About Us

A statutory backstop, not an insurance company

Allifega isn't an insurer you can buy a policy from — it's a nonprofit association created by Alabama law to protect policyholders if one of the state's licensed life, annuity, or disability insurers is ever declared insolvent.

Our purpose

Insurance companies occasionally fail, just like any other business. When that happens to a life, annuity, or disability insurer licensed in Alabama, Allifega is activated to protect the people holding those policies. We work alongside the court-appointed receiver to make sure covered benefits keep flowing.

Every insurer licensed to sell life, annuity, or disability coverage in Alabama is required to be a member. That membership is what funds the association and makes protection possible the moment it's needed.

Formed underAlabama Life and Disability Insurance Guaranty Association Act
Governed byA board of directors drawn from member insurers, with Department of Insurance oversight
Funded byAssessments on Alabama-licensed life, annuity, and disability insurers
ProtectsIndividual policyholders, not group certificate holders through their employer plan administrator

How we operate

A board of directors, made up of representatives from member insurers, oversees the association's operations under the supervision of the Alabama Department of Insurance. When a member company enters receivership, the board directs staff and contracted administrators to review affected policies, calculate covered benefits, and either continue coverage directly or transfer policies to a solvent carrier.

This structure means protection is pre-funded and ready to activate immediately — Alabama policyholders don't have to wait on a legislative appropriation or a bailout to keep their coverage in force.