Texas Statutes
Subchapter C. Powers and Duties of Administrators and Insurers
Section 4151.117. Compensation of Administrator

Sec. 4151.117. COMPENSATION OF ADMINISTRATOR. (a) An administrator's compensation may be determined:
(1) as a percentage of the premiums or charges the administrator collects or the amount of claims the administrator pays or processes; or
(2) except as provided by Subsection (b), on another basis as specified in the written agreement.
(b) An insurer or plan sponsor may not permit or provide compensation or another thing of value to an administrator that is based on the savings accruing to the insurer or plan sponsor because of adverse determinations regarding claims for benefits, reductions of or limitations on benefits, or other analogous actions inconsistent with this chapter, that are made or taken by the administrator.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1, 2005.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 1176 (H.B. 472), Sec. 1.15, eff. September 1, 2007.

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