Excess Carrier Can't Sue Over Drywall Until Primary Policies Exhausted, Judge Says

MIAMI - An excess insurer may not pursue a declaratory judgment action against its insured for coverage for Chinese drywall claims unless the insured's primary policy limits have been exhausted, a federal judge in Florida has ruled. National Union Fire Insurance Co. of Pittsburgh, PA v. F. Vicino Drywall II Inc., et al., No. 10-60273 (S.D. Fla.).

Judge Alan S. Gold of the U.S. District Court for the Southern District of Florida said in a Nov. 29 decision that without evidence that excess coverage has been triggered by underlying drywall claims, his court lacks subject matter jurisdiction to resolve any …