Hotel Deadline for September MPC Meeting Approaches

The deadline for hotel reservations for the September MPC meeting in Reston, Virginia, is Tuesday, August 16. After that date, NOLHGA can no longer guarantee the special rate of $205/night plus tax. If you have not already booked your rooms and registered for the meeting, we encourage you to do so as soon as you can.

The meeting will be held on September 7-9 at the Hyatt Regency Reston. Hotel reservations can be made through the meeting Web page, which also includes a preliminary meeting schedule and other meeting information. If you have any trouble accessing the Web page, please contact Dan Hicks at [email protected] or 703.787.4112. If you have any questions about the meeting, contact Sean McKenna at [email protected] or 703.787.4106.

  Staff Contact - Sean McKenna American Chambers Life Insurance Company (Ohio)

Second Early Access Distribution Made

On June 13, 2011, the Ohio Liquidation Court approved the liquidator's motion to make a second early access distribution to the guaranty associations (the first early access distribution was made in December 2009 in the amount of $12.8 million). The distribution is based on the guaranty associations' administrative expenses (which will now be paid in full) and policyholder-level claims. Pursuant to the court's order, NOLHGA received $9.8 million from the American Chambers estate and will distribute those funds to the affected guaranty associations according to their proportional share. Any questions can be directed to Meg Melusen at 703.787.4130 or [email protected].

Task Force Chair - Chuck Gullickson;   Staff Contact - London Pacific Life & Annuity Company (North Carolina)

Estate Distribution Approved

On August 9, 2011, the Wake County Superior Court approved the motion by the liquidator for a distribution of estate assets. The estate has approximately $43 million of liquid assets. Of this, $1 million will be retained for administrative expenses, $7.5 million will be distributed to uncovered policyholders, and $34.3 million will be distributed to NOLHGA on behalf of the guaranty associations. The distribution represents 38.6% of guaranty association claims and will be the bulk of the remaining estate assets received in this case. The order indicates that any residual amount left from the $1 million holdback for administrative expenses will be distributed to the guaranty associations.

We anticipate receiving the funds in the near future and then distributing the funds to the guaranty associations.

Task Force Chair - Frank Gartland;   Staff Contact - Paul Peterson

Former VA Commissioner Al Gross Passes Away

Al Gross, former Commissioner of the Virginia Bureau of Insurance, passed away on July 28, 2011. He was 65.

Commissioner Gross joined the Bureau of Insurance in 1981 as a trainee in the Financial Regulation Division. He was promoted to Deputy Commissioner of Financial Regulation in 1989, and in 1996 he was appointed Commissioner of Insurance, a position that he held until his retirement in December 2010. He was an active member of the NAIC and was awarded the organization's President's Award for Distinguished NAIC Member Leadership upon his retirement. Commissioner Gross was also a frequent participant in Virginia guaranty association and NOLHGA events.

  Staff Contact - Sean McKenna