What does the Georgia Life and Health Insurance Guaranty Association not have the power to do?

The Georgia Life and Health Insurance Guaranty Association is established to protect policyholders when an insurance company becomes insolvent. Its primary role is to provide a safety net for claims and benefits for policyholders of insured life and health policies. Given this context, one significant limitation of the Guaranty Association is that it does not have the authority to issue cease and desist orders to insurers that are in violation of Georgia Insurance Law.

This power to enforce compliance with insurance law typically lies within the jurisdiction of the Department of Insurance, not the Guaranty Association. Its functions are more focused on guaranteeing benefits rather than regulating the actions of insurers directly.

The role of the Guaranty Association includes providing coverage for health insurance policies (b), as it steps in to cover these when an insurer fails. It is also responsible for guaranteeing payment for certain claims (c), though there are limitations and exclusions. However, it cannot guarantee payment for all claims, particularly if the claims fall outside the jurisdiction of what the Guaranty Association can cover. Managing insurance agent licensing (d) is another regulatory function that falls outside the Guaranty Association's scope, as that responsibility is also assigned to the Department of Insurance.

Thus, the correct understanding of what the Georgia Life