(a) In considering the application, the commissioner shall determine if:
(1) the minimum unencumbered surplus required by § 882.055 is the bona fide property of the mutual life insurance company;
(2) the proposed officers, directors, and managing executives of the company have sufficient insurance experience, ability, and standing to make success of the proposed company probable; and
(3) the applicants are acting in good faith.
(b) If the commissioner determines that the applicant has not met the standards set out by Subsection (a), the commissioner shall deny the application in writing, giving the reason for the denial. An application may not be granted unless it is adequately supported by competent evidence.

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