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EDSTROM INDUSTRIES, INC. v. COMPANION LIFE INS.

No. 07-2165.

516 F.3d 546 (2008)

EDSTROM INDUSTRIES, INC., Plaintiff-Appellant, v. COMPANION LIFE INSURANCE COMPANY, Defendant-Appellee.

United States Court of Appeals, Seventh Circuit.

Decided February 11, 2008.

Attorney(s) appearing for the Case

John E. Murray (argued), Simandl & Murray, Waukesha, WI, for Plaintiff-Appellant.

Anne W. Reed (argued), Reinhart, Boerner, Van Deuren, Milwaukee, WI, for Defendant-Appellee.

Charlotte Gibson, Office of the Attorney General, Wisconsin Dept. of Justice, Madison, WI, for Amicus Curiae State of Wisconsin.

Noreen J. Parrett, Parrett & O'Connell, Madison, WI, for Amicus Curiae, National Association of Insurance Commissioners.

Before BAUER, POSNER, and EVANS, Circuit Judges.

POSNER, Circuit Judge.

Edstrom, a manufacturing company that is the plaintiff in this diversity suit, which is governed by Wisconsin law, sponsors a group health insurance plan for its employees and their dependents. It pays claims under the plan out of its own pocket—up to $65,000. Above that, an insurance company, the defendant, Companion, which has sold Edstrom what is called a "stop loss" insurance policy, pays. As explained in Jerry S. Rosenbloom, The...

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