CALIFORNIA INSURER COLLAPSES UNDER WILDFIRE CLAIMS

California regulators took expedited legal action on Friday to secure the assets and take control of Merced Property & Casualty after the small insurer was overwhelmed by claims from the Camp fire, the recently extinguished wildfire that was the deadliest and most destructive in state history. Regulators did not provide figures on how many insureds the company has or the number of fire-related claims it fielded, but the Department of Insurance told a Merced County court the company was near insolvency. The expedited takeover of the firm will enable Merced policyholders to have their claims paid by the California Insurance Guarantee Association. The department said Merced policies will remain in force for 30 days and advised policyholders to seek coverage with another insurer immediately.