Tex. Ins. Code Section 4053.109


A managing general agent may not knowingly cede, arrange, facilitate, or bind an insurer to reinsurance.


Notwithstanding Subsection (a), a managing general agent may bind a facultative reinsurance contract in accordance with an obligatory facultative agreement if the contract with the insurer contains reinsurance underwriting guidelines including, for both assumed and ceded reinsurance:


a list of reinsurers with whom the automatic agreements are in effect;


the coverages and amounts or percentages that may be reinsured; and


commission schedules.


A managing general agent may not commit an insurer to participate in insurance or reinsurance syndicates.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1, 2005.

Source: Section 4053.109 — Reinsurance, https://statutes.­capitol.­texas.­gov/Docs/IN/htm/IN.­4053.­htm#4053.­109 (accessed Dec. 2, 2023).

Dec. 2, 2023

§ 4053.109’s source at texas​.gov