Insurer Doesn’t Want to Defend First Executive:...

Insurer Doesn’t Want to Defend First Executive: Continental Insurance Co. asked a federal judge in New York to rule that it does not need to pay First Executive Corp.’s defense costs in securities fraud cases involving convicted financier Michael Milken. First Executive has been named in at least 14 suits that allege that the company and its chairman helped Milken manipulate the junk bond market. Continental, which is First Executive’s general liability insurer, says its policy does not cover any “willful violation” of the law. First Executive said it would not comment about matters in litigation. In a separate matter, Duff & Phelps Inc. downgraded the claims-paying ability rating of First Executive’s Executive Life Insurance Co. The agency said the downgrade reflects concerns over a possible regulatory takeover, which could result in payment delays to policyholders.