LIQUIDATION OVERSIGHT'S MISSION

The mission of Liquidation Oversight is to assure the efficient rehabilitation and liquidation of insurance company receiverships for the benefit of policyholders, receivership creditors and the taxpayers of Texas through management of the Special Deputy Receiver program and oversight of the guaranty associations.

In addition to monitoring the performance of SDRs, Oversight monitors the activity of the four Texas guaranty associations as follows:

• Texas Property and Casualty Insurance Guaranty Association
• Life, Accident Health and Hospital Service Guaranty Association
• Texas Title Insurance Guaranty Association
• Texas Self Insurance Group Guaranty Fund

Essentially, the liquidation of an insurance company includes, but is not limited to:

• Claims adjudication
• Recovery of assets
• Management and settlement of litigation

For information about becoming an SDR, see SDR Contract Administration.

For legislation regarding Liquidation privatization see Chapter 21A.

List Of Open Receiverships and Contact Information

Oversight of SDRs

The Liquidation Oversight (Oversight) analytical and legal staff consists of:

1)  A program director
2)  Four management auditors (financial analysts)
3)  Two counsel to the Receiver

Oversight monitors the SDRs' receivership case administration by analyzing and evaluating reports filed by the SDR with the Court, as required by the Insurance Code.

The SDR files with the Court quarterly documents for the receivership which include:

• "a report summarizing the expenses incurred during the period" (TEX. INS. CODE ANN. § 21A.015 (g))
• "a statement of assets and liabilities of the insurer" (TEX. INS. CODE ANN. § 21A.016 (a) 1)
• "the changes in those assets and liabilities" (TEX. INS. CODE ANN. § 21A.016 (a) 2)
• "all funds received or disbursed by the receiver during the period" (TEX. INS. CODE ANN. § 21A.016 (a) 3)

Oversight staff reviews the expenses and financial activity of the receivership monthly to ensure that they are reasonable and appropriate. Oversight may approve or disallow the SDR's expenses in whole or in part.

Oversight by the Receivership Court

The District Court in Travis County, Texas is designated by statute as the Receivership Court. It is the Court where receivership actions are brought by the Texas Attorney General, as well as the Court where suits by and against the Receiver are brought. The Court also has exclusive venue over suits against guaranty associations. In addition, the Insurance Code provides that the Receivership Court provide judicial supervision for each receivership. The Receivership Court has appointed a Special Master ("Master") assisted by a docketing clerk provided by Oversight. The Master's time is billed to the applicable receivership, and is funded from the assets of the estates.

DIRECTOR
Angel Garrett

ASSISTANT DIRECTOR
Evelyn Jenkins

ANALYSTS
Myra Garrett
Jemmie Russell
John Walker
Kathy Gartner

COUNSEL TO THE RECEIVER
James Kennedy