Diamond Benefits Life Insurance Company (Ariz.)/Life Assurance Company of Pennsylvania (Pa.)
NOLHGA Receives Distribution from Litigation Recoveries
NOLHGA has received from the Diamond Benefits receiver the last distribution related to litigation recoveries the estate has made over the years. Funds were sent to the applicable guaranty associations during the week of September 23, 2007. Any associations that do not receive their check in the near future should contact Gus Estrada at [email protected].
Additionally, NOLHGA anticipates receiving a final distribution from Diamond Benefits for guaranty association subrogation claims and also expects the estate to close in early December 2007.
Staff Contact - Paul Peterson London Pacific Life & Annuity Company (N.C.)Assumption Reinsurance Agreement Closes
The closing for the assumption reinsurance agreement with Philadelphia American Life Insurance Company (PALIC) successfully occurred on October 1, 2007. Guaranty associations contributed $21.5 million. PALIC has assumed the remaining in-force policies of policyholders who elected to continue their London Pacific annuities with guaranty associations in 2004. A true-up for the agreement is expected to occur by October 31, 2007.
In addition, guaranty associations should have received a final claims funding request from PALIC for claims incurred from September 15 through September 28, 2007. Please note that this amount needs to be funded in addition to the funding provided for the assumption reinsurance transaction.
Other than a final reconciliation to be completed on death claims by March 2008, the above transactions will be the final funding requests for guaranty associations in the London Pacific insolvency.
Task Force Chair - Frank Gartland; Staff Contact - Paul Peterson