INSURANCE BRIEFS

INSURANCE BRIEFS

RELIANCE COMPLETES

PUBLIC STOCK OFFERING

NEW YORK - Reliance Group Holdings completed its simultaneous public offering of 25 million shares of its common stock and $650 million in notes and debentures.

The stock was sold to the public at a price of $8 per share, raising about $200 million for the company, said spokesman Brian T. Martin.

The debt offering consisted of $400 million of 9 percent senior notes, due in 2000; and $250 million worth of 9.75 percent senior subordinated debentures, due in 2003.

The offering was announced in August when Reliance filed a registration statement with the Securities and Exchange Commission. The stock and debentures were put up for sale on Nov. 5.

CALIF. COMP INSURER

TO REBATE $22.8 MILLION

LOS ANGELES - California's biggest workers compensation insurer will rebate $22.8 million to businesses following a state investigation into complaints of coverage delays and overcharging, regulators said.

The refunds by the State Compensation Insurance Fund are the largest ever made by an insurer in the state as the result of an investigation, Insurance Commissioner John Garamendi said last week.

The department started looking into SCIF in November 1992 after numerous formal complaints were filed by employers who either had coverage with the company or sought coverage, Garamendi said.

SCIF was set up by the state as a nonprofit insurer of last resort so small businesses would have workers compensation insurance.

MASS. INSURANCE SCAM

LINKED TO MURDER

BOSTON - Two Massachusetts men, who authorities say staged an auto accident to collect insurance funds, were charged with murder when their alleged prank killed a retired insurance broker.

Robert E. Wojcik and Stephen Wojcik were charged with causing the death of Paul Langevin when the U-Haul in which they were riding struck his car and caused him to crash into a utility pole, said Daniel Skelly, vice president and chief of investigations of the Insurance Fraud Bureau of Massachusetts.

Robert Wojcik allegedly used his foot to depress the accelerator for the sole purpose of causing a crash, Mr. Skelly said. Stephen Wojcik filed an insurance claim for injuries suffered in the crash, Mr. Skelly said.

REINSURER TO DISCUSS

POLLUTION ISSUES IN TALK

NEW YORK - A discussion of whether pollution, contamination and debris removal is a threat or opportunity to the property underwriter will be the topic when the New York Mariners Club meets here Nov. 23.

Brian Danner of North American Reinsurance Corp. will deliver the luncheon address. It will take place at Harry's of Hanover Square in New York City at noon. For more information, contact Gordon Reid-Robertson at (201) 307-8855.