Nassau Monetary, the mother or father of life insurance coverage and annuity issuers, has sued its personal insurers for assist with paying payments associated to lawsuits involving common life insurance coverage insurance policies.
James Kenney, the proprietor of a common life coverage written by PHL Variable Insurance coverage, is searching for permission from the U.S. District Court docket in Connecticut to signify a category of PHL policyholders affected by cost-of-insurance cost will increase.
PHL was acquired by Nassau Monetary in 2016 and lately entered rehabilitation in Connecticut.
“In defending the Kenney Motion, Plaintiffs have incurred, and can proceed to incur, substantial ‘Protection Bills,’” PHL says within the criticism. “Plaintiffs additionally confront the potential of getting to fund a settlement or fulfill an adversarial judgment.”
Nassau says that it’s at the moment the named insurer for $10 million in administrators and officers protection and $5 million in errors and omissions protection written by XL Specialty Insurance coverage Co.
XL Specialty, which is now a part of AXA, and a number of other extra insurers have refused to pay advantages in reference to the common life litigation, Nassau says in a criticism filed final week within the U.S. District Court docket for the Northern District of California.