Litigation

The Professional Insurance Agents of New York (PIANY) said it will not join a lawsuit challenging the legality of the New York State Insurance Department's producer compensation disclosure regulation.

Reacting to the new health care reform law, Virginia Gov. Bob McDonnell signed legislation outlawing the U.S. government from requiring state residents to purchase medical insurance.

Insurers' claims and litigation costs stemming from Chinese drywall problems are expected to be significant, property damage up to the $10 billion range by one estimate, a rating firm said.

State insurance commissioners said they will work to implement aspects of federal health care reform where they are required to do so, but acknowledged that state legislatures could still challenge the reforms.

Insurance fraud-related convictions increased by 24 percent last year in New York State, the State Insurance Department's Fraud Bureau reported.

The World Trade Center Captive insurer said it was disappointed in a federal judge's order that it pay more to those clean up workers and uniformed services personnel sickened and injured at the World Trade Center, site after the Sept. 11, 2001 attacks.

A U.S. District Court judge has ordered Aon and Marsh insurance brokerages to negotiate a settlement for a lawsuit that alleges three former employees of Aon stole trade secrets and clients from their former employer when they joined Marsh.

Lloyd's underwriters and Arch Specialty Insurance must pay legal defense costs for accused Texas Ponzi scheme operator R. Allen Stanford, a federal appeals court has ruled.