1. (a) A life insurer may issue a funding agreement to generate an income stream for the purchaser of the agreement or fund a future liability or program of the purchaser or the purchaser's designee. A life insurer may issue a funding agreement to:

   1. (1) an accredited investor, as defined by 17 C.F.R. Section 230.501;
   2. (2) a governmental body; or
   3. (3) an institution with assets in excess of $25 million.
2. (b) A life insurer that issues a funding agreement in this state engages in the business of insurance for the purpose of regulation.

Added by Acts 2015, 84th Leg., R.S., Ch. 1187 (S.B. 1196), Sec. 2, eff. September 1, 2015.