§ 58-62-11 – Construction.

58-62-11. Construction. This Article shall be liberally construed to effect the purpose under G.S. 58-62-6, which shall constitute an aid and guide to interpretation. (1991, c. 681, s. 56.)

§ 58-62-16 – Definitions.

58-62-16. Definitions. As used in this Article: (1) "Account" means any of the two accounts created under G.S. 58-62-26. (2) "Association" means the North Carolina Life and Health Insurance Guaranty Association created under G.S. 58-62-26. (2a) "Authorized assessment" or the term "authorized" when used in the context of assessments means a resolution by the Board […]

§ 58-62-2 – Title.

58-62-2. Title. This Article shall be known and may be cited as the North Carolina Life and Health Insurance Guaranty Association Act. (1991, c. 681, s. 56.)

§ 58-62-21 – Coverage and limitations.

58-62-21. Coverage and limitations. (a) This Article provides coverage for the policies and contracts specified in subsection (b) of this section to all of the following: (1) To persons other than persons specified in subdivisions (2a), (3) and (4) of this subsection who, regardless of where they reside, except for nonresident certificate holders or enrollees […]

§ 58-62-26 – Creation of the Association.

58-62-26. Creation of the Association. (a) There is created a nonprofit legal entity to be known as the North Carolina Life and Health Insurance Guaranty Association. All member insurers shall be and remain members of the Association as a condition of their authority to transact insurance or a health maintenance organization business in this State. […]

§ 58-62-31 – Board of directors.

58-62-31. Board of directors. (a) The Board shall consist of not less than seven nor more than 11 member insurers serving terms as established in the Plan. The members of the Board shall be selected by member insurers, subject to the Commissioner’s approval. Vacancies on the Board shall be filled for the remaining period of […]

§ 58-62-36 – Powers and duties of the Association.

58-62-36. Powers and duties of the Association. (a) If a member insurer is an impaired insurer, the Association may, in its discretion, and subject to any conditions imposed by the Association and approved by the Commissioner that do not impair the contractual obligations of the impaired insurer: (1) Guarantee, assume, reissue, or reinsure, or cause […]

§ 58-62-41 – Assessments.

58-62-41. Assessments. (a) For the purpose of providing the funds necessary to carry out the powers and duties of the Association, the Board shall assess the member insurers, separately for each account, at such time and for such amounts as the Board finds necessary. Assessments are due not less than 30 days after prior written […]

§ 58-62-46 – Plan of operation.

58-62-46. Plan of operation. (a) The Association shall submit to the Commissioner a Plan and any amendments necessary or suitable to assure the fair, reasonable, and equitable administration of the Association. The Plan and any amendments shall become effective upon the Commissioner’s written approval or unless the Commissioner has not disapproved it within 30 days. […]

§ 58-62-51 – Duties and powers of the Commissioner.

58-62-51. Duties and powers of the Commissioner. (a) In addition to other duties and powers specified in this Article, the Commissioner shall do all of the following: (1) Upon request of the Board, provide the Association with a statement of the premiums in this State and any other appropriate states for each member insurer. (2) […]

§ 58-62-56 – Prevention of delinquencies.

58-62-56. Prevention of delinquencies. (a) To aid in the detection and prevention of member insurer delinquencies, it is the Commissioner’s duty to: (1) Notify insurance regulators of all the other states, territories of the United States, and the District of Columbia within 30 days when revoking or suspending the license of a member insurer, or […]

§ 58-62-6 – Purpose.

58-62-6. Purpose. (a) The purpose of this Article is to protect, subject to certain limitations, the persons specified in G.S. 58-62-21(a) against failure in the performance of contractual obligations, under life, health, and annuity policies, plans, or contracts specified in G.S. 58-62-21(b), because of the delinquency of the member insurer that issued the policies, plans, […]

§ 58-62-61 – Miscellaneous provisions.

58-62-61. Miscellaneous provisions. (a) Nothing in this Article reduces the liability for unpaid assessments of the insureds or enrollees of a delinquent insurer operating under a plan with assessment liability. (b) Records shall be kept of all negotiations and meetings in which the Association or its representatives are involved and in which the activities of […]

§ 58-62-66 – Examination of the Association; annual report.

58-62-66. Examination of the Association; annual report. The Association is subject to examination and regulation by the Commissioner. The Board shall submit to the Commissioner each year, not later than 120 days after the Association’s fiscal year, a financial report in a form approved by the Commissioner and a report of its activities during the […]

§ 58-62-75 – Tax exemptions.

58-62-75. Tax exemptions. The Association shall be exempt from payment of all fees and all taxes levied by this State or any of its subdivisions, except taxes levied on real property. (1973, c. 1438, s. 1.)

§ 58-62-76 – Immunity.

58-62-76. Immunity. There is no liability by, and no cause of action of any nature arises against, any member insurer or its agents or employees, the Association or its agents or employees, members of the Board, the Commissioner or the Commissioner’s representatives, or insurance regulators or their representatives, for any act or omission by them […]

§ 58-62-77 – Actions not precluded.

58-62-77. Actions not precluded. Nothing in this Article precludes any resident from bringing any action against the Association in any court of competent jurisdiction with respect to any contractual obligation arising under covered policies. (1993 (Reg. Sess., 1994), c. 678, s. 26.)

§ 58-62-81 – Stay of proceedings; reopening default judgments.

58-62-81. Stay of proceedings; reopening default judgments. All proceedings in which the insolvent insurer is a party in any court in this State shall be stayed 180 days from the date an order of liquidation, rehabilitation, or conservation is final to permit proper legal action by the Association on any matters germane to its powers […]

§ 58-62-86 – Prohibited advertisement of Article in insurance sales; notice to policyholders.

58-62-86. Prohibited advertisement of Article in insurance sales; notice to policyholders. (a) No person, including a member insurer, agent, or affiliate of a member insurer, shall make, publish, disseminate, circulate, or place before the public, or cause directly or indirectly to be made, published, disseminated, circulated, or placed before the public, in any newspaper, magazine, […]

§ 58-62-95 – Use of deposits made by impaired or insolvent insurer.

58-62-95. Use of deposits made by impaired or insolvent insurer. Notwithstanding any other provision of this Chapter pertaining to the use of deposits made by insurance or health maintenance organization companies for the protection of policy or contract owners, certificate holders, or enrollees, the Association shall receive, upon its request, from the Commissioner and may […]