Reinsurers Accuse Arrowood of Withholding Crucial Evidence From Arbitrators in $40 Million Dispute

NEW YORK — Certain Underwriters at Lloyd’s of London have asked a New York federal court to set aside an earlier ruling confirming a $40 million reinsurance arbitration award, arguing that the cedent withheld crucial evidence that supported Underwriters’ position.

In a Jan. 20 motion filed in the U.S. District Court for the Southern District of New York, Underwriters assert that the withheld evidence proves that the reinsurance coverage at issue was restricted to claims that were first advised during the period of the reinsurance contract.

In the 1960s, Underwriters were asked to participate on Arrowood’s new “global slip” reinsurance …