Sec. 609.712.  EVALUATION AND APPROVAL OF QUALIFIED VENDOR.  (a)  A plan administrator shall develop and implement criteria and procedures for evaluating a vendor's application to become a qualified vendor.
(b)  A plan administrator may not approve a vendor's application if the vendor is:
(1)  a state or national bank or savings and loan association, the deposits of which are not insured by the Federal Deposit Insurance Corporation;
(2)  a credit union, the deposits of which are not insured by the National Credit Union Administration Board; or
(3)  an insurance company that:
(A)  is not a member of the Texas Life and Health Insurance Guaranty Association; or
(B)  is an impaired or insolvent insurer under Chapter 463, Insurance Code.
(c)  On written request, the Texas Department of Insurance shall certify in writing to a plan administrator whether an insurance company is prohibited from being approved as a qualified vendor under Subsection (b)(3).  The plan administrator may rely on the certification.
Added by Acts 2003, 78th Leg., ch. 1266, Sec. 2.05, eff. Jan. 1, 2004.
Amended by: 
Acts 2011, 82nd Leg., R.S., Ch. 14 (S.B. 567), Sec. 13, eff. September 1, 2011.