Section 884.206 - Commissioner May Require Larger Capital and Surplus Amounts(a) The commissioner by rule may require a stipulated premium company that writes or assumes life insurance, annuity contracts, or accident and health insurance for a risk to one person in an amount that exceeds $10,000 to maintain capital and surplus in amounts that exceed the minimum amounts required by this chapter because of:(1) the nature and kind of risks the company underwrites or reinsures;(2) the premium volume of risks the company underwrites or reinsures;(3) the composition, quality, duration, or liquidity of the company's investment portfolio;(4) fluctuations in the market value of securities the company holds; or(5) the adequacy of the company's reserves.(b) A rule adopted under Subsection (a) must be designed to ensure the financial solvency of a stipulated premium company for the protection of policyholders and may not require that the total admitted assets of a company exceed 106 percent of its total liabilities.Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. 6/1/2003.