Texas Insurance Code 2703.001 – Compliance With Title and Rules
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(a) This section applies to a corporation organized under this title, a foreign corporation, and, to the extent that the corporation is engaged in the business of title insurance, a corporation organized under another law, including:
(1) Subdivision 57, Article 1302, Revised Statutes, before repeal of that statute; and
(2) Chapter 861.
(b) A corporation operates in this state under the control and supervision of the commissioner and under uniform rules adopted by the commissioner relating to:
(1) forms of policies and underwriting contracts;
(2) premiums for those policies and contracts; and
(3) underwriting standards and practices.
Terms Used In Texas Insurance Code 2703.001
- Contract: A legal written agreement that becomes binding when signed.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Property: means real and personal property. See Texas Government Code 311.005
- Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land.
- Statute: A law passed by a legislature.
(c) With respect to real property located in this state, a corporation may not issue any kind of title insurance coverage, any kind of guarantee, or reinsurance of a risk assumed under a title insurance policy, except as provided by § 2551.305 or 2551.3055, unless the corporation is authorized to engage in the business of title insurance under this title and otherwise complies with this title. In engaging in the business of title insurance with respect to real property located in this state, the corporation shall comply with this title and rules described by Subsection (b), including when:
(1) issuing any kind of title insurance policy or an underwriting contract;
(2) reinsuring any portion of a risk assumed under a title insurance policy; and
(3) deleting a title insurance policy exclusion.
(d) Title insurance coverage, reinsurance, or a guarantee issued in violation of Subsection (c) is invalid.