Crumbling Foundations Captive Latest Claim Reserves Update

In an update, the Connecticut Foundation Solutions Indemnity Company, Inc. (CFSIC), the captive insurance company charged with providing financial assistance to homeowners affected by the crumbling foundations natural disaster, said that, to date, it holds $71,690,176 in known identified claim reserves.

This figure does not count pending claimants that are not carried as reserve liabilities until their files are opened. According to the statement, CFSIC estimates another $70 million in reserves will be added for waiting claimants to be finalized.

Total reserve liabilities as of October 20, 2023, were $67 million, compared to $54.5 million as of October 28, 2022, and $57 million as of October 8, 2021.

CFSIC had $130 million in claims paid as of October 20, 2023, compared with $104 million as of October 28, 2022, and $77 million as of October 8, 2021.

The number of total known claimants as of October 20, 2023, was 2,212, which compares to 2,080 total known claimants as of October 28, 2022, and 1,876 total known claimants as of October 8, 2021.

CFSIC is a Connecticut-domiciled captive insurance company formed by Michael Maglaras & Company in 2018 and was created to respond to the crumbling foundations property insurance crisis in Connecticut.