ANICO Must Pay Munich More than $5.6 Million for Breach of Retrocessional Contracts, N.J. Federal Judge Rules

TRENTON, N.J. — American National Insurance Co. must pay Munich Reinsurance America Inc. more than $5.6 million in damages, including interest, for nonpayment of certain claims covered by two retrocessional agreements, a New Jersey federal judge has ruled.

On May 27, Judge Freda L. Wolfson of the U.S. District Court for the District of New Jersey found ANICO is liable for covered claims that Munich supported with the requisite documentation. However, ANICO is not responsible to pay claims for which Munich did not provide the "particulars and estimates" required by the retrocessional contracts, the judge held.

Munich reinsured …