Hit by 777 Partners Woes, Annuity Issuer Faces Rehab Petition
April 2, 2025 by Allison Bell
Utah insurance regulators want to put Sentinel Security Life Insurance Co. and two reinsurance company affiliates into rehabilitation.
A-CAP Group, the companies’ parent, says an administrative order gives it until May 12 to make its case for why the annuity issuer and the two affiliates should stay out of rehabilitation.
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“Utah insurance regulators want to put Sentinel Security Life Insurance Co. and two reinsurance company affiliates into rehabilitation.
A-CAP Group, the companies’ parent, says an administrative order gives it until May 12 to make its case for why the annuity issuer and the two affiliates should stay out of rehabilitation.
‘The Utah insurers have been required to provide additional funds on the investments to avoid defaults that would disclose their worthless investments and force them to recognize losses, to continue to fund 777 Partners, and avoid the collapse of the entire enterprise,’ according to the rehabilitation petition.
Jon Pike, insurance commissioner, says in the rehabilitation petition that the examiner he hired to examine the Utah insurers cannot conduct a thorough analysis of the A-CAP assets because the Utah insurers have stopped providing documentation to the examiner.
Utah ordered the insurers based in Utah to stop writing new business by the end of 2024. An administrative law judge in Utah agreed to keep the order from taking effect until after a trial to be held May 12, 2025. -sjm
