Progressive Insurance, one of Samoa's largest insurance companies, has filed for bankruptcy in the midst of a drawn out court battle over an unsettled claim.
The Samoa Observer reports that liquidation comes just months after the Samoa Central Bank said all six insurance companies in Samoa were increasingly well regulated and that solvency as a whole was strong.
Chan Mow and Company and Progressive Insurance have been in the middle of a Supreme Court battle over allegedly unsettled claims, that the newspaper understands relates to a fire that gutted the department store's Togafu'afu'a wholesale building.
But shortly before the insurer was scheduled to file its defence against the alleged non-payment of claims last week, it went into voluntary liquidation.
The country's longest serving wholesaler and retailer is now requesting that the Supreme Court stay - or halt - Progressive's bid to wind up its company.
Photo file RNZ Pacific Caption Central Bank of Samoa