Last Updated: May 4, 2020
Information Regarding the Liquidation of Northwestern National Insurance Company of Milwaukee, Wisconsin (NNIC)
NAIC #: 23914
Date of Liquidation: May 2, 2019
Bar Date (the last date on which a claim may be filed): November 2, 2019
Authorized Lines of Business:
- Workers Compensation
- Ocean Marine
- Liability and Incidental Medical Expense (other than automobile)
- Fire, Inland Marine and Other Property
- Disability (Includes Accident & Health)
When NNIC was writing business, they were primarily writing Commercial Multi-Peril, Other Accident and Health, Workers' Compensation, Other Liability– Occurrence, Product Liability – Occurrence, and Commercial Auto Liability.
Licensed States at December 31, 2018, per the annual statement:
- New Hampshire
- New Jersey
When the company was actively writing business they were licensed in all 50 states, the District of Columbia and Puerto Rico.
Policyholders with questions about coverage should contact their state guarantee fund:
Claim submissions should continue to be set to:
Special Deputy Liquidator
Northwestern National Insurance Company of Milwaukee, Wisconsin
Office of the Commissioner of Insurance
P.O. Box 7873
Madison, WI 53707-7873
Questions regarding the liquidation can be emailed to email@example.com
NNIC was organized in 1869 by an act of the Wisconsin Legislature that allowed the company to transact marine and fire business. This act provided capital stock of one million dollars divided into shares with a par value of one hundred dollars each.
NNIC's operations were limited to fire and allied forms of insurance until 1930, at which time they entered into casualty lines of business through a wholly owned subsidiary. NNIC added multiple lines of business in 1951.
In February 1968, NNIC's board of directors and management organized NN Corporation (NNC) under Delaware statutes as a holding company with general business purposes. In July 1986, an exchange offer was made to NNIC stock for NNC stock on a one-for-one basis. NNC then merged with and into Armco Financial Services Corporation effective December 1, 1980.
NNIC ceased writing new individual health policies in February 1975. Group and association health insurance business was terminated in April 1977. NNIC went into run-off on January 1, 1986 with the exception for mandatory writings of their guaranteed renewable accident and health policies.
Timeline of Key Run-off and Rehabilitation Events:
1986 – Run-off Operations.
1991 – Merger with affiliated companies, Universal Reinsurance Company and Bellefonte Underwriters Insurance Company.
1999 – Restructuring agreement: Armco Financial Services Corporation and Armco Insurance Group, Inc., released from NNIC obligation in exchange for contributions and prepayments of $60.9 million. Further provision is made for loss reserves discounting at 6.5% and exemptions from filing requirements for Risk Based Capital and for Schedule P.
2003 – Suspension of further settlements on assumed business.
2004 – Restructuring Order:
- Establishing Segregated Account as of December 31, 2003, for direct policyholders including guaranteed renewable A & H policies and
- Voluntary Global Commutation Program for assumed reinsurance business in the General Account
2006 – Commutation Agreements: As of October 2006, approximately 75% of the total number of reinsureds, representing approximately 71% of the total liabilities of the General Account, had entered commutation agreements with NNIC.
2007 – Rehabilitation Order: Remaining stages of the Global Commutation Program were implemented, including application of voluntary commutation terms to participants and non-participants alike.
2008 – Rehabilitation Activities: Initial payments made to non-participants and second required payments made to all reinsureds.
2010 – Rehabilitation Activities: The final interim distributions made to all reinsureds.
2012 – Release from Rehabilitation: Global Commutation Program was fully completed.
Effective October 28, 2016, Armco Insurance Group, Inc. sold 100% of the issued and outstanding shares of NNIC to SOBC Gamma
National Organization of Life & Health Insurance Guaranty Associations
National Conference of Insurance Guaranty Funds