Texas Insurance Code

§ 423.104 — PROOF OF OWNERSHIP OF SECURITIES

IN § 423.104Title 4. REGULATION OF SOLVENCY · Part B. RESERVES AND INVESTMENTS · Ch. 423. TRANSACTIONS WITH MONEY AND OTHER ASSETS · Art. C. TRANSACTIONS WITH OTHER ASSETS

Statute text

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(a)A domestic insurer may demonstrate ownership of a security through a definitive certificate or in accordance with rules adopted under this section.

(b)The commissioner shall adopt rules under which a domestic insurer may demonstrate ownership of an uncertificated security, as defined by Section 8.102(a), Business & Commerce Code, consistent with common practices of securities exchanges and markets. The rules must establish:

(1)standards for the types of uncertificated securities the insurer may hold;

(2)the manner in which the insurer may demonstrate ownership of the security; and

(3)adequate financial safeguards relating to the ownership of uncertificated securities.

Legislative history

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