Which is a primary role of the Idaho Life and Health Insurance Guaranty Association?

The primary role of the Idaho Life and Health Insurance Guaranty Association is to provide payment for claims against insolvent companies. This organization serves as a safety net for policyholders when an insurance company becomes unable to meet its financial obligations. If a licensed insurance company in Idaho goes bankrupt or is otherwise unable to pay claims, the Guaranty Association steps in to ensure that policyholders do not suffer significant losses. This protection adds a layer of security for consumers, fostering confidence in the insurance market.

The association does not focus on offering advice to clients, managing producer licensing exams, or promoting new insurance products. Its main function is specifically designed to protect policyholders, making it crucial in cases of insurance company insolvency.