Reinsurer May Be Directly Liable To Insured, Federal Judge Rules

CHARLESTON, W. Va. - A West Virginia federal judge has refused to dismiss cross-claims brought against a reinsurer that seek contribution toward an $11.5 million settlement of underlying medical malpractice claims brought against a medical center. Executive Risk Indemnity Inc. v. Charleston Area Medical Center, et al., No. 08-00810 (S.D. W. Va.).

On Aug. 30, Chief Judge Joseph R. Goodwin of the U.S. District Court for the Southern District of West Virginia ruled that the counterclaimants adequately pleaded that Employers Reinsurance Corp. may be directly liable to the medical center.

In February 2008, a jury in the Circuit Court of …