Cedents Voluntarily Dismiss Loss Portfolio Transfer Action Against Bothina

SAN FRANCISCO — Two ceding insurers have voluntarily dismissed an action in which they accuse Bothina International Insurance Company Ltd. of unlawfully executing a retroactive loss portfolio transfer of certain reinsurance obligations without their approval.

In a Feb. 1 notice filed in the U.S. District Court for the Northern District of California, Fireman’s Fund Insurance Co. and Allianz Reinsurance America Inc. said their voluntary dismissal is without prejudice. The insurers told the court last month that the parties were engaged in settlement discussions.

Fireman’s Fund and Allianz entered into a series of reinsurance agreements with Hannover Re and E&S Rueckversicherung, …