Texas Insurance Code Title 12, Chapter 3503 - Surety Bonds And Related Instruments

SUBCHAPTER A CERTAIN REQUIRED OR PERMITTED OBLIGATIONS

• Texas Section 3503.001 - Definition
  In this subchapter, "obligation" means a bond, undertaking, recognizance, guaranty, or other obligation that is by law or by a charter, ordinance, or rule of...
• Texas Section 3503.002 - Execution Of Obligation By Surety Company
  (a) A surety company authorized to engage in business in this state may execute an obligation. (b) Except as provided by Section 3503.004 or 3503.005,...
• Texas Section 3503.003 - Designation Of Agent By Corporate Surety Required
  Notwithstanding Section 3503.002, in specifications by a municipality for work or supplies for which sealed bids are required, the municipality may require that a corporate...
• Texas Section 3503.004 - Written Certification Of Reinsurance As Condition Of Acceptance Of Obligation
  (a) If an obligation is in an amount that exceeds 10 percent of the surety company's capital and surplus, the municipality, board, body, organization, court,...

SUBCHAPTER B PROMPT PAYMENT OF CONSTRUCTION PAYMENT BONDS

• Texas Section 3503.005 - Additional Requirements For Certain Bonds
  (a) A bond that is made, given, tendered, or filed under Chapter 53, Property Code, or Chapter 2253, Government Code, may be executed only by...
• Texas Section 3503.051 - Definitions
  In this subchapter: (1) "Claimant" means a person directly entitled to payment under a construction payment bond. (2) "Construction payment bond" means a surety agreement...
• Texas Section 3503.052 - Construction Of Subchapter
  (a) This subchapter shall be construed to encourage prompt payment of just claims made under construction payment bonds of surety companies. This subchapter does not...
• Texas Section 3503.053 - Certain Terms Void
  A term contained in a construction payment bond that is inconsistent with this subchapter is void. Added by Acts 2005, 79th Leg., Ch. 727 (H.B....
• Texas Section 3503.054 - Notice Of Claim; Acknowledgment And Investigation
  (a) A surety company that issues a construction payment bond shall, not later than the 15th day after the date of receipt of notice of...
• Texas Section 3503.055 - Notice Of Acceptance Or Rejection Of Claim
  (a) Except as provided by Subsection (c), a surety company shall notify a claimant in writing of the acceptance or rejection of a claim not...
• Texas Section 3503.056 - Payment Of Claim
  (a) If a surety company notifies a claimant under Section 3503.055 that the company accepts a claim or part of a claim, the company shall...

SUBCHAPTER C OTHER BONDS

• Texas Section 3503.057 - Rules
  The commissioner may adopt rules enforcing this subchapter in cases in which a surety company violates this subchapter as a general business practice. Added by...

SUBCHAPTER D SUIT ON CERTAIN BONDS OR OTHER OBLIGATIONS

• Texas Section 3503.101 - Bail Bond Certificates
  (a) In any year, an insurance company authorized to engage in fidelity and surety insurance business in this state may become surety in an amount...
• Texas Section 3503.151 - Venue Of Suit On Certain Bonds Or Other Obligations
  (a) This section applies to: (1) a bond or other obligation of an insurance company authorized to engage in business in this state and to...
• Texas Section 3503.152 - Residence Of Insurance Company
  An insurance company described by Section 3503.151 is a resident of a county in which the company engages in business. Added by Acts 2005, 79th...
• Texas Section 3503.153 - Service Of Process
  In a suit described by Section 3503.151, process shall be served in accordance with Sections 804.003, 804.101, 804.102, 804.103, 804.201, 804.202, 804.203(a), (c), and (d),...

SUBCHAPTER E REGULATION OF SURETY COMPANY

• Texas Section 3503.154 - Acceptance Of Subchapter
  The doing or performance of any business in any county is considered an acceptance of the provisions of this subchapter. Added by Acts 2005, 79th...
• Texas Section 3503.201 - Merger Or Consolidation Of Certain Companies
  When two or more companies authorized to write fidelity, guaranty, and surety insurance in this state merge or consolidate and, incident to the merger or...
• Texas Section 3503.202 - Unearned Premium Reserve For Bail Bond Not Required
  A surety company is not required to maintain an unearned premium reserve for a bail bond, as defined by Section 1704.001, Occupations Code, executed or...
• Texas Section 3503.203 - Direct Written Premium Calculation
  Direct written premium reported by a surety company in a financial statement filed with the department may be calculated excluding any premiums or service fees...
• Texas Section 3503.204 - Disclosure Requirements
  A surety company that executes or delivers in this state a bail bond as defined by Section 1704.001, Occupations Code, shall disclose in the company's...

Last modified: September 28, 2016