Bill > H4772

This bill aims to modernize the Massachusetts Insurers Insolvency Fund (the "Fund"). Key provisions include: - Expanding the membership of the Fund's board of directors from 6 to 7 members, and establishing procedures for selecting and removing directors. - Increasing the Fund's coverage limits for certain claims, such as up to $50,000 per policy for unearned premium claims and up to $500,000 per claimant for other covered claims. - Limiting the Fund's obligation to $1 million for all first-party property loss claims arising from a single occurrence, and $500,000 for all cybersecurity insurance claims related to a single insured event. - Allowing the Fund to borrow funds and pledge future assessments to pay covered claims. - Providing the Fund the right to challenge certain settlements, releases, or judgments entered into prior to the insurer's insolvency. - Exempting high net worth insureds (those with over $25 million in net worth) from certain Fund obligations, and allowing the Fund to recover amounts paid on their behalf. - Coordinating the Fund's efforts with insurance guaranty associations in other states. Overall, the bill aims to modernize and clarify the Fund's authority and obligations in handling insolvent insurers in Massachusetts.

Budget and Finance

House Committee on Ways and Means (H)

https://malegislature.gov/Bills/193/H4772