LD 933
pg. 20
Page 19 of 38 PUBLIC Law Chapter 346 Page 21 of 38
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LR 2060
Item 1

 
by the association to be paid in accordance with a hardship
procedure established by the liquidator or rehabilitator and
approved by the receivership court.

 
6. Association liability. The association shall have has no
liability under this section for any covered policy of a foreign
or alien insurer whose domiciliary jurisdiction or state of entry
provides by statute for residents of this State protection
substantially similar to that provided by this chapter for
residents of other states.

 
6-A.__Failure to act. If the association fails to act within a
reasonable period of time with respect to an insolvent insurer,
as provided in subsection 3-A, the superintendent has the powers
and duties of the association under this chapter with respect to
the insolvent insurer.

 
6-B.__Retention of deposit; final order of liquidation or
rehabilitation plan.__A deposit in this State, held pursuant to
law or required by the superintendent for the benefit of
creditors, including policy owners, not turned over to the
domiciliary liquidator upon the entry of a final order of
liquidation or order approving a rehabilitation plan of an
insurer domiciled in this State or in a reciprocal state,
pursuant to this Title must be promptly paid to the association.__
The association is entitled to retain a portion of any amount so
paid to it equal to the percentage determined by dividing the
aggregate amount of policy owners' claims related to that
insolvency for which the association has provided statutory
benefits by the aggregate amount of all policy owners' claims in
this State related to that insolvency and shall remit to the
domiciliary receiver the amount so paid to the association and
not retained pursuant to this subsection.__Any amount so paid to
the association less the amount not retained by it must be
treated as a distribution of estate assets pursuant to chapter 57
or similar provision of the state of domicile of the impaired or
insolvent insurer.

 
7. Assistance and advice to superintendent. The association
may render assistance and advice to the superintendent, upon his
the superintendent's request, concerning rehabilitation, payment
of claims, continuations of coverage or the performance of other
contractual obligations of any impaired or insolvent insurer.

 
8. Standing to appear before court. The association shall
have has standing to appear or intervene before any court or
agency in this State with jurisdiction over an impaired or
insolvent insurer concerning which the association is or may
become obligated under this chapter or with jurisdiction over any
person or property against whom the association may have rights


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