Sec. 2207.409. PAYMENT OF CLAIMS AND JUDGMENTS. (a) If money in the fund would be exhausted by the payment of all final and settled claims and final judgments during a fiscal year, the pool shall prorate the amount paid to each person having the claim or judgment.
(b) If the amount paid by the pool is prorated under this section, each person described by Subsection (a) shall receive an amount equal to the percentage that the amount owed to that person by the pool bears to the total amount owed, outstanding, and payable by the pool.
(c) The pool shall pay in the next fiscal year the remaining amount that is due and unpaid to a person who receives a prorated payment under this section.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
Structure Texas Statutes
Title 10 - Property and Casualty Insurance
Subtitle G - Pools, Groups, Plans, and Self-Insurance
Chapter 2207 - Excess Liability Pools for Counties and Certain Educational Entities
Section 2207.401. Entitlement to Coverage
Section 2207.402. Scope of Coverage
Section 2207.403. Basis of Coverage
Section 2207.404. Rates and Limits of Coverage
Section 2207.405. Use of Entity Money for Pool Coverage Authorized
Section 2207.406. Coverage Period
Section 2207.407. Nonrenewal of Coverage