No Damage for Delay
"We overrule Century Indemnity and impose a "time on risk" approach to defining the scope of each CGL insurer's obligation to its insured in a progressive damage case."
"we overrule Colleton Prep to the extent it expands the narrow exception to the economic loss rule beyond the residential builder context"
South Carolina has served as a mystery in its application of Comprehensive General Liability policies within the construction industry. Auto Owners v. Virginia Newman provided the Supreme Court of South Carolina an opportunity to clear up a seminal issue regarding coverage provided to contractors: Does the defective work of a subcontractor constitute an insurable loss within the insuring agreement which binds a General Contractor and its insurer. The much anticipated opinion might have served to further muddy the waters as the court relied on an obscure exclusion within the policy, rather than the much broader "subcontractor exclusion" to rule that coverage for some damages caused by a subcontractor's work is not covered.
Clay Olson is an attorney in Charleston South Carolina at Olson & Good, PC. With multiple locations in Charleston County, Mr. Olson serves Olson & Good clients in construction matters including insurance defense, construction defect litigation, mechanics lien, commercial loan modification and foreclosure. Mr. Olson services several industries in collection issues, risk transfer and management … Continue reading South Carolina Construction Defect Law