The bill revises the Idaho Life and Health Insurance Guaranty Association Act by introducing new exclusions for coverage under structured settlement annuities. Specifically, it states that coverage will not be available for individuals who have transferred their rights through a structured settlement factoring transaction, nor for payees or beneficiaries who are eligible for coverage from another state's association. This change aims to clarify the limitations of coverage under the Act.

Additionally, the bill modifies the assessment process for member insurers to fund the association's operations. It introduces new definitions, such as "principal place of business," and classifies assessments into Class A and Class B. Class A assessments cover administrative expenses and can be called without a specific impaired insurer, while Class B assessments address needs related to impaired or insolvent insurers, capped at two percent of the previous year's premiums. The bill also establishes a process for member insurers to protest assessments and requires them to pay the full amount during the protest period. It declares an emergency, making the changes effective from July 1, 2025.

Statutes affected:
Bill Text: 41-4303, 41-4305, 41-4309