$1 Million Reinsurance Commissions Dispute Transferred to N.Y. Federal Court

HARRISBURG — A Pennsylvania federal magistrate judge has transferred to New York a lawsuit in which a reciprocal insurance exchange has accused reinsurance intermediary Guy Carpenter & Company LLC of wrongfully deducting more than $1 million from a fiduciary account.

In a March 25 order, Chief Magistrate Judge Joseph Saporito Jr. found that the dispute falls within the scope of the parties’ broker services agreement (BSA), in which they agreed to the exclusive jurisdiction of the Southern District of New York.

Housing and Redevelopment Insurance Exchange (HARIE) is a non-profit reciprocal insurance exchange organized under Pennsylvania law. It provides …