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Texas Insurance Code - INS § 406.004. Required Deposit:  Form of Security

Current as of January 01, 2024 | Updated by Findlaw Staff

A deposit required under Section 406.003 must be made with the comptroller and approved by the commissioner.  The deposit must be made in:

(1) cash;

(2) securities authorized under this code to be a legal investment for the insurer that:

(A) are readily marketable over a national exchange with a maturity date of not more than one year, are listed by the Securities Valuation Office of the National Association of Insurance Commissioners, and qualify as admitted assets;  or

(B) are clean, irrevocable, and unconditional letters of credit issued or confirmed by a financial institution organized and licensed under the laws of the United States or a state of the United States;  or

(3) another form of security acceptable to the commissioner.

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Cite this article: FindLaw.com - Texas Insurance Code - INS § 406.004. Required Deposit:  Form of Security - last updated January 01, 2024 | https://codes.findlaw.com/tx/insurance-code/ins-sect-406-004/

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