Texas § IN.2052.004 - POLICYHOLDER DIVIDENDS
Full text of Texas The Texas Constitution § IN.2052.004 — POLICYHOLDER DIVIDENDS, with citation guidance and answers to common questions.
§ IN.2052.004. POLICYHOLDER DIVIDENDS
POLICYHOLDER DIVIDENDS. (a) Subject to Subsections (b) and (c), this subtitle may not be construed to prohibit an insurance company, including the Texas Mutual Insurance Company, from issuing participating policies. (b) A policyholder dividend under a workers' compensation insurance policy: (1) must be approved by the department if the insurer's policyholder dividend amount exceeds 10 percent of surplus; and (2) may not be approved by the department until the insurance company has adequate reserves. (c) For purposes of Subsection (b), reserves must be computed on the same basis for all classes of insurance companies operating under this subtitle and Section 2051.002 . (d) An insurer must notify the department in writing of a distribution if the insurer's policyholder dividend amount is not greater than 10 percent of surplus. Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017 ), Sec. 2, eff. April 1, 2007. Amended by: Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636 ), Sec. 2H.005, eff. April 1, 2009. Acts 2013, 83rd Leg., R.S., Ch. 463 (S.B. 1006 ), Sec. 7, eff. June 14, 2013.
Frequently Asked Questions About Texas § IN.2052.004
What does The Texas Constitution § IN.2052.004 cover?
Section IN.2052.004 ("POLICYHOLDER DIVIDENDS") 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.2052.004?
A common citation format is "The Texas Constitution § IN.2052.004" (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.2052.004 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.