General Liability Insurance

In January, Ohio’s Third District Court of Appeals ruled that an insurer, in this case Cincinnati Insurance, has the duty to defend and indemnify a contractor against claims made by a project owner for property damage resulting from a subcontractor’s defective work. The court rejected the Cincinnati Insurance’s argument that claims of defective work, regardless of who performed the work, are not covered under CGL policies since defective work does not constitute an occurrence. Prior to the District Court’s ruling, the trial court found in favor of the insurer. The Ohio Supreme Court will now hear the case. AGC filed an amicus brief in support of the contractor and the ability to use CGL policies for subcontractor’s defective work. Ohio Northern University v. Charles Construction Services, Inc.