Liberty Mutual Beats AmTrust on Insurance for Shareholder Suits

A Liberty Mutual Insurance Co. unit is off the hook for the costs of two shareholder suits against AmTrust Financial Services Inc.

The 2017 shareholder lawsuits fall under insurance policies preceding those issued by Liberty Insurance Underwriters Inc., the US District Court for the District of Delaware held in a Wednesday decision.

AmTrust sued Liberty in 2021 seeking coverage for the two suits, which alleged the insurance holding company’s financial statements were false or misleading due to accounting improprieties.

Questions regarding AmTrust’s accounting began to surface in 2013, prompting an SEC investigation, according to the order. In 2014, the president ...