Idaho State Statutes - Idaho Attorney Directory

41-3620 - TERMINATION OF OPERATION OF ASSOCIATION AS TO INSURANCE COVERED BY OTHER PLAN -- DISSOLUTION OF ASSOCIATION AND DISTRIBUTION OF ASSETS -- EXPIRATION OF ACT

TERMINATION OF OPERATION OF ASSOCIATION AS TO INSURANCE COVERED
BY OTHER PLAN -- DISSOLUTION OF ASSOCIATION AND DISTRIBUTION OF ASSETS --
EXPIRATION OF ACT. (1) The director shall by order terminate the operation of
the Idaho insurance guaranty association as to any kind of insurance covered
by this act with respect to which he has found, after hearing, that there is
in effect a statutory or voluntary plan which:
(a) Is a permanent plan which is adequately funded or for which adequate
funding is provided.
(b) Extends, or will extend to the Idaho policyholders and residents
protection and benefits with respect to insolvent insurers not substantially
less favorable and effective to such policyholders and residents than the
protection and benefits provided with respect to such kinds of insurance under
this act.
(2) The director shall by the same such order authorize discontinuance of
future payments by insurers to the Idaho insurance guaranty association with
respect to the same kinds of insurance; provided, the assessments and payments
shall continue, as necessary, to liquidate covered claims of insurers adjudged
insolvent prior to said order and the related expenses not covered by such
other plan.
(3) In the event the operation of the Idaho insurance guaranty
association shall be so terminated as to all kinds of insurance otherwise
within its scope, the association as soon as possible thereafter shall
distribute the balance of moneys and assets remaining (after discharge of the
functions of the association with respect to prior insurer insolvencies not
covered by such other plan, together with related expenses) to the insurers
which are then writing in this state policies of the kinds of insurance
covered by this act and which had made payments to the association, pro rata
upon the basis of the aggregate of such payments made by the respective
insurers during the period of five (5) years next preceding the date of such
order. Upon completion of such distribution with respect to all of the kinds
of insurance covered by this act, this act shall be deemed to have expired.

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