Order Pursuant to California Insurance Code Section 1765.1 We have been requested by the California Department of Insurance ("Department"), acting in accordance with and pursuant to Section 1765.1 of the California Insurance Code, to advise all Surplus Line brokers and Special Lines Surplus Line brokers that effective December 31, 1994, unless and until notified by the Department to the contrary, the above insurer should not be employed for placements of California business. No further new or renewal business may be placed with the company.
This Order is based upon the fact that AEGON Insurance Company Limited no longer intends to do business in the United States surplus lines market. Please refer to the attached letters by Carol Fistler, Staff Counsel III, California Department of Insurance, and Karen Deibert, LeBoeuf, Lamb, Greene & MacRae, New York, for further information.
James S. Pugh Manager JSP/jcv Enclosures
DEPARTMENT OF INSURANCE
January 9, 1995
The Surplus Line Association of California
388 Market Street, Suite 1150
San Francisco, CA 94111
Subject: AEGON Insurance Company Limited (U.K.) Order Pursuant to California Insurance Code Section 1765.1
Dear Gentle People:
Please issue a bulletin to your members notifying them that AEGON Insurance Company Limited is unacceptable pursuant to CIC Section 1765.1 for placement of new or renewal business. Attached is a copy of the Department's order for your reference. if you have any questions, please contact me.
Very truly yours,
Carol A. Fistler
Staff Counsel III
(415) 904-5674
cc: Bill Palmer
Victoria Sidbury
Karen Deibert
STATE OF CALIPORMA
DEPARTMENT OF INSURANCE
45 FREMONT STREET, 24TH FLOOR
SAN FRANCISCO, CA 94105
January 9, 1995
MO. Kazan Deibert
LeBoeuf* Lamb, Green & McRae
125 West 55th Street
NOW York NOW York 10019-5389
Subject: AEGON insurance Company Limited (U.K.)
Order Pursuant to CXC 1765.1
Dear Ms. Deibert:
Pursuant to California Insurance Code section 1765.1 AEGON insurance Company Limited is unacceptable for placement of further new or renewal business. This order is based on the attached letter whereby AEGON Insurance Company Limited withdrew from the California market, writing no new or renewal business. as of December 31, 1994.
Very truly yours
Carol A. Fistler
Staff Counsel III
(415) 904-5674
cc: Bill Palmer, General Counsel
Victoria S. Sidbury, Bureau Chief of Corporate Affairs
Patricia K. Staggs, Bureau Chief of Compliance
Surplus Lines Association
NAIC c/o Maximiliane Moody, NAIIO
LEBOEUF, LAMB, GREENE & MACRAE-
December 14, 1994
CERTIFIED MAIL
RETURN RECEIPT REQUESTED
Hon. John Garamendi
Insurance Commissioner
Department of Insurance
State of California
45 Fremont Street, 23rd Floor
San Francisco, California 94105
Re: AECON Insurance Company (U.K.) Limited
Surrender of Surplus Lines Eligibility
Dear Commissioner Garamendi: We serve as Special counsel in the United States to AEGON
Insurance Company (U.K.) Limited of London, England ("AEGON (U.K.) "). AEGON
(U.K.) is an eligible surplus lines insurer in California.
We wish to inform you that AEGON (U.K.) has decided not to accept new or renewal U.S. surplus lines business after December 31, 1994. In this circumstance, AEGON (U.K.) has instructed us to advise you of its decision to withdraw voluntarily from the United States surplus lines market effective December 31, 1994. Accordingly, AEGON (U.K.) hereby surrenders its surplus lines eligibility in California effective December 31, 1994. Please note that AEGON (U.K.) will also surrender its NAIC listing effective as of that date.
Please be advised that AEGON (U.K.) intends to handle all claims and accounts servicing obligations in a responsible and orderly fashion. AEGON (U.K.) continues to maintain a trust fund for the protection of its United States surplus lines policyholders.
We wish to emphasize that AEGON (U.K) Is surrender of its California surplus lines eligibility has no bearing whatsoever upon the licensed, approved reinsurer, eligible surplus lines insurer or other status in California of any U.S. or overseas affiliates of AEGON (U.K.).
Please do not hesitate to contact us if you have any questions.
Yours sincerely,
Karen S. Deibert
KSD/mlr