Tex.
Ins. Code Section 883.051
Formation of Company
(a)
Twenty or more persons, a majority of whom are residents of this state, may incorporate in accordance with this chapter to engage in the business of mutual insurance as provided by this chapter.(b)
To form a mutual insurance company, each incorporator must sign and acknowledge the articles of incorporation of the company.(c)
The incorporators of a proposed mutual insurance company are subject to Sections 822.001 (Applicability of Chapter), 822.051 (Formation of Company), 822.057 (Application for Charter)(a)(1)-(3), (b), and (c), 822.058 (Action by Commissioner After Filing of Application for Charter)(a), 822.059, 822.060 (Action on Application), and 822.201 (Applicability of Capital and Surplus Requirements), except that:(1)
the minimum number of persons required to adopt and sign the proposed company’s articles of incorporation under Section 822.051 (Formation of Company) is equal to the number of the proposed company’s incorporators as provided by Subsection (a); and(2)
the unencumbered surplus of the mutual insurance company is capital structure for purposes of Section 822.201 (Applicability of Capital and Surplus Requirements).
Source:
Section 883.051 — Formation of Company, https://statutes.capitol.texas.gov/Docs/IN/htm/IN.883.htm#883.051 (accessed Apr. 29, 2024).
