Tex. Insurance Code § 424.216
This is the official text of Tex. Insurance Code § 424.216, part of Texas’s Insurance Code — regulates insurance companies and the policies they sell.
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§ 424.216. LIMITATION ON SALE OF CAP OR FLOOR.
Official statutory text
If an income generation transaction is a sale of a cap or a floor, the insurer must, during the entire period the cap or floor 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 cap or floor.
Status: in_force · Read it on the official government site
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