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Minnesota Diocese Agrees to $30 Million Settlement Over Abuse Claims

Confirmed

Faith Desk

In Short: The Winona-Rochester Diocese in Minnesota has agreed to a $30 million settlement with insurers over abuse claims, marking a significant step in addressing historical grievances.

AG HARRIS ANNOUNCES $300 MILLION SETTLEMENT WITH JP MORGAN CHASE
Photo: Kamala Harris / Wikimedia Commons (Public domain)

Insurers have agreed to a $30 million settlement with the Winona-Rochester Diocese in Minnesota, covering more than 145 survivors of abuse, according to a press release from the law firm Jeff Anderson & Associates. The settlement includes contributions from two diocesan insurers—LMI and Interstate—but does not include a payout from the diocese’s largest insurance company, U.S. Fire.

Church leaders in the Baltimore and New York archdioceses have also sued their respective insurers to force them to pay into high-dollar payouts. In 2018, the Winona-Rochester Diocese filed for bankruptcy and settled with abuse victims in 2021 for $28 million. The current settlement is part of the diocese’s reorganization plan, which has been incorporated into its safe environment program.

Father Thompson, a spokesperson for the diocese, stated, 'The diocese remains committed to its reorganization plan, which has been incorporated into its safe environment program.' He added, 'All are invited to pray for the healing of those impacted by sexual abuse and to work toward that healing to the best of their ability.

Reilly, a professor emerita of Penn State Dickinson Law, clarified that the $30 million settlement is specifically between the diocese’s bankruptcy settlement trust and U.S. Fire. As a result, the settlement trust took over the diocese’s rights and responsibilities under the insurance policies, including the right to sue U.S. Fire to demand coverage if it became liable for a covered injury.

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