Texas § IN.463.263 - DEPOSIT TO BE PAID TO ASSOCIATION

§ IN.463.263. DEPOSIT TO BE PAID TO ASSOCIATION

DEPOSIT TO BE PAID TO ASSOCIATION. (a) A deposit in this state, held under law or required by the commissioner for the benefit of creditors, including policy owners, that is not turned over to the domiciliary receiver on the entry of a final order of liquidation or order approving a rehabilitation plan of an insurer domiciled in this state or a reciprocal state in accordance with Section 443.402 shall be promptly paid to the association. (b) The association is entitled to retain a portion of any amount paid to the association under this section equal to the percentage determined by dividing the aggregate amount of policy owners' claims related to that insolvency for which the association has provided statutory benefits by the aggregate amount of all policy owners' claims in this state related to that insolvency and shall remit to the domiciliary receiver the amount paid to the association less the amount retained under this section. (c) The amount paid to the association under this section, less the amount retained by the association under this section, is treated as a distribution of estate assets under Section 443.303 or the similar law of the state of domicile of the impaired or insolvent insurer. Added by Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636 ), Sec. 3B.015(e), eff. September 1, 2007. Added by Acts 2007, 80th Leg., R.S., Ch. 921 (H.B. 3167 ), Sec. 9.015(e), eff. September 1, 2007. Amended by: Acts 2011, 82nd Leg., R.S., Ch. 14 (S.B. 567 ), Sec. 9, eff. September 1, 2011.