Term Life Insurance California by Top Rated Companies

Term life insurance in California offers solutions for family and business needs.  California residence can save from 50 to 70 percent on term life insurance from most top rated companies. These companies must file their product offerings and be approved by the California Insurance Department prior to any sales.  Proper reserves must be maintained by the insurance company, and these reserves are in constant review. The company also pays a premium tax to the state of California which supports the department and guarantees claims payment to the insured. The department's website can be located at http://www.insurance.ca.gov/

How Your Insurance Policies Are Protected In California

To protect the insured, a guaranty association, which is a statutory entity created by the state, is established by state legislation. The guaranty association is composed of all insurers licensed to sell life insurance, accident and health insurance, and individual annuities in the state. In the event that a member insurer is found to be insolvent and is placed under a final order of liquidation, rehabilitation or conservation by a court of competent jurisdiction, the guaranty association will provide protection up to statutory limits (set out in the State Act) to insured beings who are state residents and who are holders of life and health insurance policies and individual annuities with the insolvent insurer.

When a member insurer is found to be insolvent and is ordered liquidated, a court
appointed receiver takes over the insurer under court supervision and processes the
assets and liabilities through liquidation. Typically, the guaranty association works with other effected guaranty associations in other states and the court appointed receiver in servicing the insurance company's policies and providing coverage to resident policyholders. The protection provided by the guaranty association is based on limits set forth in the law and the language of the insolvent company's policies at the time of insolvency.

Please remember that this information is general in purpose and should not be used or relied upon as legal advice.