Insurance Code § 2210.0081

If the commissioner brings an action against the association, the association may have to show it can meet certain financing-related obligations, and the supervision period is limited to three years from the start of the action.

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Jurisdiction: United States — Texas
Instrument: Code
Version: Undated source snapshot
Language: en
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association supervision financing arrangement policyholder protection

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Provisions of Insurance Code § 2210.0081

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2210.0081
Insurance Code § 2210.0081
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AI-assisted research summary: If the commissioner brings an action against the association, the association may have to show it can meet certain financing-related obligations, and the supervision period is limited to three years from the start of the action.

Text of section effective on September 01, 2027 Sec. 2210.0081. CERTAIN ACTIONS BROUGHT AGAINST ASSOCIATION BY COMMISSIONER. In an action brought by the commissioner against the association under Chapter 441: (1) the association's inability to satisfy obligations under Subchapter M-1 or M-2 related to a financing arrangement entered into under this chapter constitutes a condition that makes the association's continuation in business hazardous to the public or to the association's policyholders for the purposes of Section 441.052; (2) the time for the association to comply with the requirements of supervision or for the conservator to complete the conservator's duties, as applicable, is limited to three years from the date the commissioner commences the action against the association; and (3) unless the commissioner takes further action against the association under Chapter 441, as a condition of release from supervision, the association must demonstrate to the satisfaction of the commissioner that the association is able to satisfy obligations under Subchapter M-1 or M-2 related to a financing arrangement entered into under this chapter. Added by Acts 2011, 82nd Leg., 1st C.S., Ch. 2 (H.B. 3), Sec. 5, eff. September 28, 2011. Amended by: Acts 2025, 89th Leg., R.S., Ch. 895 (H.B. 3689), Sec. 2.01(a), eff. September 1, 2025. Acts 2025, 89th Leg., R.S., Ch. 895 (H.B. 3689), Sec. 2.01(b), eff. September 1, 2027.

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Insurance Code § 2210.0081

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Provisions of Insurance Code § 2210.0081

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