Insurance Guaranty Association Act (Part 1) and Tennessee Life and Health Insurance Guaranty Association Act (Part 2, 56-12-201 et seq.)

What this document is

Tenn. Code Ann. tit. 56, ch. 12 - Insurance Guaranty Association Act (Part 1) and Tennessee Life and Health Insurance Guaranty Association Act (Part 2, 56-12-201 et seq.) is a state statute published by Public.Resource.Org bulk release of the Tennessee Code Annotated, via the Internet Archive. It is one of the Tennessee documents that insurance license exam questions are written from, including tennessee life & health, tennessee property & casualty practice questions. This page summarizes it and points to the official version, which is the text to rely on.

Sections cited in practice questions

Each practice answer shows the exact passage it comes from. These are sections of this document that questions cite, with a short excerpt from the source text.

• Tenn. Code Ann. tit. 56, ch. 12 § 56-12-218(a) (Sales promotions listing association prohibited)

  “No person, including a member insurer or agent or affiliate of a member insurer shall make, publish, disseminate, circulate, or place before the public, or cause directly or indirectly to be made, published, disseminated, circulated, or placed before the public in any newspaper, magazine, or other...”

• Tenn. Code Ann. tit. 56, ch. 12 § 56-12-207(b)(2)(E) (Insolvent insurers: alternative or reissued policies)

  “Alternative or reissued policies or contracts must be offered without requiring evidence of insurability, and must not provide for any waiting period or exclusion that would not have applied under the terminated policy or contract;”

• Tenn. Code Ann. tit. 56, ch. 12 § 56-12-204(a)(4) (Persons covered: avoidance of duplicate coverage)

  “This part provides coverage to a person who is a resident of this state and, in special circumstances, to a nonresident. In order to avoid duplicate coverage, if a person who would otherwise receive coverage under this part is provided coverage under the laws of any other state, the person is not...”

• Tenn. Code Ann. tit. 56, ch. 12 § 56-12-204(b)(2)(A) (Applicability: exclusions from coverage)

  “Except as otherwise provided in subdivision (b)(3), this part does not provide coverage for: A portion of a policy or contract not guaranteed by the member insurer, or under which the risk is borne by the policy or contract owner;”

• Tenn. Code Ann. tit. 56, ch. 12 § 56-12-205(a) (Creation of association)

  “There is created a nonprofit legal entity to be known as the Tennessee life and health insurance guaranty association. All member insurers are and shall remain members of the association as a condition of their authority to transact insurance or a health maintenance organization business in this state.”

• Tenn. Code Ann. tit. 56, ch. 12 § 56-12-208 (Assessments: abatement and deferral)

  “The association may abate or defer, in whole or in part, the assessment of a member insurer if, in the opinion of the board, payment of the assessment would endanger the ability of the member insurer to fulfill its contractual obligations. In the event an assessment against a member insurer is...”

• Tenn. Code Ann. tit. 56, ch. 12 § 56-12-208(i) (Assessments: protest)

  “A member insurer that wishes to protest all or part of an assessment shall pay when due the full amount of the assessment set forth in the notice provided by the association so that the payment is available to meet association obligations during the pendency of the protest or any subsequent appeal....”

• Tenn. Code Ann. tit. 56, ch. 12 § 56-12-207 (Impaired or insolvent insurers)

  “If the association fails to act within a reasonable period of time with respect to an insolvent insurer, as provided in subsection (b), then the commissioner has the powers and duties of the association under this part with respect to the insolvent insurer.”

• Tenn. Code Ann. tit. 56, ch. 12 § 56-12-218 (Sales promotions listing association prohibited: Disclaimer notice)

  “No person, including a member insurer or agent or affiliate of a member insurer shall make, publish, disseminate, circulate, or place before the public, or cause directly or indirectly to be made, published, disseminated, circulated, or placed before the public in any newspaper, magazine, or other...”

• Tenn. Code Ann. tit. 56, ch. 12 § 56-12-218(b) (Summary document delivery)

  “Failure to receive the summary document does not give the policy owner, contract owner, certificate holder, enrollee, or insured any greater rights than those stated in this part.”

• Tenn. Code Ann. tit. 56, ch. 12 § 56-12-203 (Definition of member insurer, Tennessee Life and Health Insurance Guaranty Association Act)

  ““Member insurer” means an insurer, health maintenance organization, or nonprofit hospital and medical service organization licensed or that holds a certificate of authority to transact in this state any kind of insurance or health maintenance organization business for which coverage is provided...”

• Tenn. Code Ann. tit. 56, ch. 12 § 56-12-204(c)(4) (Treatment of a long-term care rider)

  “For purposes of this part, benefits provided by a long-term care rider to a life insurance policy or annuity contract are considered the same type of benefits as the base life insurance policy or annuity contract to which it relates.”

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• Tenn. Code Ann. s. 56-8-104: Unfair trade practices definedState statute
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• Tennessee Insurance Content OutlinesCandidate handbook or exam outline
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• 2025 Tenn. Pub. Ch. 150 (HB 1045): Tenn. Code Ann. Section 56-7-203, life insurance and annuity proceeds exempt from creditors' claimsState statute
• Tenn. Code Ann. tit. 56, ch. 1 - Commissioner of Commerce and Insurance / Department of Commerce and Insurance: general provisions and insurance companies (56-1-101 to 56-1-919, 86 sections)State statute