July 14, 2011

Earl K. Messer: Insurance coverage for construction defects

Contractor liability insurance coverage in construction defect cases is a matter that is hotly litigated. On the one hand, coverage often exists when a defect causes harm to a third party’s property. On the other hand, if the only harm is to the insured contractor’s defective work itself, there is usually no coverage. In between lies controversy. A key area of dispute is where defective work on one part of a construction project causes harm to another part of the same project, a common occurrence. Courts are split on whether coverage exists under such circumstances, although the trend appears to be in favor of coverage.

Read the full story here: http://www.expertwitnessinconstruction.com/httpdocs/news-Construction_Defect_Insurance_Coverage.php