State Guaranty Associations Explained
What are State Guaranty Associations?
State life and health insurance guaranty associations provide a safety net for their state’s policyholders, ensuring that they continue to receive coverage (up to the limits spelled out by state law) even if their insurer is declared insolvent.
Working together through National Organization of Life & Health Insurance Guaranty Associations (NOLHGA), the guaranty associations protect insurance consumers all across America in their time of need.
There are many issues, too numerous to describe here, which determine the type and extent of coverage available. You are advised to consult your state insurance department for details about any policy you consider purchasing. Another source of information is the National Organization of Life and Health Insurance Guaranty Associations (NOLHGA, 13873 Park Center Road, Suite 329, Herndon, VA 22071). http://www.nolhga.com/factsandfigures/main.cfm/location/stateinfo
Insurance Guaranty Associations
If you are shopping for a fixed annuity or income annuity it is important to not only look at the interest rate of the annuity but also the financial rating of the insurance company offering the product. You may not hear a lot about the guaranty associations as most states restrict advisers from talking about them. Regardless, knowing the maximum amount your state association would cover may be something good to be aware of.
Every state has a Guaranty Association to help pay the claims of financially impaired insurance companies. State laws specify the lines of insurance covered by these funds and the dollar limits payable. The details presented below are intended to be used for general information purposes only.
To learn more about insurance company financial ratings we explain them in great detail here.
| State Guaranty Association | Max Liability for Present Value of Annuity | Max Liability for Death Benefit on One Life | Max Liability for Cash Value of Life Policy | Max Aggregate Benefits for All Lines | Phone Number |
|---|---|---|---|---|---|
| Alabama | $250,000 | $300,000 | $100,000 | $300,000 | 205.879.2202 |
| Alaska | $100,000 | $300,000 | $100,000 | $300,000 | 907.243.2311 |
| Arizona | $250,000 | $300,000 | $100,000 | $300,000 | 602.364.3863 |
| Arkansas | $300,000 | $300,000 | $300,000 | $300,000 | 501.375.9151 |
| California | 80% not to exceed $250,000 | 80% not to exceed $300,000 | 80% not to exceed $100,000 | 80% not to exceed $300,000 | 323.782.0182 |
| Colorado | $250,000 | $300,000 | $100,000 | $300,000 | 303.292.5022 |
| Connecticut | $500,000 | $500,000 | $500,000 | $500,000 | 844.425.4442 |
| Delaware | $250,000 | $300,000 | $100,000 | $300,000 | 302.456.3656 |
| Dist. of Col. | $300,000 | $300,000 | $100,000 | $300,000 | 202.434.8771 |
| Florida | $250,000 | $300,000 | $100,000 | $300,000 | 904.398.3644 |
| Georgia | $250,000 | $300,000 | $100,000 | $300,000 | 770.621.9835 |
| Hawaii | $100,000 | $300,000 | $100,000 | $300,000 | 808.528.5400 |
| Idaho | $250,000 | $300,000 | $100,000 | $300,000 | 208.378.9510 |
| Illinois | $250,000 | $300,000 | $100,000 | $300,000 | 773.714.8050 |
| Indiana | $250,000 | $300,000 | $100,000 | $300,000 | 317.636.8204 |
| Iowa | $250,000 | $300,000 | $100,000 | $300,000 | 515.248.5712 |
| Kansas | $250,000 | $300,000 | $100,000 | $300,000 | 785.271.1199 |
| Kentucky | $250,000 | $300,000 | $100,000 | $300,000 | 502.895.5915 |
| Louisiana | $250,000 | $300,000 | $100,000 | $500,000 | 225.381.0656 |
| Maine | $250,000 | $300,000 | $100,000 | $300,000 | 207.633.1090 |
| Maryland | $250,000 | $300,000 | $100,000 | $300,000 | 410.998.3907 |
| Massachusetts | $250,000 | $300,000 | $100,000 | $300,000 | 413.744.8483 |
| Michigan | $250,000 | $300,000 | $100,000 | $300,000 | 517.339.1755 |
| Minnesota | $250,000 | $500,000 | $130,000 | $500,000 | 651.407.3149 |
| Mississippi | $100,000 | $300,000 | $100,000 | $300,000 | 601.981.0755 |
| Missouri | $100,000 | $300,000 | $100,000 | $300,000 | 573.634.8455 |
| Montana | $250,000 | $300,000 | $100,000 | $300,000 | 262.965.5761 |
| Nebraska | $250,000 | $300,000 | $100,000 | $300,000 | 402.474.6900 |
| Nevada | $250,000 | $300,000 | $100,000 | $300,000 | 775.329.6171 |
| New Hampshire | $100,000 | $300,000 | $100,000 | $300,000 | 603.472.3734 |
| New Jersey | $100,000 | $500,000 | $100,000 | $500,000 | 732.345.5200 |
| New Mexico | $250,000 | $300,000 | $100,000 | $300,000 | 505.820.7355 |
| New York | $500,000 | $500,000 | $500,000 | $500,000 | 212.202.4243 |
| No. Carolina | $300,000 | $300,000 | $300,000 | $300,000 | 919.833.6838 |
| North Dakota | $250,000 | $300,000 | $100,000 | $300,000 | 701.235.4108 |
| Ohio | $250,000 | $300,000 | $100,000 | $300,000 | 614.442.6601 |
| Oklahoma | $300,000 | $300,000 | $100,000 | $300,000 | 405.272.9221 |
| Pennsylvania | $100,000 | $300,000 | $100,000 | $300,000 | 610.975.0572 |
| Puerto Rico | $100,000 | $300,000 | $100,000 | $300,000 | 787.765.2095 |
| Rhode Island | $250,000 | $300,000 | $100,000 | $300,000 | 401.273.2921 |
| So. Carolina | $300,000 | $300,000 | $300,000 | $300,000 | 803.276.0271 |
| South Dakota | $250,000 | $300,000 | $100,000 | $300,000 | 605.336.0177 |
| Tennessee | $250,000 | $300,000 | $100,000 | $300,000 | 615.242.8758 |
| Texas | $250,000 | $300,000 | $100,000 | $300,000 | 512.476.5101 |
| Utah | $200,000 | $500,000 | $200,000 | $500,000 | 801.572.5067 |
| Vermont | $250,000 | $300,000 | $100,000 | $300,000 | 802.249.0284 |
| Virginia | $250,000 | $300,000 | $100,000 | $350,000 | 804.282.2240 |
| Washington | $500,000 | $500,000 | $500,000 | $500,000 | 360.426.6744 |
| West Virginia | $250,000 | $300,000 | $100,000 | $300,000 | 304.733.6904 |
| Wisconsin | $300,000 | $300,000 | $300,000 | $300,000 | 608.242.9473 |
| Wyoming | $250,000 | $300,000 | $100,000 | $500,000 | 303.292.5022 |
Disclaimer: Provided for informational purposes only and not for the purpose of sales, solicitation or inducement to purchase any annuity product. AnnuityAdvantage is not responsible for the accuracy of this information. If you wish to confirm these coverages prior to making an annuity purchase, please call your state insurance department.
