Louisiana Insurance Guaranty Association

Learn about this cause: Is it Legit? Do I like the mission? What is the CEO's salary?

EIN: 720889235 ✦ Baton rouge, LA ✦ Designated as a 501(c)(6)

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Overview

What is Louisiana Insurance Guaranty Association?

The Louisiana Insurance Guaranty Association (LIGA) is a nonprofit organization established under Louisiana Revised Statutes 1375-1394. Its primary mission is to provide financial support for the claims of insolvent member insurance companies in Louisiana. This is accomplished by collecting assessments from the remaining solvent insurance companies. All admitted insurance companies conducting business in Louisiana, with a few exceptions, are obligated to be part of the Association. In essence, LIGA acts as a safety net for policyholders, ensuring their claims are paid in the event of an insolvent insurer.


Official website here: www.laiga.org

Is Louisiana Insurance Guaranty Association legitimate?

Louisiana Insurance Guaranty Association is a legitimate nonprofit organization registered as a 501(c)(6) entity. Louisiana Insurance Guaranty Association submitted a form 990, which is a tax form used by tax-exempt organizations in the U.S., indicating its operational transparency and adherence to regulatory requirements. Donations to this organization are tax deductible.


Heare are some key statistics you may want to consider:

Executive Compensation: $191,240
Professional Fundraising Fees: $0
Other Salaries and Wages: $997,778

For more financial information, click here


Official website here: www.laiga.org

What is the mission statement of Louisiana Insurance Guaranty Association?

The Louisiana Insurance Guaranty Association (LIGA) is an organization established under the Insurance Guaranty Act to ensure the payment of claims for insolvent member insurance companies. The funds for claim payments are sourced from assessments of remaining solvent member insurance companies. It is mandatory for all admitted insurance companies operating in Louisiana, except for certain excluded lines of business, to be part of the Association. LIGA's mission is to provide financial security for policyholders when their insurance company becomes insolvent, thereby maintaining stability within the insurance industry in the state.


Official website here: www.laiga.org

Who is the CEO of Louisiana Insurance Guaranty Association?

John Wells is the Director of Louisiana Insurance Guaranty Association.


Official website here: www.laiga.org

What is the revenue of Louisiana Insurance Guaranty Association?

Louisiana Insurance Guaranty Association's revenue in 2021 was $14,540,897.


Official website here: www.laiga.org

Who are the executives of Louisiana Insurance Guaranty Association and what are their salaries?

The average compensation at Louisiana Insurance Guaranty Association during 2021 was $66,057. There are 18 employees and 9 volunteers at Louisiana Insurance Guaranty Association.


Here are 12 key members and their salaries:


Cindy Betz (Director)
  • Compensation: $0
  • Related: $0
  • Other: $0
Cullen Clark (Director)
  • Compensation: $0
  • Related: $0
  • Other: $0
Denis Husers (Director)
  • Compensation: $0
  • Related: $0
  • Other: $0
Jennifer Wise (Director)
  • Compensation: $0
  • Related: $0
  • Other: $0
John Hawie (Treasurer)
  • Compensation: $0
  • Related: $0
  • Other: $0
John Wells (Liga Director)
  • Compensation: $191,240
  • Related: $0
  • Other: $19,845
Markham R Mcknight (Director)
  • Compensation: $0
  • Related: $0
  • Other: $0
Michael T Gray (Chair)
  • Compensation: $0
  • Related: $0
  • Other: $0
Noel J Bunol Iv (Director)
  • Compensation: $0
  • Related: $0
  • Other: $0
Stephen Schrempp (Secretary)
  • Compensation: $0
  • Related: $0
  • Other: $0
Deidre Arceneaux (Claims Manager)
  • Compensation: $130,972
  • Related: $0
  • Other: $8,114
Malcolm Twiner (Senior Claims Examiner)
  • Compensation: $106,476
  • Related: $0
  • Other: $22,629


Official website here: www.laiga.org

Where can I find the form 990 for Louisiana Insurance Guaranty Association?

Louisiana Insurance Guaranty Association's most recent form 990 was submitted in 2021 and can be accessed here.


Official website here: www.laiga.org

Learn more at the official website: www.laiga.org

Mission Statement of Louisiana Insurance Guaranty Association

The Louisiana Insurance Guaranty Association (LIGA) serves as a safety net for policyholders in Louisiana when their insolvent insurance companies are unable to fulfill their financial obligations. Established under the Insurance Guaranty Act (LA. R.S. 1375-1394), LIGA is a membership organization comprised of admitted insurance companies operating in the state, excluding certain lines of business as per the statute.

When an insurance company becomes insolvent, LIGA steps in to ensure policyholders' claims are paid. The organization raises funds for these payments by assessing its member insurance companies. By doing so, LIGA protects policyholders and maintains financial security within the Louisiana insurance market.

In simple terms, LIGA acts as a financial backup for Louisiana's admitted insurance companies, safeguarding their policyholders from potential financial hardships due to insolvency. As a result, the organization plays a crucial role in preserving trust and stability in the insurance industry for the residents of Louisiana.

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Impact




October, 2024

The Louisiana Insurance Guaranty Association (LIGA) plays a crucial role in maintaining stability within the state's insurance market by ensuring that policyholders receive claims payments even if their insurance company becomes insolvent. Established under the Insurance Guaranty Act (LA R.S. 1375-1394), LIGA is designed to protect the interests of consumers by providing a safety net for outstanding claims.

When an insurance company fails, LIGA is responsible for covering the claims that might otherwise go unpaid, thereby safeguarding policyholders and maintaining trust in the insurance system. Funding for these payments comes from assessments levied on remaining member insurance companies, ensuring that the burden is shared among those still operating within the market.

All admitted insurance companies doing business in Louisiana are mandated to be members of LIGA, effectively creating a collaborative framework where insurers support one another and the policyholders they serve. This arrangement fosters a more secure insurance environment in Louisiana, which is particularly important in a state prone to natural disasters and other significant risks.

Overall, LIGA's impact is felt through enhanced consumer protection, the stabilization of the insurance market, and the reassurance that policyholders have recourse in the event of an insurer's insolvency.




This information is meant to be a general summary of Louisiana Insurance Guaranty Association. Please take the time to review official sources before making any decisions based upon the content provided here.


Financials

This financial information is from Propublica.

Revenue
$14,540,897 (2021)
Expenses
$78,212,431 (2021)
Efficiency

Other financial information:

This information is from the most recently submitted tax form from this organization, which was in 2021.

  • Investment Income: $4,652,115
  • Program Service Revenue: $9,888,782
  • Gross Receipts: $141,606,767

Assets and Liabilities:

  • Total Assets: $107,866,753
  • Total Liabilities: $23,726,854
  • Net Assets: $84,139,899

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Programs

Programs are reported by nonprofits in their tax forms and are normally their tax-exempt activities.

LIQUIDATION DISTRIBUTION

Revenue

$9,780,977

RESTITUTION

Revenue

$107,805

Organization Details

Founding Year

1971

Principal Officer

John Wells

Main Address

2142 QUAIL RUN DRIVE, BATON ROUGE, LA, 708084126

NTEE Category

Code: Y20 - Mutual benefit

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