Sec. 886.108.  SURETY BOND.  (a)  A local mutual aid association's officer responsible for the funds of the association shall file with the department a surety bond.
(b)  The surety bond must be:
(1)  executed by a surety company authorized to do business in this state;
(2)  satisfactory to the department;  and
(3)  payable in an amount and conditioned as specified by Section 887.054. 
(c)  This section does not apply to a local mutual aid association that:
(1)  has a total membership of 1,000 or fewer members;
(2)  charges $1 or less each for annual dues or assessments;  and
(3)  charges $2.50 or less for a membership fee.
(d)  An association exempted under Subsection (c) shall file with the department a bond in the amount of $1,000 and conditioned as provided by Section 887.054.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.