STORY FROM: Reinsurance & Arbitration
Utah Federal Judge Orders Deposition Testimony on Reinsurance Issue in Insurer Liquidation
January 19, 2017
SALT LAKE CITY — A Utah federal judge has granted a motion by the former directors and officers of an insolvent insurer to compel testimony regarding reinsurance agreements, explaining that the information is relevant to the insurer’s allegations that they failed to make reinsurance claims prior to liquidation, causing it to lose millions of dollars.
On Dec. 29, Magistrate Judge Evelyn J. Furse of the U.S. District Court for the District of Utah explained that if the insurer received no reinsurance proceeds, the directors and officers are still allowed to verify as such via deposition testimony, because had had the ...