Sec. 887.509.  LIMITS ON OPERATION OF CONVERTED ASSOCIATION.  Unless the association increases the association's capital and surplus to the minimum capital and surplus required for the organization of a stock legal reserve life insurance company under Chapter 841, an association that converts to a stock legal reserve life insurance company under this subchapter may not:
(1)  operate in a territory as to which the association was not authorized under the converted association's previous charter or articles of association;
(2)  insure a life for more than $5,000 in event of death;  or
(3)  declare or pay cash dividends.
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff. June 1, 2003.