Clearwater to Appeal Federal Judge's Refusal to Overturn $11 Million Reinsurance Verdict

NEW YORK — Clearwater Insurance Co. will appeal a New York federal judge’s refusal to overturn an $11 million reinsurance verdict issued in Utica Mutual Insurance Co.’s favor after rejecting Clearwater’s argument that the phrase “occurrence not covered by” does not obligate it to pay defense expense in addition to limits.

Clearwater filed its notice of appeal to the 2nd Circuit U.S. Court of Appeals on April 13.

Between 1978 and 1982, Utica issued four one-year umbrella liability policies to Goulds Pumps Inc. that were in effect from Jan. 1, 1978, to Jan. 1, 1982. The policies each provided $25 …