Tex. Ins. Code § 841.205 · Subchapter E. CAPITAL AND SURPLUS
COMMISSIONER MAY REQUIRE LARGER CAPITAL AND SURPLUS AMOUNTS.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) The commissioner by rule or guideline may require a domestic insurance company that writes or assumes a life insurance or annuity contract or assumes liability on or indemnifies one person for any risk under an accident and health insurance policy, or a combination of these policies, in an amount that exceeds $10,000, to maintain capital and surplus in amounts that exceed the minimum amounts required by this chapter because of:
(1) the nature and kind of risks the company underwrites or reinsures;
(2) the premium volume of risks the company underwrites or reinsures;
(3) the composition, quality, duration, or liquidity of the company's investment portfolio;
(4) fluctuations in the market value of securities the company holds; or
(5) the adequacy of the company's reserves.
(b) A rule adopted under Subsection (a) must be designed to ensure the financial solvency of an insurance company for the protection of policyholders but may not require that the total admitted assets of a company exceed 106 percent of its total liabilities.
(c) A fraternal benefit society operating under Chapter 885 and a mutual life insurance company operating under Chapter 882 are subject to a rule adopted under this section.
Notes and commentary — not statutory text
History
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 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.841.htm
- Text hash
- sha256 c5143f7e32e71cef3a3ebfbb8d36bac53830183b613c67703812994b1fdea8d5
- 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
This section cites
Provisions in this library that the text above cites, as it prints each citation. A range cited as “ss. 61.13-61.16” links its first and last provisions.
Cited by 8 provisions
Provisions in this library whose text cites Tex. Ins. Code § 841.205. Each shows the citation as that text prints it.
Insurance Code
- Tex. Ins. Code § 443.004DEFINITIONS.Printed as Section 822.210, 841.205, or 843.404
- Tex. Ins. Code § 841.206IMPAIRMENT OF CAPITAL AND SURPLUS.Printed as Section 841.205
- Tex. Ins. Code § 882.201APPLICABILITY OF SUBCHAPTER.Printed as Sections 841.054, 841.204, 841.205, 841.301, and 841.302
- Tex. Ins. Code § 882.451APPLICABILITY OF CERTAIN PROVISIONS.Printed as Sections 841.054, 841.204, 841.205, 841.301, and 841.302
- Tex. Ins. Code § 882.701APPLICABILITY OF SUBCHAPTER.Printed as Sections 841.054, 841.204, 841.205, 841.301, and 841.302
- Tex. Ins. Code § 884.402ADDITIONAL COVERAGE.Printed as Sections 841.052, 841.054, 841.204, 841.205, 841.301, and 841.302
- Tex. Ins. Code § 885.453RESOLUTION TO CONVERT; ADDITIONAL REQUIREMENTS.Printed as Sections 841.054, 841.055, 841.056, 841.057, 841.204, 841.205, 841.301, and 841.302
- Tex. Ins. Code § 982.105CAPITAL STOCK AND SURPLUS REQUIREMENTS FOR LIFE, HEALTH, OR ACCIDENT INSURANCE COMPANIES.Printed as Sections 841.054, 841.201, 841.204, 841.205, 841.207, 841.301, and 841.302
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.