Which entity regulates surplus lines insurance transactions in Texas?

Which entity regulates surplus lines insurance transactions in Texas?

• A. Texas Department of Insurance
• B. Federal Insurance Administration
• C. Texas Department of Licensing and Regulation
• D. Texas Real Estate Commission

Answer: (A)

Surplus lines transactions are regulated by the state's insurance regulator. In Texas, that authority rests with the Texas Department of Insurance. This department licenses and oversees surplus lines brokers and insurers, enforces Texas insurance laws, and ensures proper handling of risks placed with non-admitted carriers. The federal government does not regulate state surplus lines transactions, and other agencies listed handle different areas (licensing for various professions or regulating real estate), not insurance. So the Texas Department of Insurance is the correct regulator.

Surplus lines transactions are regulated by the state's insurance regulator. In Texas, that authority rests with the Texas Department of Insurance. This department licenses and oversees surplus lines brokers and insurers, enforces Texas insurance laws, and ensures proper handling of risks placed with non-admitted carriers. The federal government does not regulate state surplus lines transactions, and other agencies listed handle different areas (licensing for various professions or regulating real estate), not insurance. So the Texas Department of Insurance is the correct regulator.