Costa Rican Insurer Seeks to Assert Punitive Damages Claims Against Reinsurance Brokers

MIAMI — A Costa Rican insurer has asked a Florida judge for permission to add punitive damages claims against Howden Insurance Brokers Ltd. and Hemispheric Reinsurance Group Inc. in a suit accusing the brokers of overcharging commission.

In an April 1 motion, Instituto Nacional de Seguros asserts the brokers practice of “grossing up” and their failure to disclose the facts surrounding this practice constituted a conscious disregard or indifference of the insurer’s rights.

INS, a Costa Rican state-owned insurer, provides property damage and business interruption coverage to Instituto Costarricense de Electricidad, a Costa Rican state-owned telecommunications supplier.

In 2009, …