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Watertown Insurance Company Declared Insolvent

An insurance company based in Watertown, SD has been declared insolvent and will be liquidated by state officials.

A Watertown insurance company has been declared insolvent and placed into liquidation.

The South Dakota Division of Insurance took the action against Northern Plains Insurance Company, a South Dakota-based personal auto insurance company which specializes in offering high-risk coverage.

State Insurance Director Merle Scheiber says the order of liquidation allows his office to provide protection to the affected policy holders, including the payment of any valid claims.

Scheiber says he is confident all existing valid claims will be paid.

He says the South Dakota Insurance Guaranty Association fund provides a safety net to claimants. The fund is designed to pay claims in the event of insurance company liquidation.

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