Rochester Diocese’s $71 Million Insurer Deal Gains Approval (1)

The Rochester, N.Y., Catholic diocese gained approval of a $71 million settlement with four insurers after a judge said the funds were necessary to the bankruptcy process and to provide closure to survivors of clergy sex abuse.

The protection under the settlement’s insurance policy buyback sales is appropriate, otherwise the insurers might not provide any funds to the deal, Judge Paul R. Warren said during a Wednesday hearing in the US Bankruptcy Court for the Western District of New York. The diocese has been in bankruptcy for nearly six years, attempting to resolve hundreds of sex abuse claims.

The arrangement ...