Pennsylvania State University President Rodney Erickson says theuniversity plans to settle with the victims of Jerry Sandusky “inthe near future.”

During an interview at the headquarters of Bloomberg, Erickson says the“bulk of the funding” for settlements will come from insurance.

“That's obviously why we buy insurance,” Erickson says.

Penn State has “multiple stacks” of civil liability insurance aswell as directors' and officers' liability insurance “to cover thedefense of the university's executives, employees, trustees and soforth,” he says.

Erickson says Penn State could soon publicly announce a “processwe hope will result in the settlement of ideally all—but hopefullymany—of the civil cases.” Penn State has consulted outside counsel,he adds.

“Dr. Erickson was not suggesting that we were going to announcethat the cases have been settled,” spokesman Dave La Torre tellsPC360. “He was indicating that we are going to start theprocess.”

The university faces a handful of cases brought by victims ofSandusky, a former assistant football coach. More victims couldalso step forward and file suit.

Sandusky was convicted in June of sexually abusing 10 boys overmore than a dozen years. Sandusky abused many of the boys infacilities on campus. He is scheduled to be sentenced Oct. 9.

Shortly after the verdict the university said it would becontacting victims to begin settlement talks some plaintiffs'attorneys have complained of limited to no contact with Penn State,according to reports.

“We certainly haven't forgotten about Mr. Sandusky's victims,”Erickson says. The university would like to set up a settlementprocess so that victims aren't “dragged through a long litigationprocess,” he adds.

Penn State is involved in litigation with its general liability insurer, PennsylvaniaManufacturers' Association Insurance Co, which has provided thecoverage to the university since the 1950s. PMA says it has no dutyto defend or indemnify the school.

PMA is being sued by Penn State for breach of contract.

La Torre says the court battle with PMA is ongoing.

Penn State and United Educators—reportedly the writer of theuniversity's Educators Legal Liability coverage—are currently notwaged in litigation.

The university also operates a captive insurer, NittanyInsurance.