Insurer Urges Arbitration of Policyholder's Counterclaim in Minn. Federal Action

MINNEAPOLIS — In a dispute involving $20.5 million in excess deductible collateral in a workers’ compensation program, Benchmark Insurance Co. has moved to compel arbitration of an insured’s counterclaim, arguing that it did not waive its right to arbitrate by filing a related interpleader action.

In an Oct. 5 brief filed in the U.S. District Court for the District of Minnesota, Benchmark asserts that federal law applies to the question of whether it waived its right to arbitrate, and that the “the totality of the circumstances,” shows that Benchmark acted “consistently” with the right to arbitrate.

In 2015, Benchmark Insurance …