Excess Insurer's Obligation Not Contingent Upon Exhaustion of Limits, Lexington Says

NEW YORK - Lexington Insurance Co. has moved for judgment on the pleadings as to its first cause of action in its $7.4 million action against Tokio Marine & Nichido Fire Insurance Company Ltd. in which it seeks reinsurance coverage for the settlement of underlying Sept. 11 property damage claims. Lexington Insurance Co. v. Tokio Marine & Nichido Fire Insurance Company Ltd., No. 11-391 (S.D. N.Y.).

In its motion filed in the U.S. District Court for the Southern District of New York, Lexington asserts that in the 2nd Circuit, exhausting of underlying policy limits is not necessary to trigger an …