38.2-1610 - Exhaustion of remedies under policy; claims recoverable from more than one association. - Virginia Statutes

§ 38.2-1610. Exhaustion of remedies under policy; claims recoverable frommore than one association.

A. Any person having a claim against an insurer under any provision in aninsurance policy, other than a policy of an insolvent insurer under which theclaim is also covered, shall be required to first seek recovery under thepolicy covered by the insurer which is not insolvent. Any amount payable on acovered claim under this chapter shall be reduced by the amount of anyrecovery under the insurance policy.

A1. Any person having a claim or legal right of recovery under anygovernmental insurance or guaranty program which is also a covered claim,shall be required to exhaust first his right under such program. Any amountpayable on a covered claim under this chapter shall be reduced by the amountof any recovery under such program.

B. Any person having a claim that may be recovered under more than oneinsurance guaranty association or its equivalent shall seek recovery firstfrom the association of the state where the insured resides. However, if itis a first party claim for damage to property with a permanent location, theinsured shall seek recovery first from the association of the state where theproperty is located. For a workers' compensation claim recovery shall firstbe sought from the association of the state where the claimant resides. Anyrecovery under this chapter shall be reduced by the amount of the recoveryfrom any other insurance guaranty association or its equivalent.

(1970, c. 766, § 38.1-767; 1986, c. 562; 1987, c. 529.)