Nebraska Supreme Court Rules for Nebraska GA in Viatical Case

On May 15, 2009, the Nebraska Supreme Court affirmed a trial court's finding in Harvey, et al. v. Nebraska Life and Health Insurance Guaranty Association that the Nebraska association was not obligated to cover the plaintiffs' investments in viatical settlement transactions. Although the trial court had originally found that the guaranty association was obligated to cover the investments, it ultimately reversed its decision.

In affirming the trial court's final decision, the Supreme Court rejected the trial court's findings that the viatical settlement firm was a "member insurer" of the association, that the purchase request agreements (by which the investments were made) were "supplemental contracts" to life insurance policies, and that only an exception under Nebraska statutory law precluded guaranty association coverage obligations to the investors. Instead, the Supreme Court expressly found that the viatical settlement company was not a "member insurer" of the association and that the purchase request agreements were not "supplement contracts" under Nebraska law.

Both NOLHGA and the ACLI filed amicus briefs in support of the Nebraska guaranty association. To request a copy of the ruling, please contact Aimee Hoffman (703.787.4115; [email protected]).

Legal Seminar "Early Bird" Registration & Hotel Reservation Deadlines Extended

The "early bird" registration deadline for NOLHGA's 2009 Legal Seminar, which will be held July 9 and 10 at the Ritz-Carlton Chicago, has been extended from May 25 to June 1, 2009. All attendees who register before the deadline will receive a $35 discount.

In addition, the hotel reservation deadline has been moved back from June 8 to June 15. After this deadline passes, the hotel will release NOLHGA's room block and there is no guarantee that rooms will continue to be available or that the NOLHGA room rate of $215/night plus tax will apply.

Online registration, reservation details, a description of the seminar program, and other meeting information can be found on the meeting Web page. If you have any questions about the Legal Seminar or the July 7-8 MPC meeting that precedes it, please contact Sean McKenna at [email protected].