West Virginia Code § 33-10-19

Priority of certain claims
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(a) In a delinquency proceeding against an insurer domiciled in this state, claims owing to
residents of ancillary states shall be preferred claims if like claims are preferred under the
laws of this state. All such claims owing to residents or nonresidents shall be given equal
priority of payment from general assets regardless of where such assets are located.
(b) In a delinquency proceeding against an insurer domiciled in a reciprocal state, claims
owing to residents of this state shall be preferred if like claims are preferred by the laws of
that state.
(c) The owners of special deposit claims against an insurer for which a receiver is appointed
in this or any other state shall be given priority against their several special deposits in
accordance with the provisions of the statutes governing the creation and maintenance of
such deposits. If there is a deficiency in any such deposit so that the claims secured thereby
are not fully discharged therefrom, the claimants may share in the general assets, but such
sharing shall be deferred until general creditors, anld also claimants against other special
deposits who have received smaller percentagses from their respective special deposits, have
been paid percentages of their claims equal to the percentage paid from the special deposit.
(d) The owner of a secured claim aggainst an insurer for which a receiver has been appointed
in this or any other state may surrender his security and file his claim as a general creditor,
or the claim may be discharged by resort to the security, in which case the deficiency, if any,
shall be treated as a claim against the general assets of the insurer on the same basis as
claims of unsecured creditors. If the amount of the deficiency has been adjudicated in
ancillary proceedings as provided in this article or if it has been adjudicated by a court of
competent jurisdiction in proceedings in which the domiciliary receiver has had notice and
opportunity to be heard, such amounts shall be conclusive; otherwise the amount shall be
determined in the delinquency proceeding in the domiciliary state.

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