QBE Units Sue Costco Over Insurance for California Silica Claims

QBE Insurance Group Ltd. units are suing Costco Wholesale Corp. over liability insurance coverage for litigation alleging injuries caused by exposure to silica dust.

The suit, filed Tuesday in the US District Court for the Central District of California, is the latest in a series of declaratory judgment actions filed by Regent Insurance Co. and General Casualty Co. of Wisconsin over the underlying silica injury suits in California courts. The underlying suits have also sparked similar coverage disputes among other carriers and manufacturers in recent months.

The insurers argue Costco isn’t covered under the policies issued to Cambria Enterprises LLC ...