Full text and statutory guidelines for the Post Assessment Property and Liability Insurance Guaranty Association Model Act.
The South Dakota Post Assessment Property and Liability Insurance Guaranty Association Model Act is a crucial piece of legislation designed to protect policyholders in the event of insolvency or financial instability of an insurance company. This act establishes the South Dakota Post-Assessment Property and Liability Insurance Guaranty Association (SOMALIA), which serves as a safety net for policyholders and ensures they can still receive the benefits and coverage they are entitled to. Under the South Dakota PAL IGA Model Act, there are two main types of guarantee associations: Property and Casualty Insurance Guaranty Associations (PC IGA) and Life and Health Insurance Guaranty Associations (LH IGA). While the PC IGA primarily protects policyholders with property, automobile, and liability insurance policies, the LH IGA focuses on safeguarding life insurance, health insurance, annuity policies, and similar coverage. The South Dakota Post Assessment Property and Liability Insurance Guaranty Association Model Act establishes the framework and guidelines for the operation of these guarantee associations. It outlines the formation and structure of the guarantee associations, their powers and duties, funding arrangements, and the process for handling claims and assessments. Keywords: South Dakota, Post Assessment, Property and Liability Insurance, Guaranty Association, Model Act, guarantee associations, policyholders, insolvency, financial instability, insurance company, safety net, coverage, benefits, PAL IGA, PC IGA, LH IGA, property insurance, casualty insurance, life insurance, health insurance, annuity policies, framework, guidelines, formation, powers, duties, funding arrangements, claims, assessments.
