Texas Insurance Code

§ 823.002 — DEFINITIONS

IN § 823.002Title 6. ORGANIZATION OF INSURERS AND RELATED ENTITIES · Part B. ORGANIZATION OF REGULATED ENTITIES · Ch. 823. INSURANCE HOLDING COMPANY SYSTEMS · Art. A. GENERAL PROVISIONS

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In this chapter:

(1)"Acquiring person" means the person who is acquiring control of a domestic insurer or on whose behalf control of a domestic insurer is being acquired.

(2)"Controlled insurer" means an insurer that is controlled directly or indirectly by a holding company.

(3)"Controlled person" means a person, other than a controlled insurer, who is controlled directly or indirectly by a holding company. (3-a) "Divesting person" means a person who has control of a domestic insurer and who intends to divest control of the domestic insurer. (3-b) "Divestiture" means an abandonment of control of a domestic insurer by a divesting person that does not result in the transfer of control to another person.

(4)"Domestic insurer" includes a commercially domiciled insurer described by Section 823.004. (4-a) "Enterprise risk" means any activity, circumstance, event, or series of events involving one or more affiliates of an insurer that, if not remedied promptly, is likely to have a material adverse effect on the financial condition or liquidity of the insurer or its insurance holding company system as a whole, including anything:

(A)that would cause the insurer's risk-based capital to fall into company action level; or

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Legislative history

Acts 2011, 82nd Leg., R.S., Ch. 922 (S.B. 1431), Sec. 1, eff. September 1, 2011. Acts 2017, 85th Leg., R.S., Ch. 38 (H.B. 3220), Sec. 1, eff. May 19, 2017.