New Capital And Surplus Minimums For Texas Insurers

Law360, New York (September 22, 2009, 1:11 PM EDT) -- All states have minimum capital and surplus requirements for insurance companies operating in their state. The required amounts are set out in the particular state’s insurance code and are often stated in flat amounts.

These requirements are referred to as the minimum statutory capital and surplus, and there is usually a required amount for a company’s capital and a separate required amount for its surplus.

The minimum statutory capital requirement generally only applies to stock insurance companies and not to mutuals, reciprocals, Lloyds plan companies or...
To view the full article, register now.