Scottsdale Insurance Co. Says Ala. Drywall Claims Covered by American Safety Policy

MOBILE, Ala. - Scottsdale Insurance Co. has filed a declaratory judgment action in Alabama, asking a federal judge to rule that policies issued by another insurer, American Safety Indemnity Co., provide coverage for underlying Chinese drywall claims asserted against The Mitchell Co. Scottsdale Insurance Co. v. American Safety Indemnity Co., et al., No. 10-445 (S.D. Ala.).

In its Aug. 13 lawsuit filed in U.S. District Court for the Southern District of Alabama, Scottsdale indicates that its policies were not in effect at the time plaintiffs discovered that Chinese drywall had caused damage to their homes.

Scottsdale insured The Mitchell Co. …