🚀 go-pugleaf

Here is a press release from the Virginia State Corporation Commission.
I downloaded the press release from the PR On-Line BBS in Maryland
at 410-363-0834. I do not work for the Virginia state government.


 HOW Insurance Company Permanently Enjoined; Virginia State
Corporation Commission Named Receiver
 To: National Desk
 Contact: Ken Schrad of the Virginia State Corporation Commission,
          804-371-9141

   RICHMOND, Va., Oct. 14  -- The Virginia State
Corporation Commission (SCC) has been named permanent receiver of
HOW Insurance Co. (HOWIC), a risk retention group based in
Virginia; Home Owners Warranty Corp. (HOW), a District of
Columbia corporation; and their parent company, Home Warranty
Corp. (HWC), a Delaware corporation.
   In naming the SCC as receiver for the purpose of rehabilitation
or liquidation, the Circuit Court of the City of Richmond
permanently enjoined all three companies from continuing to do
business, transferring their assets and related matters.
   SCC Commissioner of Insurance Steven T. Foster has been
appointed deputy receiver of HOWIC, HOW and HWC.  Foster says under
the terms of the court order he will permit the enrollment and
certification of enrollment in the warranty and insurance program
of structures built, or being built, by members of the HOW program
provided that a contract between the builder and buyer as to such
structure was in effect no later than Oct. 7, and provided that
construction had commenced no later than Oct. 7.
   However, the receiver may require that the parties to such
contract and other parties at closing acknowledge that they have
been advised of the receivership and the companies' potential
inability to perform fully under any warranty or contract issued on
that home.
   The deputy receiver will fully evaluate the companies'
circumstances and take further steps as they may become
appropriate.  It is the intent of the receiver to make every effort
to rehabilitate the insurer if at all possible.  The deputy
receiver will further advise interested parties of these
developments as soon as practicable.
   HOW Insurance Co., a risk retention group with offices
located in Arlington, Va., provides liability insurance for its
member builders.  Premiums for this coverage are paid by the
builder.  The company writes coverage in 49 states and the District
of Columbia.

 -30-