2022 Nevada Revised Statutes
Chapter 687A - Nevada Insurance Guaranty Association
NRS 687A.100 - Exhaustion of remedies of insured.

1. Any person having a claim under an insurance policy, whether or not the insurance policy is a policy issued by a member insurer, and the claim under such other policy arises from the same facts, injury or loss that gave rise to the covered claim against the Association, is required first to exhaust all coverage provided by any such policy, including, without limitation, the right to a defense under the other policy. Any amount payable on a covered claim under this chapter must be reduced by the full applicable limits stated in such other insurance policy and the Association must receive a full credit for such stated limits, or, where there are no applicable stated limits, the claim must be reduced by the total recovery. Notwithstanding the foregoing, a person is not required to exhaust any right under the policy of an insolvent insurer.

2. For the purposes of subsection 1, a claim under an insurance policy:

(a) Which provides liability coverage to a person who may be jointly and severally liable with or a joint tortfeasor with the person covered under the policy of the insolvent insurer that gives rise to the covered claim shall be deemed to be a claim arising from the same facts, injury or loss that gave rise to the covered claim against the Association.

(b) Includes, without limitation:

(1) A claim against a health maintenance organization, a hospital plan corporation or a professional health service corporation; and

(2) Any amount payable by or on behalf of a self-insurer.

3. To the extent that the Association’s obligation is reduced by the application of subsections 1 and 2, the liability of the person insured by the insolvent insurer’s policy for the claim must be reduced in the same amount.

4. Any person having a claim which may be recovered under more than one insurance guaranty association or its equivalent shall seek recovery first from the association of the place of residence of the insured. However, if the claim is a first party claim for damage to property with a permanent location, recovery must first be sought from the association of the location of the property. If the claim is a workers’ compensation claim, recovery must first be sought from the association of the residence of the claimant. Any recovery under this chapter must be reduced by the amount of the recovery from any other insurance guaranty association or its equivalent.

(Added to NRS by 1971, 1948; A 1993, 1399; 2021, 120)