| (a) Every group doing business in Texas as a risk retention group shall be operated only by its members collectively. (b) In this section, a group is operated only by its members collectively if the members collectively retain the power to direct the affairs of the group and to enter at arm's length into transactions with suppliers of goods and services. (c) Any group or organization that fails to conform to this section shall not have the status of a risk retention group under the Insurance Code, Article 21.54.
|
