2005 Idaho Code - 41-3340 — CLAIMS OF SURETY

                                  TITLE  41
                                  INSURANCE
                                  CHAPTER 33
                            INSURERS SUPERVISION,
                        REHABILITATION AND LIQUIDATION
    41-3340.  CLAIMS OF SURETY. Whenever a creditor whose claim against an
insurer is secured, in whole or in part, by the undertaking of another person,
fails to prove and file that claim, the other person may do so in the
creditor's name, and shall be subrogated to the rights of the creditor,
whether the claim has been filed by the creditor or by the other person in the
creditor's name, to the extent that he discharges the undertaking. In the
absence of an agreement with the creditor to the contrary, the other person
shall not be entitled to any distribution, however, until the amount paid to
the creditor on the undertaking plus the distributions paid on the claim from
the insurer's estate to the creditor equals the amount of the entire claim of
the creditor. Any excess received by the creditor shall be held by him in
trust for such other person. The term "other person" as used in this section
is not intended to apply to a guaranty association or foreign guaranty
association.