Life-Health Insurance Guarantee

The Maryland Life & Health Insurance Guaranty Corporation is a statutory entity created in 1970 to provide protection to Maryland residents who are holders of life and health insurance policies and individual annuities issued by its member insurers. The Corporation is composed of all insurers licensed to sell life insurance, accident and health insurance, and individual annuities in the State of Maryland. It operates under the supervision of the Maryland Insurance Commissioner and is governed by a Board of Directors elected by and from its member insurers.

Services Offered

The Guaranty Corporation provides limited protection to policyholders in the event that the insurer which issued the insurance policy or individual annuity becomes insolvent. This protection includes $300,000 in death benefits and $100,000 in cash surrender or withdrawal values for life insurance, $500,000 for basic hospital, medical, and surgical insurance or major medical insurance, and $300,000 for disability insurance, among others. The maximum amount of protection for each individual is $300,000 in aggregate for all types of coverage listed above, with the exception of basic hospital, medical, and surgical insurance or major medical insurance, which has a higher limit of $500,000.

How We Operate

The Corporation arranges to continue coverage and pay claims, in accordance with Maryland law, with funding from assessments paid by other insurance companies. This safety net was created under Maryland law, which determines who and what is covered and the amounts of coverage. The Corporation is not a department or unit of the State of Maryland and the liabilities or debts of the Life and Health Insurance Guaranty Corporation are no liabilities or debts of the State of Maryland.