Hemispheric Re Fires Cross Claims Against Howden in Fla. Reinsurance Commission Battle

MIAMI - Reinsurance broker Hemispheric Reinsurance Group Inc. has asserted cross claims of breach of contract and fraud against Howden Insurance Brokers Ltd. in a suit accusing both brokers of overcharging a Costa Rican insurer commission.

In its cross claims, filed in the Miami-Dade County (Fla.) Circuit Court, HRG asserts Howden improperly padded its quotations to HRG and withheld more than its fair share of commissions and tax allowances it received from reinsurers.

INS, a Costa Rican state-owned insurer, provides property damage and business interruption coverage to Instituto Costarricense de Electricidad (ICE), a Costa Rican state-owned telecommunications supplier.

In …