Tex. Civ. Prac. & Rem. Code § 74.505 · Subchapter K. PAYMENT FOR FUTURE LOSSES
FINANCIAL RESPONSIBILITY.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) As a condition to authorizing periodic payments of future damages, the court shall require a defendant who is not adequately insured to provide evidence of financial responsibility in an amount adequate to assure full payment of damages awarded by the judgment.
(b) The judgment must provide for payments to be funded by:
(1) an annuity contract issued by a company licensed to do business as an insurance company, including an assignment within the meaning of Section 130, Internal Revenue Code of 1986, as amended;
(2) an obligation of the United States;
(3) applicable and collectible liability insurance from one or more qualified insurers; or
(4) any other satisfactory form of funding approved by the court.
(c) On termination of periodic payments of future damages, the court shall order the return of the security, or as much as remains, to the defendant.
Notes and commentary — not statutory text
History
Added by Acts 2003, 78th Leg., ch. 204, Sec. 10.01, eff. Sept. 1, 2003.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/CP/htm/CP.74.htm
- Text hash
- sha256 a15f8d617d8fc844b978203983343ff55afc9e3fbd99221e4021cc26aa197e66
- Composed by
- compose_tx.py 2026-10-05: the Legislative Council's chapter files read in document order; verify_tx.py's independent reading (lxml DOM walk) agrees character for character
Procedural information only. Not legal advice and not a substitute for the advice of an attorney. Confirm the current text with the official publisher before relying on it.