Covered By LIGA
Coverage with LIGA can sometimes be a complicated legal determination as several questions must be asked.
- Is the Company an “Admitted Insurer”? Only companies Licensed by the Louisiana Department of Insurance and authorized to transact business in Louisiana are considered members of LIGA. LIGA’s safety net does not extend to surplus lines insurers or unauthorized insurers. The Louisiana Department of Insurance maintains a list of companies that are admitted.
- Is the policy a covered type under the LIGA statute? LIGA covers certain only property and casualty policy types. The following are examples of types of insurance not covered: Life, Health, HMO contracts, Surety, Bonds, Ocean Marine Insurance, Title Insurance, Warranty Insurance and Reinsurance. (Life, Health and Annuity policies may be covered by the Louisiana Life and Health Guaranty Association (LLHIGA).
- Are the policy coverages within the limits of the LIGA coverages? Although many property and policies are issued for higher limits. Recovery from LIGA are capped at $500,000 per person and $500,000 per occurrence.