May 6, 2013: This web page has been updated with the most recent financial information for LGIC.
Lincoln General Insurance Company ("Lincoln") has been in "runoff" since February 2009. As such, and subject to certain statutory and/or
legal exceptions, Lincoln ceased writing new policies in or around February 2009. In addition, Lincoln is currently working with
the Pennsylvania Department of Insurance in an effort to satisfy remaining obligations and liabilities.
With that background, we refer you to Lincoln's most recent financial statements.
which are available at www.lincolngeneral.com/reports/statements.aspx
You will note that, as of December 31, 2008, which was just prior to Lincoln entering run-off in February 2009, Lincoln's surplus
was $79,227,960. (See the Annual Statement 2008, dated December 31, 2008, page 4 Line 39.)
As of December 31, 2011, Lincoln's surplus (on its discounted balance sheet) was $2,854,963. (See the Annual Statement 2011, dated December 31, 2011, page 4 Line 39.)
As of December 31, 2012, Lincoln's surplus (on its discounted balance sheet) was $1,873,057. (See the Annual Statement 2012, dated December 31, 2012, page 4 Line 39.)
Based in whole, or in part, on Lincoln's financials, twenty-six (26) states have made findings resulting in formal suspensions
of Lincoln's Certificates of Authority. As of April 12, 2011, these states included Alabama, Alaska,
Colorado, Florida, Idaho, Illinois, Iowa, Kentucky, Louisiana, Maine, Maryland, Mississippi, Missouri, Nevada, New York,
South Carolina, Tennessee, Virginia,
West Virginia, and Wyoming.
Orders issued by some of these states include the following language:
Arkansas Order of Suspension - March 24, 2010
Regulators suspended Lincoln General's Certificate of Authority due to a "financially hazardous condition."
www.lincolngeneral.com/orders/Arkansas Order of Suspension 2010-03-24.pdf
California Cease and Desist Order - May 26, 2010
"Lincoln is insolvent within the meaning of California Insurance Code §985 since it is unable to meet each and
every one of its financial obligations."
www.lincolngeneral.com/orders/California Cease and Desist Order 2010-05-26.pdf
North Dakota Temporary Order Suspending COA - February 23, 2010
"This is a substantial decrease in surplus in just one year. This renders Respondent's further proceedings
hazardous to its policyholders… Respondent is in an unsound condition."
www.lincolngeneral.com/orders/North Dakota Temporary Order 2010-02-23.pdf
Oregon Suspension Order - March 17, 2010
"LGIC did not maintain at least $5,000,000 in capital and surplus, or any combination thereof, as required by
ORS 731.554(2)… LGIC did not comply with the minimum capital and surplus requirement of ORS 731.554 for
a certificate of authority."
www.lincolngeneral.com/orders/Oregon Suspension Order 2010-03-17.pdf
Washington Consent Order Suspending COA - March 30, 2010
"On March 18, 2010, OIC gave notice to LGIC of its intent to revoke Certificate of Authority No. 1950, based upon
LGIC's failure to maintain minimum statutory capital and surplus… LGIC is in a hazardous financial condition
according to the standards contained in WAC 284-16-310… the Insurance Commissioner will issue this Consent
Order that: … requires LGIC to promptly and properly settle all claims arising from policies issued in this state
or covering property interests wholly or partially located in this state…"
www.lincolngeneral.com/orders/Washington Consent Order Suspending COA 2010-03-30.pdf
As noted above, certain state regulators have concluded that Lincoln is: in "hazardous financial condition," in an "unsound condition," or "insolvent" within
the meaning of varying state statutes. In addition to these state-mandated suspensions, Lincoln entered into
voluntary agreements to cease writing in seven (7) additional states. As of April 12, 2011, these states
included Connecticut, Massachusetts, Michigan, New Hampshire, New Jersey, Texas and Vermont.