PHL Variable Insurance Company Rehabilitation
PHL Variable Insurance Company and its subsidiaries, Concord Re, Inc. and Palisado Re, Inc. (collectively, “PHL”) entered rehabilitation proceedings in the Connecticut Superior Court on May 20, 2024, in response to PHL’s hazardous financial condition. Rehabilitation is a court proceeding that a company’s state insurance commissioner may initiate to take control of the company if it is in a hazardous financial condition. The goal of a rehabilitation proceeding is to develop a rehabilitation plan that maximizes the value of assets and equitably administers the business for the benefit of all policy and annuity holders.
Specifically, the Court appointed the Connecticut Insurance Commissioner as PHL’s Rehabilitator, who assumed control of the Company’s assets and will administer them under the Court’s supervision. The Commissioner is also empowered to take the necessary or appropriate actions approved by the Court to rehabilitate PHL.
On June 25, 2024, the Court finalized the moratorium terms which limit payments under some policies while a plan is developed by mid-2025. For most policy and annuity holders, the moratorium will not have any immediate effect on recurring payments and death benefits. Life insurance and annuity holders have received a letter detailing any restrictions on their policies.
The moratorium allows PHL to mitigate the high outflow of claim payments while developing a plan, and it will only be in place until a plan is confirmed by the Court. Once it is approved, some or all of the unpaid benefits may be restored.
Additional details about the moratorium and its specific impacts on policy and annuity holders can be found in the Summary of Moratorium Order or by calling the call center at 1-877-800-2445. You may also access the docket of all PHL-related court information at any time during the Company’s case.
Policy and annuity holders, as well as other stakeholders, can get answers to questions by calling 1-877-800-2445.
The Department will continue to update this page as information becomes available. Register here to receive an email notification when new information is added.
Important Information
- The Department’s Press Release posted on May 20, 2024.
- PHL Frequently Asked Questions (“FAQs”), which will be periodically updated. Last updated: 06/27/2024.
- Notice of (I) Rehabilitation Order, (II) Moratorium Motion, (III) Temporary Moratorium Order, and (IV) All Other Matters
- Summary of Moratorium Order
- Hardship Request for Exemption from Moratorium
- Producers PHL Rehabilitation Webinar
- The Department’s Insurance Company Receiverships information webpage.
Court Documents:
NOTE: Only certain court documents are directly linked below. All court filings can be accessed under the linked docket.
- Order of Rehabilitation and Appointment of State Insurance Commissioner as Rehabilitator
- Rehabilitator's Motion for a Moratorium on Certain Benefit Payments and Transactions
- Moratorium Order
- In the matter of PHL Variable Insurance Company, Inc., et al.
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