Pa. State Judge Denies Reinsurer Summary Judgment on Whether Expenses Included in Limit of Liability

PHILADELPHIA — A Pennsylvania state judge has denied OneBeacon Insurance Co.’s motion for summary judgment in a dispute over whether it is obligated to pay expenses incurred by its cedents in the investigation and settlement of asbestos claims asserted against their insureds.

In a case of first impression for Pennsylvania courts, Judge Gary S. Glazer of the Philadelphia County Court of Common Pleas explained in the March 27 order that it is unclear whether expenses are included, or in addition, to the reinsurance certificates’ limit of liability

Century Insurance Co.’s predecessor issued a liability policy to a subsidiary of Formosa …