Sec. 884.502. DIRECT REINSURANCE AGREEMENT WITH LEGAL RESERVE COMPANY. (a) A stipulated premium company may enter into a total or partial direct reinsurance agreement with a legal reserve life insurance company authorized to engage in the business of insurance in this state.
(b) Before a reinsurance agreement under this section may take effect, it must be:
(1) approved by a majority vote of the board of directors of each company;
(2) submitted to the department; and
(3) approved by the department as complying with Section 884.503 or 884.504, as applicable.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.
Structure Texas Statutes
Title 6 - Organization of Insurers and Related Entities
Subtitle E - Mutual and Fraternal Companies and Related Entities
Chapter 884 - Stipulated Premium Insurance Companies
Subchapter K. Direct Reinsurance Agreements
Section 884.501. Direct Reinsurance Agreements Between Stipulated Premium Companies
Section 884.502. Direct Reinsurance Agreement With Legal Reserve Company
Section 884.503. Direct Reinsurance of Accident or Health Insurance Policies
Section 884.504. Direct Reinsurance of Certain Policies
Section 884.505. Effect of Total Direct Reinsurance Agreement