MPC Meets in Salt Lake City

The Members’ Participation Council (MPC) met in Salt Lake City on April 9–10, 2013. Task force meetings or briefings were held for Executive Life Insurance Company (California), Executive Life Insurance Company of New York; Lincoln Memorial/Memorial Service Life Insurance Companies (Texas); Lumbermens Mutual Casualty Company (Illinois); Medical Savings Insurance Company (Indiana); National States Insurance Company (Missouri); Penn Treaty Network America/American Network Insurance Companies (Pennsylvania); Universal Health Care Insurance Company, Inc. (Florida); and Universal Life/Booker T. Washington Insurance Companies (Alabama).

The meeting also featured three Administrators Education Steering Committee presentations: Principles-Based Reserves, conducted by Gary Monnin of G.P. Monnin Consulting, Inc.; Business Continuation Planning, conducted by Candie Kinch (Idaho and Oregon), Beth Hoffman (Maryland), Randy Blumer (Wisconsin), and Bart Boles (Texas); and Enterprise Risk Management, conducted by Owen Stein and Jack Gibson of Towers Watson. The MPC Executive Committee also held a meeting.

In addition to the task force reports below, the General Session featured a closed-session report by the Executive Life Insurance Company (California) task force. The General Session also featured a presentation on behalf of the Security Advisory Committee by Committee Co-Chair Candie Kinch (Idaho and Oregon). Bill O’Sullivan (NOLHGA) presented a Coverage/Claims Committee status report, and NOLHGA President Peter Gallanis provided an update on financial services modernization and regulatory activity. MPC Chair John Colpean briefed attendees on MPC Executive Committee activity and took a moment to praise recently retired Frank Gartland, former President of the Ohio Life & Health Insurance Guaranty Association and the first MPC Chair, for his many contributions to the guaranty system.

  Staff Contact - Sean McKenna Lincoln Memorial/Memorial Service Life Insurance Companies (Texas)

Task Force Chair Tad Rhodes (Oklahoma) reviewed administrative matters with respect to the case, including expenses, policy-related costs (claims minus premiums), and early access distributions. The task force is considering issuing an RFP for the remaining business in the fall of 2013.

Task Force Chair - Tad Rhodes;   Staff Contact - Paul Peterson Lumbermens Mutual Casualty Company (Illinois)

Task Force Chair Mike Marchman (Georgia) briefed attendees on this new receivership and updated them on the status of a bid for the company’s long-term-disability business. The Lumbermens MPC unanimously passed a number of resolutions dealing with a possible assumption transaction, a service agreement, and various reinsurance contracts held by Lumbermens.

Task Force Chair - Mike Marchman;   Staff Contact - Paul Peterson

Luther Hill Passes Away

Luther L. Hill Jr., longtime Administrator of the Iowa Life & Health Insurance Guaranty Association and one of the key figures in guaranty system history, passed away on April 23, 2013. He was 90.

Hill, who received his J.D. from Harvard Law School, was affiliated with the Nyemaster Goode law firm in Des Moines since 1994. He was involved with the Iowa guaranty association from its inception in 1987.

  Staff Contact - Sean McKenna