Administrator CRM Goes Bust with New York Workers’ Comp Trusts

CRM Holdings, which had been a major third party administrator for self-insured workers’ compensation trusts in New York, will surrender its trust license by the end of the summer as part of a settlement reached with state regulators.

The settlement appears to bring to a close a laundry list of charges against the Bermuda-based CRM — which voluntarily exited the New York self-insured group market earlier this year — for the way in which it paid claims, filed proper reports about its business to the state and made adequate cash reserves. The allegations came to a head earlier this year when regulators charged CRM with failing to cooperate with auditors in connection with a review of seven group self-insurance trusts scattered throughout the state.

Full article here.