Silica Defendant Says It Doesn't Owe Deductible for Insurance Payout

BATON ROUGE, La. - Southern Silica of Louisiana Inc. has filed a declaratory judgment action, arguing that it does not owe a deductible to a commercial general liability insurer that has paid $350,000 for personal injury claimants allegedly injured by Southern Silica's product. Southern Silica of Louisiana Inc. v. Zurich American Insurance Co., No. 09-797 (M.D. La.).

In a lawsuit filed in East Baton Rouge Parish District Court, Southern Silica maintains that its insurer Zurich American Insurance Company has no basis for collecting the $177,000 deductible because one of the two policies it issued to the silica defendant didn't require …