Insurer Not Liable For Superfund Settlement.

The article reports on a California appeals court ruling in Aerojet-General v. Commercial Union Insurance which held that an excess liability insurer has no duty to indemnify a policyholder for the cost of settling a superfund action absent a court order. Several water suppliers sued Aerojet in 2000 and 2001, alleging its facility released hazardous substances into the area's groundwater. Aerojet sued several of its excess insurance carriers, including the Commercial Union, alleging that it had a duty to indemnify Aerojet under its excess policies.