Texas Insurance Code

§ 541.454 — PENALTIES AND RELATED PAYMENTS BY INSURER

IN § 541.454Title 5. PROTECTION OF CONSUMER INTERESTS · Part C. DECEPTIVE, UNFAIR, AND PROHIBITED PRACTICES · Ch. 541. UNFAIR METHODS OF COMPETITION AND UNFAIR OR DECEPTIVE ACTS OR PRACTICES · Art. J. CONSTRUCTION OF CHAPTER WITH OTHER LAWS

Statute text

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(a)Civil penalties, premium refunds, judgments, compensatory judgments, individual recoveries, orders, class action awards, costs, damages, or attorney's fees assessed or awarded under this chapter:

(1)may be paid only from the capital or surplus funds of the offending insurer; and

(2)may not take precedence over, be in priority to, or in any other manner apply to:

(A)Chapter 462 or 463 or any other insurance guaranty act; or

(B)Chapter 422.

(b)The statutes described by Subsection (a)(2) and the priorities of funds created by those statutes are exempt from the provisions of this chapter. Added by Acts 2003, 78th Leg., ch. 1274, Sec. 2, eff. April 1, 2005. Amended by:

Legislative history

Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 2D.006, eff. April 1, 2009.