Prohibited Activities

Sec. 2201.207. PROHIBITED ACTIVITIES. A risk retention group may not: (1) solicit or sell insurance to any person who is not eligible for membership in the group; (2) solicit or sell insurance or operate if the group is in a hazardous financial condition or is financially impaired; or (3) engage in business in this state if an insurer is directly or indirectly a member or owner of the group, unless all of the group members are insurers. Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.