Sec. 887.251. GENERAL REQUIREMENTS FOR INSURANCE CERTIFICATE AND APPLICATION FORMS; INCONTESTABILITY. (a) An insurance certificate issued by an association must include:
(1) any condition of the certificate, including any portion of the bylaws of the association that affects the insurance rights of the parties in any material way; and
(2) a statement that the certificate is issued subject to:
(A) the association's constitution and bylaws; and
(B) any amendments to the constitution and bylaws approved by the commissioner.
(b) An insurance certificate must provide that a certificate in force for two years becomes incontestable, except for nonpayment of dues or assessments, on the second anniversary of the date of issuance, if the insured does not die before that date.
(c) An insurance certificate issued by an association or an application for the certificate may not contain language or be in a form that misleads the certificate holder or applicant about the kind of insurance provided under the certificate.
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 887 - Provisions Applicable to Certain Mutual Assessment Companies
Subchapter F. Contents of Applications and Insurance Certificates
Section 887.252. Application for Insurance Certificate
Section 887.253. Life Insurance Certificate Forms
Section 887.254. Health and Accident Insurance Certificate Forms
Section 887.255. Life Insurance Benefit Reductions and Exclusions