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A BILL TO BE ENTITLED
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AN ACT
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relating to authorized investments in securities or property for |
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foreign companies. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 982.105(a), Insurance Code, is amended |
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to read as follows: |
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(a) A foreign or alien life insurance company, accident |
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insurance company, life and accident insurance company, health and |
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accident insurance company, or life, health, and accident insurance |
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company is subject to Sections 422.051(a), 841.054, 841.201, |
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841.204, 841.205, 841.207, 841.301, and 841.302. The department |
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may not issue a certificate of authority to a foreign or alien stock |
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insurance company, and the company may not engage in any business of |
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life, health, or accident insurance in this state, unless the |
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company possesses at least the minimum capital and surplus required |
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for a similar domestic insurance company organized under Chapter |
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841 in similar circumstances. The minimum capital and surplus and |
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reserves must be invested in the same character of investments as |
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required for a domestic insurance company. |
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SECTION 2. EFFECTIVE DATE. This Act takes effect |
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immediately if it receives a vote of two-thirds of all the members |
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elected to each house, as provided by Section 39, Article III, Texas |
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Constitution. If this Act does not receive the vote necessary for |
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immediate effect, this Act takes effect September 1, 2007. |