(a) A savings bank shall maintain a financial institution bond that provides adequate coverage to protect the savings bank from loss:
(1) by or through dishonest or criminal action or omission, including fraud, theft, or misplacement, by any of the following persons:
(A) an officer or employee of the savings bank;
(B) an attorney retained by the savings bank;
(C) a nonemployee performing data processing services for the savings bank; or
(D) a director of the savings bank performing a duty of an officer or employee; or
(2) by other perils such as robbery, burglary, forgery, or alteration.
(b) A savings bank that employs a collection agent who is not covered by the bond required by Subsection (a) shall:
(1) ensure that the savings bank is included as a loss payee in the collection agent's crime coverage; and
(2) obtain a certificate of insurance evidencing the sufficiency of the collection agent's crime coverage.
(c) Subject to rules adopted under Subsection (e), the board shall, at least annually, review and approve:
(1) the coverage, including the amount of the coverage, provided by the bond and the form of the bond; and
(2) the sustainability of the corporate surety or insurer that issued the bond.
(d) The bond must provide that a cancellation or other termination by the corporate surety or insurer or by the insured is not effective until the earlier of:
(1) the date the commissioner approves; or
(2) the 30th day after the date written notice of the cancellation is given to the commissioner.
(e) The finance commission may adopt rules establishing:
(1) the coverage, including the amount of the coverage, that must be provided by the bond and the form of the bond; and
(2) the sustainability of the corporate surety or insurer that issues the bond.