# Conn. Gen. Stat. § 38a-844: Sec. 38a-844. (Formerly Sec. 38-281). Assignment of rights under policy. Receiver or liquidator bound by settlements. Preservation of rights of association. Right of recovery > Connecticut · Statutes · In force URL: https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-844 ## Section - **Citation:** Conn. Gen. Stat. § 38a-844 - **Heading:** Sec. 38a-844. (Formerly Sec. 38-281). Assignment of rights under policy. Receiver or liquidator bound by settlements. Preservation of rights of association. Right of recovery - **Jurisdiction:** Connecticut - **Kind:** Statutes - **Status:** In force - **Text as of:** August 14, 2026 - **Source:** Compiled text - **Location:** Connecticut Code / Title 38a / Chapter 704a / Section 38a-844 ## Text (b) The receiver, liquidator, or statutory successor of an insolvent insurer shall be bound by determinations of covered claim eligibility under sections 38a-836 to 38a-853 , inclusive, and by settlements of claims made by said association or any similar organization having a like function to that of said association in another state. The court having jurisdiction shall grant such claims priority equal to that to which the claimant would have been entitled in the absence of said sections 38a-836 to 38a-853 , inclusive, against the assets of the insolvent insurer. The expenses of said association or any similar organization having a like function to that of said association in handling claims shall be accorded the same priority as the receiver's or liquidator's expenses. (c) Said association shall periodically file with the receiver or liquidator of the insolvent insurer statements of the covered claims paid by said association, the expenses paid for the processing of covered claims paid or contested and estimates of anticipated claims on said association, and expenses of processing such claims which shall preserve the rights of said association against the assets of the insolvent insurer. (d) (1) Except as provided in subdivision (2) of this subsection, the association shall have the right to recover from the following persons the amount of any covered claim paid on behalf of such person pursuant to sections 38a-836 to 38a-853 , inclusive: (A) Any person who is an affiliate of the insolvent insurer and whose liability obligations to other persons are satisfied in whole or in part by payments made under this chapter; and (B) any insured whose net worth on December thirty-first of the year next preceding the date the insurer becomes an insolvent insurer exceeds fifty million dollars and whose liability obligations to other persons are satisfied in whole or in part by payments made under said sections. For purposes of this subdivision, “insured” does not include a municipality, as defined in section 7-148 , or the Second Injury Fund, established in section 31-354 . (2) The association shall have no right to recover pursuant to subdivision (1) of this subsection from any nonprofit corporation organized to deliver health services and social services to meet the needs of the elderly, that is incorporated in this state and qualified as a Section 501(c)(3) organization under the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States, as amended from time to time, for any amount of covered claims paid on behalf of such corporation on or after December 1, 2001, provided the insolvent insurer was declared insolvent prior to May 27, 2008. Any amounts recovered by the association prior to May 27, 2008, from any such nonprofit corporation or affiliate of such nonprofit corporation shall not be required to be reimbursed to such nonprofit corporation or affiliate of such nonprofit corporation. Cited. 217 C. 371. ## Nearby sections - [Conn. Gen. Stat. § 38a-837 Sec. 38a-837. (Formerly Sec. 38-274). Application of chapter.](https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-837.md) - [Conn. Gen. Stat. § 38a-838 Sec. 38a-838. (Formerly Sec. 38-275). Definitions.](https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-838.md) - [Conn. Gen. Stat. § 38a-839 Sec. 38a-839. (Formerly Sec. 38-276). Connecticut Insurance Guaranty Association created. Membership. Function. Accounts.](https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-839.md) - [Conn. Gen. Stat. § 38a-840 Sec. 38a-840. (Formerly Sec. 38-277). Board of directors. Selection. Reimbursement for expenses.](https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-840.md) - [Conn. Gen. Stat. § 38a-841 Sec. 38a-841. (Formerly Sec. 38-278). Obligations and rights of association. Limitations. Assessments. Investigation of claims. Right to intervene in court proceedings.](https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-841.md) - [Conn. Gen. Stat. § 38a-842 Sec. 38a-842. (Formerly Sec. 38-279). Plan of operation.](https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-842.md) - [Conn. Gen. Stat. § 38a-843 Sec. 38a-843. (Formerly Sec. 38-280). Insolvent insurers. Penalty. Petition to show cause.](https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-843.md) - [Conn. Gen. Stat. § 38a-844 Sec. 38a-844. (Formerly Sec. 38-281). Assignment of rights under policy. Receiver or liquidator bound by settlements. Preservation of rights of association. Right of recovery.](https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-844.md) - [Conn. Gen. Stat. § 38a-845 Sec. 38a-845. (Formerly Sec. 38-282). Exhaustion of rights under policy prior to claim against association. Claims recoverable from more than one association. Persons required to exhaust rights under governmental insurance or guaranty program.](https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-845.md) - [Conn. Gen. Stat. § 38a-846 Sec. 38a-846. (Formerly Sec. 38-283). Detection and prevention of insurer insolvencies.](https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-846.md) - [Conn. Gen. Stat. § 38a-850 Sec. 38a-850. (Formerly Sec. 38-287). No liability for action taken in performance of powers and duties. No liability for failure to act.](https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-850.md) - [Conn. Gen. Stat. § 38a-851 Sec. 38a-851. (Formerly Sec. 38-288). Association rights in proceedings to which insolvent insurer is party. Access to insolvent insurer's records.](https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-851.md) - [Conn. Gen. Stat. § 38a-860 Sec. 38a-860. (Formerly Sec. 38-303). Application of chapter. Obligations of association.](https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-860.md) - [Conn. Gen. Stat. § 38a-862 Sec. 38a-862. (Formerly Sec. 38-305). Definitions.](https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-862.md) --- Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_CT_T38a_C704a_S38a-844. Check the current official text before relying on it. Not legal advice.