20-672. Effect of paid claims
167 words·~1 min read·
/az/title-20/20-672A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
A. Any person recovering pursuant to this article shall be deemed to have assigned his or her rights under the policy to the fund to the extent of his or her recovery from the fund. Every insured or claimant seeking the protection of this article shall cooperate with the fund to the same extent as such person would have been required to cooperate with the insolvent insurer. The fund shall have no cause of action against the insured of the insolvent insurer for any sums it has paid.
B. The receiver, conservator, liquidator or statutory successor of an insolvent insurer shall be bound by settlement of covered claims by the fund or similar organization in another state.
C. The board shall periodically file with the receiver, conservator, liquidator or statutory successor of the insolvent insurer statements of the covered claims paid by the fund and estimates of anticipated claims on the fund which shall preserve the rights of the fund against the assets of the insolvent insurer.