Care Custody and Control
— Tenant's Property

Q

We would appreciate your comments on the following question concerning coverage under the commercial general liability form. Our insured runs a motel. Each room is provided with its own private carport. A claim has been brought against the insured because one of the renters had his car stolen from him at gunpoint as he was entering the carport. We believe that there should be coverage but are concerned about whether the care, custody, or control exclusion might apply.

Puerto Rico Subscriber

A

A landlord does not generally become charged with the care, custody, or control of a tenant's property simply by renting the tenant space in a building or parking lot, so that exclusion would not apply to this loss. Presumably, the motel owner is charged with negligently allowing a robber on the premises because of inadequate security, resulting in the theft. Defense, and liability coverage in the event of a finding of negligence, should apply.

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