Shenandoah Life Insurance Co, recently put into receivership by state insurance regulators, canceled its annual vacation rewards for top-performing insurance agents.

Trips to locations like the Bahamas and Spain for agents who met sales benchmarks for the Roanoke, Va.-based insurer in 2008 will not occur, according to the Roanoke Times, citing an attorney for the State Corporation Commission, which oversees the Virginia Bureau of Insurance.

The cancellations come as the insurer has suffered large losses, including $61.5 million in the first nine months of 2008, according to a recent filing with the SEC.

The trips to reward agents with trips to exotic locations are an incentive to keep agents focused on selling the company’s policies and often include some meeting and educational opportunities, the Times said.

While Shenandoah Life made positive gains selling life, annual and group health coverage policies, it lost money investing, according to the report.

The SCC seized the life insurer in February to address financial problems after a proposed merger with OneAmerica fell through. Shortly thereafter, the company’s CEO, Robert Clark, announced his retirement.

The Times said it was unclear how much canceling the trips would save the company and the insurer did not indicate how many agents would be affected.