Adirondack To Agents: Start Replacing Our Policies
Adirondack Insurance Exchange reported today that its financial condition has continued to deteriorate. The carrier is advising its agents to begin replacing its policies with other insurance carriers immediately. As we reported on May 29 and June 18, Adirondack's financial strength rating from rating firm Demotech was withdrawn on May 28. That same day, the carrier emailed its agents reporting a surplus shortage and a deterioration in their capital due to rising loss costs and inadequate rates. Should the carrier reach the point of insolvency, a lengthy legal process must ensue before claim payments will become jeopardized. These are some of the questions we answered…