Texas § IN.2210.152 - CONTENTS OF PLAN OF OPERATION

§ IN.2210.152. CONTENTS OF PLAN OF OPERATION

CONTENTS OF PLAN OF OPERATION. (a) The plan of operation must: (1) provide for the efficient, economical, fair, and nondiscriminatory administration of the association; and (2) include: (A) a plan for the equitable assessment of the members of the association to defray losses and expenses; (B) underwriting standards; (C) procedures for accepting and ceding reinsurance; (D) procedures for obtaining and repaying amounts under any financial instruments authorized under this chapter; (E) procedures for determining the amount of insurance to be provided to specific risks; (F) time limits and procedures for processing applications for insurance; (G) a requirement that a nonresident agent licensed under Section 4056.052 may not offer or sell a Texas windstorm and hail insurance policy under this chapter unless the nonresident agent's state of residence authorizes a resident agent licensed in this state to act in the nonresident agent's state as an agent for that state's residual insurer of last resort for windstorm and hail insurance; and (H) other provisions as considered necessary by the department to implement the purposes of this chapter. (b) The plan of operation may provide for liability limits for an insured structure and for the corporeal movable property located in the structure. (c) The plan of operation shall require the association to use the claim settlement guidelines published by the commissioner under Section 2210.578 (f) in evaluating the extent to which a loss to insured property is incurred as a result of wind, waves, tidal surges, or rising waters not caused by waves or surges. Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017 ), Sec. 2, eff. April 1, 2007. Amended by: Acts 2009, 81st Leg., R.S., Ch. 1408 (H.B. 4409 ), Sec. 25, eff. June 19, 2009. Acts 2011, 82nd Leg., 1st C.S., Ch. 2 (H.B. 3 ), Sec. 19, eff. September 28, 2011. Acts 2017, 85th Leg., R.S., Ch. 878 (H.B. 3018 ), Sec. 1, eff. January 1, 2018.