Insurer’s Financial Documents Not Discoverable in Reinsurance Fraud Action, Md. Federal Judge Rules

BALTIMORE — Financial documents provided to insurance regulators are not discoverable, a Maryland federal judge has ruled in a case accusing a life insurer of shifting its debt to offshore reinsurers in order to hide its “questionable” solvency.

In a Sept. 28 order, Judge A. David Copperthite of the U.S. District Court for the District of Maryland further ruled that the only types of life insurance policies sold by Banner Life Insurance Co. that relevant for discovery are the five types enumerated in the plaintiff’s complaint.

Plaintiffs purchased universal life insurance policies from Banner Life Insurance Co. in 2002. The …