STORY FROM: Reinsurance & Arbitration

Reinsurer Accused Of Failing To Reasonably Settle $21.24 Million Med Mal Case

CLEVELAND, Ohio - An $8.2 million reinsurance coverage battle involving one of Wisconsin's largest medical malpractice judgments is pending in Ohio federal court. OHIC Insurance Co. v. Employers Reinsurance Corp., No. 07-CV-1216064 (S.D. Ohio).

In the dispute between OHIC Insurance Co. and Employers Reinsurance Corp., Judge James L. Graham of the U.S. District Court for the Southern District of Ohio scheduled a pretrial conference for April 3. OHIC accuses ERC of unreasonably refusing to settle a malpractice action for $5 million before the trial, which resulted in a $21.24 million judgment against an OHIC-insured doctor.

In January 1994, OHIC and ...

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