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Current as of January 01, 2024 | Updated by Findlaw Staff
(a) An administrator's compensation may be determined:
(1) as a percentage of the premiums or charges the administrator collects or the amount of claims the administrator pays or processes; or
(2) except as provided by Subsection (b), on another basis as specified in the written agreement.
(b) An insurer or plan sponsor may not permit or provide compensation or another thing of value to an administrator that is based on the savings accruing to the insurer or plan sponsor because of adverse determinations regarding claims for benefits, reductions of or limitations on benefits, or other analogous actions inconsistent with this chapter, that are made or taken by the administrator.
Cite this article: FindLaw.com - Texas Insurance Code - INS § 4151.117. Compensation of Administrator - last updated January 01, 2024 | https://codes.findlaw.com/tx/insurance-code/ins-sect-4151-117/
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