Excess Coverage for Sept. 11 Attacks Was Triggered, N.Y. Federal Judge Rules

NEW YORK - An excess insurer's obligation to provide excess coverage to an insured was not contingent upon exhaustion of the limits of the underlying primary policy, a New York federal judge has ruled in a dispute over reinsurance coverage for the Sept. 11, 2001, World Trade Center terrorist attacks. Lexington Insurance Co. v. Tokio Marine & Nichido Fire Insurance Company Ltd., No. 11-391 (S.D. N.Y.).

On March 28, Judge Deborah A. Batts of the U.S. District Court for the Southern District of New York disagreed with reinsurer Tokio Marine & Nichido Fire Insurance Company Ltd. that the excess coverage …