Texas Insurance Code

§ 887.356 — DIVISION OF FUNDS: ASSESSMENT-AS-NEEDED ASSOCIATIONS

IN § 887.356Title 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. H. MORTUARY AND EXPENSE FUNDS

Statute text

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(a)An association operating on an assessment-as-needed basis shall divide collected assessments into at least:

(1)a mortuary fund; and

(2)an expense fund.

(b)An association under this section shall deposit into a mortuary fund an amount equal to at least 60 percent of the association's assessments, not including membership fees.

Legislative history

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