Guaranty Fund Management Services Inc

Overview

Mission

Provides management and claims supervisory services to its member associations to assist them in the discharge of their respective statutory responsibilities to handle promptly and efficiently covered claims against insolvent property and casualty insurers. The Corporation has been formed to establish and maintain a single efficient management and claims service organization for its member guaranty associations. The objectives of the Corporation include, but are not limited to: (1) Providing management and claims supervisory services to insurance guaranty funds or associations created by statute; (2) Assisting guaranty associations in the discharge of their statutory responsibility to handle promptly and efficiently covered claims against insolvent insurers; (3) Furnishing related or compatible services to insurers and insurer organizations; and (4) Doing any and all things appropriate to accomplish the foregoing purposes.

Operating model

Revenue model

Other-operating. 100% of the money available for current operations came from other operating revenue.

Distribution model

Cannot be determined from the filing. The filing does not provide enough consistent spending detail to tell whether the nonprofit works directly or through others.

The verdict

MIXED - The filed numbers largely add up and most voting board members are independent. A relatively small share of available resources goes toward mission work and a relatively small share of total spending goes to programs.

Rating breakdown

• Financial Efficiency: 0
• Transparency & Controls: 77
• Accountability: 100
• Sustainability: 16
• Growth: 60

Detailed rating inputs

Details

• Where the money goes: 0% of revenue deployed · 0% of spending went to programs
• Governance: 8 of 8 board members independent · 9 of 9 filing controls reported
• Programs: 1 filed program accomplishment · $8.5M in reported program spending
• Leadership: top reported pay $629K · 19 people listed · 3 of 6 pay-setting controls reported
• Consistency: 13 of 14 current checks pass · 1 finding to review
• Schedules: 3 filed schedules · includes executive pay
• Filing history: 3 filing years from 2022 to 2024
• Contacts: How to reach this organization
• Money network: 11 filed money-flow records
• Grant readiness: Federal tax and exclusion status, award history, and grant-maker relationships.
• People: Everyone the filings name, and which of them the filings identify by more than a name.
• Staff and benefit plans: Retirement and health plans the organization files with the Department of Labor, and the people in them.

Key Signals

Signals prioritize questions for review. They are not findings of misconduct.

• High — Financial Efficiency: Mission deployment rate scored 0/100.
• High — Financial Efficiency: Program expense ratio scored 0/100.
• High — Sustainability: Operating margin scored 11/100.
• Moderate — Transparency & Controls: Functional expense sum did not reconcile in the filed values.
• Moderate — Sustainability: Total-asset coverage ratio scored 35/100.
• High — Sustainability: Liabilities to assets ratio scored 2/100.
• High — Sustainability: Officer compensation ratio scored 5/100.