MAGNOLIA UNDER FLORIDA STATE SUPERVISION

Florida-based home insurer Magnolia has been placed under administrative supervision by the state's insurance regulator. The insurer's president has resigned. Magnolia said that it had agreed to work with the Office of Insurance Regulation to develop a "corrective plan of action". This could include the insurer being bought by another company. The OIR said that Magnolia was not in sound financial shape. Magnolia was a carve-out insurer created in April 2008 with $20m in capital and 100,000 policies that it took out of insurer of last resort Citizens.