Global Re Sued in California for $770,375 in Reinsurance Proceeds

LOS ANGELES — In an action recently removed to California federal court, Pacific Employers Insurance Co. (PEIC) has sued reinsurer Global Reinsurance Corporation of America for contribution toward an underlying settlement of asbestos claims filed against PEIC’s insured, Ameron Inc.

In a complaint removed to the U.S. District Court for the Central District of California, PEIC alleges Global Re is liable for $770,374 under a facultative reinsurance certificate for its share of defense and indemnity payments that PEIC made under an excess umbrella policy issued to Ameron.

According to the complaint, Global’s predecessor, Constitution Reinsurance Corp., issued PEIC a facultative …