Yet another Florida insurer is on the chopping block, as insurance regulators order Fort Lauderdale -based Guarantee Insurance to stop writing new business after an audit reportedly revealed the insurer’s financial difficulties.
According to an August 18 consent order issued by the Florida Office of Insurance Regulation, the insurer has been placed under administrative supervision. State insurance regulators did not offer further documentation on the “identified weaknesses” in the order, or any of the “outstanding findings” Guarantee has been ordered to rectify in a re-audit of its year-end financial statement for 2016.
However, a report by SNL.com has revealed that the state order came two weeks after an independent financial audit stated that it had “substantial doubt” about the company’s ability to operate. The audit, conducted by BDO USA LLP, revealed that Guarantee “overstated” its year-end financial health for 2016.
Click here to read more: