Texas Insurance Code - INS § 964.056. Capital and Surplus or Equivalent Requirements

(1) the amount of premium written by the captive insurance company;

(2) the characteristics of the assets held by the captive insurance company;

(3) the terms of reinsurance arrangements entered into by the captive insurance company;

(4) the type of business covered in policies issued by the captive insurance company;

(5) the underwriting practices and procedures of the captive insurance company;  and

(6) any other criteria that has an impact on the operations of the captive insurance company determined to be significant by the commissioner.

(1) United States currency;

(2) an irrevocable letter of credit, in a form approved by the commissioner and not secured by a guarantee from an affiliate, naming the commissioner as beneficiary for the security of the captive insurance company's policyholders and issued by a bank approved by the commissioner;

(3) bonds of this state or a county or municipality of this state;  or

(4) bonds or other evidences of indebtedness of the United States, the principal and interest of which are guaranteed by the United States.