CEDAR RAPIDS, IOWA – Liguria Foods, based in Humboldt, Iowa, recently filed a complaint against Arch Insurance Co. to get the provider to pay for part of another lawsuit against the meat company.

The new lawsuit, which is currently being heard in the US District Court for the Northern District of Iowa, stated that the insurance company should pay $500,000 in connection to a separate lawsuit dealing with Liguria’s pepperoni product. 

In September 2021, Palermo Villa sued Liguria alleging that between April 17, 2019, and April 19, 2019, Palermo detected plastic and metal shavings in pepperoni purchased from Liguria Foods. Liguria denies the allegation made by Palermo. The lawsuit is ongoing. 

Liguria claims in its new lawsuit that Arch should cover some of the cost since Liguria said it had commercial general liability coverage between Jan. 1, 2019, and July 1, 2019.

“The policy further provides that Arch has the ‘right and duty to defend’ Liguria Foods against any ‘suit’ seeking damages because of ‘property damage,’” according to the new Liguria lawsuit.

Arch denied coverage in 2022 due to a contractual liability exclusion contained in the policy.