General Reinsurance Moves to Trim Claims from $1.65 Million Ala. Reinsurance Action

MONTGOMERY, Ala. — General Reinsurance Corp. has moved to dismiss claims from an action accusing it of wrongly refusing to pay $1.65 million in reinsurance billings submitted by the Alabama Self-Insured Workers Compensation fund, arguing they are not supported by facts.

In a May 2 motion filed before Chief Judge Emily C. Marks of the U.S. District Court for the Middle District of Alabama, GRC says the bad faith claim is not viable under state law because the Fund — an insurer — cannot assert a bad faith claim against another insurer.

“The Fund is a qualified self-insurer under Alabama …