SECTION 7.1413. Service of Process on Surplus Lines Insurers

(a) A surplus lines insurer may be sued on any cause of action arising in this state under any surplus lines insurance contract issued by it or under any certificate, cover note, or other confirmation of that insurance issued by the surplus lines agent, under the same procedure provided for unauthorized insurers in §§7.1404, 7.1410, and 7.1411 of this title (relating to Service of Process Procedure for Domestic Insurers Approved To Operate under the Insurance Code, Article 1.28, Foreign and Alien Insurance Companies, Risk Retention Groups, Purchasing Groups, Third Party Administrators, Unauthorized Persons or Insurers, Organizations Formed under the Insurance Code, Article 3.71, and Surplus Lines Insurers; Service of Process on Commissioner on Behalf of Unauthorized Persons or Insurers; and Service of Process, Notice, Order, or Pleading on Secretary of State on Behalf of Unauthorized Persons and Insurers).

(b) Any policy issued by the surplus lines insurer or any certificate of insurance issued by the surplus lines agent must contain a provision stating the substance of this section and designating the person to whom the commissioner is to mail process. This address must be supplied by the plaintiff in the citation that is served.

(c) Each surplus lines insurer assuming a surplus lines risk under this subchapter is considered to have made itself subject to the terms of this section.

(d) This section is cumulative of any other methods that may be provided by law for service of process on a surplus lines insurer, including §7.1404 of this title (relating to Service of Process Procedure for Domestic Insurers Approved To Operate under the Insurance Code, Article 1.28, Foreign and Alien Insurance Companies, Risk Retention Groups, Purchasing Groups, Third Party Administrators, Unauthorized Persons or Insurers, Organizations Formed under the Insurance Code, Article 3.71, and Surplus Lines Insurers).

Source Note: The provisions of this §7.1413 adopted to be effective August 11, 1989, 14 TexReg 3690.