Executive Life of New York (ELNY), a New York domestic life insurer, was placed in rehabilitation in April 1991 by the Superintendent of Insurance. A plan of rehabilitation (the Rehab Plan) was approved by the New York court supervising the rehabilitation proceedings in 1992, and since then the rehabilitation has been administered by the New York Liquidation Bureau (NYLB), on behalf of the Superintendent, as statutory rehabilitator.
Pursuant to the Rehab Plan, in 1992 ELNY sold its surrenderable policies that had significant market value. The vast majority of the contracts (by liability amounts) remaining with ELNY comprised non-surrenderable annuities sold to fund structured settlement agreements (SSAs). ELNY also retained a block of pension closeout annuities. The installments owed on the annuities extend well into the future (many into the second half of the 21st century), and (as is typical of SSAs) the installment payments are not level, but rather irregular and targeted to key life events for the payees (e.g., college matriculation or retirement). Capital market developments of the late 1990s and through 2002 and later had a severe negative effect on the ELNY portfolio, and also (perhaps more significantly) on the value of the SSA liabilities.
On April 16, 2012, the Supreme Court of the State of New York, Nassau County (“Receivership Court”) entered an Order finding Executive Life Insurance Company of New York (“ELNY”) to be insolvent and approved a Restructuring Agreement in connection with the liquidation and restructuring of ELNY. By Order of the Receivership Court, the Superintendent of Financial Services of the State of New York, as Receiver, was directed to liquidate ELNY’s business and affairs in accordance with New York Insurance Law and in substantially the manner provided in the Restructuring Agreement. The Liquidation Date of ELNY was the closing date of the Restructuring Agreement, which occurred on August 8, 2013.
Substantially all of ELNY’s remaining assets have been transferred to Guaranty Association Benefits Company (“GABC”), a newly created not-for- profit captive insurance company owned by the Participating Guaranty Associations that is referred to as “NEWCO” in the Restructuring Agreement. Since the Liquidation Date, GABC has been responsible for managing such assets and making payments to contract owners, payees and beneficiaries.
For further information about GABC or benefit payments from GABC to contract owners, payees and beneficiaries following the Liquidation Date, please visit the GABC website at www.gabenefitsco.com.
NAIC Number: 61913
An NAIC number is a five-digit number assigned to every insurance company by the NAIC (National Association of Insurance Commissioners). Because each company has its own unique number, the NAIC number can be used to identify a particular company.
Domiciliary State: New York
The domiciliary state is the state in which an insurance company is incorporated or organized.
Rehabilitation Date: April 23, 1991
Liquidation Date: August 08, 2013