FIRST DOMINION MUTUAL L I F E I N S U R A N C E C O M P A N Y
In Receivership for Conservation and Rehabilitation
Jacqueline K. Cunningham Patrick H. Cantilo
Deputy Receiver Special Deputy Receiver
Jacqueline K. Cunningham Patrick H. Cantilo
Deputy Receiver Special Deputy Receiver
August 2011
COMPANY TO CLOSE
First Dominion Mutual Life Insurance Company (“the Company”) has begun its final liquidation process and will soon close.
PLAN DIVIDEND CHECKS
All uncashed Plan Dividend checks are now void. Do not attempt to cash or deposit any Plan Dividend check which may be in your possession, because it will not be honored. The Company cannot issue replacement checks. See the section below titled “How can I now make a claim for an unpaid Plan Dividend?” for information as to how you may be able to recover the funds related to an uncashed Plan Dividend check.
PAYMENT AND PROCESSING OF PLAN DIVIDEND HAS ENDED
The processing of documents and issuing of checks to pay Plan Dividends has stopped. Please do not send claim documents to the Company. Claim documents received will be returned to the sender.
HOW CAN I NOW MAKE A CLAIM FOR AN UNPAID PLAN DIVIDEND?
All unpaid Plan Dividend funds (including the funds related to uncashed checks) have been paid to the state or jurisdiction of last known address in accordance with the escheat laws of the various states and provinces. These funds were transferred along with information from the Company’s records regarding the amount unpaid and the person(s) entitled to claim payment. After this information is processed by the states and provinces, persons who may be eligible to receive payments will be able to file claims with the appropriate state or province in accordance with its rules. We suggest waiting until September 1, 2011 before attempting to make a claim with a state/province to allow time for processing the information.
The easiest way to initiate communication with the states/provinces regarding an unclaimed property claim is to visit www.unclaimed.org. This web site includes a map of the United States. Click on the state or province of last address for the Plan Dividend, and the information and procedures for the selected state or province will appear.
You may also click on the link below for a complete list of the unclaimed property offices of all of the states and provinces to which unpaid Plan Dividend funds were transferred.
Unclaimed property offices of the states (2 pages)
Unpaid Plan Dividends for last known addresses outside the United States and Puerto Rico should contact the Commonwealth of Virginia to make an unclaimed property claim.
DOCUMENTS RELATED TO FIRST DOMINION AND THE PLAN DIVIDEND
The Rehabilitation Plan and the Order of the Virginia State Corporation Commission Approving Plans of Liquidation are also available for review via the links at the bottom of this page.
PRIVACY POLICY
A link to the privacy policy of the Company is provided below
FREQUENTLY ASKED QUESTIONS
Q. What is the Plan Dividend?
A. The Plan Dividend is an accrued obligation due to contract owners who, in 1993, elected to “Opt-In” to the Rehabilitation Plan of FBLIC after FBLIC was placed into receivership. The Plan Dividend is intended to replace policy values which may have been lost because of the financial condition of FBLIC. Payment of the Plan Dividend has never been guaranteed and has been dependent on the successful continuing operations of the Company as outlined in the Rehabilitation Plan.
Q. How can I now make a claim for an unpaid Plan Dividend?
A. All unpaid Plan Dividend funds (including the funds related to uncashed checks) have been paid to the state or jurisdiction of last address in accordance with the escheat laws of the various states and provinces. These funds were transferred along with information from the Company’s records regarding the amount unpaid and the person(s) entitled to claim payment. After this information is processed by the states/provinces, persons who may be eligible to receive payments may file claims with the appropriate state or province in accordance with its rules. We suggest waiting until September 1, 2011 before attempting to make a claim with a state/province to allow time for processing the information.
The easiest way to initiate communication with the states/provinces regarding an unclaimed property claim is to visit www.unclaimed.org. This web site includes a map of the United States. Click on the state or province of last address for the Plan Dividend and the information and procedures for the selected state or province will appear.
You may also click on the link below for a complete list of the unclaimed property offices of all of the states and provinces to which unpaid Plan Dividend funds were transferred.
Unpaid Plan Dividends for last known addresses outside the United States and Puerto Rico should contact the Commonwealth of Virginia to make an unclaimed property claim.
Q. Will there be future Plan Dividend payments?
A. No. The payments made between July 26, 2010 and May 18, 2011, represent the final approved payments under each individual Plan Dividend contract. No funds remain with which to make further payments.
Q. My July 26, 2010 (or thereafter) payment was not for the full remaining amount of the Plan Dividend contract. Will I be paid the remaining amount?
A. No. All funds which were available to pay the Plan Dividend were assigned proportionally to each Plan Dividend contract. No funds remain with which to make further payments.
Q. How will a Plan Dividend payment be reported for tax purposes?
A. The Company’s understanding is that a Plan Dividend payment is 100% taxable for federal and state purposes to the recipient in the year the check is issued. Information regarding a payment will be sent to the federal government and to the recipient on IRS form 1099-R. Plan Dividend payment recipients should consult their personal tax advisor regarding how the payment may affect their personal tax situation.
Q. Where did the Rehabilitation Plan originate?
A. The Rehabilitation Plan was approved by order of the Virginia State Corporation Commission on September 29, 1992. Among other things, the Rehabilitation Plan provided that policyholders who elected to “Opt-In” to the Plan received (1) an insurance policy from Hartford Insurance Company to replace their FBLIC policy and (2) certain Plan Enhancements, including a Plan Dividend.
Q. The Hartford policy issued to me as part of the Rehabilitation Plan is still active. Will a Plan Dividend payment have any effect on my Hartford policy?
A. No. A Plan Dividend payment to you has no effect on your Hartford policy.
Q. How was the Plan Dividend calculated?
A. The Plan Dividend is based on calculations performed on a policy-by-policy basis for the period from 1993 to 2000, which, among other things, compared the value of each original FBLIC policy to the Hartford policy received as part of the Rehabilitation Plan. Information regarding the calculations was provided to contract owners from 1993 to 2000 and consideration given to contract owner concerns about the calculations at that time. In 2000, the Plan Dividend amounts were considered final and not subject to further review.
Order approving Plans of Liquidation May 21, 2009 (9 pages)
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