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Texas Insurance Code - Section 463.251. Impaired Domestic Insurer

Legal Research Home > Texas Lawyer > Insurance Code > Texas Insurance Code - Section 463.251. Impaired Domestic Insurer

§ 463.251. IMPAIRED DOMESTIC INSURER.  (a) This section 
applies only to a member insurer that is an impaired domestic 
insurer.
	(b)  With the commissioner's approval, the association may:                    
		(1)  guarantee, assume, or reinsure, or cause to be 
guaranteed, assumed, or reinsured, one or more of the insurer's 
policies or contracts;
		(2)  provide money, pledges, notes, guarantees, or 
other means proper to:   
			(A)  implement Subdivision (1);  and                                         
			(B)  ensure payment of the insurer's contractual 
obligations until action is taken under Subdivision (1);  or
		(3)  loan money to the insurer.                                               
	(c)  In taking action under Subsection (b), the association 
may impose any condition that:
		(1)  does not impair the insurer's contractual 
obligations;  and            
		(2)  is approved by:                                                          
			(A)  the commissioner;  and                                                  
			(B)  the insurer, except in a conservation or 
rehabilitation ordered by a court.

Added by Acts 2005, 79th Leg., ch. 727, § 1, eff. April 1, 2007.           

Last modified: August 10, 2007