Texas Insurance Code

§ 942.157 — TRANSACTIONS BETWEEN CERTAIN INSURERS AND AFFILIATED EXCHANGES

IN § 942.157Title 6. ORGANIZATION OF INSURERS AND RELATED ENTITIES · Part G. LLOYD'S PLAN AND RECIPROCAL AND INTERINSURANCE EXCHANGES · Ch. 942. RECIPROCAL AND INTERINSURANCE EXCHANGES · Art. D. OPERATION, POWERS, AND DUTIES OF EXCHANGE

Statute text

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(a)In this section, "affiliate" has the meaning assigned by Section 823.003.

(b)An insurer subject to Article 5.26 may not directly or indirectly assume all or a substantial part of any risk covered by a reciprocal or interinsurance contract written by an exchange that is an affiliate of that insurer if the risk is written at a rate less than the rate that may be lawfully charged by the insurer or any affiliate of the insurer that is subject to Article 5.26.

Legislative history

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