Delaware Insurance Guaranty

The Delaware Life & Health Insurance Guaranty Association is a statutory entity created in 1982 when the Delaware legislature enacted the Delaware Life and Health Insurance Guaranty Association Act (a link to the Act can be found in the Additional Info section).
The guaranty association is composed of all insurers licensed to sell life insurance, accident and health insurance, and individual annuities in the state of Delaware.
In the event that a member insurer is found to be insolvent and is ordered to be liquidated by a court, the Guaranty Association Act enables the guaranty association to provide protection (up to the limits spelled out in the Act) to Delaware residents who are holders of life and health insurance policies and individual annuities with the insolvent insurer.

In most cases, the guaranty association will continue life insurance and annuity contracts, up to the statutory limits as long as premiums are paid or cash value exists.
It may do this directly, or, most often, it may transfer the policy to another insurance company.
In any case, policyholders should continue making premium payments to keep their coverage in force.
Continuation of health insurance will depend upon the terms of your existing health insurance policy.
Coverage is determined by Delaware law and policy language at the time the guaranty association is activated to provide protection (when the member insurer is found to be insolvent and ordered liquidated by a court).