Sec. 541.301. REFUND OF PREMIUMS. (a) After notice and hearing as provided in Subchapter C, the department may require a person to make an accounting under Subsection (b):
(1) in connection with a method of competition or act or practice that is the basis of a cease and desist order issued under Section 541.108; or
(2) on application of an aggrieved person, in connection with a determination by the department that the aggrieved person and other persons similarly situated were induced to purchase an insurance policy as a result of the person engaging in a method of competition or act or practice in violation of:
(A) this chapter or a rule adopted under this chapter; or
(B) Section 17.46, Business & Commerce Code.
(b) A person required to make an accounting under this section must account for all premiums collected for policies issued by the person during the preceding two years in connection with the acts in violation of this chapter described by Subsection (a)(1) or (2).
(c) The department may require the person described by Subsection (a) to:
(1) give notice to all persons from whom the premiums were collected; and
(2) refund the total of all premiums collected from each person who elects to accept a premium refund in exchange for cancellation of the insurance policy issued.
(d) A person who refunds premiums under this section shall deduct from the amount of premiums refunded the amount of benefits actually paid by the person while the insurance policy was in force.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 2, eff. April 1, 2005.
Section: Previous 541.261 541.262 541.263 541.264 541.265 541.266 541.267 541.301 541.302 541.303 541.304 541.351 541.352 541.353 541.354 NextLast modified: September 28, 2016