Captive Insight Vol I | Page 37

FOURTH QUARTER 2013 | ISSUE 1

TABLE ONE
2013 INSOLVENCIES
Lumbermens Mutual Cas Co, American Manufactures Mutual Ins
Co, and American Motorists Ins Co – was placed into liquidation by the
Illinois Department of Insurance on May 10, 2013. It was further ordered
that the liquidations be consolidated into the Lumbermens Group.
ULLICO Casualty Company – was placed into liquidation by the
Delaware Department of Insurance on May 30, 2013.
American Fellowship Mutual Insurance Company – was placed
into liquidation by the Michigan Department of Insurance & Financial
Services on June 12, 2013.
2012 INSOLVENCIES
First Sealord Surety – was placed into liquidation by the Pennsylvania
Department of Insurance on April 17, 2012.
Frontier Insurance Company – was placed into liquidation by the New
York Department of Insurance on November 16, 2012

the reinsurance agreement), and at the
time of this article this issue has not yet
been resolved.

Client, Cayman, and
Captive Implications

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If the client wants to continue under
an insured program, they will have to
find an alternative carrier as soon as
the rehabilitation order is filed. Not
only does this take time and resources,
it will also tie up additional collateral
for any non-guaranteed cost program.
And of course the insured will have to
pay a second premium, this time to the )