Title 20, Insurance

In this article, unless the context otherwise requires: 1. "Account" means any one of the three accounts within the Arizona property and casualty insurance guaranty fund. 2. "Board" means the guaranty fund board. 3. "Covered claim" means an unpaid claim, including one for unearne…

A. The Arizona property and casualty insurance guaranty fund is established within the department. The fund shall be deposited in a depository designated by the director and shall exercise its powers through a board established pursuant to section 20-663. B. For the purpose of as…

A. The guaranty fund board is established within the department of insurance and financial institutions consisting of eleven members who are appointed by the governor. Membership on the board shall be for a term of three years. B. The members of the board shall be appointed from …

A. The board shall: 1. Investigate claims brought against the fund and adjust, compromise, settle and pay covered claims to the extent of the fund's obligation and deny all other claims. In regard to workers' compensation claims, the board shall adjust, compromise, settle and pay…

A. The board shall submit to the director a fund plan of operation and any amendments necessary or suitable to assure the fair, reasonable and equitable administration of the fund. The plan of operation and any amendments shall become effective upon approval in writing by the dir…

A. The board shall assess each member insurer, as a condition of such insurer's authority to transact insurance in this state, in such amounts as are necessary to pay the obligations of the fund pursuant to section 20-667 subsequent to an insolvency, the expenses of handling cove…

A. The fund is obligated solely to the extent of the covered claims existing during any of the following periods: 1. Before the determination of insolvency and arising within thirty days after the determination of insolvency. 2. Before the policy expiration date if less than thir…

A. The director shall: 1. Report to the board when the director has reasonable cause to believe that any member insurer examined or being examined at the request of the board may be insolvent or in a financial condition hazardous to the policyholders or to the public. 2. Notify t…

A. Within thirty days of receipt by the director of a request from the board to examine any member insurer, the director shall begin such examination. The director may conduct the examination in any manner deemed appropriate. B. The cost of such examination shall be paid by the b…

A. Upon receipt of notification from the board that a member insurer may be unable to fulfill its contractual obligations, the director shall meet with the board. B. At such meeting, the director may divulge to the board any information in his possession and any records of his of…

Notwithstanding any law to the contrary, special meetings of the board in which the financial condition of any member insurer is discussed shall not be open to the public and only members of the board, the director of the department of insurance and financial institutions and oth…

A. Any person recovering pursuant to this article shall be deemed to have assigned his or her rights under the policy to the fund to the extent of his or her recovery from the fund. Every insured or claimant seeking the protection of this article shall cooperate with the fund to …

A. Any person having a claim against an insurer under any provision in an insurance policy that is also a covered claim shall be required to exhaust first all rights under that policy. Any amount payable on a covered claim pursuant to this article shall be reduced by the amount o…

A. The fund shall issue to each insurer paying an assessment pursuant to this article a certificate of contribution, in a form prescribed by the director for the amount paid. All outstanding certificates shall be of equal priority without reference to amounts or dates of issue. B…

A. There shall be no liability on the part of, and no cause of action shall rise against, the fund, any member insurer, the board or its agents or employees, the director or representatives of the director for any action taken in the performance of their powers and duties pursuan…

A. All proceedings in which the insolvent insurer or the insolvent insurer's insured is a party in any court of this state shall be stayed for six months from the date the insolvency is determined or an ancillary proceeding is instituted in this state, whichever is later, to perm…

All interest earned on monies held and invested by the fund shall be credited to the account from which the funds were obtained. Investments by the board shall be restricted to those investments which are permitted by insurers for statutory deposits pursuant to section 20-583.

The fund is subject to examination by the director. The fund shall annually report its financial condition for the preceding year to the legislature, member insurers and the director. At the conclusion of the fund's handling of each insolvency, an audit of the financial transacti…

A. Notwithstanding any other provision of this article, a covered claim shall not include a claim filed with the fund after the earlier of: 1. Eighteen months after the date of the order of liquidation. 2. The final date set by the court for the filing of claims against the liqui…

A. This article applies to all kinds of insurance except: 1. Life. 2. Title. 3. Surety. 4. Disability. 5. Credit. 6. Mortgage guarantee. 7. Ocean marine insurance. 8. Insurance of warranties or service contracts, including insurance that provides for the repair, replacement or se…

In this article, unless the context otherwise requires: 1. "Account" means any of the three accounts established pursuant to section 20-683. 2. "Authorized" means, when used in the context of assessments pursuant to this article, an assessment for a specified amount approved by t…

A. This article provides coverage for the policies and contracts specified in subsection B of this section to: 1. A person who, regardless of the state where the person resides, is a beneficiary, assignee or payee, including health care providers rendering services covered under …

A. The life and disability insurance guaranty fund is established in the department. The fund shall be deposited in a depository designated by the director. All member insurers shall be members of the fund as a condition of their authority to transact insurance or a health care s…

A. Subject to the powers of the director, the life and disability insurance guaranty fund shall be administered by a board of eleven members. Each member of the board shall serve for a term of three years. Of the members first appointed, three shall serve for terms of one year, t…

A. If a member insurer is an impaired insurer, the fund, subject to any conditions imposed by the fund that do not impair the contractual obligations of the impaired insurer, with the approval of the director, may: 1. Guarantee, assume, reissue or reinsure, or cause to be guarant…

A. For the purpose of providing the funds necessary to carry out the powers and duties of the fund, the fund shall assess the member insurers, separately for each account, at such times and for such amounts as the fund finds necessary. The member insurers shall be required to pay…

A. The board shall submit to the director a plan of operation and any amendments necessary to assure the fair, reasonable and equitable administration of the fund. The plan of operation and any amendments shall become effective on approval in writing by the director. If the board…

A. In addition to all other duties and powers enumerated in this article, the director shall: 1. Notify the board of directors of the existence of an impaired insurer or insolvent insurer not later than three days after a determination of impairment or insolvency or the director …

To aid in the detection and prevention of member insurer impairments and insolvencies: 1. The board of directors, on majority vote, shall notify the director of any information indicating that any member insurer may be unable or potentially unable to fulfill its contractual oblig…

A. Nothing in this article shall be construed to reduce the liability for unpaid assessments of the insureds of an impaired insurer or insolvent insurer operating under a plan with assessment liability. B. Records shall be kept of all negotiations and meetings in which the fund o…

The fund shall be subject to examination and regulation by the director. The board of directors shall submit to the director, not later than May 1 of each year, a financial report for the preceding calendar year in a form approved by the director and a report of its activities du…

A. The board shall issue to each member insurer paying an assessment pursuant to this article a certificate of contribution, in a form prescribed by the director for the amount paid. All outstanding certificates shall be of equal dignity and priority without reference to amounts …

There shall be no liability on the part of and no cause of action of any nature shall arise against the fund or its agents or employees, members of the board of directors or the director or his or her representatives for any action taken by them in the performance of their powers…

A. All proceedings in which the impaired insurer or insolvent insurer or the impaired insurer's or insolvent insurer's insured is a party in any court in this state shall be stayed sixty days from the date an order of liquidation, rehabilitation or conservation is final to permit…

With respect to the handling of claims pursuant to section 20-687 the board may by resolution provide that claims not filed within four months from the date of notice to creditors shall be barred.

A. This article applies to all life insurance companies and fraternal benefit societies that are doing business in this state or that are authorized to reinsure life insurance, annuities or accident and health insurance business in this state. B. This article applies to all annua…

In this article, unless the context otherwise requires: 1. "Actuarial opinion" means the opinion of an appointed actuary regarding the adequacy of the reserves and related actuarial items that is based on an asset adequacy analysis conducted pursuant to section 20-696.03 and that…

A. The following apply to the submission of statements of actuarial opinion: 1. Pursuant to section 20-696.03, a company shall include with or attach to page one of its annual statement the statement of actuarial opinion that is made by an appointed actuary and that states an opi…

A. The statement of actuarial opinion submitted pursuant to this section consists of: 1. A paragraph identifying the appointed actuary and the actuary's qualifications pursuant to section 20-696.02, subsection B. 2. A scope paragraph that identifies the subjects on which an opini…

A. Pursuant to section 20-510, subsection E or F, the appointed actuary shall prepare a memorandum to the company describing the analysis in support of the appointed actuary's opinion regarding the reserves. B. The director may examine the memorandum pursuant to this section and …

A. Every property and casualty insurance company doing business in this state annually shall file a statement of actuarial opinion that is made by an appointed actuary. The statement of actuarial opinion shall be filed with the annual financial statement required by section 20-22…

A. Documents, materials or other information in the possession or control of the department that are considered an actuarial report, work papers or actuarial opinion summary provided in support of the opinion and any other material provided by the company to the director in conne…

A. For the year ending December 31, 2010 and for each year thereafter, every insurer is subject to the requirements of the national association of insurance commissioners annual financial reporting model regulation for that calendar year. Only insurers having direct premiums writ…

A. The director may adopt rules to implement this article. B. The department is exempt from title 41, chapter 6 for the purposes of adopting rules relating to requirements of the national association of insurance commissioners annual financial reporting model regulation and the d…

A. This article shall apply to domestic stock insurers and domestic mutual insurers only, except that subsection B of section 20-715 and subsection C of section 20-719 shall apply also to foreign and alien mutual insurers. B. Any domestic stock or mutual insurer which as of Septe…

A "mutual" insurer is an incorporated insurer without capital stock or shares, and which is owned by its policyholders.