St Paul Travelers has agreed to pay $90m to settle a group of lawsuits related to its coverage of asbestos producer Johns-Manville Corporation, said a report.
The lawsuits alleged that that the insurer had a common-law duty to disclose the hazards of asbestos to the public.
Under the terms of the settlement, claimants allegedly injured by Manville products who filed ‘direct actions’ against Travelers Property casualty will share a $70m fund set up by the insurer.
According to the report, St Paul Travelers will pay up to an additional $20m to cover legal fees involved.
The deal settles not only current claims but bars similar claims against the insurer. The settlement is subject to court approval.
St Paul Travelers said it would fund the settlement out of its unallocated asbestos reserves.
