Michigan Laws 500.8141a – Payment of special deposit claims; priority; transfer of special deposits
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(1) Special deposit claims shall be paid pursuant to the following order of priority:
(a) To the receiver for the costs and expenses of the receivership.
Terms Used In Michigan Laws 500.8141a
- Guaranty association: means the Michigan property and casualty guaranty association, the worker's compensation self-insurance security fund, the Michigan life and health insurance guaranty association, and any other similar entity now or hereafter created by the legislature of this state for the payment of claims of insolvent insurers. See Michigan Laws 500.8103
- Insurer: means an individual, corporation, association, partnership, reciprocal exchange, inter-insurer, Lloyds organization, fraternal benefit society, or other legal entity, engaged or attempting to engage in the business of making insurance or surety contracts. See Michigan Laws 500.106
- Receiver: means receiver, liquidator, rehabilitator, or conservator as the context requires. See Michigan Laws 500.8103
- State: means a state, district, or territory of the United States. See Michigan Laws 500.8103
(b) To the guaranty association for the costs and expenses of administration with respect to the payment of claims.
(c) To claims of Michigan policyholders of the insurer and to claimants of those Michigan policyholders.
(d) To Michigan beneficiaries of insurance contracts owned by non-Michigan residents.
(e) To other Michigan claimants of the insurer.
(f) To claims of non-Michigan policyholders of the insurer and to claimants of those non-Michigan policyholders.
(g) To non-Michigan beneficiaries of insurance contracts owned by non-Michigan residents.
(h) To the stockholders or owners of the insurer.
(2) Upon request of a guaranty association of this state to which the insurer is a member, special deposits made by the insurer shall be transferred to that guaranty association for the payment of claims pursuant to this section.