Article: Frontier shuts main unit, plans new MGA focus.(Frontier Insurance Group Inc.)(Brief Article)

ROCK HILL, N.Y.-Troubled Frontier Insurance Group Inc. announced that its Frontier Insurance Co. unit will stop writing new and renewal business in the wake of a sharp decline in policyholder surplus, as reported on a regulatory filing.

In its year-end statutory financial statement filed with the New York Insurance Department, Rock Hill, N.Y.-based Frontier reported surplus of about $16 million as of last Dec. 31, down from $65 million as of Sept. 30, according to Frontier President Mark Mishler. The drop stemmed partly from a New York regulation limiting the valuation that insurers can claim on investments in insurance company subsidiaries. As a result, Mr. ...

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