Northern Capital Insurance Company Ordered Into Rehabilitation
Subsequent Liquidation Ordered Effective May 1, 2010
TALLAHASSEE—Judge James O. Shelfer of the Second Judicial Circuit Court of Florida issued an order late yesterday placing Miami-based Northern Capital Insurance Company (NCIC) into receivership for the purpose of rehabilitation. At the same time, the Court ordered the subsequent liquidation of the company, effective May 1, 2010. The Department of Financial Services (DFS) was named Receiver.
The Department requested the combination of the rehabilitation followed by liquidation to allow DFS additional time to assist NCIC’s 62,000 policyholders in obtaining replacement property and casualty insurance coverage prior to the beginning of the 2010 hurricane season. NCIC, a Florida corporation licensed in 2006, primarily wrote homeowners, automobile and inland marine policies in Florida.
During the rehabilitation phase prior to May 1, 2010, NCIC’s policies remain in effect and the Receiver will continue to process and pay claims to the extent possible. Under the liquidation order which is effective on May 1, 2010, all NCIC policies will be cancelled as of 11:59:59 p.m. on May 30, 2010, unless otherwise terminated prior to that date.
Upon liquidation, property and casualty insurance policies will be covered by the Florida Insurance Guaranty Association. However, until 11:59:59 p.m. on May 30, 2010, consumers should continue to call NCIC’s customer service department at 1-888-449-0140 for all questions relating to NCIC policy and coverage issues. Copies of the April 12, 2010, Rehabilitation Order and the effective May 1, 2010, Liquidation Order for NCIC and other relevant information are available on the Receiver’s website, www.floridainsurancereceiver.org.
For non-claims related questions regarding the receivership, consumers should contact the Department of Financial Services by using the “Contact Us” form at the Receiver’s Web site, www.floridainsurancereceiver.org, or call the Florida Department of Financial Services, as Receiver, at 1-800-822-3054 or (850) 413-3081.
CONTACT: Kevin Cate or Nina Banister, (850) 413-2842
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