AI-assisted research summary: This section defines terms used in this chapter about exchange conversions and related holding companies.
Sec. 829.001. DEFINITIONS. In this chapter: (1) "Attorney in fact" has the meaning assigned by Section 942.001. (2) "Board of directors" means, as to an exchange, the board of directors, board of trustees, subscriber advisory committee, or other governing body appointed or elected by the subscribers of an exchange. (3) "Conversion plan" means a plan adopted under this chapter to convert an exchange to a stock insurance company and form a mutual holding company to hold, directly or indirectly, shares of the resulting company. (4) "Converting exchange" means an exchange that is converting to a stock insurance company under this chapter. (5) "Eligible member" means a member of a converting exchange whose policy is in force on the date that the converting exchange's board of directors adopts a conversion plan. (6) "Effective date" means the effective date of a conversion plan in accordance with Section 829.108. (7) "Exchange" has the meaning assigned by Section 942.001. (8) "Intermediate holding company" means a holding company organized under the laws of this or another state that: (A) is a subsidiary of a mutual holding company formed to reorganize an exchange; and (B) directly or through a subsidiary intermediate holding company, owns at least a majority of the voting shares of the capital stock of the resulting company. (9) "Member" means, as to an exchange, a subscriber of an exchange. (10) "Mutual holding company" means a holding company based on a mutual plan and formed in connection with the conversion of an exchange to a stock insurance company under this chapter. (11) "Participating policy" means a policy issued by an exchange that grants the policyholder the right to receive policy dividends if declared by the exchange. (12) "Resulting company" means a stock insurance company resulting from the conversion of an exchange under this chapter. (13) "Subscriber" has the meaning assigned by Section 942.001. Added by Acts 2007, 80th Leg., R.S., Ch. 412 (S.B. 1056), Sec. 1, eff. June 15, 2007.