Insurance

  • May 18, 2012

    MBIA's $5B Restructuring Used Illegal Process, Banks Say

    New York state insurance regulators approved MBIA Inc.'s $5 billion restructuring even though several steps in the bond insurer's "transformation" aren't permitted under the state's insurance laws, banks challenging the deal told a New York state judge Friday.

  • May 18, 2012

    Insurer, Manufacturer Trust End $5M Asbestos Coverage Row

    Ohio-based Transport Insurance Corp. and the trust for a bankrupt materials manufacturer agreed Friday to resolve their dispute over $5 million in coverage the trust had sought from the insurer as the manufacturer faces more than $1 billion in asbestos-related health claims overall.

  • May 18, 2012

    Safeco Settles Suit Over Bonds Tied To Ponzi Scheme

    CadleRock Joint Venture LP and Safeco Insurance Co. told an Ohio federal court Friday that they had reached a settlement in CadleRock's suit alleging fraud in Safeco's issuance of lease bonds tied to a Ponzi scheme, one suit in multidistrict litigation over Commercial Money Center Inc.'s alleged fraud.

  • May 18, 2012

    Texas High Court Upturns Stop-Loss Insurance Classification

    The Texas Supreme Court on Friday reversed a lower court ruling on backstop insurance, finding that stop-loss insurance sold to a self-funded employee health benefit plan is not reinsurance, but rather direct insurance subject to state regulation.

  • May 18, 2012

    Gas Co. Equitable Balks At Driller's Indemnity Claim

    Natural gas well owner Equitable Production Co. told an Ohio federal judge on Thursday that it had no duty to indemnify its drilling contractor in settled litigation over fracking fluids that allegedly contaminated a West Virginia family’s water supply.

  • May 17, 2012

    GOP To Wage War On ACA Regardless Of High Court Ruling

    U.S. House Speaker John Boehner on Thursday vowed that the GOP would fight to take down all of President Barack Obama’s Affordable Care Act, even if the U.S. Supreme Court decides to preserve portions of the sweeping health care reform bill.

  • May 17, 2012

    Ill. Union Can Appeal NRG Unit's Coverage Suit, Judge Says

    A Louisiana federal judge on Wednesday refused to grant a new trial in an NRG Energy Inc. subsidiary's coverage suit against Illinois Union Insurance Co., but did grant the insurer's alternative request that it be certified for an interlocutory appeal.

  • May 17, 2012

    Humana Can't Shake Insurer's $2.2M Medicare Pay Suit

    An Arizona federal judge Thursday refused to dismiss Fox Insurance Co.'s suit claiming Humana Inc. improperly took over $2.2 million in Medicare Part D prescription drug reimbursements that were intended for Fox, ruling that the insurer's allegations were sufficient to sustain the suit.

  • May 17, 2012

    FIO Could Be Advocate In Foreign Markets, Insurers Say

    Insurance industry representatives told a subpanel of House lawmakers Thursday that the newly created Federal Insurance Office could take on a crucial advocacy role for insurers struggling to stay competitive in tightly regulated, trade-averse foreign markets.

  • May 17, 2012

    NY Did 'Shortcut' Review Of MBIA's $5B Breakup, Banks Say

    New York state insurance regulators cut corners and rushed through their review of MBIA Inc.'s $5 billion restructuring before they approved it, an attorney for the banks challenging the deal told a New York state judge Thursday.

  • May 17, 2012

    Wis. Seeks OK To Pay $3.2B In Ambac MBS-Related Claims

    The Wisconsin insurance commissioner on Wednesday filed a proposal to start making interim payments on $3.2 billion worth of claims Ambac Assurance Corp. policyholders have lodged against a segregated account that holds Ambac's riskiest policies, including ones that insured mortgage-backed securities.

  • May 17, 2012

    AMICO Ducks $42M Superfund Coverage Suit In 6th Circ.

    The Sixth Circuit on Thursday affirmed a lower court's ruling that OneBeacon American Insurance Co. cannot compel American Motors Insurance Co. to contribute to covering $42 million in damages related to cleanup costs at a Kentucky Superfund site.

  • May 17, 2012

    Firm Wants Travelers Sanctioned Over Bid To Replace Counsel

    Newmeyer & Dillion LLP asked a California federal judge Wednesday to sanction Travelers Property Casualty Co. of America for an alleged campaign of “Rambo”-style litigation seeking to replace the law firm in construction defect suits involving Centex Homes.

  • May 17, 2012

    Freddie Mac Mortgage Insurance Claims 'Illogical,' MGIC Says

    Mortgage Guaranty Insurance Corp. slapped Freddie Mac with a lawsuit Wednesday in Wisconsin federal court, claiming the government-backed housing giant was seeking billions of dollars in mortgage loan insurance through an "entirely illogical" contract interpretation.

  • May 16, 2012

    Aon Accused Of Subpar Coverage After Fatal Plant Blast

    Facing mounting legal bills after a deadly explosion at a Connecticut power plant site in 2010, a group of energy companies and contractors filed suit Monday against Aon, alleging the insurance giant failed to meet its contractual obligation to provide adequate coverage for defense costs.

  • May 16, 2012

    Travelers Must Cough Up Docs In Mine Pollution Coverage Row

    An Alabama federal judge on Wednesday granted mining giant Drummond Co.'s request to compel certain documents from Travelers Casualty & Surety Co. in a coverage battle over litigation costs related to pollution from the company's coke production operations.

  • May 16, 2012

    Insurers Can't Sink Shipbuilder's $10M Tugboat Damage Claim

    An Alabama federal judge on Tuesday ruled against a group of insurance carriers, including Northern Assurance Co. of America, saying they'd have to pick up the tab on up to $10 million worth of damages to a tugboat owned by a Mobile, Ala., shipbuilder.

  • May 16, 2012

    Texas Refiner Loses Appeal Of $5M Verdict For Hurt Worker

    A Texas appeals court on Tuesday upheld a jury’s $5.4 million verdict against Pasadena Refining System Inc. in a lawsuit brought by a contractor burned while making repairs at its refinery, but held that PRSI was covered under an insurance policy held by the contractor's employer.

  • May 16, 2012

    Prudential Policies Useless, Defense Contractor Workers Claim

    A proposed class of former defense contractor employees sued their employers and Prudential Insurance Co. of America in New Jersey federal court Monday, accusing the companies of selling them policies it knew they couldn't use because of a wartime exclusion.

  • May 16, 2012

    Lloyd's Says It Won't Pay Tab For Allied's Fraud Defense

    Lloyd’s of London underwriters filed suit Tuesday seeking to escape footing the bill for Allied Home Mortgage Capital Corp.’s defense against a government lawsuit accusing it of lending fraud that left federal mortgage insurers to cover $834 million in defaulted loans.