Brazilian Reinsurer Not Required to Fund $5 Million Settlement, 2nd Cir. Rules

NEW YORK – A Brazilian reinsurer is not required to reimburse National Indemnity Co. for its $5 million settlement of a reinsurance premium dispute with a mining company, a federal appeals court has ruled in overturning a lower court decision.

On April 18, the 2nd Circuit U.S. Court of Appeals found that IRB Brasil Resseguros S.A. is not liable for the payment because it was not a party to the settlement agreement between the mining company and NICO.

Companhia Siderurgica Nacional (CSN), a Brazilian mining and steelmaking conglomerate, owns and operates the TECAR coal teminal in Rio de Janeiro.

CSN …