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TITLE 28INSURANCE
PART 1TEXAS DEPARTMENT OF INSURANCE
CHAPTER 13MISCELLANEOUS INSURERS AND OTHER REGULATED ENTITIES
SUBCHAPTER DRISK RETENTION GROUPS AND PURCHASING GROUPS
RULE §13.311Deceptive Acts or Practices

The following are deceptive acts or practices under the Insurance Code, Article 21.21:

  (1) representing a group to be a purchasing group located in another state, when the group is actually located in Texas, according to the Insurance Code, Article 21.54, §2(14);

  (2) soliciting members in Texas for a purchasing group, or for a group representing itself to be a purchasing group, when:

    (A) the group's insurer is insolvent;

    (B) the group's insurer is prohibited from engaging in the business of insurance by a court order or administrative order issued in any state; or

    (C) the group is prohibited from operating by a court order or administrative order issued in the state in which the group is domiciled;

  (3) soliciting members in Texas for a risk retention group, or for a group representing itself to be a risk retention group, when:

    (A) the group is insolvent; or

    (B) the group is prohibited from doing business by a court order or administrative order issued in the state where the group is chartered.


Source Note: The provisions of this §13.311 adopted to be effective March 8, 1991, 16 TexReg 1290.

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