What does Subcontractor Exception mean? Read on to discover the definition & meaning of the term Subcontractor Exception - to help you better understand the language used in insurance policies.
An exception to the "damage to your work" exclusion of the commercial general liability (CGL) policy, which restores coverage when the damaged work, or the work causing the damage, was performed by the named insured's subcontractor. The subcontractor exception is the basis for much of the coverage available under a CGL policy with respect to construction defects. It can be removed from the policy by endorsement.
We hope the you have a better understanding of the meaning of Subcontractor Exception.