# Tex. Insurance Code § 401.010: REQUIREMENTS FOR FINANCIAL STATEMENTS IN AUDITED FINANCIAL REPORT

> Texas · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.010

## Section

- **Citation:** Tex. Insurance Code § 401.010
- **Heading:** REQUIREMENTS FOR FINANCIAL STATEMENTS IN AUDITED FINANCIAL REPORT
- **Jurisdiction:** Texas
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** TX Code / Code in / Chapter 401 / Section 401.010

## Text

(a) An accountant must audit the financial reports provided by an insurer or health maintenance organization for purposes of an audit under this subchapter. The accountant who audits the reports must conduct the audit in accordance with generally accepted auditing standards or with standards adopted by the Public Company Accounting Oversight Board, as applicable, and must consider the standards specified in the Financial Condition Examiner's Handbook adopted by the National Association of Insurance Commissioners or other analogous nationally recognized standards adopted by commissioner rule.

(b) The financial statements included in the audited financial report must be prepared in a form and using language and groupings substantially the same as those of the relevant sections of the insurer's or health maintenance organization's annual statement filed with the commissioner. Beginning in the second year in which an insurer or health maintenance organization is required to file an audited financial report, the financial statements must also be comparative, presenting the amounts as of December 31 of the reported year and the amounts as of December 31 of the preceding year.

## Nearby sections

- [Tex. Insurance Code § 401.001 § 401.001. DEFINITIONS.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.001.md)
- [Tex. Insurance Code § 401.002 § 401.002. PURPOSE OF SUBCHAPTER.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.002.md)
- [Tex. Insurance Code § 401.003 § 401.003. EFFECT OF SUBCHAPTER ON AUTHORITY TO EXAMINE.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.003.md)
- [Tex. Insurance Code § 401.004 § 401.004. FILING AND EXTENSIONS FOR FILING OF AUDITED FINANCIAL REPORT.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.004.md)
- [Tex. Insurance Code § 401.005 § 401.005. ALTERNATIVE FILING FOR CANADIAN OR BRITISH INSURERS OR HEALTH MAINTENANCE ORGANIZATIONS.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.005.md)
- [Tex. Insurance Code § 401.006 § 401.006. EXEMPTION FOR CERTAIN SMALL INSURERS AND HEALTH MAINTENANCE ORGANIZATIONS.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.006.md)
- [Tex. Insurance Code § 401.007 § 401.007. EXEMPTION FOR CERTAIN FOREIGN OR ALIEN INSURERS OR HEALTH MAINTENANCE ORGANIZATIONS.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.007.md)
- [Tex. Insurance Code § 401.008 § 401.008. HARDSHIP EXEMPTION.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.008.md)
- [Tex. Insurance Code § 401.009 § 401.009. CONTENTS OF AUDITED FINANCIAL REPORT.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.009.md)
- [Tex. Insurance Code § 401.010 § 401.010. REQUIREMENTS FOR FINANCIAL STATEMENTS IN AUDITED FINANCIAL REPORT.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.010.md)
- [Tex. Insurance Code § 401.011 § 401.011. QUALIFICATIONS OF ACCOUNTANT; ACCEPTANCE OF AUDITED FINANCIAL REPORT.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.011.md)
- [Tex. Insurance Code § 401.012 § 401.012. HEARING ON ACCOUNTANT QUALIFICATIONS; REPLACEMENT OF ACCOUNTANT.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.012.md)
- [Tex. Insurance Code § 401.013 § 401.013. ACCOUNTANT'S LETTER OF QUALIFICATIONS.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.013.md)
- [Tex. Insurance Code § 401.014 § 401.014. REGISTRATION OF ACCOUNTANT.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.014.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_TX_Cin_C401_S401.010. Check the current official text before relying on it. Not legal advice.