING 
ASSOCIATIONS .  Sec. 1. Subsequent to the suspension of the 
operation of the Joint Underwriting Association created by the 
Texas Medical Liability Insurance Underwriting Association Act 
(Article 21.49-3, Insurance Code), it may be reactivated in 
conformity with the terms of Section 3 of this article.  The board 
may also, if it deems such action to be appropriate, direct the 
statutory liquidator to secure reinsurance for all claims which 
potentially might be brought on policies issued by the Joint 
Underwriting Association or take any other action which will reduce 
to a minimum the participation and activities of the Joint 
Underwriting Association until such time as the association may be 
reactivated under the terms of Section 3 of this article.
	Sec. 2. All terms used in this article have the same meanings 
as those specifically set out in Section 2, Article 21.49-3, 
Insurance Code.
	Sec. 3. The State Board of Insurance, after notice and 
hearing as hereinafter provided, is authorized to reactivate the 
Joint Underwriting Association created by Article 21.49-3, 
Insurance Code.  A hearing to determine the need for reactivation 
shall be set by the State Board of Insurance on petition of the 
Texas Medical Association, the Texas Podiatry Association, or the 
Texas Hospital Association or as many as 15 physicians or health 
care providers practicing or operating in this state, or such 
hearing may be set by the State Board of Insurance on its own 
finding that physicians or health care providers, or any category 
thereof, in this state are threatened with the possibility of being 
unable to secure medical liability insurance.  At least 15 days 
prior to the date set, notice of the hearing shall be given to each 
insurer which, if reactivation is ordered, would be a member of the 
association as provided in Section 3(a), Article 21.49-3, Insurance 
Code.  If the board finds that reactivation of the Joint 
Underwriting Association will be in the public interest, the board 
shall order the reactivation, designating the category or 
categories of physicians or health care providers who shall be 
eligible to secure medical liability insurance coverage from the 
association and specifying in the order a date not fewer than 15 nor 
more than 60 days thereafter on which the provisions of Article 
21.49-3, Insurance Code, shall become effective as if the same had 
been reenacted to be effective on the date specified in the order.

Added by Acts 1983, 68th Leg., p. 5031, ch. 904, Sec. 2, eff. Aug. 
29, 1983.

Last modified: August 11, 2007