Tex.
Ins. Code Section 424.111
Pooling Agreement Provisions
(1)
100 percent of the ownership interests in the pool must at all times be held by:(A)
an insurer and the insurer’s affiliated insurers;(B)
for a pool investing solely in investments authorized under Section 424.104 (Authorized Investments for Short-term Investment Pool), the insurer and the insurer’s subsidiaries and affiliates or any pension or profit-sharing plan of the insurer and the insurer’s subsidiaries and affiliates; or(C)
for a United States branch of an alien insurer, subsidiaries or affiliates of the insurer’s United States manager;(2)
the pool’s underlying assets are held solely for the benefit of each participant and may not be commingled with the general assets of the pool manager or any other person;(3)
each participant owns an undivided interest in the pool’s underlying assets in proportion to the aggregate amount of the participant’s interest in the pool; and(4)
a pool participant or, if a pool participant is insolvent, bankrupt, or in receivership, the participant’s trustee, receiver, conservator, or other successor-in-interest may withdraw all or any portion of the participant’s investment from the pool under the terms of the pooling agreement.
Source:
Section 424.111 — Pooling Agreement Provisions, https://statutes.capitol.texas.gov/Docs/IN/htm/IN.424.htm#424.111 (accessed Jun. 5, 2024).
