Tex. Ins. Code § 884.253 · Subchapter F. GENERAL POWERS AND DUTIES OF STIPULATED PREMIUM COMPANY
DIVIDENDS.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) A stipulated premium company may declare or pay a dividend to its shareholders only from the profits made by the company, not including surplus from the sale of stock.
(b) A stipulated premium company may not pay a dividend, other than a stock dividend, unless:
(1) any deficiency reserve under Section 884.453 has been eliminated; and
(2) the capital of the company is maintained in an amount of at least $100,000.
(c) A stipulated premium company that complies with Subsection (b) may pay cash dividends in accordance with Sections 403.001 and 403.052.
Notes and commentary — not statutory text
History
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 2E.080, eff. April 1, 2009.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/IN/htm/IN.884.htm
- Text hash
- sha256 d049e12bf99a857b7ef8b9ed63945d68cd0f1bb0e35889c49d87a8fd8b652f9c
- 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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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.