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Terms Used In Texas Insurance Code 1108.002

  • Annuity: A periodic (usually annual) payment of a fixed sum of money for either the life of the recipient or for a fixed number of years. A series of payments under a contract from an insurance company, a trust company, or an individual. Annuity payments are made at regular intervals over a period of more than one full year.
  • Contract: A legal written agreement that becomes binding when signed.

For purposes of regulation under this code, an annuity contract is considered an insurance policy or contract if the annuity contract is issued:
(1) by a life, health, or accident insurance company, including a mutual company or fraternal benefit society; or
(2) under an annuity or benefit plan used by an employer or individual.