Texas Insurance Code - Section 424.111. Pooling Agreement Provisions
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§ 424.111. POOLING AGREEMENT PROVISIONS. The pooling
agreement for an investment pool must provide that:
(1) 100 percent of the ownership interests in the pool
must at all times be held by:
(A) an insurer and the insurer's affiliated
insurers;
(B) for a pool investing solely in investments
authorized under Section 424.104, the insurer and the insurer's
subsidiaries and affiliates or any pension or profit-sharing plan
of the insurer and the insurer's subsidiaries and affiliates; or
(C) for a United States branch of an alien
insurer, subsidiaries or affiliates of the insurer's United States
manager;
(2) the pool's underlying assets are held solely for
the benefit of each participant and may not be commingled with the
general assets of the pool manager or any other person;
(3) each participant owns an undivided interest in the
pool's underlying assets in proportion to the aggregate amount of
the participant's interest in the pool; and
(4) a pool participant or, if a pool participant is
insolvent, bankrupt, or in receivership, the participant's
trustee, receiver, conservator, or other successor-in-interest may
withdraw all or any portion of the participant's investment from
the pool under the terms of the pooling agreement.
Added by Acts 2005, 79th Leg., ch. 727, § 1, eff. April 1, 2007.
Section: 424.104 424.105 424.106 424.107 424.108 424.109 424.110 424.111 424.112 424.113 424.114 424.115 424.151 424.152 424.153
Last modified: August 11, 2007
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