Alienated Premises Exclusion

This exclusion eliminates coverage for property damage liability to premises alienated (i.e.; sold) by you. For example; you own a lot and build a house on it. After the house is completed and sold; a subcontractor’s faulty wiring causes the house to burn. The buyer; or his/her insurance company; sues you for the cost of repairing or rebuilding the house. There is no coverage for this exposure under standard liability policies.

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