Code of Alabama
Chapter 44 - Life and Disability Insurance Guaranty Association.
Section 27-44-20 - Association, Policyholders, Beneficiaries, and Insureds to Have Preferred Creditor Status.

Upon the issuance of a proper court order placing a domestic insurer in receivership or placing a foreign insurer in ancillary receivership for rehabilitation or liquidation, all policyholders, beneficiaries, and insureds of such insolvent insurer, with respect to claims arising from and within the coverage of and not in excess of the applicable limits of insurance policies and contracts issued by the insolvent insurer and the Alabama Life and Disability Insurance Guaranty Fund shall be preferred creditors of said insolvent insurer.

Structure Code of Alabama

Code of Alabama

Title 27 - Insurance.

Chapter 44 - Life and Disability Insurance Guaranty Association.

Section 27-44-1 - Short Title.

Section 27-44-2 - Purpose of Chapter.

Section 27-44-3 - Scope of Chapter.

Section 27-44-4 - Construction of Chapter.

Section 27-44-5 - Definitions.

Section 27-44-6 - Creation of Association; Membership; Accounts; Supervision.

Section 27-44-7 - Board of Directors; Selection of Members; Vacancies; Organizational Meeting; Reimbursement for Expenses.

Section 27-44-8 - Powers and Duties of Association.

Section 27-44-9 - Assessments.

Section 27-44-10 - Submission of Plan of Operation and Amendments; Promulgation of Rules in Absence of Plan.

Section 27-44-11 - Duties and Powers of Commissioner; Appeal and Review; Notification.

Section 27-44-12 - Duties of Commissioner and Board With Regard to Detection and Prevention of Insolvencies or Impairment.

Section 27-44-13 - Credits for Assessments Paid.

Section 27-44-14 - Liability of Unpaid Assessments; Records of Negotiations and Meetings; Association Deemed Creditor of Impaired or Insolvent Insurer; Judicial Distribution of Ownership Rights of Insolvent Insurer; Recovery by Receiver of Certain Di...

Section 27-44-15 - Examination and Regulation of Association; Annual Report.

Section 27-44-16 - Tax Exemptions.

Section 27-44-17 - Immunity Under Chapter.

Section 27-44-18 - Stay of Proceedings; Reopening Default Judgments.

Section 27-44-20 - Association, Policyholders, Beneficiaries, and Insureds to Have Preferred Creditor Status.

Section 27-44-21 - Immediate Access of Associations in This and Other States to Assets of Insolvent Insurer; Application to Court; Contents of Proposal; Notice.