Tex. Ins. Code § 2203.053 · Subchapter B. ASSOCIATION ADMINISTRATION AND OPERATION
PLAN OF OPERATION.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) The association operates under a plan of operation adopted by the commissioner.
(b) The plan of operation must:
(1) provide for economic, fair, and nondiscriminatory administration;
(2) provide for the prompt and efficient provision of medical liability insurance; and
(3) contain other provisions, including provisions relating to:
(A) the establishment of necessary facilities;
(B) the association's management;
(C) the assessment of members and policyholders to defray losses and expenses;
(D) the administration of the policyholder's stabilization reserve funds;
(E) commission arrangements;
(F) reasonable and objective underwriting standards;
(G) the acceptance, assumption, and cession of reinsurance;
(H) the appointment of servicing insurers; and
(I) procedures for determining amounts of insurance to be provided by the association.
(c) The plan of operation must direct that any revenue exceeding expenditures that remains in the association's funds at the close of the association's fiscal year, after the association reimburses members' contributions in accordance with Section 2203.255(a), be added to the association's reserves.
Notes and commentary — not statutory text
History
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/IN/htm/IN.2203.htm
- Text hash
- sha256 2e3a6d41b1501c15c96486d903927881ef2509889cc44c75741cf087ca8c4847
- 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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