MPC Meets in Miami

The Members' Participation Council (MPC) met in Miami from January 10-12, 2011. Task force meetings were held for Executive Life Insurance Company of New York, Golden State Mutual Life Insurance Company (California), Imerica Life and Health Insurance Company (Arkansas), Medical Savings Insurance Company (Indiana), National States Insurance Company (Missouri), Penn Treaty Network America/American Network Insurance Companies (Pennsylvania), and Universal Life/Booker T. Washington Insurance Companies (Alabama).

The meeting also featured an Administrators Education Steering Committee presentation on federal health legislation conducted by Randy Kammer, Vice President, Regulatory Affairs and Public Policy, with Blue Cross and Blue Shield of Florida; and Lee Douglass, Senior Vice President, Law and Government Relations, with Arkansas Blue Cross and Blue Shield. In addition, a panel presentation on a new project concerning complex coverage issues was conducted by NOLHGA President Peter Gallanis, MPC Chair and Georgia guaranty association Executive Director Mike Marchman, Michigan guaranty association Administrator John Colpean, Illinois guaranty association Executive Director Dan Orth, former NOLHGA Board Chairs Chris Chandler (Prudential Insurance Company of America) and Merle Pederson (Principal Financial Group), and NOLHGA Senior Vice President and General Counsel Bill O'Sullivan.

The General Session featured a presentation by Accounting Issues Committee Chair Lowell Miller (North Carolina) on changes to IRS form 1099, an update on financial services regulatory reform by NOLHGA President Peter Gallanis, and a briefing on MPC Executive Committee activity by MPC Chair Mike Marchman.

The following task force insolvency reports were presented during the MPC General Session:

  Staff Contact - Sean McKenna American Community Mutual Insurance Company (Michigan)

Task Force Chair Frank Gartland (Ohio) reported that the "wind-down" of the company is proceeding very well; most of the business has been run off or is in the process of being moved, and current projections show that assets should be sufficient to cover anticipated expenses for running off the remaining policyholder claims. The task force continues to monitor the estate.

Task Force Chair - Frank Gartland;   Staff Contact - Bill O'Sullivan Golden State Mutual Life Insurance Company (California)

Task Force Chair Lowell Miller (North Carolina) reported that the rehabilitator has discovered a group life policy that was not included in the assumption agreement with IA American Life. The company is expected to assume the policy.

Task Force Chair - Lowell Miller;   Staff Contact - Standard Life Insurance Company of Indiana (Indiana)

Task Force Chair John Colpean (Michigan) updated attendees on the proposed acquisition of Standard Life's insurance policies and contracts by Guggenheim Life and Annuity Company. The deal will not trigger the guaranty associations, and it is expected to close in late February if approved by the court.

Task Force Chair - John Colpean;   Staff Contact -