The Louisiana Office of Motor Vehicles (OMV) issued a statement Monday urging customers with auto insurance policies issued by either Affirmative Insurance or Affirmative Casualty Insurance to secure new policies before May 12.
Affirmative was ordered into liquidation April 11, and Louisiana Insurance Commissioner Jim Donelon was appointed liquidator. Under the liquidation order, all policies issued by the insurer are cancelled effective 11:59 p.m. (Central Daylight Time) on May 11, 2016.
Consumers of Affirmative who fail to secure new auto insurance policies before the deadline will be issued an insurance cancellation penalty by the OMV, reported The Shreveport Times.
"Customers of both of these insurance companies should have already received notification advising them to obtain replacement insurance coverage prior to their policy expiration or by 11:59 p.m. May 11, 2016. However, it is my responsibility to take a few more steps to get this information to our customers. We are going to utilize every means available to us to minimize the impact to Louisiana citizens,” said OMV Commissioner Karen G. St. Germain.
The Office of the Insurance Commissioner claimed in a statement that there are about 11,000 policyholders in the state affected by Affirmative’s insolvency.
