EquityComp Lawsuit Dismissed, Parties Resolve Breach of Contract Claim

OMAHA, Neb. — A Nebraska federal judge has dismissed with prejudice an action in which Applied Underwriters Captive Risk Assurance Company Inc. (AUCRA) was accused of breaching a reinsurance participation agreement (RPA) in a workers’ compensation program by hiking the ultimate projected claims cost without explanation.

In an Oct. 21 order, Judge Brian C. Buescher of the U.S. District Court for the District of Nebraska explained that the parties resolved the remaining breach of contract claim asserted by policyholders Certified Moving & Storage Compay LLC and Certified Installation Services LLC.

In 2014, Applied Underwriters Inc. sold its EquityComp workers’ …