Division of Funds: Certain Life Insurance Certificates With No Rate Increase

Sec. 887.355. DIVISION OF FUNDS: CERTAIN LIFE INSURANCE CERTIFICATES WITH NO RATE INCREASE. (a) This section applies to a life insurance certificate in force on December 31, 1965, on which the assessment rate has not been increased. (b) An association may: (1) deposit in a mortuary fund at least the net renewal premium, based on the reserve table adopted by the association; and (2) deposit in an expense fund the remaining portion of the premium. (c) This section does not apply to an association operating on an assessment-as-needed basis. Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.