Texas Insurance Code

§ 887.155 — TRANSFER OF MEMBERSHIP OR MERGER OF CLASSES

IN § 887.155Title 6. ORGANIZATION OF INSURERS AND RELATED ENTITIES · Part E. MUTUAL AND FRATERNAL COMPANIES AND RELATED ENTITIES · Ch. 887. PROVISIONS APPLICABLE TO CERTAIN MUTUAL ASSESSMENT COMPANIES · Art. D. MEMBERS

Statute text

View on source

(a)Without advance approval of the department, an association may not:

(1)transfer any part or class of membership or all membership to another association; or

(2)merge classes or transfer a member from one class to another in the association.

(b)The department may grant approval under Subsection (a) only after the department:

(1)completely investigates the facts; and

(2)determines that the proposed merger or transfer is to the advantage of the members or classes affected by the merger or transfer.

Legislative history

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