Insurer Says It Won't Cover Chemical Co.'s Explosion Suit

Law360, New York (July 9, 2013, 6:46 PM EDT) -- Berkley Assurance Co. sued chemical manufacturer Nova-Kem LLC in Illinois federal court Tuesday, alleging that it owes no coverage for litigation brought by the Illinois Environmental Protection Agency stemming from a June explosion.

Berkley says that the policy it entered with Nova-Kem covers only suits relating to bodily injury or property damage, while the IEPA case filed in Illinois state court seeks injunctive relief requiring Nova-Kem to address the release of pollutants into the air and underground water systems following the explosion.

“Any costs that Nova-Kem...
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