(a) The association shall perform the association’s functions under a plan of operation approved by the commissioner. The plan of operation must:
(1) establish:
(A) procedures for handling the assets of the association;
(B) the amount and method of reimbursing board members under Section 463.056;
(C) regular places and times for board meetings, including telephone conference calls;
(D) procedures for maintaining records of all financial transactions of the association, the association’s agents, and the board; and
(E) additional procedures for assessments under Subchapter D; and
(2) contain additional provisions necessary or proper for the execution of the association’s powers and duties.
(b) The association may amend the plan of operation. An amendment must be approved by the commissioner and takes effect on:
(1) the date the commissioner approves the amendment; or
(2) the 60th day after the date the amendment is submitted to the commissioner for approval, if the commissioner does not approve or disapprove the amendment before the 60th day.

Ask an insurance law question, get an answer ASAP!
Click here to chat with a lawyer about your rights.

Terms Used In Texas Insurance Code 463.102

  • Amendment: A proposal to alter the text of a pending bill or other measure by striking out some of it, by inserting new language, or both. Before an amendment becomes part of the measure, thelegislature must agree to it.
  • Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.

(c) Each member insurer shall comply with the plan of operation.