{"data":{"id":"us-tx/tex.-insurance-code-424.215","jurisdiction":"us-tx","citation":"Tex. Insurance Code § 424.215","heading":"LIMITATION ON SALE OF CALL OPTION ON DERIVATIVE INSTRUMENT.","body":"If an income generation transaction is a sale of a call option on a derivative instrument, including a swaption, the insurer must:\n(1) during the entire period the call option is outstanding, hold, or have a currently exercisable right to acquire, assets generating the cash flow necessary to make any payment for which the insurer is liable under the underlying derivative instrument; and\n(2) have the ability to enter into the underlying derivative transaction for the insurer's portfolio.\nAdded by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.","path":["INSURANCE CODE","TITLE 4. REGULATION OF SOLVENCY","SUBTITLE B. RESERVES AND INVESTMENTS","CHAPTER 424. INVESTMENTS FOR CERTAIN INSURERS","SUBCHAPTER E. RISK CONTROL TRANSACTIONS"],"source_url":"https://statutes.capitol.texas.gov/Docs/IN/htm/IN.424.htm#424.215","current_through":"89th 2nd Called Legislative Session, 2025","vintage":"","retrieved_at":"2026-08-27T01:47:21Z","sha256":"8a43d3c90544c9c207640a6805eb7f473c1b275f1a5d34fd3c37ca13cc9808aa","source_id":"us-tx","stale":false,"prev":"us-tx/tex.-insurance-code-424.214","next":"us-tx/tex.-insurance-code-424.216"},"notice":"GroundRules: Original legal text. Not legal advice."}