Heath Lambert Ltd., the British insurance broker acquired in 2011 by Arthur J. Gallagher, is holding reinsurance payments the cedent refuses to accept out of fear of violating European Union sanctions imposed on Iran.
In a filing with the Securities & Exchange Commission, AJG says Heath Lambert is holding $14,343.75 it received from Bimeh Iran Insurance Co. under a reinsurance policy it placed on behalf of a U.K. carrier for a marine hull reinsurance contract back in 1998 for a loss that occurred in the same year.
While winding down legacy issues a month after AJG acquired Heath, the firm submitted a claim for payment on the reinsurance contract. A year later, Bimeh paid the claim. In 2012, the same year as the claim payment, the U.S. and EU imposed sanctions on Bimeh and Kish Protection and Indemnity Club for providing coverage to Iran's petroleum shipper.
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
