[I064]

insolvency fund

An amount of money assessed certain insurers in a given state to reimburse policyholders and claimants of an insolvent insurer in that state. The fund may be created before an insolvency occurs (pre­assessment, as in New York) or afterward (post­assessment), and virtually all states now have such protection. Also called a guaranty fund.

Copyright: The Rough Notes Company, Inc., 1998, All Rights Reserved. 3040100

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