Ala. Federal Judge Severs Reinsurance-Related Claims Against Munich Re Into Separate Cases

MONTGOMERY, Ala. — An Alabama federal judge has severed into separate cases the remaining claims in a lawsuit filed by a municipal insurer against Munich Reinsurance America Inc. over reinsurance coverage for lawsuits filed against certain Alabama towns.

In a July 12 order, Judge Myron H. Thompson of the U.S. District Court for the Middle District of Alabama noted that neither party opposed the court’s suggestion that the claims be severed.

Plaintiff Alabama Municipal Insurance Corp. is a non-profit public insurer that provides Alabama municipalities with insurance coverage. AMIC and Munich Re entered a “Casualty Excess of Loss Reinsurance Agreement,” …