Archdiocese of Baltimore proposes nearly $170 million settlement for abuse victims
The Archdiocese of Baltimore is proposing nearly $170 million in compensation for abuse victims amid its ongoing bankruptcy proceedings there.
A May 15 filing in U.S. Bankruptcy Court revealed that the archdiocese would contribute just under $44 million to an abuse settlement for survivors, while “settling insurers” would pay a total of $125 million into the fund.
The insurance amount represents a 25% increase from an earlier proposed contribution of $100 million.
In a statement on the filing, the archdiocese said the overall plan “seeks to provide equitable compensation to survivors while sustaining the Church’s mission and ministries.”
The proposal “reflects a commitment to transparency and a realistic assessment of available resources,” it said.
The archdiocese noted that “no final agreement has yet been achieved.” The proposal would also establish a “Survivor Compensation Trust” to “evaluate claims and distribute compensation to survivors.”
The archdiocese “will continue to listen, to learn, and to seek a resolution that honors the dignity of survivors and strengthens the mission of the Church for generations to come,” the statement said.
In 2024 the Baltimore Archdiocese sued multiple insurers over what it claimed was a failure to pay abuse claims for which the insurers were contractually obligated.
U.S. dioceses in recent years have frequently turned to insurers to help cover major abuse settlements, though insurers have at times challenged claims from dioceses on the grounds that their insurance policies did not cover instances of sex abuse.
Marie Reilly, a professor of law at Penn State University and an expert in bankruptcy litigation, including Catholic diocesan bankruptcy proceedings, told EWTN News in 2025 that starting in the 1990s, insurance companies mostly changed how they cover sexual abuse.
“Up until about the mid-’90s, a general liability policy used to include coverages for employee liability,” she said. “It would cover sex abuse claims against the diocese stemming from an employee’s abuse.”
“After 1996, insurance policies issued under new revised standards just don’t provide that coverage anymore,” she said.
Source: https://www.ewtnnews.com/world/us/archdiocese-of-baltimore-proposes-nearly-usd170-000-000-settlement-for-abuse-victims
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