It appears that, in aggregate, creditors to the bankruptcy of forged reinsurance letter of credit (LOC) linked insurtech Vesttoo have filed over $4.8 billion in claims against the company and its entities, which provides another signal of the ramifications of and amount of value the market feels has been lost due to the fraud.
We already knew that nearly $3.36 billion of value in standby letters of credit (LOC) for reinsurance deals are assumed to have been fraudulently created by former employees of Vesttoo.
