Healthcare Providers Insurance Exchange (HPIX) Explains Liquidation Plans
January 3, 2018by
The following is a statement — dated Dec. 18, 2017 — from Healthcare Providers Insurance Exchange (HPIX) regarding its liquidation: "In 2015, we determined it was in the best interests of our subscribers to voluntarily cease operations and begin an orderly run-off of the company's liabilities. Our plan to settle these liabilities was based on independent actuarial projections of their ultimate costs and was approved by our regulators. Since 2015, we have both resolved a significant number of claims and paid indemnity and defense costs for those claims. "We continue to receive new claims from our subscribers and the projection of the ultimate costs of all claims has increased dramatically since 2015. Our most recent independent actuarial projections, as of September 30, 2017, indicate that we may not have sufficient assets to meet our liabilities. After consideration of our options, we have agreed to enter into an orderly liquidation supervised by the Pennsylvania Insurance Department (PID). "A court-appointed liquidator will take control of the company's assets and seek to resolve our remaining liabilities. The liquidator will provide additional information and instructions about this process in the near future. "We understand this development may be concerning to HPIX's subscribers and many supporters. Please be assured that we will cooperate fully with the PID and liquidator to achieve the best outcome for all parties. "Once appointed, the liquidator will provide additional information and will be able to address any questions or concerns you may have."