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AM. INTER-FIDELITY EXCHANGE v. AM. RE-INSURANCE, CO.

No. 93-2229.

17 F.3d 1018 (1994)

AMERICAN INTER-FIDELITY EXCHANGE, Plaintiff-Appellant, v. AMERICAN RE-INSURANCE COMPANY, Defendant-Appellee.

United States Court of Appeals, Seventh Circuit.

Decided March 1, 1994.

Attorney(s) appearing for the Case

Robert D. Hawk, Robert D. Brown (argued), Spangler, Jennings & Dougherty, Merrillville, IN, for plaintiff-appellant.

Michael A. Pope (argued), Caesar A. Tabet, Kevin C. Clegg, Pope, Cahill & Devine, Chicago, IL, for defendant-appellee.

Before EASTERBROOK and RIPPLE, Circuit Judges, and MIHM, District Judge.

EASTERBROOK, Circuit Judge.

Two reinsurance treaties between American Inter-Fidelity Exchange and American Re-Insurance Company provide that the reinsurer will reimburse the primary insurer for a portion of "net retained insurance liability." Does that term include sums the primary insurer pays to victims of accidents, and which the insured is obliged to reimburse yet does not? The district court answered "no" as a matter...

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