California Takes Over Failed Insurer

Dec 05, 2018

The California Department of Insurance announced that it has seized the assets and legal control of Merced Property & Casualty Company, an insurance that company that shut down after being overwhelmed with claims stemming from policyholders who suffered losses in the recent Camp Fire.

The Department’s Conservation and Liquidation Office is managing the transfer of the company’s claims handling to the California Insurance Guarantee Association, which pay claims of insolvent insurance companies. Current policies with the defunct company will remain in effect for 30 days, while the Department asked policyholders to immediately seek coverage with another insurer.

“California law gives us the authority to take over insurance companies that face insolvency,” said Insurance Commissioner Dave Jones. “Protecting Camp Fire policyholders who have already suffered through so much was my first consideration. We are moving aggressively to take the necessary legal action to take control of the company and to trigger the state law enabling the California Insurance Guarantee Association to immediately begin the process of evaluating losses and paying claims.”

About the author

Phil Hall

Link copied

Published

Dec 05, 2018

Industry News

Commercial, Multifamily Mortgage Debt Tops $5 Trillion In Q1

MBA says outstanding debt grew by $26.3 billion in the first quarter, led by multifamily lending and increased holdings from banks, agencies, and life insurers

Commercial and multifamily mortgage debt outstanding surpassed $5 trillion for the first time during the first quarter of 2026, according to new data from the Mortgage Bankers Association (MBA).MBA's latest Commercial/Multifamily Mortgage Debt Outstanding report found total ...

Tech

Blue Sage Expands SageVision, UW Studio, Voice AI Capabilities

Latest updates bring embedded AI automation to lending and servicing workflows

Blue Sage Solutions has expanded its artificial intelligence platform with new automation capabilities for document analysis, underwriting workflows, and mortgage servicing operations.The mortgage technology provider announced enhancements across three core components of its...

Sep

Dallas, TX

More from

Industry News

Commercial, Multifamily Mortgage Debt Tops $5 Trillion In Q1

MBA says outstanding debt grew by $26.3 billion in the first quarter, led by multifamily lending and increased holdings from banks, agencies, and life insurers

Industry News

Jun 18, 2026

Fed Holds Rates Steady, But Outlook Dims For Mortgage Rate Relief

The Federal Reserve left rates unchanged but updated projections show more policymakers expecting additional hikes

Industry News

Jun 18, 2026

Congress Nears Final Vote On 21st Century ROAD to Housing Act

Senate voted 87-8 to advance House-amended package, with final votes expected in coming days

Industry News

Jun 17, 2026

Florida Pending Sales Signal Strong Summer Housing Market

Closed sales rise for a ninth straight month as inventory gives buyers more negotiating power