On April 16, 2012, Executive Life Insurance Company of New York (ELNY) was found insolvent and the company has since been liquidated. All of ELNY’s remaining assets have been transferred to Guaranty Association Benefits Company (GABC), a newly created not-for-profit insurance company formed by the member life and health Guaranty Associations of NOLHGA affected by the liquidation of ELNY.
As of August 8, 2013, GABC is now responsible for making payments to payees and beneficiaries. In addition, they have assumed all of ELNY’s liabilities. Funding for GABC was made by contributions from Guaranty Associations, remaining ELNY assets as well as additional support from certain life insurance companies.
While many payees and beneficiaries will receive their full benefits under the restructuring plan, approximately 1,500 payees’ benefits will be decreased. They should see their decreased payments within 30 to 60 days. Some structured settlement annuity payees may have additional supplemental payments paid to them to make up the difference. For individuals who may be experiencing financial hardship due to their reduction in benefits, a hardship fund has been setup to help them.
Questions regarding benefits, payment schedules, restructuring plans as well as contact information can be found on www.gabenefitsco.com. Payees can also contact the company 800-421-8850 to discuss their specific situation.
GABC annuity payments can be transferred and such transfers are regulated by the applicable Structured Settlement Protection Act. If you are interested in obtaining a free no obligation quote give CBC Settlement Funding a call today at 877-386-3377. We can explain all your options including only selling a portion of your payments.