Parties in Mich. Federal Reinsurance Action Reach Settlement in Principle

DETROIT — The parties in a Michigan federal action involving reinsurance coverage for an underlying settlement of asbestos claims say they have reached a settlement in principle following mediation.

According to the Dec. 21 filing, Amerisure Mutual Insurance Co. and Transatlantic Reinsurance Co. agreed to suspend all remaining briefing and pretrial deadlines and the trial date and are in the process of finalizing a written settlement agreement.

Amerisure’s predecessor issued primary and umbrella liability insurance policies to Armstrong Machine Works and Armstrong Video Products between 1976 and 1990. TransRe reinsured portions of Amerisure’s liability under 1981 and 1982 umbrella policies …