Texas Insurance Code

§ 846.154 — CASH RESERVE REQUIREMENTS

IN § 846.154Title 6. ORGANIZATION OF INSURERS AND RELATED ENTITIES · Part C. LIFE, HEALTH, AND ACCIDENT INSURERS AND RELATED ENTITIES · Ch. 846. MULTIPLE EMPLOYER WELFARE ARRANGEMENTS · Art. D. POWERS AND DUTIES OF MULTIPLE EMPLOYER WELFARE ARRANGEMENTS

Statute text

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(a)The amount of cash reserves recommended under Section 846.153(c)(2) may not be less than the greater of:

(1)20 percent of the total contributions in the preceding plan year; or

(2)20 percent of the total estimated contributions for the current plan year.

(b)Cash reserves required by this section must be:

(1)computed with proper actuarial regard for:

(A)known claims, paid and outstanding;

…

Legislative history

Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.