Reinsurer Opposes Motion to Confirm $524 Million Arbitration Award in Security Dispute

NEW YORK — A reinsurer is urging a New York federal judge to vacate an arbitration award requiring it to deposit more than $524 million in a segregated account to be used as security for its liabilities under its reinsurance agreement with Universal Life Insurance Co. (ULICO).

In a July 2 motion filed in the U.S. District Court for the Southern District of New York, PB Life and Annuity Co. Ltd. (PBLA) contends that the arbitration panel denied it “the opportunity to develop critical evidence on the dispositive issue: the value of the assets in the trust account.”

“Just as …