Sec. 342.410.  PAYMENT FOR INSURANCE FROM LOAN PROCEEDS.  A lender, including an officer, agent, or employee of the lender, who accepts insurance under this subchapter as protection for a loan:
(1)  may deduct the premium or identifiable charge for the insurance from the proceeds of the loan;  and
(2)  shall pay the deducted amounts to the insurance company writing the insurance.
Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.