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Insurance Coverage for Property Damage Caused by Defective Workmanship

/ Owner - May 2, 2017

One of the principal points of contention between insurers and insureds is whether defective construction work is, or can be, an occurrence, thereby triggering coverage.  The New Jersey Supreme Court has joined a growing number of jurisdictions holding that commercial general liability (CGL) insurance policies may provide insurance coverage to insured general contractors when property damage is the result of defective work performed on the general contractor’s behalf by a subcontractor. Cypress Point Condo. Ass’n v. Adria Towers, L.L.C., 226 N.J. 403, 143 A.3d 273 (N.J. 2016). To put the holding in Cypress Point in perspective, some background will be helpful.    Read the article…………..

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