Tex. Ins. Code § 1107.053 · Subchapter B. COMPUTATION OF MINIMUM NONFORFEITURE AMOUNT
CONTRACT WITH FIXED, SCHEDULED CONSIDERATIONS.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) For an annuity contract that provides for the payment of fixed, scheduled considerations, the minimum nonforfeiture amount is computed in the same manner as the minimum nonforfeiture amount for an annuity contract with flexible considerations that are paid annually, except that:
(1) the amount of net consideration for a contract year is computed using an annual contract charge equal to the lesser of:
(A) $30; or
(B) 10 percent of the amount of the gross annual considerations paid on the contract; and
(2) the percentage of the net consideration amount for the first contract year to be used to compute the minimum nonforfeiture amount is 65 percent of the amount of net consideration for the first contract year plus 22.5 percent of the amount by which the amount of net consideration for the first contract year exceeds the lesser of:
(A) the amount of net consideration for the second contract year; or
(B) the amount of net consideration for the third contract year.
(b) The computation made under Subsection (a) must assume that the considerations are paid annually in advance.
Notes and commentary — not statutory text
History
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 2, eff. June 1, 2003. Amended by Acts 2003, 78th Leg., ch. 869, Sec. 1, eff. June 20, 2003.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/IN/htm/IN.1107.htm
- Text hash
- sha256 0537dd5f99209a48adecd3b81630a81d3f485e62fe9b4e20f8eb3e528ea1206d
- 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.