STORY FROM: Reinsurance & Arbitration

Pre-Pleading Security Statute Applies to Excalibur Reinsurance Corp., Conn. Federal Judge Rules

HARTFORD, Conn. — Connecticut’s pre-pleading security statute applies to Excalibur Reinsurance Corp. because it is a reinsurer that is not authorized to do business in that state, a federal magistrate judge has ruled in a reinsurance lawsuit filed by Select Insurance Co.

In a March 10 order, Magistrate Judge Joan G. Margolis of the U.S. District Court for the District of Connecticut said a hearing will be scheduled to determine how much Excalibur must post before it can proceed in the action.

Ernst & Young was sued by plaintiffs alleging improprieties in its tax advice. Select says it paid ...

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