Century Indemnity Drops Lawsuit Accusing RLI Insurance of Breaching Reinsurance Certificates

PHILADELPHIA — Century Indemnity Co. has dropped its lawsuit accusing RLI Insurance Co. of breaching two facultative reinsurance certificates by refusing to indemnify Century for sums it paid to settle asbestos claims filed against its insured, Gould Inc.

According to a June 29 notice of voluntary dismissal filed in the U.S. District Court for the Eastern District of Pennsylvania, RLI filed no answer or motion for summary judgment.

Century insured Gould under two consecutive one-year excess blanket catastrophe policies in effect from March 1983 to March 1985. Each policy provides limits of $25 million excess of underlying coverage provided by …