Sec. 942.157. TRANSACTIONS BETWEEN CERTAIN INSURERS AND AFFILIATED EXCHANGES. (a) In this section, "affiliate" has the meaning assigned by Section 823.003.
(b) An insurer subject to Article 5.26 may not directly or indirectly assume all or a substantial part of any risk covered by a reciprocal or interinsurance contract written by an exchange that is an affiliate of that insurer if the risk is written at a rate less than the rate that may be lawfully charged by the insurer or any affiliate of the insurer that is subject to Article 5.26.
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 G - Lloyd's Plan and Reciprocal and Interinsurance Exchanges
Chapter 942 - Reciprocal and Interinsurance Exchanges
Subchapter D. Operation, Powers, and Duties of Exchange
Section 942.151. Subscriber Liability for Certain Contingent Premiums
Section 942.152. Subscriber Limited Liability Based on Certain Minimum Capital and Surplus
Section 942.153. Prior Authority Not Affected
Section 942.154. Statements Relating to Indemnity Amounts
Section 942.155. Financial Requirements
Section 942.156. Issuance of Fidelity and Surety Bond Insurance; Deposit Required
Section 942.157. Transactions Between Certain Insurers and Affiliated Exchanges