WASHINGTON—A risk retention group which insures taxicabs primarily in Pennsylvania and New Jersey has been placed in liquidation, setting off a scramble by cab owners to find new insurance.
An order placing First Keystone Risk Retention Group Inc., a commercial auto insurance company organized and licensed in South Carolina, was signed Oct. 21 by a South Carolina judge, setting off a scramble by taxicab medallion owners in Philadelphia to find new insurance.
The failure is interesting because the insolvency and liquidation of a risk retention group is rare, with only two or three winding up being taken over annually, according to Michael J. FitzGibbons, of FitzGibbons and Company, Inc., Scottsdale, Ariz. Fitzgibbons has been assigned to handle the liquidation. And, unlike most property and casualty insurance companies, there are no guaranty funds available to help pay off claims.
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
- Educational webcasts, resources from industry leaders, and informative newsletters.
- Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
