The Insolvency Process
When an insurance company becomes insolvent, or is no longer able to pay its outstanding claims,
the courts and the New Jersey Department of Banking and Insurance ( DOBI )
begin a legal process to determine whether the company should be placed into liquidation.
If a company is placed into liquidation, the New Jersey Property-Liability Insurance Association (Association) or New Jersey Surplus Lines Insurance Guaranty Fund (Fund)
is responsible for providing policyholders and claimants with appropriate statutory protections.
Some other online resources containing useful information on insolvencies are:
|
