Mike Mead, CICA’s Advocacy Industry expert, reports below:
“The Royal Gazette of Bermuda reports today that the Privy Council has overturned the Appeals Court’s verdict in favor of American Patriot Insurance Agency against Mutual Risk Management. For the seniors in the industry this brings back many memories. For the newbies, Mutual Risk Management, “MRM”, was in the 1990’s the premier rent-a-captive facility in the world doing huge business. It ultimately failed due to reinsurance issues among other things. One of it’s clients, American Patriot Insurance, sued for breech of contract when MRM tried to collect reinsurance owed. American Patriot lost, then won on appeal and now has lost again.Likely there will be more to this story, but it does bring back a lot of memories for many of us. Many captive practitioners touched MRM and have stories to tell. Warm them up.”