28 Tex. Admin. Code § 7.1606 – Exemption from Department Licensing and Regulation for Certain Administrators

(a) An administrator who is acting as the administrator of employee benefit plans, described in 29 United States Code (USC) §1003(a) and governed exclusively by ERISA, is exempt from regulation under the Insurance Code, Article 21.07-6, with regard to such plans. The administrator is subject to the Insurance Code, Article 21.07-6, with regard to all other plans, including multiple employer welfare arrangements described in 29 USC §1144(b)(6)(A)(ii). Administrators who administer employee benefit plans, as described in 29 USC §1003(a) and governed exclusively by ERISA, must notify the Texas Department of Insurance of their exempt status. To give notification of exempt status:
1. (1) third party administrators who only administer employee benefit plans described in 29 USC §1003(a) and governed exclusively by ERISA shall give notification of exempt status on TPA Form 7, Notification of Exemption Form.
2. (2) licensed third party administrators, other than insurers and health maintenance organizations, who administer not only employee benefit plans described in 29 USC §1003(a) and governed exclusively by ERISA but also non-ERISA employee benefit plans shall give notification of exempt status on TPA Form 2A, Supplemental Information/Annual Report.
3. (3) insurers and health maintenance organizations who administer not only employee benefit plans described in 29 USC §1003(a) and governed exclusively by ERISA but also non-ERISA employee benefit plans shall give notification of exempt status on TPA Form 6, Identification and Reporting of Certain Insurers and Health Maintenance Organizations.
(b) There shall be no filing fee for the filing of TPA Form 7, Notification of Exemption Form. The third party administrator shall, on an annual basis, provide any updated information with regard to the prior year's filing, including the number of ERISA plans no longer administered and the number of new ERISA plans administered by the third party administrator.

Source Note:The provisions of this §7.1606 adopted to be effective September 14, 1994, 19 TexReg 6855.