A North Korean insurer and European reinsurers have settled a case after two years of court battle.

The Korea National Insurance Corporation (KNIC) will receive over 56 million U.S. dollars from London-based insurers, including Allianz.

Washington-based Radio Free Asia said the European insurers agreed to pay 95 percent of the claims made by North Korea's national insurer and will withdraw their stance that KNIC's claims were fraudulent.

North Korea has been demanding that the reinsurers compensate KNIC for the losses incurred with the burning of a warehouse resulting from a 2005 helicopter crash in Pyongyang.

The reinsurers had been rejecting the claims, which they called fraudulent, noting that North Korea listed hundreds of thousands of lost items in less than ten days after the incident.

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