California Judge OKs $200M Settlement In Insolvent Insurer’s Favor

Mealey's (September 3, 2015, 1:09 PM EDT) -- LOS ANGELES — A California judge on Aug. 27 approved a $200 million settlement between a foreign bank and an insolvent insurer (Insurance Commissioner of the State of California v. Executive Life Insurance Company, No. BS 006912, Calif. Super., Los Angeles Co.).

(Order granting application for approval of settlement agreement available. Document #10-150925-005R.)

Executive Life Insurance Co. (ELIC) became insolvent in major part because it held a large portfolio of junk bonds, which had declined drastically in value.

The Los Angeles County Superior Court on April...
To view the full article, register now.