Texas Insurance Code 441.104 – Prohibited Acts During Supervision
Terms Used In Texas Insurance Code 441.104
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Contract: A legal written agreement that becomes binding when signed.
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Property: means real and personal property. See Texas Government Code 311.005
During supervision, the commissioner may prohibit the insurer from taking any of the following actions without the prior approval of the commissioner or supervisor:
(1) disposing of, conveying, or encumbering any of the insurer’s assets or business in force;
(2) withdrawing money from the insurer’s bank accounts;
(3) lending or investing the insurer’s money;
(4) transferring the insurer’s property;
(5) incurring a debt, obligation, or liability;
(6) merging or consolidating with another company;
(7) entering into a new reinsurance contract or treaty;
(8) terminating, surrendering, forfeiting, converting, or lapsing an insurance policy, except for nonpayment of premiums due; or
(9) releasing, paying, or refunding premium deposits, accrued cash or loan values, unearned premiums, or other reserves on an insurance policy.