Marquardt v. Federal Old Line Insurance

Durham, A.C.J.

Washington Life and Disability Insurance Guaranty Association (Guaranty Association) appeals a determination that fringe benefits are part of the "compensation" paid to special deputy insurance commissioners acting as receivers for insolvent insurance companies. It also appeals the court's denial of an injunction to prevent the State from seeking reimbursement from it for fringe benefit expenses.

The Guaranty Association is a statutory nonprofit entity created to assure performance of insolvent insurers. Under RCW 48.32A, it is responsible for the obligations of the insolvent…