STORY FROM: Reinsurance & Arbitration
ERISA Lawsuit Accusing Insurers of Failing to Disclose Reinsurance Relationship Settles
December 16, 2019
BOSTON — A lawsuit accusing two insurers of violating the Employee Retirement Income Security Act by failing to disclose their reinsurance relationship with one another has settled, according to a Massachusetts federal judge.
Judge Richard G. Stearns of the U.S. District Court for the District of Massachusetts dismissed the case on Dec. 12.
In 1998, Standard Insurance Co. agreed to administer certain Northwestern Mutual Life Insurance Co. (NML) group disability products. Standard and NML entered into a reinsurance contract in 2005 pursuant to which NML ceded to Standard certain claims relating to group administrative benefits offered by NML.
Gary D. ...