The Eleventh Circuit Court of Appeals has ruled that a petroleum company’s commercial general liability (CGL) insurance policy does not cover alleged injuries from benzene-laden gas fumes because coverage is barred by a pollution exclusion clause. Racetrac Petroleum, Inc. v. ACE Am. Ins. Co., No. 10-2162 (11th Cir. 11/03/11) (unpublished). Plaintiff sought a declaratory judgment for any excess liability tied to alleged injuries from the fumes. The district court cited a policy clause that expressly excluded coverage for injuries caused by “any substance if such substance has, or is alleged to have, the effect of making the [air] impure, harmful, or dangerous” and denied the claim. The Eleventh Circuit affirmed, finding that the clause does not violate Georgia public policy.
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