Continental Says Reinsurance Agreements Just a New Take on Captives

A former Berkshire Hathaway subsidiary has taken issue with Illinois regulators who fined the company for packaging expensive reinsurance agreements with workers' compensation policies without approval from the state. “Illinois’ position is puzzling. It is not consistent with what we believed their goals were all along,” said Jeffrey Silver, general counsel for Continental Indemnity Co. But the Illinois insurance commissioner and a California plaintiffs' attorney said the practices by Continental and a related company, Applied Underwriters, are all too familiar in o...