The facts
Excellent Excavation Company was hired to provide excavation services for a large commercial office complex. The scope of the project included the excavation and installation of asphalt parking lots, concrete curbs and sidewalks.
Shortly after completion, an inspection revealed that the curbs were two inches taller than appropriate and several tenants complained of unsafe conditions.
The result
Investigation established that Excellent Excavation did not follow the recommended design plan, creating hazardous conditions with potential for injury claims. All curbs would need to be replaced.
It was determined that this was a case of faulty workmanship on the side of the excavation contractor. Excellent Excavation improperly installed the curbs, resulting in safety concerns at the office complex. The owners brought a claim against Excellent Excavation, alleging that the contractor failed to properly install the concrete curbs.
Excellent Excavation's general liability policy did not provide coverage due to a faulty workmanship exclusion, however Victor's General & Artisan Contractors E&O policy, written through CNA Insurance, responded to and settled the claim, allowing the Contractor to resolve the problem with no additional expense.
Risk factor
Risk factor #1
When installing new curbs, it is essential that the contractor ensures all design requirements are followed. Careful review of design and installation protocols may prevent a costly error.
The claims scenario is strictly documented for illustrative purposes only and provides an example of what a policy could cover. It is intended to provide a general overview of the program described. Please remember only the insurance policy can give actual terms, coverage, amounts, conditions and exclusions. Program availability and coverage are subject to individual underwriting criteria.