Texas Insurance Code - Section 402.102. Conditions Under Which Report Concerning Nonrenewal, Cancellation, Or Revision Required
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§ 402.102. CONDITIONS UNDER WHICH REPORT CONCERNING
NONRENEWAL, CANCELLATION, OR REVISION REQUIRED. Except as
provided by Section 402.103, an insurer or health maintenance
organization shall file a report of a material nonrenewal,
cancellation, or revision of ceded reinsurance under Section
402.002, without regard to which party initiated the nonrenewal,
cancellation, or revision, if:
(1) the entire cession has been canceled, nonrenewed,
or revised, and ceded indemnity and loss adjustment expense
reserves after the nonrenewal, cancellation, or revision represent
less than 50 percent of the comparable reserves that would have been
ceded had the nonrenewal, cancellation, or revision not occurred;
(2) an authorized or accredited reinsurer has been
replaced by an unauthorized reinsurer on an existing cession, and
the result of the revision affects more than 10 percent of the
cession; or
(3) a collateral requirement previously established
for an unauthorized reinsurer has been reduced, in that the
requirement to collateralize incurred but unreported claim
reserves has been waived for at least one unauthorized reinsurer
newly participating in an existing cession, and the result of the
revision affects more than 10 percent of the cession.
Added by Acts 2005, 79th Leg., ch. 727, § 1, eff. April 1, 2007.
Section: 402.003 402.004 402.005 402.051 402.052 402.053 402.101 402.102 402.103 402.104 403.001 403.002 403.051 403.052 403.053
Last modified: August 11, 2007
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