<<Prev Rule

Texas Administrative Code

Next Rule>>
TITLE 28INSURANCE
PART 1TEXAS DEPARTMENT OF INSURANCE
CHAPTER 3LIFE, ACCIDENT, AND HEALTH INSURANCE AND ANNUITIES
SUBCHAPTER FFCREDIT LIFE AND CREDIT ACCIDENT AND HEALTH INSURANCE
DIVISION 10RESPONSIBILITIES AND OBLIGATIONS OF INSURANCE COMPANIES AND THEIR AGENTS AND REPRESENTATIVES
RULE §3.6009Insurer's Annual Audit of Credit Insurance Operations

On at least an annual basis and to assure compliance with the insurance laws of this state and the regulations promulgated thereunder, the insurer shall audit its credit insurance business with each of its creditors, general agents, and other persons or entities providing administrative services as authorized by law. Copies of the results of all such annual audits shall be maintained at the home office and shall be available upon request of the commissioner of insurance. Such review shall include, but not be limited to, a determination that:

  (1) the proper charges to debtors are being made by the creditor;

  (2) the proper refunds are being made by the creditor;

  (3) all claims are being filed and properly handled;

  (4) amounts of insurance payable on death in excess of the amounts necessary to extinguish the indebtedness are properly calculated and reported to the insurer in proofs of loss;

  (5) the creditor is promptly and fairly processing complaints concerning its credit insurance operations and is maintaining proper procedures for and records of the complaints processed; and

  (6) authorized certificate and policy forms are being used and delivered to insured debtors.


Source Note: The provisions of this §3.6009 adopted to be effective October 1, 1980, 5 TexReg 2772.

Link to Texas Secretary of State Home Page | link to Texas Register home page | link to Texas Administrative Code home page | link to Open Meetings home page