Sec. 887.301. ASSESSMENTS REQUIRED. (a) An association shall levy regular and periodic assessments on its membership in amounts and at intervals necessary to:
(1) meet the reasonable operating expenses of the association; and
(2) allow the association to pay in full any claims arising under its insurance certificates.
(b) An association may also levy an assessment for surplus funds.
(c) An association shall specify the purpose of an assessment.
(d) An assessment on a life insurance certificate issued after May 21, 1965, insuring the life of one or more individuals must be:
(1) in accordance with the reserve standard adopted by the association and approved by the commissioner, except that an association may use the 1956 Chamberlain Reserve Table with interest not to exceed 3-1/2 percent a year; and
(2) in an amount sufficient to deposit in the mortuary fund an amount at least equal to the renewal net premiums computed in accordance with the reserve standard adopted by the association and approved by the commissioner.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
Section: Previous 887.210 887.251 887.252 887.253 887.254 887.255 887.256 887.301 887.302 887.303 887.304 887.305 887.306 887.307 887.308 NextLast modified: September 28, 2016