Settlement Discussions Ongoing in Calif. Federal Loss Portfolio Transfer Case

SAN FRANCISCO — Two ceding insurers have notified a California federal judge that they are in settlement discussions with Bothina International Insurance Company Ltd., whom they accuse of unlawfully executing a retroactive loss portfolio transfer of certain reinsurance obligations without their approval.

In a Jan. 6 status report, Fireman’s Fund Insurance Co. and Allianz Reinsurance America Inc. asked the U.S. District Court for the Northern District of California to reschedule an Initial Case Management Conference – originally set for Jan. 14 – for Feb. 15.

“The parties have been engaged in settlement discussions which have advanced to the point of …