Excalibur Says Select Insurance Cannot Enforce Connecticut Pre-Pleading Security Statute

HARTFORD, Conn. — Excalibur Reinsurance Corp. says it should not be required to post pre-pleading security before answering Select Insurance Co.’s complaint in a $1.1 million retrocessional dispute because as a non-authorized insurer, Select is not entitled to enforce the Connecticut pre-pleading security statute.

In a June 16 opposition filed in the U.S. District Court for the District of Connecticut, Excalibur further contends that the pre-pleading security statute is not applicable because this action has no factual connection to Connecticut.

Select reinsured policies issued by Gloucester Insurance Ltd. and RAM IIC Inc. to the accounting firm of Ernst & Young.