Reinsurer Brings $1.5 Million Counterclaim in Ohio Action

CLEVELAND, Ohio - In an action involving one of Wisconsin's largest medical malpractice judgments, a reinsurer has counterclaimed for return of $1.5 million in prejudgment interest it paid to its cedent. OHIC Insurance Co. v. Westport Insurance Co., No. 07-CV-1216064 (S.D. Ohio).

In its May 20 amended answer to a suit brought by OHIC Insurance Co. in the U.S. District Court for the Southern District of Ohio, Westport Insurance Co. asserts that the prejudgment interest was not reinsured under the contract at issue.

OHIC is accusing Westport (formerly Employers Reinsurance Corp.) of unreasonably refusing to settle a malpractice action, …