Florida Life & Health Insurance Guaranty Association
3740 Beach Boulevard, Suite 201-A / Jacksonville, FL 32207-3877
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Frequently Asked Questions   Florida Life & Health Insurance Guaranty Association
 
What will happen to my insurance coverage if the guaranty association becomes liable for my policy?
In general, your policy will be continued under its terms and conditions while FLAHIGA determines its course of action. Valid claims will be paid, premiums will be collected and your policy will continue under FLAHIGA administration. However, since FLAHIGA is not an insurance company, efforts will be made to find another viable insurance company that wants to acquire the policies. If this happens, you will be notified in advance and FLAHIGA will fund the transfer process. If no viable market exists for the policies of the liquidated insurer, FLAHIGA may cancel the policies but only if that right was available to the insurer had a liquidation not occurred. Depending on the type of policy, state or federal law may impose extensions of the time for which you are covered even after a cancellation. FLAHIGA also has the authority under the FLAHIGA Act to offer substitute policies of substantially the same type.

In most insolvency situations, FLAHIGA works with other state guaranty associations to develop an overall plan to provide protection for the failed insurer's policyholders. The amount of protection provided, and when you receive it, may depend on the particular arrangement worked out but you will be entitled to the benefits of FLAHIGA protection and coverage to its limits.
 
NOTE: This information is not intended as legal advice, and no liability is assumed in connection with its use. The applicable state guaranty association statute is the controlling authority, regardless of any information presented on this site. Users should seek advice from a qualified attorney and should not rely on this compilation when considering any questions relating to guaranty association coverage.
 
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