American Chambers Life Insurance Company (Ohio)
True-up Distribution Made to GAs
In follow-up to the July 2002 true-up distribution from Antares, this week NOLHGA made a second and final Antares true-up distribution to the affected guaranty associations in the amount of $559,325.06. As reflected in the schedules sent out with the distribution, some associations owe a net amount that should be remitted to NOLHGA.
As with the July distribution, the TPA/Claims Subgroup worked with Antares to reconcile and resolve various categories of funds collected and being held by Antares on behalf of the guaranty associations. The $559,325.06 distribution is principally composed of outstanding checks, claim refunds, and interest income.
Task Force Chair - Chuck Gullickson; Staff Contact - Executive Life Insurance Company (Calif.)PGAs Receive FEC Litigation Trust Funds
After years of delay, the California Liquidation Office (CLO) was able to overcome the numerous hurdles to distributing funds held in trust for the beneficiaries of the Executive Life estate. A total of $27,784,556.81 was earmarked for the participating guaranty associations in recognition of their subrogation rights to ELIC’s opt-in contracts (exclusive of the FEC Structured Settlement contracts). NOLHGA distributed the funds November 15.
In addition to the $27.7 million distribution, NOLHGA received $401,906.01 from the FEC Litigation Trust, which will be distributed once the nature of the underlying contracts has been researched to determine the appropriate participating guaranty association amounts. NOLHGA has also asked the CLO to place several contracts “on hold” pending proof of participating guaranty association subrogation rights due to settlements with contract holders.
The FEC Litigation Trust was originally established in 1992 to receive the proceeds from pending claims and litigation belonging to ELIC’s parent company, First Executive Corporation, at the time of its bankruptcy. Most of the proceeds came into the trust between 1994 and 1997, and the funds held in the trust have now been substantially distributed.
Task Force Chair - Art Dummer; Staff Contact -No Wire Next Week
The NOLHGA offices will be closed November 28 and 29 for the Thanksgiving holiday. As a result, there will be no NOLHGA Wire next week.
Staff Contact - Sean McKenna