Section 4.9 Completed Operations Coverage

• Library: Construction Law 2016 Supp

B. (§4.9) Completed Operations Coverage

Any party requesting completed operations coverage under a CGL policy wants this policy to respond to an insurable claim after a contractor has completed its work. In most cases, the contractor wants this coverage, too. Essentially, this coverage picks up where the premises and operations coverage leaves off. Notwithstanding the usual demand for this coverage, completed operations coverage can be excluded from a CGL policy. Such exclusions have been enforced. See United States Fidelity & Guaranty Co. v. Houf, 695 S.W.2d 924, 927 (Mo. App. E.D. 1985), and cases cited in the opinion.

This coverage is contained in the 2001 CGL Policy. It is created by the same insuring agreement discussed in §4.8 above, with further refinement by an exclusion, the limits of insurance section, and the policy definition of the term “[p]roducts-completed operations hazard.” The pertinent text is:

SECTION I—COVERAGES

COVERAGE A BODILY INJURY AND PROPERTY DAMAGE LIABILITY

1. Insuring Agreement

a. We will pay those sums that the insured becomes legally obligated to pay as damages because of “bodily injury” or “property damage” to which this damages insurance applies. We will have the right and duty to defend the insured

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