Texas Insurance Code 423.106 – Required Evidence for Securities
(a) An insurer that deposits securities under Section 423.105 shall provide evidence to the commissioner to establish that:
(1) the securities are recorded in an account in the name of:
(A) the participating custodian bank or member bank through which the insurer deposits the securities with a clearing corporation or in the Federal Reserve book-entry system; or
(B) the insurer, if the insurer makes the deposit directly with the clearing corporation as a direct participant; and
(2) the records of the participating custodian bank, direct participant, or member bank and of the clearing corporation show that the securities are under the commissioner’s control.
(b) Evidence under Subsection (a)(1) must be issued, as applicable, by:
(1) the participating custodian bank;
(2) the member bank; or
(3) the insurer, when the insurer makes the deposit directly with the clearing corporation as a direct participant.
Terms Used In Texas Insurance Code 423.106
- 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.
- Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.