Tex. Ins. Code § 911.053 · Subchapter B. ORGANIZATION OF FARM MUTUAL INSURANCE COMPANY; DIRECTORS
INCORPORATION REQUIREMENTS.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) In this section, "separate risk" means one or more items of real property and the property's contents, if any, that is not exposed to any other property on which insurance is applied for in the association seeking the charter.
(b) To be granted a charter as a farm mutual insurance company, an association must:
(1) demonstrate that the association:
(A) has existed as an association of individuals for at least three years;
(B) has at least 100 individual members;
(C) operates for the purpose of membership recreation or welfare under a system of subordinate lodges, locals, or districts;
(D) does not have capital stock;
(E) is organized and operates solely for the mutual benefit of its members and not for profit;
(F) has a representative form of government; and
(G) has decided by a majority vote of the association's members to apply for a charter as a farm mutual insurance company under this chapter; and
(2) have:
(A) at least 100 written applications for insurance on at least 400 separate risks; and
(B) an unencumbered surplus as required by Section 911.308(b).
(c) Coverage for a risk described by Subsection (b)(2)(A) may not be in an amount that exceeds one percent of the total amount of insurance coverage to be issued by the association as stated in its application for a charter.
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.911.htm
- Text hash
- sha256 9941826394cbffa2574ade96b2a165a18666f14b80162e1d31b7ad14b58f8cb4
- 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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