518C.16 Stay of proceedings.
1. A proceeding to which the insolvent insurer is a party or in which the insolvent insurer is obligated to defend a party shall be stayed from the date of the insolvency to and including the date set as the deadline for the filing of claims against the insolvent insurer or its receiver. However, upon application, the court having jurisdiction of the receivership may lengthen or shorten the period, either as to all claims or as to any particular claim. The association may waive such stay as to specific cases involving covered claims.
2. The association, on its own behalf or on behalf of the insured, with respect to a covered claim based on the default of an insurer who is or who becomes insolvent, or based on the failure of an insurer to defend an insured, is entitled to set the default aside and defend such claim on its merits.
2000 Acts, ch 1035, §16; 2021 Acts, ch 76, §150
Code editor directive applied
Structure Iowa Code
Chapter 518C - COUNTY AND STATE MUTUAL INSURANCE GUARANTY ASSOCIATION
Section 518C.4 - Association established.
Section 518C.5 - Board of directors.
Section 518C.6 - Duties and powers of the association.
Section 518C.7 - Plan of operation.
Section 518C.8 - Duties and powers of the commissioner.
Section 518C.9 - Effect of paid claims.
Section 518C.10 - Nonduplication of recovery.
Section 518C.11 - Prevention of insolvencies.
Section 518C.12 - Examination of the association.
Section 518C.13 - Tax exemption.
Section 518C.14 - Recognition of assessments in rates.
Section 518C.16 - Stay of proceedings.
Section 518C.17 - Actions against the association.