Nationwide Mutual Insurance v. American Reinsurance Co.

MEMORANDUM AND ORDER

HOLSCHUH, Chief Judge.

I

This is a diversity case which involves an issue of reinsurance. Nationwide Mutual Insurance Company, the plaintiff, provided both a special multi-peril insurance policy and an umbrella policy to AAA Employment, Inc., an employment agency. It reinsured 90% of the coverage provided under the umbrella policy with defendant American Reinsurance Company. In 1984, Nationwide paid a $1 million judgment which had been entered by a Florida state court against AAA Employment in a personal injury action. In this suit, it seeks to require American to reimburse…