CHAPTER 461. GENERAL PROVISIONS - Texas Statutes

INSURANCE CODE

TITLE 4. REGULATION OF SOLVENCY

SUBTITLE D. GUARANTY ASSOCIATIONS

CHAPTER 461. GENERAL PROVISIONS

Sec. 461.001. APPLICABILITY OF CHAPTER. (a) Except as provided

by Subsection (b), this chapter applies to an insurance policy,

contract, certificate, evidence of coverage, or application

delivered or issued for delivery in this state that is not

covered by an insurance guaranty fund or other solvency

protection arrangement authorized by this code.

(b) This chapter does not apply to:

(1) a fidelity, surety, or guaranty bond; or

(2) marine insurance as defined by Section 1807.001.

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

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

Sec. 461.002. DISCLOSURE OF GUARANTY FUND NONPARTICIPATION. (a)

Each insurance policy, contract, certificate, evidence of

coverage, or application subject to this chapter must include a

statement that, if the insurer is unable to fulfill the insurer's

contractual obligation under the policy, contract, certificate,

or evidence of coverage, the insurer is not covered by an

insurance guaranty fund or other solvency protection arrangement.

(b) The statement must be in 10-point type and affixed to the

first page of the insurance policy, contract, certificate,

evidence of coverage, or application.

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

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

Sec. 461.003. FORM OF STATEMENT; PROHIBITION. (a) The

commissioner by rule shall promulgate the statement that an

insurer must use to comply with this chapter.

(b) An insurer may not include in an insurance policy, contract,

certificate, evidence of coverage, or application a statement

that does not conform to the appropriate statement prescribed by

the commissioner.

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

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