Texas Insurance Code Title 6, Chapter 829 - Conversion Of Reciprocal Or Interinsurance Exchange To Stock Company Through Creation Of A Mutual Holding Company

• Texas Section 829.001 - Definitions
  In this chapter: (1) "Attorney in fact" has the meaning assigned by Section 942.001. (2) "Board of directors" means, as to an exchange, the board...
• Texas Section 829.002 - Authority To Convert Through Creation Of A Mutual Holding Company
  (a) An exchange may reorganize by converting to a stock insurance company and forming a mutual holding company to hold, directly or indirectly, shares of...
• Texas Section 829.003 - Rights And Privileges Of Resulting Company; Laws Applicable
  Except as provided by this chapter, the resulting company: (1) may exercise only the rights and privileges of a stock insurance company; and (2) is...
• Texas Section 829.004 - Mutual Holding Company; Laws Applicable
  (a) Except as provided by this chapter, a mutual holding company is considered an insurer subject to this chapter and Chapter 883. (b) The commissioner...
• Texas Section 829.005 - Conflict Of Interest
  (a) Except as provided by a conversion plan approved by the commissioner or by this section, the following individuals may not receive a fee, commission,...
• Texas Section 829.006 - Limitation On Actions
  (a) Except as provided by Subsection (b), an action challenging the validity of or arising out of acts taken or proposed to be taken regarding...
• Texas Section 829.007 - Sale Of Securities
  (a) A sale, issuance, or offering of securities under this chapter is exempt from the registration and licensing provisions of The Securities Act (Article 581-1...
• Texas Section 829.051 - Capital Stock Held By Mutual Holding Company
  (a) In this section, "majority of the voting shares of the capital stock" means shares of the capital stock of a company that carry the...
• Texas Section 829.052 - Limitation On Acquisition Of Capital Stock
  (a) The conversion plan must provide that a person or group of persons acting in concert, other than the mutual holding company or an intermediate...
• Texas Section 829.053 - Directors And Officers
  (a) Except as otherwise provided by this section, the conversion plan must provide that a director or officer of the converting exchange, or a person...
• Texas Section 829.054 - Subscription Rights; Tax-qualified Employee Benefit Plan
  The conversion plan may allocate to a tax-qualified employee benefit plan nontransferable subscription rights to purchase not more than 10 percent of the capital stock...
• Texas Section 829.101 - Plan Adoption
  (a) To convert under this chapter an exchange must adopt a conversion plan consistent with this chapter by the affirmative vote of at least two-thirds...
• Texas Section 829.102 - Amendments; Withdrawal Of Plan
  Before a conversion plan takes effect, a converting exchange may amend or withdraw the plan by the affirmative vote of at least two-thirds of the...
• Texas Section 829.103 - Filing Of Plan And Related Documents With Commissioner; Commissioner's Powers And Duties
  (a) Not later than the 90th day after the date on which a converting exchange's board of directors adopts a conversion plan, the converting exchange...
• Texas Section 829.104 - Notice To Eligible Members; Comments
  (a) The converting exchange shall give eligible members at least 30 days' written notice of the members' meeting to vote on the conversion plan and...
• Texas Section 829.105 - Substantial Compliance With Notice Requirements
  If the converting exchange in good faith substantially complies with the notice requirements of this chapter, the converting exchange's failure to send a member the...
• Texas Section 829.106 - Approval Of Plan By Commissioner
  (a) The commissioner shall approve a conversion plan if the commissioner determines that: (1) the plan complies with this chapter; (2) the plan's method of...
• Texas Section 829.107 - Approval Of Plan By Eligible Members
  (a) After notice that complies with this chapter, the converting exchange may convene a meeting to consider the conversion plan, and any eligible member entitled...
• Texas Section 829.108 - Filing Of Minutes, Articles Of Incorporation, And Bylaws; Effective Date Of Conversion
  (a) The converting exchange shall file with the commissioner: (1) the minutes of the meeting at which the plan was approved; and (2) the articles...
• Texas Section 829.151 - Corporate Existence
  (a) On the effective date: (1) the legal existence of the converting exchange continues in the resulting company; (2) all assets, rights, franchises, and interests...
• Texas Section 829.152 - Membership Interests
  (a) The membership interests of the policyholders of the resulting company become membership interests in the mutual holding company. Members of the converting exchange become...
• Texas Section 829.153 - Rights Of Members Whose Policies Are Issued After Adoption Of Conversion Plan But Before Effective Date
  (a) On issuance of a policy after a conversion plan has been adopted by the board of directors but before the effective date of the...
• Texas Section 829.154 - Effect Of Conversion On Policies; Subscriber Accounts
  (a) Each policy in effect on the effective date remains in effect under the terms of that policy, except that the following rights, to the...

Last modified: September 28, 2016