(TORONTO) July 22, 2002 - The Superintendent of Financial Services at the Financial Services Commission of Ontario has issued an order under the Insurance Act, taking possession and control of the assets of Markham General Insurance Company.
As permitted under Section 58 of the Insurance Act, the Superintendent took this action to protect policyholders because Markham General Insurance Company could no longer meet its obligations.
The Superintendent had been closely monitoring the company and took the action after receiving financial information from the board of directors of the company showing that the assets were insufficient to warrant Markham General Insurance Company continuing in business.
Policyholders are protected, within program limits, by the Property and Casualty Insurance Compensation Corporation. PACICC is an insurance industry operated and funded compensation plan.