6. Material economic benefits; contractual obligations.__In performing its obligations to provide coverage under section 4608, the association is not required to guarantee, assume, reinsure or perform, or cause to be guaranteed, assumed, reinsured or performed, the contractual obligations of the insolvent or impaired insurer under a covered policy or contract that do not materially affect the economic values or economic benefits of the covered policy or contract.

Sec. 3. 24-A MRSA §4604, as enacted by PL 1983, c. 846, is amended to read:

§4604. Construction

This chapter shall must be liberally construed to effect the purpose under section 4602 which shall constitute an aid and guide to interpretation.

Sec. 4. 24-A MRSA §4605, as amended by PL 2001, c. 44, §11 and affected by §14, is repealed.

Sec. 5. 24-A MRSA §4605-A is enacted to read:

§4605-A.__Definitions

As used in this chapter, unless the context otherwise indicates, the following terms have the following meanings.

1. Account.__"Account" means any one of the 3 accounts created under section 4606.

2. Association.__"Association" means the Maine Life and Health Insurance Guaranty Association created under section 4606.

3.__Authorized assessment.__"Authorized assessment" or "authorized" when used in the context of assessments means that a resolution by the board of directors of the association has been passed whereby an assessment will be called immediately or in the future from member insurers for a specified amount; an assessment is authorized when the resolution is passed.