A ruling that allows Scottish Lion Insurance Co.'s solvent scheme of arrangement to move forward is a blow to policyholders who argued the decision will erase decades of coverage. U.S. policyholders won a victory last fall when the court rejected Scottish Lion's proposed scheme of arrangement. Scottish Lion has been in runoff since 1994 and asked the Scottish court to sanction a plan that would allow it to shed liabilities and wind up the company. In its ruling, the court last week overturned the previous rejection of the runoff.

A closely watched wrongful-death case against Pendleton Memorial Methodist Hospital in New Orleans, which called attention to hospital preparedness in catastrophic situations, was settled last week before the case went to a jury. Althea LaCoste vs. Pendleton Memorial Methodist was resolved with a confidential agreement. Ms. LaCoste, 73, died hours after Hurricane Katrina struck New Orleans and knocked out power at the hospital, causing life-support machines to stop working. Pendleton Memorial Methodist, which is owned by United Health Services Inc., had two emergency generators, with one on the hospital's roof with a fuel tank. However, flood waters disabled the generator's ground-level fuel pump. Insurance industry professionals and risk managers watched the case closely as it could have increased a hospital's potential liability if it were decided in the LaCoste family's favor. Previously, the Louisiana Supreme Court ruled that the facts of the case were based on general negligence and could not be tried under the state's medical malpractice laws, which would have capped damages at $500,000.

Public companies should consider disclosing to investors how climate change and related legislation, regulations and treaties may affect their business, the Securities and Exchange Commission recommended. The SEC's “interpretative guidance” does not change existing regulations, but advises that climate change may trigger disclosure requirements.

Warren Buffett's increased investment in Munich Reinsurance Co. includes options that could push his stake in the German reinsurer past 5%. Munich Re said Mr. Buffett, who controls Berkshire Hathaway Inc., increased his direct and indirect stake in Munich Re. In a statement, Munich Re said Berkshire's stake in the reinsurer is 3.084%, slightly higher than previously announced.

Seventeen television networks and production studios and seven talent agencies reached a $70 million settlement in 19 age discrimination cases brought by 165 TV writers. About two-thirds will be paid by insurers, both sides in the dispute said in a statement. The settlement affecting TV writers 40 and older is subject to approval by the California Superior Court in Los Angeles.

A catastrophe bond placed by Hartford Fire Insurance Co., a unit of Hartford Financial Services Group Inc., has been increased to $180 million due to strong investor demand, market sources confirmed last week. The bond, Foundation Re III Ltd., originally was marketed to investors with a target size of $100 million. The bond uses a state-weighted Property Claims Services index-based industry loss trigger, according to Standard & Poor's Corp., which rated the notes BB+.

China's insurance premiums grew 13.8% in 2009, to 1.11 trillion yuan ($163 billion), the China Insurance Regulatory Commission's Web site reported. 2009 was the first time that insurance premiums reached the 1 trillion yuan mark, CIRC said.

Deadly floods that hit in northern England in November have cost insurers about £206 million ($331.9 million), the Assn. of British Insurers said. The London-based ABI said about 60% was paid on commercial claims.

Hannover Reinsurance Co. has boosted to $329 million the amount of protection against natural catastrophe losses provided by its K6 transaction. Institutional investor demand easily outstripped supply, which shows that the market for alternative risk transfer has recovered after contracting during the financial crisis, the reinsurer said in a statement. The K6 securitization portfolio consists of nonproportional reinsurance treaties in the property catastrophe, aviation and marine lines.

Leslie Nylund, former national partner and chief placement officer of Willis North America, has joined rival brokerage Insurance Office of America Inc. as president of its newly established Northeast division in New York.