Failure to Pay Assessment

(a) If the Association has not received payment in full of a member's allocated amount of assessment within 40 days of notice of the receipt by the member of the notice of assessment, then the Association shall report to the commissioner the fact that such assessment has not been paid, and the commissioner shall immediately issue an order suspending such member's certificate of authority to transact the business of insurance in the State of Texas until such time as the Association certifies to the commissioner that such assessment has been paid in full.

(b) Removal of a member's certificate of authority to transact business in the State of Texas by the commissioner shall in no way affect the right of the Association to proceed against such member in any court of law or equity in the United States for any remedy provided by law or contract to the Association, including, but not limited to, the right to collect such member's assessment.

(c) In addition to any other remedy provided herein, the Association may offset assessments due from a member against any amounts in any account of such delinquent member.

Source Note: The provisions of this §5.4165 adopted to be effective February 16, 2011, 36 TexReg 784.