News / Profession

Calif. Issues "Cease and Desist" against PIC, CARE and Rose

Dynamic Chiropractic Staff

Just prior to press time, notice was received from the California Department of Insurance that it had issued an "Order to Cease and Desist and Notice of Hearing" to Professional Indemnity Corporation (PIC), the Chiropractic Association for Research and Education (CARE), and William A. Rose, D.C., managing director. This order comes just three months after the Washington State Insurance Commissioner's Office issued a similar order (please see "Washington State Orders Malpractice Insurer to Cease and Desist" in the February 26, 1993 issue).

The order states:

"NOTICE IS HEREBY GIVEN that the Insurance Commissioner of the State of California has reasonable cause to believe that Respondents (PIC, CARE and Rose) are conducting business in such a manner as to threaten to render it insolvent or in a hazardous condition; are conducting a business and affairs in a manner which is hazardous to its policyholders, creditors, and the public, or have committed or engaged in certain acts, practices, and transactions which would render such company subject to conservation or liquidation proceedings; and it further appears that such conduct will result in the irreparable loss and injury of the property and business of the insurer in California unless the Insurance Commissioner acts immediately ... the Insurance Commissioner intends to make certain orders necessary to correct, eliminate, and remedy such conduct and conditions ..."
Those concerned should contact the California Department of Insurance at (800) 927-4357. Be watching for complete details in the next issue.
March 1993
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