2009 Iowa Code
Title 13 - Commerce
Subtitle 1 - Insurance and Related Regulation
CHAPTER 515B - INSURANCE GUARANTY ASSOCIATION
515B.8 - EFFECT OF PAID CLAIMS.

        515B.8  EFFECT OF PAID CLAIMS.
         1.  Any person recovering under this chapter shall be deemed to
      have assigned the person's rights under the policy to the association
      to the extent of the person's recovery from the association.  Every
      insured or claimant seeking the protection of this chapter shall
      cooperate with the association to the same extent as such person
      would have been required to cooperate with the insolvent insurer.
      The association shall have no cause of action against the insured of
      the insolvent insurer for any sums it has paid out except causes of
      action the insolvent insurer would have had if the sums had been paid
      by the insolvent insurer.
         2.  The association and any similar entity in another state shall
      be recognized as claimants in the liquidation of an insolvent insurer
      for any amounts paid by them on covered claim obligations as
      determined under this chapter or under similar law in another state,
      and shall receive dividends and any other distributions at the
      priority set forth under the applicable liquidation law.  The
      receiver, liquidator, or statutory successor of an insolvent insurer
      shall be bound by determinations of covered claim eligibility under
      this chapter and by settlements of covered claims made by the
      association or a similar organization in another state.  The court
      having jurisdiction shall grant such claims priority equal to that
      which the claimant would have been entitled in the absence of this
      chapter against the assets of the insolvent insurer.  The expenses of
      the association or similar organization in handling claims shall be
      accorded the same priority as the liquidator's expenses.
         3.  The association shall periodically file with the receiver or
      liquidator of the insolvent insurer statements of the covered claims
      paid by the association and estimates of anticipated claims on the
      association, which statements shall preserve the rights of the
      association against the assets of the insolvent insurer.  

         Section History: Early Form

         [C71, 73, 75, 77, 79, 81, § 515B.8] 

         Section History: Recent Form

         97 Acts, ch 186, §17; 2003 Acts, ch 91, §41