STORY FROM: Reinsurance & Arbitration

The Reinsurance Follow the Fortunes Doctrine: Purely Contractual or Always Present?

[Editor's note: Roland C. Goss is the office managing shareholder of the Washington, D.C. office of Carlton Fields Jorden Burt, PA. This article reflects the views of the author, and does not constitute legal or other professional advice or service by Carlton Fields Jorden Burt, PA and/or any of its attorneys. This article appeared on the firm’s reinsurance and arbitration blog, www.ReinsuranceFocus.com.]

The follow the fortunes doctrine (sometimes referred to as follow the settlements) has been an accepted part of many reinsurance relationships for many years. One of the often cited descriptions of the doctrine states that the doctrine “binds ...

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