Federal Judge Refuses to Amend Follow-The-Fortunes Ruling

KANSAS CITY, Mo. - A Missouri federal judge on Oct. 23 refused to reconsider or amend his ruling that a reinsurance treaty issued by Employers Reinsurance Corp. to a disability income insurer incorporated the doctrine of follow-the-fortunes. Employers Reinsurance Corp. v. Massachusetts Mutual Life Insurance Co., No. 06-0188 (W.D. Mo.).

In August, Chief Judge Fernando J. Gaitan Jr. of the U.S. District Court for the Western District of Missouri ruled that the reinsurance contract, which covered policies assumed by Massachusetts Mutual Life Insurance Co., contained follow-the-fortunes language.

Employers Reinsurance Corp. issued Connecticut Mutual Life Insurance Co. an excess disability …