Tex. Ins. Code § 2052.004 · Chapter 2052. POLICY PROVISIONS AND FORMS FOR WORKERS' COMPENSATION INSURANCE
POLICYHOLDER DIVIDENDS.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) Subject to Subsections (b) and (c), this subtitle may not be construed to prohibit an insurance company, including the Texas Mutual Insurance Company, from issuing participating policies.
(b) A policyholder dividend under a workers' compensation insurance policy:
(1) must be approved by the department if the insurer's policyholder dividend amount exceeds 10 percent of surplus; and
(2) may not be approved by the department until the insurance company has adequate reserves.
(c) For purposes of Subsection (b), reserves must be computed on the same basis for all classes of insurance companies operating under this subtitle and Section 2051.002.
(d) An insurer must notify the department in writing of a distribution if the insurer's policyholder dividend amount is not greater than 10 percent of surplus.
Notes and commentary — not statutory text
History
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 2H.005, eff. April 1, 2009.
Acts 2013, 83rd Leg., R.S., Ch. 463 (S.B. 1006), Sec. 7, eff. June 14, 2013.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/IN/htm/IN.2052.htm
- Text hash
- sha256 89e0ac3e42710fbe2ba3f7b07f1c6a17434e056fbe1634f4da32a1a96adb3f03
- 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
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