Bill Text: TX SB1093 | 2015-2016 | 84th Legislature | Enrolled
Bill Title: Relating to credit to certain ceding insurers for reinsurance ceded to certain assuming insurers.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2015-05-22 - Effective on 9/1/15 [SB1093 Detail]
Download: Texas-2015-SB1093-Enrolled.html
S.B. No. 1093 |
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relating to credit to certain ceding insurers for reinsurance ceded | ||
to certain assuming insurers. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 492.104(b), Insurance Code, is amended | ||
to read as follows: | ||
(b) The funds held as security: | ||
(1) must be held in the United States subject to | ||
withdrawal solely by and under the exclusive control of the ceding | ||
insurer or, in the case of a trust, held in a qualified United | ||
States financial institution that has been granted the authority to | ||
operate with fiduciary powers; and | ||
(2) may be in the form of: | ||
(A) cash; | ||
(B) securities that[ |
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Valuation Office of the National Association of Insurance | ||
Commissioners[ |
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(C) subject to Section 492.105, a clean, | ||
irrevocable, unconditional letter of credit, issued or confirmed by | ||
a qualified United States financial institution that has been | ||
determined by the commissioner or the Securities Valuation Office | ||
of the National Association of Insurance Commissioners to meet the | ||
standards of financial condition and standing that are considered | ||
necessary and appropriate to regulate the quality of financial | ||
institutions whose letters of credit will be acceptable to the | ||
commissioner; or | ||
(D) another form of security acceptable to the | ||
commissioner. | ||
SECTION 2. Section 493.104(b), Insurance Code, is amended | ||
to read as follows: | ||
(b) The funds held as security: | ||
(1) must be held in the United States subject to | ||
withdrawal solely by and under the exclusive control of the ceding | ||
insurer or, in the case of a trust, held in a qualified United | ||
States financial institution that has been granted the authority to | ||
operate with fiduciary powers; and | ||
(2) may be in the form of: | ||
(A) cash; | ||
(B) securities that[ |
||
[ |
||
|
||
[ |
||
|
||
[ |
||
Valuation Office of the National Association of Insurance | ||
Commissioners[ |
||
[ |
||
(C) subject to Section 493.105, a clean, | ||
irrevocable, unconditional letter of credit, issued or confirmed by | ||
a qualified United States financial institution that has been | ||
determined by the commissioner or the Securities Valuation Office | ||
of the National Association of Insurance Commissioners to meet the | ||
standards of financial condition and standing that are considered | ||
necessary and appropriate to regulate the quality of financial | ||
institutions whose letters of credit will be acceptable to the | ||
commissioner; or | ||
(D) another form of security acceptable to the | ||
commissioner. | ||
SECTION 3. This Act applies to funds held as security on or | ||
after the effective date of this Act. | ||
SECTION 4. This Act takes effect September 1, 2015. | ||
______________________________ | ______________________________ | |
President of the Senate | Speaker of the House | |
I hereby certify that S.B. No. 1093 passed the Senate on | ||
April 15, 2015, by the following vote: Yeas 30, Nays 0, one | ||
present not voting. | ||
______________________________ | ||
Secretary of the Senate | ||
I hereby certify that S.B. No. 1093 passed the House | ||
on May 11, 2015, by the following vote: Yeas 123, Nays 1, two | ||
present not voting. | ||
______________________________ | ||
Chief Clerk of the House | ||
Approved: | ||
______________________________ | ||
Date | ||
______________________________ | ||
Governor |