Tex. Ins. Code § 942.158 · Subchapter D. OPERATION, POWERS, AND DUTIES OF EXCHANGE
ADVANCES OF MONEY BY ATTORNEY IN FACT.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) The attorney in fact for an exchange may advance to the exchange any amount of money necessary to conduct the business of the exchange, including any amount necessary to enable the exchange to comply with a legal requirement.
(b) Subject to the approval of the department, the advanced amount and any agreed interest on that amount, not exceeding 10 percent a year:
(1) is payable only from the surplus of the exchange remaining after providing for all reserves, other liabilities, and required surplus; and
(2) may not otherwise be a liability or claim against the exchange or any of the exchange's assets.
(c) A commission, promotion expense, or other bonus may not be paid in connection with the advance of money to the exchange.
(d) The amount of each advance must be reported in the exchange's annual report.
(e) The department may not arbitrarily refuse approval under Subsection (b).
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.942.htm
- Text hash
- sha256 ecea3f829262356d98621a88f7ad2e8ef5b59091c3d0f757d5bdf056be0a322b
- 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
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.