A contract holder holds an unallocated annuity contract issued by a failed Ohio member insurer; the contract is not one covering participants in a governmental retirement plan. Up to what amount does the Ohio Life and Health Insurance Guaranty Association cover that contract holder, irrespective of the number of contracts held?

Why D is correct

ORC 3956.04(D)(2)(c) covers a contract holder of an unallocated annuity contract other than one covering governmental retirement plan participants for up to $5,000,000 in benefits, irrespective of the number of contracts held. By contrast, ORC 3956.04(D)(2)(b) caps a governmental-retirement-plan participant under an unallocated annuity contract at $250,000 each, so the identity of the contract holder drives the limit.

Why the other options are wrong

• A) $250,000 is the limit for a participant in a governmental retirement plan covered by an unallocated annuity contract, a different category from the contract holder described here.
• B) $300,000 is the general aggregate cap for a single individual across allocated covered categories, not the unallocated contract holder limit.
• C) $500,000 is the limit for health benefit plan coverage.

Memory hook

Governmental plan participants $250K; other unallocated contract holders $5M.