Notice to Industry:OIR Issues Suspension of COA for Life & Health Insurer

The Florida Office of Insurance Regulation is providing prompt notice of the suspension of Atlantic Coast Life Insurance Company to the insurer’s agents of record in the state of Florida, as required under section 624.420, Florida Statutes. OIR issued an Immediate Final Order suspending the company’s COA effective immediately, pursuant to its lawful authority under section 624.418, Florida Statutes.

      Pursuant to its lawful authority, “the office may, at its discretion, without prior notice and the opportunity for hearing immediately suspend the certificate of authority of an insurer upon a determination that: (a) The insurer is impaired or insolvent; or (b) Receivership, conservatorship, rehabilitation, or other delinquency proceedings have been initiated against the insurer by the public insurance supervisory official of any state.”

 OIR’s Immediate Final Order states: “In making the decision to suspend Atlantic Coast’s COA, the Office determined that Atlantic Coast is impaired and that another insurance supervisory official, namely the South Carolina Department of Insurance, initiated rehabilitation proceedings against Atlantic Coast…

“Moreover, the South Carolina Department of Insurance, Atlantic Coast’s domestic regulator, petitioned a court to issue an order placing Atlantic Coast and its subsidiary into receivership for purposes of rehabilitation. Because Atlantic Coast is impaired and South Carolina Department of Insurance initiated receivership proceedings for the purpose of rehabilitation, the Office issues this Immediate Final Order suspending Atlantic Coast’s COA to protect current and prospective policyholders.”

Atlantic Coast is ordered to immediately cease to act or hold itself out to be an insurer in Florida and shall cease soliciting or accepting new or renewal business in Florida. Florida agents please be aware of this suspension and halt any future contracts between the company and Florida consumers. Please note, continuing any further transactions with this company will be financially hazardous to policyholders and likely constitute a violation of Florida law.  

OIR will work closely with Atlantic Coast to ensure maximum consumer protection. Atlantic Coast is required to continue to service all Florida in-force policies and shall honor its liability for losses and unearned premiums as long as they continue to exist.

Atlantic Coast shall continue making all statutory filings required by section 624.424 in Florida until such time that the company has certified, and the Office confirms that all of its claims, liabilities, and obligations that have arisen in the state of Florida are paid or settled.

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