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Texas Statutes (Last Updated: January 4, 2014) |
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INSURANCE CODE |
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Title 10. PROPERTY AND CASUALTY INSURANCE |
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Subtitle A. GENERAL PROVISIONS |
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Chapter 1806. PROHIBITED PRACTICES AND REBATES RELATED TO POLICIES |
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Subchapter C. PROVISIONS APPLICABLE TO CASUALTY INSURANCE AND FIDELITY, GUARANTY, AND SURETY BONDS |
Sec. 1806.106. PROFIT SHARING WITH CERTAIN ASSOCIATIONS AUTHORIZED
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(a) This subchapter does not prohibit an insurer, on approval by the commissioner, from sharing profits with policyholders who are part of a group program established by a nonprofit business association and who participate in the group program because of membership in the association.
(b) An insurer that elects to make distributions under this section must:
(1) file a written description of the insurer's distribution program with the commissioner for approval; and
(2) notify the commissioner in writing of each distribution made under the program.
(c) If the commissioner does not act on the insurer's distribution program on or before the fifth business day after the date the commissioner receives the insurer's description of the program, the distribution program is considered approved.