Carrier Non-Compliant with Replacement Costs
Case Study
The Request
Company Profile
Industry: Construction
Revenue: $400M
Locations: U.S. Corporate HQ
During the construction of a building, the subcontractor scratched newly installed windows while cleaning. The carrier was unwilling to cover the replacement cost, as it felt the damage was due to a defective product.
The Solution
Brown & Brown reviewed the customer’s policies and identified existing coverage that applied to this claim. The Brown & Brown team triggered coverage under the general contractor’s commercial general liability (GL) policy exclusion l. Damage to Your Work for exception by subcontractors. Because GL doesn’t fix an insured’s work or product, the exception was critical and allowed the contractor’s policy to include coverage as an exception.
The Results
After the Brown & Brown team triggered the policy, the carrier agreed to pay for the replacement of all damaged windows, worth $100,000. The customer could proceed with repairs without covering the cost incurred by the subcontractor.
Ready to help minimize your risk and uncertainty?
Contact us for more information.
DISCLAIMER: Brown & Brown, Inc. and all its affiliates, do not provide legal, regulatory or tax guidance, or advice. If legal advice counsel or representation is needed, the services of a legal professional should be sought. The information in this document is intended to provide a general overview of the topics and services contained herein. Brown & Brown, Inc. and all its affiliates, make no representation or warranty as to the accuracy or completeness of the document and undertakes no obligation to update or revise the document based upon new information or future changes.