| (a) An insurer may credit a contingent surcharge amount
on its next remission to the association if the insurer has already
remitted the amount to the association for:
(1) the portion of the surcharge the insurer was not
able to collect from the policyholder, if the policy was canceled
or expired;
(2) the portion of the surcharge remitted to the association,
or deposited directly in the premium surcharge trust fund, that was
later refunded to the policyholder as a result of a rescission, midterm
cancellation, or midterm policy change, as described in §5.4184
of this division (relating to Application of Premium Surcharges);
or
(3) the portion of a surcharge remitted to the association,
or deposited directly in the premium surcharge trust fund or funds,
in excess of a deposit premium as described in §5.4184 of this
division.
(b) An agent may not offset payment of a contingent
surcharge or an association surcharge to the insurer for any reason;
however, a surplus lines agent allowed by an affiliated surplus lines
insurer to remit contingent surcharges to the association on its behalf
under §5.4186(a) of this division (relating to Remittance of
Contingent Surcharges), may offset as provided in this section.
|
| Source Note: The provisions of this §5.4187 adopted to be effective February 16, 2011, 36 TexReg 784; amended to be effective June 12, 2014, 39 TexReg 4463; amended to be effective March 9, 2016, 41 TexReg 1697 |
