Receivership Orders

Pine Top Insurance Company commenced business in 1973. Its sole stockholder was Greyhound Corporation (Dial Corp). Pine Top was licensed in three states (IL, AZ and MT). It also operated on an excess and surplus lines or non-admitted basis in 43 additional jurisdictions. Pine Top primarily wrote general liability, umbrella and excess liability, primary and excess fire, as well as a significant amount of assumed reinsurance and facultative coverages.

Pine Top was placed in conservation by a court order entered on June 18, 1986. On June 23, 1986, Pine Top was placed in rehabilitation. Following unsuccessful efforts to rehabilitate the company, the Circuit Court of Cook County, Illinois, issued a final Agreed Order of Liquidation with a Finding of Insolvency on January 16, 1987.

The final date for filing proofs of claim with the Liquidator was January 17, 1989. The contingent claim liquidation date was extended to January 17, 1992. Early access distributions in the amount of $3,249,390 have been made to various Guaranty Funds for administrative expenses and claim payments.

On October 19, 1993, the Supervisory Court entered an order approving procedures for the final valuation of cedent creditor claims. Final Update forms were mailed to all cedents.

Beginning in 1996, a 50% partial policyholder distribution of approximately $13 million was made. A second 50% distribution in the amount of $13,415,677.55 was made on December 30, 1999. On June 30, 2003 a 100% class E distribution was made in the amount of $18,910,705.33 and another $4,900,000 was paid in 2005. Pursuant to an order entered by the Supervisory Court in May of 2003, all timely filed policyholder claims allowed at level (e) of the priority schedule have been paid in full. A 20.5324% partial priority level (g) distribution was made on July 24, 2009, totaling $25,000,058.

July 8, 2009, an order was entered by the Supervisory Court approving a first distribution on the timely filed allowed claims of general creditors. The distribution consists of a dividend rate of 20.5324%. (Updated on July 10, 2009)

On September 30, 2010, a petition for approval of an approximately $20 million interim dividend to general creditors has been filed with the Supervising Court. The petition will be heard on 10/13/2010. Pending court approval, the distribution will be made in October 2010.

October 19, 2010, The court supervising Pine Top's liquidation entered an order approving the Liquidator's application for approval of payment of a second interim dividend to general creditors.  The court approved a dividend rate of 17.3116%, bringing the total dividend rate, to date, to 37.8440%.

On December 17, 2010, the Court supervising the liquidation proceedings approved a third and final distribution to general creditors and closing for the Pine Top estate. The final distribution is at the rate of 11.2066% bringing the total dividend paid on general creditor claims to 49.0506%. The distribution will be made at the end of the year.