2005 Texas Insurance Code CHAPTER 257. LIFE, HEALTH, AND ACCIDENT INSURANCE

INSURANCE CODE

CHAPTER 257. LIFE, HEALTH, AND ACCIDENT INSURANCE


	§ 257.001. MAINTENANCE TAX IMPOSED.  A maintenance tax is 
imposed on each authorized insurer, including a group hospital 
service corporation, local mutual aid association, statewide 
mutual assessment company, stipulated premium company, and stock or 
mutual insurance company, that collects from residents of this 
state gross premiums or gross considerations subject to taxation 
under Section 257.003.  The tax required by this chapter is in 
addition to other taxes imposed that are not in conflict with this 
chapter.

Added by Acts 2003, 78th Leg., ch. 1274, § 1, eff. April 1, 2005.          


	§ 257.002. MAXIMUM RATE;  ANNUAL ADJUSTMENT.  (a) The 
rate of assessment set by the commissioner may not exceed 0.04 
percent of the gross premiums and gross considerations subject to 
taxation under Section 257.003.
	(b)  The commissioner shall annually adjust the rate of 
assessment of the maintenance tax so that the tax imposed that year, 
together with any unexpended funds produced by the tax, produces 
the amount the commissioner determines is necessary to pay the 
expenses during the succeeding year of regulating life, health, and 
accident insurers.

Added by Acts 2003, 78th Leg., ch. 1274, § 1, eff. April 1, 2005.          


	§ 257.003. PREMIUMS AND CONSIDERATIONS SUBJECT TO 
TAXATION;  LIMIT.  (a) An insurer shall pay maintenance taxes under 
this chapter on the correctly reported:
		(1)  gross premiums collected from writing life, 
health, and accident insurance in this state, except as provided in 
Subsection (b);  and
		(2)  gross considerations collected from writing 
annuity or endowment contracts in this state.
	(b)  The gross premiums on which an assessment is based under 
this chapter may not include:
		(1)  premiums received from the United States for 
insurance contracted for by the United States in accordance with or 
in furtherance of Title XVIII of the Social Security Act (42 U.S.C. 
Section 1395c et seq.) and its subsequent amendments;  or
		(2)  premiums paid on group health, accident, and life 
policies in which the group covered by the policy consists of a 
single nonprofit trust established to provide coverage primarily 
for employees of:
			(A)  a municipality, county, or hospital district 
in this state;  or       
			(B)  a county or municipal hospital, without 
regard to whether the employees are employees of the county or 
municipality or of an entity operating the hospital on behalf of the 
county or municipality.

Added by Acts 2003, 78th Leg., ch. 1274, § 1, eff. April 1, 2005.  
Amended by Acts 2005, 79th Leg., ch. 728, § 11.006(a), eff. Sept. 
1, 2005.


	§ 257.004. MAINTENANCE TAX DUE DATES.  (a) The insurer 
shall pay the maintenance tax annually, semiannually, or on another 
periodic basis, as determined by the comptroller.
	(b)  The comptroller may require semiannual or other 
periodic payment only from an insurer whose maintenance tax 
liability under this chapter for the previous year was at least 
$2,000.

Added by Acts 2003, 78th Leg., ch. 1274, § 1, eff. April 1, 2005.