What does the Nevada Insurance Guaranty Association provide?

The Nevada Insurance Guaranty Association (NIGA) is designed to protect policyholders of property and casualty insurance in the event that their insurance company becomes insolvent. This means that if an insurance company cannot fulfill its contractual obligations, such as paying claims, NIGA steps in to provide coverage for the rightful claims of policyholders.

This protection is critical because it ensures that individuals and businesses can recover financial losses and expenses that arise from claims, thereby promoting consumer confidence in the insurance market. The organization does not cover life insurance policies, health insurance, or provide financial help directly to insurers. Instead, it focuses specifically on the property and casualty sector, which includes homeowners, auto, and liability insurance policies. Thus, the correct answer reflects NIGA's primary purpose of protecting policyholders in these categories against the fallout of insurer insolvencies.