LIQUIDATION ORDER

Western General Insurance Company ("Western General") was found to be insolvent and placed into liquidation by a California court on August 5, 2021. The LIQUIDATION ORDER may be viewed here. The liquidation order triggered TPCIGA's statutory obligations to Texas policyholders and claimants under TEX. INS. CODE chapter 462, known as the Guaranty Act.

The liquidation order permanently enjoins all persons, including policyholders and creditors, from instituting or further prosecuting any action against Western General except within the liquidation proceedings. In addition, the Texas Guaranty Act imposes an automatic six-month stay of proceedings in any case in which Western General was obligated to defend a party, effective until February 5, 2022.


CANCELLATION OF POLICIES

The liquidation order cancels all in-force insurance policies on September 4, 2021, the thirtieth day following the effective date of the order.


NEW AND PENDING LOSS CLAIMS INFORMATION

Report new claims under policies issued by Western General to (800) 758-3311.

TPCIGA is working with the California liquidator to arrange for transfer of the Texas claims to TPCIGA for handling. Policyholders and claimants are requested to forgo contacting TPCIGA on non-hardship matters for 4-6 weeks to allow sufficient time for the file transfer and initial review. TPCIGA will be unable to discuss the status of pending claims until the files have been transferred.

If you have insurance through another carrier, including uninsured motorists' coverage or health insurance, that insurance is now primary, and you should contact your carrier to make a claim. All forms of other available insurance must be exhausted before TPCIGA can consider payment of your claim.

If your vehicle needs repairs or is presently in the repair shop, and your claim is against an insured of Western General, you should proceed under your own collision or uninsured motorist coverage and seek reimbursement of your deductible from TPCIGA. If you are an insured with a property damage claim and your car is undriveable and/or in the shop, we will attempt to prioritize your claim.


LAWSUITS AND STAY OF LITIGATION

Litigation against Western General is permanently enjoined by the Liquidation Order. Any pending lawsuit in which Western General is obligated to defend a party is automatically stayed for a period of six months from the date of the liquidation order, or until February 5, 2022, pursuant to TEX. INS. CODE §462.309. The statute of limitations is not tolled by the automatic stay.


PRIOR OR PENDING SETTLEMENTS

TPCIGA is not bound by a settlement or release entered into by Western General or its insureds, and such a settlement is not evidence of liability or damages against TPCIGA or an insured. TEX. INS. CODE §462.303. TPCIGA is obligated to review all claims to determine the extent to which they may be payable under the Guaranty Act.


UNEARNED PREMIUM

Claims for unearned premium will be processed as soon as possible after TPCIGA receives all necessary financial information from the liquidator. It is not necessary to file a claim with TPCIGA for your unearned premium.


HOME STATE COUNTY

Policies with the policy prefix LST or TX2 were issued by Home State County Mutual Insurance Company. Although administered by Western General pre-insolvency, they are not part of the liquidation. Home State County claims are now being handled by Snap Insurance Services. You may reach them at (800) 297-9762 or wgclaims@snapmga.com.


LIQUIDATOR CONTACT INFORMATION

The California Conservation and Liquidation Office will administer the liquidation estate on behalf of the California Commissioner of Insurance, the statutory liquidator. You may contact them by visiting its website at www.caclo.org, emailing info@caclo.org or calling (415) 676-5000. The deadline for filing claims with the Western General liquidation estate is February 28, 2022


Information as of 08/21/2021


Western General Insurance Company

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Information on this site is not legal advice and is not intended to be a comprehensive statement of the law or of the TPCIGA's policies and procedures.  References to the laws of any jurisdiction are for informational purposes only and are not a substitute for the official version of a statute. TPCIGA makes no warranty as to the accuracy or reliability of the content of this website or other related websites.  


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