Travelers Sues Excalibur for $1.6 Million

HARTFORD, Conn. - Travelers Indemnity Co. has filed a suit seeking $1.6 million in reinsurance coverage for the settlement of underlying errors and omissions claims brought against a broker in the wake of the PA LMX Spiral. The Travelers Indemnity Co. v. Excalibur Reinsurance Corp., No. 3:11-1209 (D. Conn.).

The Aug. 1 complaint was filed against Excalibur Reinsurance Corp. in the U.S. District Court for the District of Connecticut.

According to the suit, Travelers' predecessor, Gulf Insurance Co. and certain of its affiliates issued primary and excess E&O policies to broker Willis Group PLC, effective July 1, 1998, to July …