Strategic Asset Alliance's Cogert to Speak at Annual Meeting

Alton Cogert, president and CEO of Strategic Asset Alliance, an investment consulting firm that exclusively serves the insurance industry, will speak at NOLHGA's 23rd Annual Meeting, which will be held October 10 and 11, 2006, in Dana Point, Calif. He is expected to provide an economic and investment outlook for 2007.

Cogert has more than 20 years of financial institution experience, including over 10 years experience in senior financial management. He has served as a technical advisor to the NAIC Invested Assets Working Group and is a former member of the board of directors and former chairman of the Investment Committee of the National Alliance of Life Companies. He has written numerous articles for BestWeek and is the editor of Insurer Investment Strategies (available at www.saai.com).

NOLHGA's 23rd Annual Meeting will be hosted by the Laguna Cliffs Marriott Resort & Spa, a four-diamond resort located on the cliffs of the Pacific coast. An MPC meeting will be held in conjunction with the Annual Meeting on October 9. More information on the Annual Meeting and MPC meeting can be found at the joint meeting Web page.

  Staff Contact - Sean McKenna

MPC Meeting Briefing Book Now Available

The briefing book for the upcoming MPC meeting, which will be held August 2, 2006, in Baltimore, Md., has been posted on the meeting Web page. Users may need to log in after clicking on the link to access the file, which can be found in the "Meeting Resources" section.

Due to the confidential nature of the briefing materials, only NOLHGA Board members, guaranty association administrators, members of guaranty association boards, and other association representatives who will attend the meeting as the designated voting guaranty association representative can access the briefing book. Other guaranty system representatives who need a particular insolvency status report should contact the appropriate NOLHGA staff contact.

The briefing book includes the meeting schedule, an attendee list, status reports for the upcoming meeting, and other meeting materials. It is in PDF format, and users will need Adobe Acrobat Reader to view and print the materials. Acrobat Reader is available free from Adobe.

If you have any trouble accessing the meeting Web page or briefing book, 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 Andrew Jackson Life Insurance Company (Miss.)

NOLHGA Files Amicus Brief

On July 17, 2006, NOLHGA and the Mississippi Life & Health Insurance Guaranty Association joined in filing an amicus curiae brief in connection with appellate litigation arising out of policies issued by the Andrew Jackson Life Insurance Company that were assumed by Central Security Life Insurance Company in 1993 pursuant to an assumption reinsurance agreement approved by the receivership court after Andrew Jackson was placed into liquidation. The case was filed in Mississippi against Central Security and a former agent of Andrew Jackson, alleging liability for fraud, misrepresentation, and the use of false and misleading marketing materials and vanishing premium illustrations to induce the plaintiffs to purchase certain life insurance policies from Andrew Jackson.

In June 2005, the trial court granted judgment in favor of Central Security, finding that the assuming carrier is not responsible for any acts or omissions of the now insolvent Andrew Jackson Life or its agents and further finding no facts to support any allegations of misconduct on the part of Central Security. Thereafter, the plaintiffs filed a motion to reconsider. That motion was denied on August 19, 2005. The plaintiffs have since taken the matter up on appeal to the Mississippi Supreme Court. NOLHGA and the Mississippi guaranty association have joined in filing an amicus brief in this case, urging the court to uphold and enforce the express statutory limitations on guaranty association coverage obligations and the corresponding assumption contract provisions excluding from the assumption transfer any liability for extra-contractual obligations.

A copy of the joint amicus brief filed by NOLHGA and the Mississippi association is available to affected guaranty associations on NOLHGA's IRC database. You can also contact Joni Forsythe at 703.787.4103 for additional information.

Task Force Chair - Dan Elrod;   Staff Contact - Joni Forsythe States General Life Insurance Company (Tex.)

Early Access Distribution Approved

On July 10, 2006, the district court entered an order approving the special deputy receiver's motion for approval of an early access distribution totaling $955,000, to be paid to the guaranty associations affected by the States General insolvency. NOLHGA expects to receive the funds by July 31. A memorandum outlining details concerning the distribution has been sent to the affected associations. A copy of the early access order is available upon request.

Task Force Chair - Tad Rhodes;   Staff Contact - Joni Forsythe