Opinion ID: 2682712
Heading Depth: 3
Heading Rank: 2

Heading: MCC Policy Provisions

Text: As previously mentioned, MCC had issued two identical standard form Insurance Services Office (“ISO”) CGL policies to J.B.D. covering the timeframe relevant to this suit. The relevant policy language is as follows: “[MCC] will pay 2 The Civil Remedy Notice alleged violations of Fla. Statutes 629.954(1)(i)(3)(c), 626.9541(1)(i)(3)(e), 626.9541(1)(i)(3)(f), 626.9541(1)(i)(3)(g) and sought $181,750.94, $20,000 in attorney’s fees and costs, fees and costs to J.B.D.’s bonding company, compensation for hours and repair work in excess of $15,000, and lost profits due to impairment of bonding capacity. 6 Case: 13-10138 Date Filed: 07/11/2014 Page: 7 of 25 those sums that the insured becomes legally obligated to pay as damages because of . . . ‘property damage’ to which this insurance applies. . . . This insurance applies to . . . ‘property damage’ only if . . . [t]he ‘property damage’ is caused by an ‘occurrence’ that takes place in the ‘coverage territory’. . . .” “‘Property damage’ means . . . ‘[p]hysical injury to tangible property, including all resulting loss of use of that property . . . or . . . [l]oss of use of tangible property that is not physically injured.’” “An ‘occurrence’ means an accident, including continuous or repeated exposure to substantially the same general harmful conditions.” The policy also excludes coverage for the following: j. Damage to Property “Property damage” to: .... (4) Personal property in the care, custody or control of the insured; (5) that particular part of real property on which you or any contractors or subcontractors working directly or indirectly on behalf are performing operations, if the “property damage” arises out of those operations; or (6) That particular part of any property that must be restored or replaced because “your work” was incorrectly performed on it. .... Paragraph (6) of this exclusion does not apply to “property damage” included in the “products-completed operations hazard.” .... l. Damage to Your Work “Property damage” to “your work” arising out of it or any part of it and included in the “products-completed operations hazard”. 3 3 This exclusion is known as the “your work” exclusion. See, e.g., Amerisure Mut. Ins. Co. v. Auchter Co., 673 F.3d 1294 (11th Cir. 2012) (citing U.S. Fire Ins. Co. v. J.S.U.B., Inc., 979 So.2d 871, 879 (Fla. 2007). The MCC Policy originally contained what is commonly known as a 7 Case: 13-10138 Date Filed: 07/11/2014 Page: 8 of 25 The MCC Policy defines “your work” to mean “work or operations performed by you or on your behalf; and . . . materials, parts, or equipment furnished in connection with such work or operations.” The MCC Policy also included Products-Completed Operations Hazard (“PCOH”) coverage. Under the policy: [PCOH] includes all “bodily injury” and “property damage” occurring away from premises you own or rent and arising out of “your product” or “your work” except: (1) Products that are still in your physical possession; or (2) Work that has not yet been completed or abandoned. However, “your work” will not be deemed completed at the earliest of the following times: (a) When all of the work called for in your contract has been completed. (b) When all of the work to be done at the job site has been completed if your contract calls for work at more than one job site. (c) When that part of the work done at a job site has been put to its intended use by any person or organization other than another contractor or subcontractor working on the same project. Work that may need service, maintenance, correction, repair or replacement, but which is otherwise complete, will be treated as completed.