Lexington Asks N.Y. Federal Court to Stay, Compel Arbitration of $5.4 Million Dispute

NEW YORK — Lexington Insurance Co. has asked a New York federal judge to stay litigation and compel arbitration of its $5.4 million reinsurance dispute with HDI Global SE, arguing that the disagreement is encompassed by the arbitration provision in the facultative certificate at issue because it arises from the interpretation of that contract.

In a Dec. 19 motion to stay and compel arbitration filed in the U.S. District Court for the Southern District of New York, Lexington argued that the questions of whether there was a material change in risk and, if there was, determining the appropriate remedy, require …