Texas Insurance Code

§ 402.051 — ACQUISITIONS AND DISPOSITIONS CONSIDERED MATERIAL

IN § 402.051Title 4. REGULATION OF SOLVENCY · Part A. GENERAL PROVISIONS · Ch. 402. DISCLOSURE OF MATERIAL TRANSACTIONS · Art. B. ACQUISITION AND DISPOSITION OF ASSETS

Statute text

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For purposes of this chapter, an acquisition, or the aggregate of a series of related acquisitions during a 30-day period, or a disposition, or the aggregate of a series of related dispositions during a 30-day period, is material if it:

(1)is not recurring;

(2)is not in the ordinary course of business; and

(3)involves more than five percent of the reporting insurer's or health maintenance organization's total admitted assets as reported in the insurer's or health maintenance organization's most recent statutory statement filed with the department.

Legislative history

Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.