Texas § IN.1702.152 - PROHIBITED REBATES AND INDUCEMENTS
Full text of Texas The Texas Constitution § IN.1702.152 — PROHIBITED REBATES AND INDUCEMENTS, with citation guidance and answers to common questions.
§ IN.1702.152. PROHIBITED REBATES AND INDUCEMENTS
PROHIBITED REBATES AND INDUCEMENTS. (a) Except as provided by this subchapter or another provision in this code, with respect to accident and health insurance or health care plan coverage written in this state, an insurer, health maintenance organization, or agent may not: (1) knowingly permit the making of or offering of, offer to make, or make an accident and health insurance policy or health care plan contract or an agreement regarding the policy or contract other than as plainly expressed in the issued policy or contract; (2) directly or indirectly pay, give, or allow or offer to pay, give, or allow as an inducement to enter into an accident and health insurance policy or health care plan contract: (A) a rebate of premiums payable on the policy or contract; or (B) a special favor or advantage in the dividends or other benefits of the policy or contract or a valuable consideration or inducement not specified in the policy or contract; or (3) give, sell, or purchase or offer to give, sell, or purchase in connection with an accident and health insurance policy or health care plan contract or as an inducement to enter into the policy or contract: (A) stocks, bonds, or other securities of an insurer or other corporation, association, or partnership; (B) dividends or profits accrued from the stocks, bonds, or securities; or (C) anything of value not specified in the policy or contract. (b) An insurer or health maintenance organization may not permit an agent, officer, or employee to issue or deliver as an inducement to entering into an insurance policy or health care plan contract: (1) company stock or other capital stock; (2) a benefit certificate or share in a corporation; (3) securities; or (4) a special or advisory board contract or any other contract promising returns or profits. (c) This section does not prohibit an insurer or health maintenance organization from issuing or delivering a participating insurance policy or health care plan contract otherwise authorized by law. Added by Acts 2025, 89th Leg., R.S., Ch. 581 (H.B. 2221 ), Sec. 2, eff. September 1, 2025.
Frequently Asked Questions About Texas § IN.1702.152
What does The Texas Constitution § IN.1702.152 cover?
Section IN.1702.152 ("PROHIBITED REBATES AND INDUCEMENTS") is part of the The Texas Constitution, the codified statutory law of Texas. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Texas § IN.1702.152?
A common citation format is "The Texas Constitution § IN.1702.152" (Texas). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Texas law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Texas official source linked on this page or consult a licensed Texas attorney.
How does Texas § IN.1702.152 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Texas can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Texas.