Travelers Seeks Order Requiring Excalibur to Post Pre-Pleading Security

HARTFORD, Conn. — Travelers Casualty Insurance Co. (NYSE: TRV) has asked a federal judge to order Excalibur Reinsurance Corp. to post $112,411 in pre-pleading security before allowing Excalibur to answer a complaint in which Travelers seeks reinsurance for the settlement of underlying asbestos claims.

In a May 24 motion filed in the U.S. District Court for the District of Connecticut, Travelers alternatively seeks an order requiring Excalibur to obtain a license to conduct insurance business in Connecticut.

“Under Section 38a-27(a) of the Connecticut General Statutes, before any unauthorized insurer may file a pleading in any action against it, the insurer …