Policy Limit Dispute Excepted from Asbestos Settlement Arbitration Clause, Court Holds

LOS ANGELES - A state appeals court has upheld a ruling denying an excess insurer's motion to compel arbitration of a dispute over policy limits for coverage of underlying asbestos claims filed against defendant Kaiser Gypsum. Truck Insurance Exchange, et al. v. Fireman's Fund Insurance Company, No. B164795 (Calif. Ct. App., Second Dist.).

In a decision issued April 9, the Second District California Court of Appeal ruled that appellant Fireman's Fund made no contention that the terms of the settlement agreement reached by parties in the underlying asbestos tort claim in any way affected its excess policies or that excess …