Texas Insurance Code

§ 885.405 — VALUATION OF AND SEPARATE FUND FOR DISABILITY BENEFITS

IN § 885.405Title 6. ORGANIZATION OF INSURERS AND RELATED ENTITIES · Part E. MUTUAL AND FRATERNAL COMPANIES AND RELATED ENTITIES · Ch. 885. FRATERNAL BENEFIT SOCIETIES · Art. I. REGULATION OF FRATERNAL BENEFIT SOCIETIES

Statute text

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(a)A fraternal benefit society that provides for disability benefits shall keep the net premiums for disability benefits in a fund separate from all other benefit and expense funds and the valuation of all other business of the society.

(b)Notwithstanding Subsection (a), if a fraternal benefit society uses a combined premium table for both death and permanent total disability benefits:

(1)the valuation must be according to tables of reliable experience; and

(2)the society is not required to maintain a separation of those funds.

Legislative history

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