Capson Physicians Insurance Company was placed into receivership for rehabilitation
on February 11, 2019, at the request of Texas Department of Insurance. This action was
necessary to protect policyholders. The company’s surplus, commonly referred to as
equity for other types of entities, was below the minimum required to operate in Texas
and other states.
What is rehabilitation?
Rehabilitation is a court proceeding. A special deputy receiver has been appointed to manage the insurance company. The special deputy receiver:
• Reviews the company’s records and manages its business operations.
• Attempts to develop a plan that allows the company to continue to operate in a way that protects policyholders.
Who is the special deputy receiver for Capson?
The law firm of Cantilo & Bennett has been appointed as the special deputy receiver for Capson. Cantilo & Bennett’s contact information is:
CANTILO & BENNETT, L.L.P.
11401 Century Oaks Terrace, Suite 300
Austin, Texas 78758
Phone: (512) 478-6000
Fax: (512) 404-6550
What if I have questions about my policy?
Call your normal contact at Capson. If you have a policy with Capson:
• The status of your policy remains unchanged.
• Continue to pay your policy premiums when due to maintain your policy.
• You can still renew your policy and make changes to your coverage. Both Capson and the SDR will review your requests.
What happens if someone files a claim against my policy?
• All new claims should be reported to Capson as usual. Claims counsel will continue to investigate claims and negotiate settlements per the coverage under the policy.
• There is a stay of any legal proceeding or action against an insured of Capson, which is in effect for 90 days from the date of the order placing Capson into rehabilitation (May 12, 2019). This stay may be extended by the receivership court. (Texas Insurance Code Section 443.008(c))
Did a court approve this action?
Yes. The 250th Judicial District Court of Travis County approved this action in Cause No. D-1-GN-19-000723.