CHAPTER 2052. POLICY PROVISIONS AND FORMS FOR WORKERS' COMPENSATION INSURANCE - Texas Statutes

INSURANCE CODE

TITLE 10. PROPERTY AND CASUALTY INSURANCE

SUBTITLE E. WORKERS' COMPENSATION INSURANCE

CHAPTER 2052. POLICY PROVISIONS AND FORMS FOR WORKERS'

COMPENSATION INSURANCE

Sec. 2052.001. DEFINITION. In this chapter, "insurance company"

means a stock company, mutual insurance company, reciprocal or

interinsurance exchange, or Lloyd's plan authorized to engage in

the business of workers' compensation insurance in this state.

Added by Acts 2005, 79th Leg., Ch.

727, Sec. 2, eff. April 1, 2007.

Sec. 2052.002. STANDARD POLICY FORMS AND UNIFORM POLICY;

EXCEPTIONS. (a) The commissioner shall prescribe standard

policy forms and a uniform policy for workers' compensation

insurance.

(b) In writing workers' compensation insurance in this state, an

insurance company may not use a form other than one prescribed

under this section unless the form is an endorsement:

(1) appropriate to the company's plan of operation; and

(2) submitted to and approved by the department.

Added by Acts 2005, 79th Leg., Ch.

727, Sec. 2, eff. April 1, 2007.

Sec. 2052.003. AGREEMENT REQUIRED TO BE CONTAINED IN APPLICATION

AND POLICY. (a) A contract or other agreement with respect to

workers' compensation insurance coverage that is not contained in

the application and policy required by this chapter violates this

subtitle and is void.

(b) An insurance company that uses a contract or other agreement

described by Subsection (a) engages in conduct that constitutes

sufficient grounds for the revocation of the company's

certificate of authority to write workers' compensation insurance

in this state.

Added by Acts 2005, 79th Leg., Ch.

727, Sec. 2, eff. April 1, 2007.

Sec. 2052.004. POLICYHOLDER DIVIDENDS. (a) Subject to

Subsections (b) and (c), this subtitle may not be construed to

prohibit an insurance company, including the Texas Mutual

Insurance Company, from issuing participating policies.

(b) A policyholder dividend under a workers' compensation

insurance policy:

(1) does not take effect until approved by the department; and

(2) may not be approved by the department until the insurance

company provides adequate reserves.

(c) For purposes of Subsection (b), reserves must be computed on

the same basis for all classes of insurance companies operating

under this subtitle and Article 5.66.

Added by Acts 2005, 79th Leg., Ch.

727, Sec. 2, eff. April 1, 2007.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

730, Sec. 2H.005, eff. April 1, 2009.