Texas Insurance Code

§ 548.103 — RECOVERY OF CERTAIN PROFITS

IN § 548.103Title 5. PROTECTION OF CONSUMER INTERESTS · Part C. DECEPTIVE, UNFAIR, AND PROHIBITED PRACTICES · Ch. 548. INSURER INSIDER TRADING AND PROXY REGULATION · Art. B. REQUIRED ACTS; PROHIBITIONS

Statute text

View on source

(a)The purpose of this section is to prevent the unfair use of information that may be obtained by an insider because of the insider's relationship with the domestic stock insurer.

(b)Any profit realized by the insider from the purchase and sale or from the sale and purchase of an equity security of the domestic stock insurer within a period of less than six months inures to and is recoverable by the insurer.

(c)A suit to recover the profit must be brought not later than the second anniversary of the date the profit is realized. The suit may be instituted at law or in equity by:

(1)the domestic stock insurer; or

(2)the owner of any security of the domestic stock insurer, in the name of and in behalf of the insurer, if the insurer does not:

(A)bring suit not later than the 60th day after the date a request is made; or

…

Legislative history

Added by Acts 2003, 78th Leg., ch. 1274, Sec. 2, eff. April 1, 2005.