STORY FROM: Reinsurance & Arbitration
Captive Reinsurer Disclaims Obligation to Post Security in ERISA Case
August 29, 2019
NEW YORK — A captive reinsurer has opposed plaintiffs’ efforts to strike its motion to dismiss a lawsuit accusing it of siphoning assets from an employee benefit plan, arguing that it is not required to post security because the lawsuit does not arise from an insurance contract.
In an Aug. 26 opposition filed in the U.S. District Court for the Eastern District of New York, HealthCap Assurance Inc. further argued that New York's security statute is preempted by the Employee Retirement Income Security Act of 1974.
Plaintiffs are employees of Preferred Home Care of New York LLC and Edison ...