Tex. Prop. Code § 142.009

Current with legislation from the 2023 Regular and Special Sessions signed by the Governor as of November 21, 2023.

Section 142.009 - Annuity Contract Requirements for Structured Settlement

(a) An insurance company providing an annuity contract for a structured settlement as provided by Section 142.008 must:

(1) be licensed to write annuity contracts in this state;

(2) have a minimum of $1 million of capital and surplus; and

(3) be approved by the court and comply with any requirements imposed by the court to ensure funding to satisfy periodic settlement payments.

(b) In approving an insurance company under Subsection (a)(3), the court may consider whether the company:

(1) holds an issuer credit rating equivalent to a National Association of Insurance Commissioners NAIC 1 designation from a national or international rating agency that:

(A) has registered with the Securities and Exchange Commission;

(B) is designated as a nationally recognized statistical rating organization; and

(C) is on the list of Credit Rating Providers by the Securities Valuation Office of the National Association of Insurance Commissioners;

(2) is an affiliate, as that term is described by Section 823.003, Insurance Code, of a liability insurance carrier involved in the suit for which the structured settlement is created; or

(3) is connected in any way to a person obligated to fund the structured settlement.

Tex. Prop. Code § 142.009

Amended by Acts 2019, Texas Acts of the 86th Leg.- Regular Session, ch. 912,Sec. 1, eff. 6/10/2019.

Amended By Acts 2003, 78th Leg., ch. 1276, Sec. 10A.551, eff. 9/1/2003.

Amended by Acts 2001, 77th Leg., ch. 96, Sec. 2, eff. 9/1/2001

Added by Acts 1999, 76th Leg., ch. 195, Sec. 5, eff. 9/1/1999.