Texas Insurance Code Title 6, Chapter 911 - Farm Mutual Insurance Companies

SUBCHAPTER A GENERAL PROVISIONS

• Texas Section 911.001 - Limited Exemption From Insurance Laws; Applicability Of Certain Laws
  (a) A provision of this code, other than this chapter, does not apply to a farm mutual insurance company holding a certificate of authority under...
• Texas Section 911.002 - General Rulemaking Authority; Enforcement
  After hearing, the commissioner may adopt rules to clarify and augment this chapter as determined by the commissioner to be necessary to accomplish the purposes...

SUBCHAPTER B ORGANIZATION OF FARM MUTUAL INSURANCE COMPANY; DIRECTORS

• Texas Section 911.003 - Fees
  (a) The department shall charge and collect the following fees: (1) $10 for an amendment to a farm mutual insurance company's charter; and (2) $1...
• Texas Section 911.051 - Applicability Of Texas Non-profit Corporation Act
  Except to the extent of any conflict with this chapter, the Texas Non-Profit Corporation Act (Article 1396-1.01 et seq., Vernon's Texas Civil Statutes) applies to...
• Texas Section 911.052 - Formation Of Company: Incorporation Required
  To form a farm mutual insurance company, an association of individuals that does not hold a certificate of authority issued by the department must obtain...
• Texas Section 911.053 - Incorporation Requirements
  (a) In this section, "separate risk" means one or more items of real property and the property's contents, if any, that is not exposed to...
• Texas Section 911.054 - Charter And Articles Of Incorporation
  (a) The charter and articles of incorporation of an association that wants to form a farm mutual insurance company must state the names and post...
• Texas Section 911.055 - Application For Permit To Solicit Insurance
  (a) At least 10 residents described by Section 911.054(a) that want to form a farm mutual insurance company may apply to the department for a...
• Texas Section 911.056 - Issuance Of Permit To Solicit Insurance; Term
  (a) The department shall approve or deny an application for a permit to solicit insurance under Section 911.055. If the department finds that the application...
• Texas Section 911.057 - Collection And Refund Of Money From Certain Individuals Applying For Insurance
  An association described by Section 911.053(b)(1) of which the applicants for a permit to solicit insurance are members shall hold in trust money collected from...
• Texas Section 911.058 - Membership Control Of Company
  (a) The control of a farm mutual insurance company must be ultimately vested as provided by this chapter in the company's members through a supreme...
• Texas Section 911.059 - Eligibility Of Board Of Directors; Term
  (a) An individual is eligible to serve as a director of a farm mutual insurance company if the individual is a policyholder who maintains insurance...
• Texas Section 911.060 - General Powers Of Board Of Directors
  The board of directors of a farm mutual insurance company has the powers provided by: (1) this chapter; and (2) the company's charter, constitution, and...
• Texas Section 911.061 - Authority To Borrow Money
  (a) The board of directors of a farm mutual insurance company, acting through its authorized officers, may borrow money in an amount determined to be...
• Texas Section 911.062 - Removal Of Officer Or Director
  (a) The board of directors of a farm mutual insurance company, at a meeting, may remove an officer or director of the company if, by...
• Texas Section 911.063 - Creation Of Local Chapters And Districts
  (a) A farm mutual insurance company's bylaws may provide for: (1) the organization of local chapters to transact the company's business; and (2) the creation...
• Texas Section 911.064 - Policyholder Meetings
  (a) A farm mutual insurance company shall hold a policyholder meeting to elect directors and transact business at the time and place and in the...
• Texas Section 911.065 - Voting By Policyholder
  (a) Each policyholder of a farm mutual insurance company is entitled to only one vote at a policyholders' meeting. (b) A policyholder may not vote...
• Texas Section 911.066 - Authority To Prohibit Waiver Of Bylaws
  A farm mutual insurance company may provide in its bylaws that a company adjuster, representative appointed by the company, or local chapter or officer or...

SUBCHAPTER C AUTHORITY TO ENGAGE IN BUSINESS IN THIS STATE

• Texas Section 911.067 - Application For Extension Of Charter For Certain Companies; Term
  (a) Before a farm mutual insurance company's charter expires, the company may apply to the department for an extension of the company's charter if: (1)...

SUBCHAPTER D POLICIES AND COVERAGE

• Texas Section 911.101 - Authority To Engage In Business
  Except to the extent of any conflict with this chapter, a farm mutual insurance company must hold a certificate of authority under Section 801.051 to...
• Texas Section 911.151 - Kinds Of Insurance Authorized
  (a) A farm mutual insurance company may insure property against loss or damage by: (1) fire, lightning, explosion, theft, windstorm, hurricane, hail, riot, civil commotion,...
• Texas Section 911.152 - Property And Hazards Against Which Company May Not Insure
  (a) A farm mutual insurance company may not insure: (1) a building, or the building's contents, with more than 40 percent of the building's floor...
• Texas Section 911.153 - Contract Terms: Incorporation Of Bylaws
  (a) A farm mutual insurance company's bylaws are part of each contract between the company and an insured. (b) Each policy issued by the company...
• Texas Section 911.154 - Contract Terms: Adoption Of Additional Provisions
  (a) A farm mutual insurance company may adopt as part of the company's bylaws and insurance policies any provision contained in the standard policies of...

SUBCHAPTER E CHARGES, PREMIUMS, AND ASSESSMENTS

• Texas Section 911.155 - Repair Or Replacement Of Insured Property
  The company's bylaws may authorize the company to require, at its option, that all or a percentage of the money paid for a loss be...
• Texas Section 911.201 - Payment Of Premium Or Assessment
  (a) A farm mutual insurance company's bylaws must: (1) state the time and manner of the levy and payment of a premium or assessment for...
• Texas Section 911.202 - Nonpayment Of Premiums Or Assessments: Filing Of Action
  (a) A farm mutual insurance company may bring an action in the county in which the company's home office is located against a policyholder who...

SUBCHAPTER F AGENTS

• Texas Section 911.203 - Policyholder Liability
  A policyholder is liable for the losses of a farm mutual insurance company only as provided by the company's constitution and bylaws, and only in...

SUBCHAPTER G REGULATION OF FARM MUTUAL INSURANCE COMPANY; FINANCIAL REQUIREMENTS

• Texas Section 911.251 - Licensing And Appointment Of Certain Agents
  (a) An individual or firm may not solicit, write, sign, execute, or deliver insurance policies, bind insurance risks, collect premiums, or otherwise act on behalf...
• Texas Section 911.301 - General Operating Requirements
  (a) In this section, "rural property" means property located outside an area of land subject to the taxing authority of a municipality with a population...
• Texas Section 911.302 - Location Of Business
  (a) Except as provided by Subsection (b), a farm mutual insurance company may write insurance in: (1) the county in which the company's home office...
• Texas Section 911.303 - Reinsurance
  (a) A farm mutual insurance company may reinsure the company's risks with another company against any hazard against which the farm mutual insurance company is...
• Texas Section 911.304 - Annual Reports Required
  (a) A farm mutual insurance company shall annually prepare a written report as required by this section and submit the report to the company's policyholders....
• Texas Section 911.305 - Examination Of Company
  The department shall examine each farm mutual insurance company as often as the department determines necessary. Added by Acts 2001, 77th Leg., ch. 1419, Sec....
• Texas Section 911.306 - Solvency Requirements
  (a) A farm mutual insurance company is solvent if: (1) the company's assets, including the policyholders' contingent liability for the company's losses, are reasonably sufficient...
• Texas Section 911.307 - Reserve Requirements
  (a) A farm mutual insurance company's board of directors may provide for the accumulation of reserve funds. (b) The company shall invest the reserve funds...
• Texas Section 911.308 - Surplus Requirements
  (a) A farm mutual insurance company organized between January 1, 1955, and May 21, 1973, shall maintain an unencumbered surplus of $2 for each $100...

Last modified: September 28, 2016