STORY FROM: Reinsurance & Arbitration

9th Cir. Remands Dispute for Trial to Determine Whether RPA’s Arbitration Provision Applies

SAN FRANCISCO — An insured is entitled to a trial to determine whether it entered into a Reinsurance Participation Agreement with Applied Underwriters Captive Risk Assurance Company Inc. and whether the insured’s premium dispute with AUCRA should be arbitrated, a federal appeals court has ruled.

In an Aug. 4 opinion, the 9th Circuit U.S. Court of Appeals affirmed, however, that AUCRA is entitled to enforce the agreement — if it exists — and that the arbitration provision contained within that agreement.

Arevalo Tortilleria Inc. purchased a workers’ compensation and employer’s liability insurance policy from California Insurance Co., a broker ...

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