Texas § 2211.054 CONTENTS OF PLAN OF OPERATION.

Texas Statutes

§ 2211.054 — CONTENTS OF PLAN OF OPERATION.

Texas § 2211.054

Code INInsurance Code

This text of Texas § 2211.054 (CONTENTS OF PLAN OF OPERATION.) is published on Counsel Stack Legal Research, covering Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Tex. Insurance Code Code Ann. § 2211.054 (2026).

Text

Sec. 2211.054. CONTENTS OF PLAN OF OPERATION. The plan of operation must:

(1)provide for a nonprofit association to issue residential property insurance and, if applicable, property owners' association insurance under this chapter and distribute the losses and expenses in writing that insurance in this state;

(2)provide that all insurers that write residential property insurance shall participate in the association in accordance with Sections 2211.101 (b) and (c);

(3)provide that a participating insurer is entitled to receive credit in accordance with Section 2211.101 (d);

(4)provide for the immediate binding of eligible risks;

(5)provide for the use of premium installment payment plans, adequate marketing, and service facilities;

(6)provide for the establishment of reasonable servic

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Sec. 2211.054. CONTENTS OF PLAN OF OPERATION. The plan of operation must:
(1) provide for a nonprofit association to issue residential property insurance and, if applicable, property owners' association insurance under this chapter and distribute the losses and expenses in writing that insurance in this state;
(2) provide that all insurers that write residential property insurance shall participate in the association in accordance with Sections 2211.101 (b) and (c);
(3) provide that a participating insurer is entitled to receive credit in accordance with Section 2211.101 (d);
(4) provide for the immediate binding of eligible risks;
(5) provide for the use of premium installment payment plans, adequate marketing, and service facilities;
(6) provide for the establishment of reasonable service standards;
(7) provide procedures for efficient, economical, fair, and nondiscriminatory administration of the association;
(8) provide procedures for determining the net level of participation required for each insurer in the association;
(9) provide for the use of deductibles and other underwriting devices;
(10) provide for assessment of all members in amounts sufficient to operate the association;
(11) establish maximum limits of liability to be placed through the program;
(12) establish commissions to be paid to the insurance agents submitting applications;
(13) provide that the association issue policies in the association's own name;
(14) provide reasonable underwriting standards for determining insurability of a risk;
(15) provide procedures for the association to assume and cede reinsurance; and
(16) provide any other procedure or operational matter the governing committee or the commissioner considers necessary.

Legislative History

Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017 ), Sec. 2, eff. April 1, 2007. Amended by: Acts 2023, 88th Leg., R.S., Ch. 44 (H.B. 998 ), Sec. 3, eff. September 1, 2023.