Drywall Claims Against HVAC Company Not Covered, Insurer Says

MOBILE, Ala. - QBE Insurance Corp. has filed a declaratory judgment action in Alabama, arguing it has no duty to defend or indemnify an HVAC company against claims that improper installation of defective air conditions exacerbated damage caused by Chinese drywall. QBE Insurance Corp. v. Estes Heating & Air Conditioning Inc., No. 10-456 (S.D. Ala.).

According to the Aug. 20 lawsuit in U.S. District Court for the Southern District of Alabama, plaintiffs in two Mobile County Chinese drywall lawsuits fail to allege damages that constitute an occurrence under a policy QBE sold to Estes Heating & Conditioning Inc.

Estes …