{"data":{"id":"us-tx/tex.-insurance-code-2151.154","jurisdiction":"us-tx","citation":"Tex. Insurance Code § 2151.154","heading":"ASSIGNMENT DISTRIBUTION PLAN.","body":"(a) The plan of operation must include a voluntary, competitive limited assignment distribution plan that allows an authorized insurer to contract directly with a servicing carrier to accept assignments to the servicing carrier by the association.\n(b) A servicing carrier must be authorized to write automobile insurance in this state and must:\n(1) have written automobile liability insurance in this state for at least five years; or\n(2) be currently engaged as a servicing carrier for assigned risk automobile business in at least one other state.\n(c) After notice and hearing, the commissioner may prohibit an insurer from acting as a servicing carrier.\n(d) An authorized insurer and a servicing carrier shall determine through negotiation the terms of a contract described by this section, including the buy-out fee.\n(e) The governing committee may:\n(1) adopt reasonable rules for the conduct of business under a contract described by this section; and\n(2) establish reasonable standards of eligibility for servicing carriers.\nAdded by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.\nAmended by:\nActs 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 3B.058, eff. September 1, 2007.\nActs 2007, 80th Leg., R.S., Ch. 921 (H.B. 3167), Sec. 9.058, eff. September 1, 2007.","path":["INSURANCE CODE","TITLE 10. PROPERTY AND CASUALTY INSURANCE","SUBTITLE G. POOLS, GROUPS, PLANS, AND SELF-INSURANCE","CHAPTER 2151. TEXAS AUTOMOBILE INSURANCE PLAN ASSOCIATION","SUBCHAPTER D. PLAN OF OPERATION"],"source_url":"https://statutes.capitol.texas.gov/Docs/IN/htm/IN.2151.htm#2151.154","current_through":"89th 2nd Called Legislative Session, 2025","vintage":"","retrieved_at":"2026-08-27T01:47:21Z","sha256":"9e9425ba2920227f058885e58d03f169a74cffff2f2e5ac13abc40be4e3b5da4","source_id":"us-tx","stale":false,"prev":"us-tx/tex.-insurance-code-2151.153","next":"us-tx/tex.-insurance-code-2151.201"},"notice":"GroundRules: Original legal text. Not legal advice."}