The insurer, based in New Orleans, has approximately 24,000 policies and 13,000 Ida-related claims. It had a 1.31 percent share of the Louisiana homeowners insurance market and had been licensed in the state since 1991.
The Louisiana Insurance Guaranty Fund, also known as LIGA, is a state-sponsored safety net that promises up to $500,000 in payments for unpaid claims and $10,000 in premium refunds for policyholders whose insurers fail.
"My number one priority is to protect Louisiana policyholders, and my decision to place this company into receivership will aid in that effort," Insurance Commissioner Jim Donelon said in a statement. "LIGA can pay up to $500,000 per claim, and they're prepared for what's to come."
The company is now being run by a receiver appointed by the court. Americas is in rehabilitation, which is a type of receivership aimed at resolving issues at the company. The court-appointed receiver or their insurance agent will contact policyholders about claims and whether in-force policies will be transferred to another insurer.
Americas was previously headquartered in Washington, D.C., but with the majority of its policies based in Louisiana, Donelon collaborated with his counterpart in the nation's capital to relocate the company back to the Bayou State.
Donelon took over two other insolvent insurers, Access Home Insurance Co. and State National Fire Insurance Co., in November and negotiated a deal to transfer their policies to another insurer.