Sec. 887.401. RESERVES ON INDIVIDUAL LIFE INSURANCE CERTIFICATES. (a) An association shall reserve an individual life insurance certificate insuring one or more persons at individual premiums for each person as provided by this section.
(b) An association shall maintain reserves on each of its individual life insurance certificates in accordance with the reserve standard adopted by the association and approved by the commissioner. The standard must provide reserves that in the aggregate are at least equal to the reserve amounts computed using the 1956 Chamberlain Reserve Table with interest not to exceed 3-1/2 percent a year. An association may use the 1956 Chamberlain Reserve Table with interest not to exceed 3-1/2 percent a year.
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
Section 887.401. Reserves on Individual Life Insurance Certificates
Section 887.402. Reserves on Family Group Life Insurance Certificates
Section 887.403. Issue Year and Issue Age in Certain Insurance Certificates
Section 887.404. Reserves on Accident, Health, and Hospitalization Insurance Certificates
Section 887.405. Computation of Reserve Liability
Section 887.406. Increase of Reserves
Section 887.407. Nonapplicability to Assessment-as-Needed Associations