Annotated iso cgl policy

If coverage is extended from the insuring agreement, the facts of the injury or damage are compared to the exclusions, exceptions and conditions to make the ultimate coverage determination. Status as an insured must exist before ANY question of coverage can be tackled — if the individual or entity is not an insured, there is no reason to go any further.

Before anything else, make sure the person or entity causing the injury or damage is an insured. Once insured status is confirmed, continue applying the remaining requirements. Space does not allow for a full explanation of insured status.

The Academy of Insurance offers a webinar on insured status. Click here for details. Unless the insured is legally obligated to pay based on these conditions, the CGL does not respond. Courts often decide when an insured is legally obligated. For instance, a drywall contractor drives a nail into a water pipe on March 3, Over time, the expansion and contraction of the pipe coupled with the progressive rusting of the nail results in a leak and water damage first noticed on October 25, The policy in effect on that date is responsible for the claim.

The policy in effect on that date pays the claim. And like many precedents, a particular state may apply just one theory, but some states apply both based on the facts of the case. If no specified party knew about such injury or damage, the current policy responds — as do all previous policies if there was no prior knowledge. Note: Some proprietary endorsements alter this wording to preclude coverage if one of these persons knew or SHOULD have known injury or damage occurred.

The policy in effect when the discovery is made is the last policy that responds. Some insurance carriers have filed proprietary endorsements that alter this wording with the intent of limiting coverage to just one policy, but the ISO wording does not do this.

Does the claim for injury or damage meet all the requirements of the insuring agreement? If so, move on to the exclusions, exceptions and conditions to ultimately confirm or deny coverage. If the loss falls outside the insuring agreement, stop — there is no coverage.

If the loss satisfies the requirements of the insuring agreement, it can be compared to the exclusions, exceptions and conditions to confirm coverage exists.

If the loss does not meet these requirements, there is no coverage — and no need to dig any deeper into the policy. Thank you! Please tell us what you liked about it. We have updated our privacy policy to be more clear and meet the new requirements of the GDPR. They insure the bodily injury liability, property damage, and personal and advertising injury liability exposures of a variety of commercial businesses, enterprises, and ventures. Their broad nature eliminates having to select and group individual or specific hazards, with resulting potential gaps in coverage.

The ISO CGL Coverage Forms can be offered on either an occurrence or a claims-made basis, as a monoline policy, or combined with one or more other lines of insurance to form a commercial package policy. The eligibility criteria for either of the ISO CGL coverage forms is very broad and applies to all commercial exposures. Some limitations apply with respect to certain classes or exposures that are not eligible to be included in commercial package policies or for the package policy premium discount.

However, there are no limitations on using the CGL coverage form itself. It is designed to respond to and meet the general liability coverage needs of virtually any commercial risk or class of business. The 04 13 edition introduced a number of changes to CG 00 01 and CG 00 02, a significant change in many additional insureds endorsements and a number of other editorial changes. These changes could potentially result in gaps in coverage at renewal.

Section I—Coverages provides three distinct coverages:. It describes each of these coverages with respect to the insuring agreement, exclusions, and supplementary payments that apply to them. Section III—Limits of Insurance explains how each limit of insurance applies as well as how they work together and relate to one another. Coverage is voided if one or more of these conditions are violated. Get a letter if they do not to show your insured. Certificate wording Post by dmcdonald » Wed Mar 22, pm I have already done that.

Insured went to the company and asked "who on your certificates in Michigan is allowing that wording" I run up against walls all over.

The insurance companies are saying "Nay, Nay' but certificates are going to the big company with the wording on them and no one seems to be able to help us track down what insurance company allows it. I think I need to retire The problem we find is that for some classes this wording is still available but not for the class we insure.

We've had some luck in having the underwriter state the wording is not available for our insured in writing to the requesting party and they've waived the requirement. As a result, we now tell all our clients to let us review the insurance requirements for all contracts prior to them signing.

Certificate Wording. Secondly, what is most likely happening is that the wording is being added to certificates and the policy has not been changed or the carrier has not authorized the wording change to the certificate. Last of all, you can always make a photocopy of the policy and they can review the contract to see if it meets their specifications.

In fact, altering a standard certificate violates department rules. If a certificate is altered it may also represent a modification of the filed insurance policy language and should be filed with the department as an amendment of policy language. Also, for the requesting party, it becomes a manuscripted terms issue and may reduce their rights against the carrier when it comes to policy interpretation.