Insurance Guarantee Fund
/ɪnˈʃʊərəns ˈɡærənti fʌnd/
Definitions
- (n.) A fund established by law or regulation to protect policyholders by compensating for unpaid claims of insolvent insurance companies.
The insurance guarantee fund compensated the victims after the insurer declared bankruptcy.
Forms
- insurance guarantee fund
- insurance guarantee funds
Related terms
See also
Commentary
Typically statutory in nature, the Insurance Guarantee Fund serves as a safety net for consumers; drafting should clarify funding sources and scope of coverage.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.