Texas § 884.559 ACTION AFTER AGREEMENT RATIFICATION.

Texas Statutes

§ 884.559 — ACTION AFTER AGREEMENT RATIFICATION.

Texas § 884.559

Code INInsurance Code

This text of Texas § 884.559 (ACTION AFTER AGREEMENT RATIFICATION.) 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. § 884.559 (2026).

Text

Sec. 884.559. ACTION AFTER AGREEMENT RATIFICATION.

(a)After ratification of the reinsurance agreement under Section 884.556 , the mutual assessment company shall cease doing business and shall transfer all of its assets to the assuming stipulated premium company.

(b)The stipulated premium company shall assume:

(1)all policy liability in accordance with the reinsurance agreement; and

(2)all other liabilities in accordance with the method of payment of those liabilities.

(c)On transfer of a mutual assessment company's assets:

(1)the company shall promptly surrender its certificate of authority and charter to the department; and

(2)the company's corporate existence ceases.

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Sec. 884.559. ACTION AFTER AGREEMENT RATIFICATION. (a) After ratification of the reinsurance agreement under Section 884.556 , the mutual assessment company shall cease doing business and shall transfer all of its assets to the assuming stipulated premium company.
(b) The stipulated premium company shall assume:
(1) all policy liability in accordance with the reinsurance agreement; and
(2) all other liabilities in accordance with the method of payment of those liabilities.
(c) On transfer of a mutual assessment company's assets:
(1) the company shall promptly surrender its certificate of authority and charter to the department; and
(2) the company's corporate existence ceases.