Has an insurance company ever filed for bankruptcy?

Just like any other industry there are individual insurance company failures. But the insurance industry has a stellar reputation for financial responsibility. There are over 1000 life insurance companies in the US. read more

Yes, here are examples of some of the larger insurance companies that have filed for chapter 11 bankruptcy over the past ~10 years: Acceptance Insurance Companies Inc. Brooke Corporation ; Conseco, Inc. Highlands Insurance Group, Inc. Home Holdings, Inc. Liberty State Benefits of Delaware Inc. read more

With airlines, chain stores, general and even several banks filing for bankruptcy, I have never heard of an insurance company like Allstate or State Farm filing even with all the catastrophic situations that have occurred recently. read more

Rehabilitation - prior to an insurance company bankruptcy Prior to an insurance company bankruptcy, the insurance company will go through a process called rehabilitation dictated by the laws of the state whereby the state insurance commission will make every attempt to help the company regain its financial footing. read more