What Does Rip and Tear Coverage Mean?

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What does Rip and Tear Coverage mean? Read on to discover the definition & meaning of the term Rip and Tear Coverage - to help you better understand the language used in insurance policies.

Rip and Tear Coverage

Rip and Tear Coverage

Covers the cost of tearing out a contractor's bad work due to defects that make its inclusion in the project unsafe. The normal method of providing this coverage is by endorsement to the commercial general liability (CGL) policy. (There is no standard endorsement for this purpose, but insurers active in construction markets may have company-specific endorsements that add this coverage back.) For coverage to apply, the work must fail to meet contractual specifications or other industry standards that apply to the type of construction into which the materials were incorporated. There is no coverage with respect to defects that are purely cosmetic. A similar coverage, contractors rework coverage, covers both the cost of tearing out bad work and the cost of replacing it. The primary markets for rip and tear and contractors rework coverage are concrete and masonry contractors.

We hope the you have a better understanding of the meaning of Rip and Tear Coverage.

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