Which of the following types of insurance is NOT covered by the Guaranty Association?

The Guaranty Association is established to protect policyholders in the event that an insurance company becomes insolvent. Its purpose is to provide a safety net for various types of insurance, ensuring that claims can still be paid to policyholders even if the insurer fails.

Life insurance is typically not covered by the Guaranty Association. Instead, life insurance policies fall under a different set of regulations and protections, often governed by state-specific laws that address issues like solvency. Therefore, when an insurance company that provides life insurance becomes insolvent, the Guaranty Association's protections do not extend to those policies.

In contrast, property and casualty insurance, including general liability and workers' compensation insurance, typically receives protection from the Guaranty Association. These types of insurance are designed to cover risks related to property damage and liability, which align with the objectives of the Guaranty Association to safeguard policyholders in those areas.

This delineation is essential to understand because it highlights the specific types of coverage where consumers can expect assistance in case of insurer insolvency.