Best’s News & Research Service - March 17, 2021 01:28 PM (EDT)
Bedivere Insurance Co. to Be Liquidated as Financials Deteriorate
HARRISBURG, Pa. //BestWire// - Pennsylvania Commonwealth Court has ordered Bedivere Insurance Co. to be liquidated after the most recent quarterly report showed the company’s financial condition rapidly deteriorating.
President Judge P. Kevin Brobson signed the order directing Pennsylvania Insurance Commissioner Jessica Altman to take control of the company’s remaining assets. All Bedivere policies will remain in effect for no more than 30 days, the order said.
Bedivere, which issued workers’ compensation, automobile and commercial liability insurance, merged in December with The Employers Fire Insurance Co., Lamorak Insurance Co. (formerly One Beacon Insurance Co.) and Potomac Insurance Co.
Its policyholder surplus has deteriorated since 2017, according to BestLink. Bedivere’s policyholder surplus at year-end 2020 was negative $277.5 million, down from $24.2 million in 2019. It had a 2020 net loss of $283.4 million, compared with a net loss of $83.1 million a year earlier. The company last reported a net income in 2016.
According to the Reed Smith law firm, Bedivere held the historic environmental and asbestos liability coverage issued by numerous other companies, particularly OneBeacon and other predecessors.
Bedivere is not rated by AM Best.
(By Timothy Darragh, associate editor, BestWeek: Timothy.Darragh@ambest.com)