Tex. Ins. Code Section 2602.403
Assets Attributable to Covered Policies

(a)

For the purposes of this section, assets attributable to covered policies are the proportion of the assets that the reserves that should have been established for the covered policies bear to the reserves that should have been established for all insurance policies written by the impaired or insolvent title insurance company.

(b)

To perform its obligations under this chapter, the association is considered a creditor of the impaired or insolvent title insurance company to the extent of assets attributable to covered policies, less any amount that the association recovers as a subrogee under this chapter.

(c)

Assets of the impaired or insolvent title insurance company attributable to covered policies shall be used to continue all covered policies and pay all contractual obligations of the impaired or insolvent company as required by this chapter.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.

Source: Section 2602.403 — Assets Attributable to Covered Policies, https://statutes.­capitol.­texas.­gov/Docs/IN/htm/IN.­2602.­htm#2602.­403 (accessed Jun. 5, 2024).

2602.001
Short Title 2602.002
Purposes and Findings 2602.003
Definitions 2602.004
Description of Control 2602.005
Applicability 2602.006
Construction 2602.007
Prohibited Use of Protection Provided by Chapter 2602.008
Immunity 2602.009
Association and Title Insurance Companies as Interested Parties 2602.010
Rules 2602.011
Information Provided by and to Commissioner 2602.012
Appeals 2602.013
Venue 2602.051
Association as Legal Entity 2602.052
Board of Directors 2602.053
Eligibility to Serve as Public Representative 2602.054
Term 2602.055
Compensation of Board Members 2602.057
Rights of Title Insurance Company with Representative on Board 2602.101
General Powers and Duties 2602.102
Plan of Operation 2602.103
Employees and Experts 2602.104
Association Records 2602.105
Meeting by Conference Call 2602.106
Accounts 2602.107
Administrative Expenses 2602.108
Deposit of Fees and Assessments 2602.109
Use of Excess Money in Accounts 2602.110
Expenses of Administering Impaired Insurer or Impaired Agent 2602.111
Delegation of Powers and Duties 2602.112
Exemption from Taxation 2602.113
Detection and Prevention of Impairment 2602.114
Meeting of Board on Impaired Title Insurance Company or Agent 2602.115
Association and Board Advice and Assistance 2602.116
Board Access to Records 2602.117
Board Report at Conclusion of Impairment 2602.151
Payment of Fee 2602.152
Amount of Fee 2602.153
Use of Fee 2602.154
Enforcement of Fee 2602.201
Making of Assessment 2602.202
Amount of Assessment 2602.203
Notice and Payment 2602.204
Exemption for Impaired Title Insurance Company 2602.205
Deferment 2602.206
Participation Receipts 2602.207
Accounting 2602.208
Use of Assessments 2602.209
Failure to Pay 2602.210
Recovery of Assessment in Rates 2602.251
Covered Claims in General 2602.252
Claim Against Trust Funds or Escrow Account 2602.253
Claim in Connection with Fidelity of Agent 2602.254
Certain Conservator and Receiver Expenses Covered 2602.255
Claims Not Covered 2602.256
Amount of Covered Claim 2602.257
Exhaustion of Other Rights Required 2602.258
Certain Money Authorized for Use in Paying Covered Claim 2602.259
Stay of Proceedings 2602.260
Admissibility of Payment 2602.261
Appeal of Claim Determination 2602.301
General Powers and Duties of Association in Connection with Payment of Covered Claims 2602.302
Payment of Covered Claims 2602.303
Servicing Facility 2602.304
Advance as Loan 2602.305
Association in Place of Impaired Title Insurance Company or Agent 2602.306
Assignment of Claimant’s Rights 2602.307
Settlement by Association Binding 2602.308
Report to Receiver 2602.351
Determination of Conservator Concerning Reinsurance, Assumption, or Substitution 2602.352
Notice of Determination Concerning Actual Payment 2602.353
Filing of Covered Claim 2602.354
Claim by Person with Cause of Action Against Insured 2602.355
Report to Association 2602.401
Issuance or Renewal of Policies 2602.402
Distributions to Shareholders and Affiliates 2602.403
Assets Attributable to Covered Policies 2602.451
Applicability 2602.452
Actions for Certain Agents 2602.453
Authority of Association
Green check means up to date. Up to date

Accessed:
Jun. 5, 2024

§ 2602.403’s source at texas​.gov