# 28 Tex. Admin. Code § 13.522: 28 TAC § 13.522. Delegation of Functions to a Contracting Regulated Entity, DIVISION 2. APPLICABILITY OF INSURANCE CODE AND ADMINISTRATIVE CODE PROVISIONS > Texas · Regulations · In force URL: https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_522 ## Section - **Citation:** 28 Tex. Admin. Code § 13.522 - **Heading:** 28 TAC § 13.522. Delegation of Functions to a Contracting Regulated Entity, DIVISION 2. APPLICABILITY OF INSURANCE CODE AND ADMINISTRATIVE CODE PROVISIONS - **Jurisdiction:** Texas - **Kind:** Regulations - **Status:** In force - **Text as of:** August 14, 2026 - **Source:** Compiled text - **Location:** Texas Administrative Code / Title 28 INSURANCE / Part 1 TEXAS DEPARTMENT OF INSURANCE / Chapter 13 MISCELLANEOUS INSURERS AND OTHER REGULATED ENTITIES / 28 TAC § 13.522 ## Text (a) Delegation to regulated entity. An approved PEO or the plan trustees may delegate to a contracting regulated entity the responsibility to perform any requirement of this subchapter that the contracting regulated entity is authorized by law to perform. (b) Joint and several liability. If an approved PEO or the plan trustees delegate responsibility to perform any requirement of this subchapter, TDI in its sole discretion may hold the PEO, the plan trustees, and the contracting regulated entity jointly or severally liable for noncompliance with respect to the responsibilities delegated. (c) Notice of contract with regulated entities. An approved PEO or the plan trustees must give the commissioner a written notice of intent to enter into a contract with a regulated entity at least 30 days before the effective date of that contract. A notice of intent must include the information about the contracting regulated entity required by §13.532(b)(6) of this title (relating to Application Requirements). (d) Notice of termination of contract with regulated entity. Except as provided in subsection (g) of this section, an approved PEO or the plan trustees must give the commissioner a written notice of intent to terminate a contract with a regulated entity at least 30 days before the effective date of that termination. (e) Third party administrator. An approved PEO or the plan trustees may not terminate under any circumstances a contract with the plan's third party administrator unless they have contracted with a replacement third party administrator to perform the day-to-day operations of the plan with no lapse in administrative services to the plan. (f) Notice of replacement contracting regulated entity. Except as provided in subsection (h) of this section, if an approved PEO or the plan trustees intend to enter into a contract with a regulated entity to perform the functions for which a terminating contracting regulated entity was responsible, the approved PEO or the plan trustees must provide the commissioner notice that complies with subsection (c) of this section. (g) Notice of contract termination for cause. If an approved PEO or the plan trustees terminate a contract with a regulated entity for cause as permitted by the terms of that contract, the approved PEO or the plan trustees must give the commissioner written notice of the contract's termination not later than five days after the effective date of that termination, including a statement explaining whether the functions for which the terminating contracting regulated entity is responsible will be performed by the approved PEO or by another contracting regulated entity. (h) Notice of intent to contract with replacement regulated entity. After a termination under subsection (g) of this section, if the plan and trust functions will be performed by another contracting regulated entity, the approved PEO or the plan trustees must give the commissioner written notice of intent to enter into a contract with that new regulated entity as soon as is practicable, but not later than 10 days after the effective date of that contract. The notice of intent must include the information about the contracting regulated entity required by §13.532(b)(6) of this title. ## Nearby sections - [28 Tex. Admin. Code § 13.510 28 TAC § 13.510. Purpose, DIVISION 1. PURPOSE AND DEFINITIONS](https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_510.md) - [28 Tex. Admin. Code § 13.511 28 TAC § 13.511. Regulated PEOs; Approval Required, DIVISION 1. PURPOSE AND DEFINITIONS](https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_511.md) - [28 Tex. Admin. Code § 13.512 28 TAC § 13.512. ERISA's Applicability; Severability of Subchapter's Provisions, DIVISION 1. PURPOSE AND DEFINITIONS](https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_512.md) - [28 Tex. Admin. Code § 13.513 28 TAC § 13.513. Definitions, DIVISION 1. PURPOSE AND DEFINITIONS](https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_513.md) - [28 Tex. Admin. Code § 13.520 28 TAC § 13.520. Applicability of Insurance Code Provisions to an Approved PEO, Plan, or Trust, DIVISION 2. APPLICABILITY OF INSURANCE CODE AND ADMINISTRATIVE CODE PROVISIONS](https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_520.md) - [28 Tex. Admin. Code § 13.521 28 TAC § 13.521. Applicable Insurance Code and Administrative Code Terms, DIVISION 2. APPLICABILITY OF INSURANCE CODE AND ADMINISTRATIVE CODE PROVISIONS](https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_521.md) - [28 Tex. Admin. Code § 13.522 28 TAC § 13.522. Delegation of Functions to a Contracting Regulated Entity, DIVISION 2. APPLICABILITY OF INSURANCE CODE AND ADMINISTRATIVE CODE PROVISIONS](https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_522.md) - [28 Tex. Admin. Code § 13.523 28 TAC § 13.523. Applicable Insurance Code Provisions, DIVISION 2. APPLICABILITY OF INSURANCE CODE AND ADMINISTRATIVE CODE PROVISIONS](https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_523.md) - [28 Tex. Admin. Code § 13.524 28 TAC § 13.524. Applicability of Administrative Code Provisions to an Approved PEO, Plan, or Trust, DIVISION 2. APPLICABILITY OF INSURANCE CODE AND ADMINISTRATIVE CODE PROVISIONS](https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_524.md) - [28 Tex. Admin. Code § 13.530 28 TAC § 13.530. Certificate of Approval Required, DIVISION 3. CERTIFICATE OF APPROVAL](https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_530.md) - [28 Tex. Admin. Code § 13.531 28 TAC § 13.531. Forms and Fees, DIVISION 3. CERTIFICATE OF APPROVAL](https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_531.md) - [28 Tex. Admin. Code § 13.532 28 TAC § 13.532. Application Requirements, DIVISION 3. CERTIFICATE OF APPROVAL](https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_532.md) - [28 Tex. Admin. Code § 13.533 28 TAC § 13.533. Actuarial Opinion Requirements, DIVISION 3. CERTIFICATE OF APPROVAL](https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_533.md) - [28 Tex. Admin. Code § 13.534 28 TAC § 13.534. Application Review, Approval, and Denial, DIVISION 3. CERTIFICATE OF APPROVAL](https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_534.md) --- Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_TX_TAC_T28_P1_C13_S13_522. Check the current official text before relying on it. Not legal advice.