Claims Administrator Accuses Starr Indemnity of Breaching Claims Services Agreement

NEW YORK — A claims administrator has asserted a counterclaim of breach of contract against Starr Indemnity & Liability Co., accusing it of wrongly refusing to pay fees for the settlement of personal injury protection claims.

In its May 8 answer and counterclaims filed in the U.S. District Court for the Southern District of New York, American Claims Management Inc. also seeks a declaratory judgment that Starr is obligated to pay the billings submitted by ACM and its affiliates.

In January 2010, Starr entered into a claims services agreement with ACM under which ACM acted as the third-party claims administrator …