Texas Insurance Code - INS § 424.214. Limitation on Sale of put Option on Assets

(a) If an income generation transaction is a sale of a put option on assets, the insurer must:

(b) If during the entire period the put option is outstanding the total market value of all put options sold by the insurer exceeds two percent of the insurer's assets, the insurer shall set aside, under a custodial or escrow agreement, cash or cash equivalents that have a market value equal to the amount of the insurer's put option obligations in excess of two percent of the insurer's assets.