Court Opinions

State Laws

US Code

US Constitution

Texas Insurance Code - Section 493.152. Composition Of Trust

Legal Research Home > Texas Lawyer > Insurance Code > Texas Insurance Code - Section 493.152. Composition Of Trust

§ 493.152. COMPOSITION OF TRUST.  (a) If the assuming 
insurer is a single insurer, the trust must:
		(1)  consist of a trusteed account representing the 
assuming insurer's liabilities attributable to business written in 
the United States;  and
		(2)  include a trusteed surplus of at least $20 
million.                    
	(b)  If the assuming insurer is a group of insurers that 
includes an unincorporated individual insurer:
		(1)  the trust must:                                                          
			(A)  consist of a trusteed account representing 
the group's liabilities attributable to business written in the 
United States;  and
			(B)  include a trusteed surplus of at least $100 
million;  and             
		(2)  the group shall make available to the department 
an annual certification by the group's domiciliary regulator and 
its independent public accountants of each underwriter's solvency.
	(c)  If the assuming insurer is a group of incorporated 
insurers under common administration that has continuously engaged 
in the business of insurance for at least three years, is under the 
supervision of the Department of Trade and Industry of the United 
Kingdom, and has an aggregate policyholders' surplus of $10 
billion:
		(1)  the trust must:                                                          
			(A)  consist of a trusteed account representing 
the group's several liabilities attributable to business written in 
the United States under reinsurance contracts issued in the name of 
the group;  and
			(B)  include a trusteed surplus of not less than 
$100 million held jointly for the benefit of United States insurers 
that have ceded business to any member of the group;  and
		(2)  each member of the group shall make available to 
the department an annual certification by the member's domiciliary 
regulator and its independent public accountants of each member's 
solvency.

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

Last modified: August 10, 2007