Hawaii’s $4 Billion Settlement — Problems Arising

Maui Judge Peter Cahill has adjudicated the $4 billion insurance settlement for the fire that tore through Maui a year ago. In his mind, it’s settled. However, insurance companies want to be able to do independent legal actions against the defendants being blamed for causing the fire.

Last month Judge Cahill ruled that insurers can only get reimbursement from the settlement amounts that the defendants have agreed to pay. The insurers disagree and have asked the judge to ask the Hawaii Supreme Court to weigh in on whether the ruling should be enacted.

He is expected to do so.

In the meantime, this push threatens to upend the settlement, but the insurers say it’s necessary because the people causing the first should be held accountable and the settlement doesn’t do that.

The attorneys for the plaintiffs worry if insurers are allowed to go after reimbursement, the deal will be stressed and could take away money that’s available to pay the victims of the fire.

Source link: Insurance Journal — https://bit.ly/3ZoVvod