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From Times Staff and Wire Reports

Louisiana Insurer Sues California Regulators: A New Orleans auto insurer sued California regulators, contending that they violated its civil rights by driving it out of the state. ANA Insurance Group sued in Los Angeles and Sacramento federal courts, seeking $185 million in damages from Insurance Commissioner John Garamendi and members of his staff. ANA said it lost nearly all its 16,000 California policyholders after Garamendi issued an order in June, 1991, forbidding California brokers from selling its policies. Insurance Department spokeswoman Elena Stern said ANA had too few resources to pay claims. But Leon Gladstone, a lawyer for ANA, said that the state’s analysis was flawed and that the company was never allowed to present its side of the case. He said ANA always paid claims and remains financially strong.

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