(a) This chapter does not reduce the liability for unpaid assessments of an insured of an impaired or insolvent insurer operating under an insurance policy with assessment liability.
Terms Used In Alaska Statutes 21.79.110
action: includes any matter or proceeding in a court, civil or criminal. See Alaska Statutes 01.10.060
Appeal: A request made after a trial, asking another court (usually the court of appeals) to decide whether the trial was conducted properly. To make such a request is "to appeal" or "to take an appeal." One who appeals is called the appellant.
Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
Contract: A legal written agreement that becomes binding when signed.
Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
state: means the State of Alaska unless applied to the different parts of the United States and in the latter case it includes the District of Columbia and the territories. See Alaska Statutes 01.10.060
(b) The association shall keep records of meetings relating to its activities. Records of meetings may only be made public under Alaska Stat. § 21.79.040(b)(1) after the termination of a liquidation, rehabilitation, or conservation proceeding that involves the impaired or insolvent insurer;(2)[Repealed, Sec. 58 ch 47 SLA 2018.](3) upon the order of a court of competent jurisdiction.(c) The association is considered to be a creditor of the impaired or insolvent insurer to the extent of assets attributable to covered policies that are reduced by an amount to which the association is entitled under Alaska Stat. § 21.79.060(k). Assets of the impaired or insolvent insurer that are attributable to covered policies shall be used to continue all covered policies and pay all contractual obligations of the impaired or insolvent insurer as required by this chapter. Assets attributable to covered policies or contracts include those assets that should have been established as reserves for the covered policies or contracts. These assets are determined by multiplying the total assets of the impaired or insolvent insurer by a fraction, the numerator of which is the amount that should have been established as reserves for the covered policies or contracts of the impaired or insolvent insurer, and the denominator of which is the amount that should have been established as reserves for all policies or contracts of insurance issued in all states by that insurer. As a creditor of the impaired or insolvent insurer, the association and other similar entities in other states are entitled to receive a disbursement of assets out of the marshaled assets as a credit against contractual obligations under this chapter from time to time as the assets become available. If the liquidator has not, within 120 days after the date of a final determination of insolvency of a member insurer by the court, made an application to the court for the approval of a proposal to disburse assets, the association may make application to the court for the approval of the association’s proposal to disburse assets.(d) Before the termination of a liquidation, rehabilitation, or conservation proceeding, the court may consider the contributions of the respective parties, including the association, shareholders, contract owners, certificate holders, enrollees, and policyholders of the impaired or insolvent insurer, and any other party with a bona fide interest, in distributing the ownership rights of the impaired or insolvent insurer. The court shall consider the welfare of policyholders, contract owners, certificate holders, and enrollees of the continuing or successor member insurer. A distribution to stockholders of an impaired or insolvent insurer may not be made until the total amount of valid claims of the association for money spent in carrying out its powers and duties under Alaska Stat. § 21.79.060, with respect to the impaired or insolvent insurer, has been fully recovered by the association.(e)[Repealed, Sec. 58 ch 47 SLA 2018.](f) A deposit in this state, held by law or required by the director for the benefit of creditors, including policy or contract owners, not turned over to the domiciliary liquidator upon the entry of a final order of liquidation or order approving a rehabilitation plan of a member insurer domiciled in this state or in a reciprocal state shall be promptly paid to the association. The association
(1) is entitled to retain a portion of any amount paid to it equal to the percentage determined by dividing the aggregate amount of policy or contract owners’ claims related to that insolvency for which the association has provided statutory benefits by the aggregate amount of all policy or contract owners’ claims in this state related to that insolvency; and(2) shall remit to the domiciliary receiver the amount paid to the association and retained under (1) of this subsection; any amount paid to the association not retained by it under (1) of this subsection shall be treated as a distribution of state assets under Alaska Stat. § 21.78.294 or a similar provision of the state of domicile of the impaired or insolvent insurer.(g) The association may not be required to give an appeal bond in an appeal of a civil action arising under this chapter.
