Lloyd’s Appeal of $10 Million Bank Insurance Payout Rejected

Lloyd’s of London will have to pay out a $10 million insurance claim related to the 2009 failure of a Georgia bank after the U.S. Supreme Court on May 29 declined to intervene in its case.

The British insurer had asked the high court to hear its appeal of a Jan. 23 decision in the U.S. Court of Appeals for the Eleventh Circuit that ordered Lloyd’s of London to pay out on policies issued to Omni National Bank, an Atlanta-based bank that failed in March 2009.

The Federal Deposit Insurance Corp., which took control of Omni upon its failure, argued ...