S&P Hands National Auto & Casualty Insurance Co. ‘R’ Rating

Standard & Poor’s has assigned its ‘R’ financial strength rating to National Automobile & Casualty Insurance Co. after learning that California Insurance Commissioner Harry W. Low put the company into conservation because of its insolvency. National Auto’s Dec. 31, 2001, annual statement reported that the company was insolvent by about $1.6 million. The conservation order was obtained from the Los Angeles Superior Court.

The company, a property/casualty insurer specializing in private passenger auto, automobile liability and physical damage, and homeowner insurance, is licensed in Arkansas, Arizona, California, Indiana, Missouri, Nevada, Texas, and Washington.

As conservator, the commissioner preserves and protects the assets of the company for the benefit of policyholders, creditors, and shareholders. The Conservation & Liquidation Office (CLO) will be responsible for operations of the company.

Topics Auto Casualty