Zurich Insurance Unit Loses Bid to Stop Texas Enforcement Action

A lawsuit by a Zurich Insurance Group AG unit facing an enforcement action from the Texas insurance commissioner was tossed by a federal district court because any final action is still pending.

The Texas Department of Insurance initiated an enforcement action against Empire Indemnity Insurance Co.'s Risk Retention Group Inc. in March, alleging it had been selling property insurance even though risk retention groups are only authorized to sell liability policies under state and federal law. The action was referred to the Texas State Office of Administrative Hearings.

Empire sued the state insurance regulator in the US District Court for ...