| Question: |
Has a moratorium been
imposed on the issuance of new and renewal insurance business of ROA? |
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| Answer: |
Yes, the Deputy
Receiver issued his Second Directive Imposing Moratorium on New Business
(the "Second Directive"), effective January 29, 2003. The Second Directive
ordered a moratorium on the solicitation or issuance of new or renewal
contracts of insurance or insurance policies by ROA. New contracts of
insurance and insurance policies were allowed and issued by ROA if the
contract or policy was legally bound by ROA before January 29, 2003.
Based on the Second Directive, subscribers and policyholders were advised
that if their insurance policy expired on or after January 29, 2003, the
insurance policy would not be renewed by ROA. |
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|
| Question: |
Has a moratorium been
imposed on ROA regarding reinsurance? |
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|
| Answer: |
Yes, the Second
Directive also imposed a moratorium on the assumption of new risks through
reinsurance on or after January 29, 2003. Policyholders of insurance
companies that were reinsured by ROA should contact their insurance company
for additional information about how this directive may affect their
insurance policies. |
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