Chartis Says Terms of Umbrella Policies Preclude Drywall Coverage

TAMPA, Fla. - Chartis Specialty Insurance Co. has filed a declaratory judgment action in Florida, arguing that it has no duty to defend or indemnify a homebuilder for lawsuits brought by residents whose homes were allegedly damaged by Chinese drywall. Chartis Specialty Insurance Co. v. Taylor Morrison Inc., et al., No. 09-2511 (M.D. Fla.).

The suit was filed Dec. 14 in U.S. District Court for the Middle District of Florida, and is the latest in a string of cases brought by insurers that have participated, under a reservation of rights, in the defense of insureds facing claims for drywall damage.