Tex. Ins. Code Section 424.055
Waiver by Commissioner of Quantitative Limitations

(a)

Notwithstanding Sections 424.051 (General Investment Authority Specified by Law), 424.056-424.071, and 424.074 (Other Specifically Authorized Investments), the commissioner may waive a quantitative limitation on any investment authorized by those laws if:

(1)

the insurer seeks the waiver before making the investment;

(2)

a hearing is held to determine whether the waiver should be granted;

(3)

the applicant seeking the waiver establishes that unreasonable or unnecessary loss or harm will result to the insurer if the commissioner denies the waiver;

(4)

the excess investment will not have a material adverse effect on the insurer; and

(5)

the size of the investment is reasonable in relation to the insurer’s assets, capital, surplus, and liabilities.

(b)

The commissioner’s waiver must be in writing and may treat the resulting excess investment as a nonadmitted asset.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.

Source: Section 424.055 — Waiver by Commissioner of Quantitative Limitations, https://statutes.­capitol.­texas.­gov/Docs/IN/htm/IN.­424.­htm#424.­055 (accessed Jun. 5, 2024).

424.001
Definitions 424.002
Inapplicability of Certain Law 424.051
General Investment Authority Specified by Law 424.052
Additional General Investment Authority 424.053
Limitation as to Single Issuer or Borrower 424.054
Applicability of Percentage Authorizations and Limitations 424.055
Waiver by Commissioner of Quantitative Limitations 424.056
Written Investment Plan 424.057
Investment Records 424.058
Authorized Investments: Form of Minimum Capital and Surplus 424.059
Authorized Investments: Government Obligations 424.060
Authorized Investments: Stock of National or State Bank 424.061
Authorized Investments: Deposits in Certain Financial Institutions 424.062
Authorized Investments: Certain Obligations of Partnership or Corporation 424.063
Authorized Investments: Mutual Funds 424.064
Authorized Investments: Real Property 424.065
Acting as Real Estate Broker or Salesperson Prohibited 424.066
Authorized Investments: Obligations Secured by Real Property Loans 424.067
Authorized Investments: Transportation Equipment 424.068
Authorized Investments: Investment in Foreign Jurisdiction 424.069
Authorized Investments: Certain Loans 424.070
Authorized Investments: Obligations of Local Governmental Entities 424.071
Authorized Investments: the University of Texas 424.072
Authorized Investments: Bonds Issued, Assumed, or Guaranteed in International Market 424.073
Authorized Investments: Insurer Engaged in Business in Foreign Country 424.074
Other Specifically Authorized Investments 424.075
Authorized Investments: Bond Exchange-traded Funds 424.101
Definitions 424.102
Authority to Invest in Pool 424.103
Investment Pool Requirements and Qualifications 424.104
Authorized Investments for Short-term Investment Pool 424.105
Short-term Investment Pool: Certain Short-term Obligations 424.106
Short-term Investment Pool: Certain Money Market Funds 424.107
Authorized Investments for Authorized Investment Pool 424.108
General Insurer Investment Limitations 424.109
Designation of Pool Manager 424.110
Pool Manager to Maintain Assets 424.111
Pooling Agreement Provisions 424.112
Withdrawals and Distributions 424.113
Investment Pool Records 424.114
Inspection of Records 424.115
Reports of Transactions Between Pool and Participant 424.151
Definitions 424.152
Transactions Authorized 424.153
Period of Transaction 424.154
Cash Requirements 424.155
Collateral Requirements 424.156
Percentage Limitations 424.157
Rules 424.201
Definitions 424.202
Risk Control Transactions Authorized 424.203
Notice of Intent to Engage in Risk Control Transactions Required 424.204
Trading Requirements for Derivative Instruments 424.205
Derivative Use Plan 424.206
Internal Control Procedures 424.207
Ability to Demonstrate Hedging Characteristics and Effectiveness 424.208
Offsetting Transactions 424.209
Inclusion of Counterparty Exposure Amounts 424.210
Oversight by Commissioner 424.211
Authority to Enter into Hedging Transaction 424.212
Authority to Enter into Income Generation Transaction 424.213
Limitation on Sale of Call Option on Assets 424.214
Limitation on Sale of Put Option on Assets 424.215
Limitation on Sale of Call Option on Derivative Instrument 424.216
Limitation on Sale of Cap or Floor 424.217
Authority to Enter Replication Transaction 424.218
Rules
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Accessed:
Jun. 5, 2024

§ 424.055’s source at texas​.gov