Pollution Exclusion Bars Coverage of Drywall Claims Against HVAC Co., Judge Rules

MOBILE, Ala. - A federal judge has ruled that the pollution exclusion in a policy issued to an HVAC contractor bars coverage for Chinese drywall claims asserted against the company even though it never supplied or installed the product allegedly responsible for the pollution. QBE Insurance Corp. v. Estes Heating & Air Conditioning Inc., No. 10-456 (S.D. Ala.).

Judge Callie V.S. Granade of the U.S. District Court for the Southern District of Alabama ruled Feb. 8 that neither the policy at issue nor state law mandates that the pollution exclusion only apply to circumstances where a named insured is identified …