Home Liquidator Entitled to Interest on Century’s Improper Setoff of $8 Million, N.H. High Court Rules

CONCORD, N.H. — The New Hampshire Supreme Court has upheld an award of prejudgment statutory interest to the liquidator of The Home Insurance Co. on an $8 million improper setoff by Century Indemnity Co.

On Feb. 13, the court found Home was entitled to the interest under RSA 524:1-a (2007) accruing from Oct. 12, 2007, which is the date of the liquidator’s letter notifying CIC of his determination to disallow the PECO setoff.

CIC and Home had a set of co-insurance and reinsurance relationships; in one aspect of their relationship, CIC reinsures Home with respect to certain contracts between …