SCOR Says WTC Jury Verdict “Contrary to Terms of Insurance Coverage”

France’s SCOR Group, who reinsured policies written by Allianz Global Risks covering the destruction of the World Trade Center, issued a statement indicating strong disagreement with the jury’s finding that two insured loss events had occurred (See National article).

SCOR said it “considers the jury’s verdict to be contrary to the terms of the insurance coverage in force and to the intent of the parties.” It also said it would “fully support Allianz’s efforts to overturn the verdict.”

The bulletin also noted that the verdict had not established the amount of indemnification due from the insurers, and that a “separate appraisal procedure is underway to determine the amount of the indemnification due from the insurers resulting from the destruction of the WTC.”

SCOR indicated that it believes the “amount of indemnification determined in that procedure could be substantially below two full occurrence limits and could be less than one full policy limit. Allianz, SCOR’s ceding company, has stated its belief that the court-supported appraisal process will establish that the Silverstein parties did not sustain covered losses in excess of one policy limit.”